Monday, 31 July 2017

Labor Fights Back Against Independents Promise to Cap Rates

BY TYLER FARDELL

With the September elections right around the corner, the Newcastle Independents have announced their first major policy they would introduce if they won the election.

They've promised to cap council rates at the consumer price index (CPI), undoing Labor's decision two years ago to increase rates by 46.9%.

It's a move which would save ratepayers an estimated $350 dollars over the next two years, while still enabling Council to maintain its capital expenditure program at record levels.

Lord Mayoral candidate for the Independents Kath Elliott has stated that Council failed to spend the money associated with the rate rise this year, and she's confident that Council is hiding a predicted surplus of $15 million dollars.

"It's unfair that Labor has imposed such a large tax on ratepayers", she said.

"This shows a complete disregard by Labor for the hardships that ratepayers face".

However, Labor councillors have hit back at the Independents, saying Council is in the best shape of its life and reducing rates to the CPI would stop the delivery of every project and service upgrade undertaken by Council.

Deputy Lord Mayor Jason Dunn has stated the Independents plan is a backwards step.

"By undoing all the hard work and decisions that we have made to deliver long-term financial sustainability, the Lib-dependents plan will send us back down the road to insolvency", he said.

They've backed up the effectiveness of the introduction of the rate rise by reminding residents that in 2015, IPART certified Newcastle Council as being 'financially fit for the future', largely due to the increased rates.

Meanwhile, Labor Councillor Declan Clausen has hit back against the claims of surplus money being wasted.

"Surpluses are invested back into the community- Council isn't a for-profit organisation", he said. "These funds are budgeted to deliver the infrastructure upgrades our community desires".


Labor Councillors say work on many projects around Newcastle including
Bathers Way may be stopped if rates were lowered.
source; Newcastle Herald