NSW councils say last year’s budget stimulus helped, but more is needed. 

Stimulus funding from last November’s State Budget has helped NSW councils’ efforts to drive a locally-led economic recovery, according to peak body Local Government NSW (LGNSW). 

But the lobby wants the NSW Government to continue its support through the “introduction of much-needed rate reform”.

LGNSW President Linda Scott says a recent half-yearly review of the 2020-21 State Budget showed the value of the infrastructure and community funding.

“I am pleased LGNSW was able to help win a range of stimulus funding from the Government in the Budget,” Cr Scott said.

“But stimulus funding must be maintained and even increased in the 2021-22 Budget to ensure the trend continues in what continues to be a time of uncertainty.

“And beyond that, rate reform is desperately needed. Stimulus spending comes and goes, but it is rates that enable councils to provide the infrastructure and services their communities need.”

LGNSW had called on the Government to revitalise how rates were determined through its Local Government Amendment (Rates) Bill introduced into the NSW Parliament this month.

The lobby claims this will “ensure councils could continue to deliver core infrastructure and services effectively beyond special State Budget project grants”.

“According to the Government’s own NSW Productivity Commission, cumulative negative impacts of over 40 years of rate pegging include an estimated $15 billion in rate revenue forgone when compared to Victoria,” Cr Scott said.

“We have called on government to end this antiquated method of determining rates, as well as a range of other reforms such as allowing councils to recover Emergency Services Levy independent of rates and overhauling rate exemption rules.”