AN AUDIT of Balranald Shire Council’s finances has highlighted the growing issue of outstanding rates as a key concern for the organisation.
In a presentation to council on Tuesday, Pitcher Partners local government audit specialist Carl Millington said the amount of rates outstanding was a noteworthy area in an otherwise well balanced budget.
As of November 12, the total amount of rates outstanding to the council was close to $300,000 or 12.69 per cent, with outstanding water consumption charges totalling more than $40,000.
That amount included more than 30 arrears with outstanding debts greater than $3000.
Mr Millington said even more concerning was the outstanding rates figures had increased over the past five years, rising from 8.66 percent across that period.
“Ratepayers who do the right thing are subsidising those that aren’t,” he said.
“You need to monitor why that is.”
He added that he had audited some councils where the percentage of outstanding rates had risen to more than 30 per cent.
“You have the potential to be in the same position if you don’t sort it out,” he told councillors.
Council’s general manager Chris Littlemore said one particular developer, who was awaiting sale on a number of proprieties, accounted for a large portion of the rates outstanding.
Following Mr Millington’s presentation, council unanimously voted to sell certain proprieties with rates outstanding of more than five years, following unsuccessful attempts by Balranald Shire Council director of corporate services Robert Rayner to both recover the money owed as well as communicate with the property owners.
For more on this story see Monday’s edition of The Guardian (November 26, 2012).
