The inquiry started last week to tackle inequities in how local councils are funded.
State Member for Shepparton Kim O’Keeffe said the Nationals fought for the inquiry in the upper house as a way to ensure residents were not paying too much in rates.
The Nationals MP emphasised the need for the government to assess how cost shifting from state and federal levels affected local councils and rates.
“I don’t believe property rates are the best or most equitable form of revenue raising for local councils, and it is time to start looking at alternative models,” she said.
“Our local governments provide many crucial services to our communities from waste collection and libraries to the repair of local roads, but cost-shifting between levels of government severely impacts their ability to deliver those services.
“It is getting harder and harder for regional councils to keep up with costs, and regional and rural ratepayers are paying more than their city counterparts.
“What we end up with is frustrated ratepayers who are struggling to keep up with rising costs while local governments also struggle to maintain service delivery with cost-of-living increases being felt right across the board.
“This inquiry provides an important opportunity to examine what is working well and what can be done better.
“It must provide constructive advice to government on building a more sustainable future for Victoria’s local councils.”
The committee will explore how local governments in Victoria are funded and how they deliver services, covering:
• Cost shifting from state and federal governments to local council.
• The ability of local governments to achieve their main service delivery goals.
• Local government’s revenue structures, as well as whether these structures are sustainable and appropriate, and the option of alternative models of funding to consider.
Submissions close Friday, June 28 and can be submitted at: https://www.parliament.vic.gov.au/localgovernmentfunding
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