$100M RATE BILL

GOLD Coast homeowners owe more than $100 million in rates as the financial hardships of COVID-19 take a toll.

Council sent letters to 141 owners whose rates had not been paid for more than three years.

The worst payers were in Division 6 – covering Southport and Ashmore – where almost $484,000 was outstanding for three years or more.

A council report revealed in the September quarter, outstanding rates had blown out to $130m.

THE REMOVAL OF THE JOBKEEPER SUBSIDY IN MARCH 2021 OR REDUCTIONS IN JOBKEEPER AND THE JOBSEEKER BENEFIT WOULD BE DETRIMENTAL TO THE POTENTIAL REDUCTION IN RATE, WATER AND SUNDRY DEBTS

GOLD Coast homeowners owe more than $100 million in rates as the financial hardships of COVID-19 take a toll.

Council sent letters out to 141 owners whose rates had not been paid for more than three years. The worst payers were in Division 6 – covering Southport and Ashmore – where almost $484,000 was outstanding for three years of more.

Other divisions with high amounts of overdue rates included Carrara (Division 8, $193,822), Surfers Paradise and Broadbeach (Division 10, $185,463), Coombabah and Biggera Waters (Division 4, $181,134) and Nerang and Pacific Pines (Division 5, $143,547).

Councillors at a closed session considered an overdue rates report which confirmed council stalled its rate recovery plans in March 2020.

The value of payment arrangements between residents and council had increased by 35 per cent between March and June last year, the report said.

In the September quarter, outstanding rates had blown out to almost $130m, up from about $123m for the previous year.

Unpaid rates to southeast Queensland councils has reached almost $200m with the Gold Coast the worst performer.

A spokesman said the city had $106m outstanding on rate and water accounts as of January 15.

“However, the amount of $60 million is overdue. Overdue rates are defined as those past their respective due date and not subject to a council-approved repayment scheme,” the spokesman said.

COUNCIL REPORT

Council officers had predicted a reduction in overdue rates if a second wave of COVID-19 restrictions failed to occur.

“The removal of the JobKeeper subsidy in March 2021 or reductions in JobKeeper and the JobSeeker benefit would be detrimental to the potential reduction in rate, water and sundry debts,” the council report said.

A council spokesman said the city would provide support to ratepayers experiencing financial hardship by allowing them to enter an approved repayment scheme.

“This support is not expected to impact on service levels or capital works projects already in the pipeline,” the spokesman said.

Of the 141 owners of properties with three years of outstanding debts, at least 48 remain “active” with the remainder fully paid and the sale of land action being ceased.

Asked about the impact on council finances, the spokesman said: “The increase rate arrears is not expected to have a material impact upon council’s budget. Council is not considering reducing frontline services or capital works in its 2021-22.”