Federal changes unlikely to reduce chance of rate rise
Baw Baw News
By William PJ Kulich // 22:18, Saturday 20 September 2014
THE repeal of the carbon tax and freezing of the superannuation contribution rate are unlikely to reduce the chance of rate increases for people in Baw Baw.
Above: Federal treasurer Joe Hockey at the dispatch box. Image: Joe Hockey website.
This article was first published in the 12 September 2014 edition of the Warragul & Baw Baw Citizen. Get your copy now for even more news and entertainment.
A spokesperson for the Baw Baw Shire Council told the Warragul & Baw Baw Citizen the council never passed on any costs associated with the carbon tax to ratepayers.
“It was never a separate item in council’s budgets and any impost was absorbed,” the spokesperson said.
“The main area of exposure for councils is landfill.
“Baw Baw uses Latrobe City Council’s Hyland Highway Landfill. As this landfill receives less than 25,000t equivalent of CO2 emissions, it is exempt from the carbon tax and the disposal fee we pay to Latrobe City Council does not include any Carbon Tax component.
Director of Corporate Services and Organisation Development Shane Cagney said the freezing of super contributions at 9.5 per cent of salary for seven years would also not affect the council’s budget in any way.
“Given that the present federal government was elected 12 months ago on a platform of winding back the mining tax and its associated spending, council had not factored superannuation increases into its Long Term Financial Plan,” Mr Cagney said.
“The 2015/16 and 2016/17 budgets will now be framed in light of these changes.”
The super rate had been due to increase to 10 per cent next year before the federal government made the changes with the support of the Palmer United Party earlier this month.
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