Rate debate boils over: effort to halt rate freeze decision unsuccessful

Councillors Rachel Sheppard, Lisa Intemann, Nik Lipovac, and Lauren Edwards lodged a Notice of Rescission to overturn the decision to adopt a 0.0 rate peg on Monday, June 24.

In order to be successful, the notice required an extraordinary meeting for the council to vote on the rescission.

Five councillors are required for council to hold a meeting of council.

But by Tuesday evening, the four opposing councillors release a new joint media release, announcing that the rate freeze will be going ahead.

"We four non-aligned Councillors can make ourselves available to attend an extraordinary meeting at any time this week, such that only one 'Team Pinson' councillor would be required to make quorum," the media release said.

"This would allow reconsideration of this serious matter.

"However, councillors have now been advised that due to unavailability of councillors, a quorum cannot be reached this week, and so the rescission can't be voted on or corrective action taken before the end of financial year deadline."

Cr Sheppard, Intemann, Lipovac and Edwards have been against the adoption of a rate freeze for the 2024/2025 financial year since it was first proposed in February, 2024.

In the last council meeting on June 20, the motion to adopt the Operational Plan for 2024-2025 with a rate freeze and the removal of the Town Centre Master Plan (TCMP) was carried.

Mayor Peta Pinson, Adam Roberts, Danielle Maltman and Josh Slade voted in favour of the rate freeze with Cr Pinson using the mayoral casting vote to put the motion through.

The 0.0 per cent rate peg will mean the average rate payer saves $60 per year with council set to lose $2.7 million in rate revenue.

The adoption of the rate freeze will also mean council will have to utilise a number of mitigation strategies including a freeze on staff hiring, reducing tree and shrub maintenance, cancelling community grants and reducing community activities and events.

In their joint media release, Cr Sheppard, Intemann, Lipovac and Edwards voiced their concern at the extraordinary council meeting not going ahead.

"As a result, Port Macquarie-Hastings is burdened with a rate freeze that was determined by a non-majority vote of Councillors, against the advice of the Deputy Secretary OLG, independent financial specialists, Council directors, and community engagement," they said.

"The next elected Council will need to make difficult decisions in collaboration with the excellent Council staff and community, to reset to responsible financial management that is in line with community expectations."

In response to the recent media release, Mayor Peta Pinson said that she was proud to have put the ratepayers first with the support of Councillors Adam Roberts, Danielle Maltman and Josh Slade.

"On June 20 at the Ordinary Council meeting, Team Pinson delivered on a 2021 election promise to freeze rates for the 2024/2025 financial year," she said.

"We also together voted to deliver a record budget of 205.5 million dollars of spending on infrastructure and core services of Council in the operational plan.

"The 2.7 million dollars that was due to be gained from a proposed 4.6% rate rise was not budgeted to increase services but rather would have gone to fund the increased costs of staff wages and higher electricity prices, effectively seeing our ratepayers paying more for nothing additional."

Ms Pinson said that the Port Macquarie-Hastings Council CEO and her staff have committed to making improvements and finding efficiencies in the operation of Council over the coming 12 months and will mitigate any shortfall through the General Fund whilst ensuring delivery remains at the 2023/2024 level.