Rural Councils Victoria chair Mary-Ann Brown said councils wanted to become more “independent” by not relying on other levels of government for funding.
“If we can identify other sources of income over which councils have control, that would be a very good outcome for communities and councils,” she said.
“We really need to try to get away from the cap-in-hand or begging-bowl approach.”
Cr Brown didn’t offer suggestions for how councils could create more income steams.
Swan Hill Council, for example, sold a parcel of land in Robinvale to help fund the construction of more housing.
As part of the research, local governments across Australia are being surveyed about existing practices and potential opportunities for raising additional revenue using alternative income streams (excluding rates, fines, fees, grants and contributions).
“Rural councils cover vast areas with massive road networks that need to be maintained but have very few ratepayers to pay for all the services that communities need,” Cr Brown said.
“Government support, while always welcome, is highly conditional, all too often not sufficient and can’t be spent on what communities actually require.
“No two councils are identical, but we believe that this research can help unearth innovative ideas that can be used by councils across Australia to bring in some of the funds needed to serve our communities better.
“The research results will be shared so that every council in the country, whether rural, regional or municipal, can potentially benefit from the research they helped deliver.”
RCV has engaged consulting firm SGS Economics and Planning to undertake in-depth research exploring the financial sustainability of rural councils and to identify alternative income sources.
SGS is conducting a survey of all councils across Australia to help identify the range of alternative income options in use or which had been identified as opportunities to support the ongoing financial sustainability of local government.
The research would best be helped by a council’s chief financial officer or other staff member with detailed knowledge of council’s own-source income streams.
“We want to hear from every council in every state and territory in Australia,” Cr Brown said.
“The more councils that take part, the more ideas we get.
“Not every idea will work for every council, but councils must do something to alleviate the pressure on ratepayers at a time of increasing interest rates and surging inflation.”
Councils are encouraged to participate by contacting Thomas Milverton of SGS Economics and Planning at tmilverton@sgsep.com.au to receive a link to the online survey.
The survey closes August 25.
