External influences will impact services

Cardinia Shire Council says external influences it has no control over are likely to significantly impact services it can deliver in 2017-2018.

In an executive summary accompanying its draft budget for next financial year council lists a “lower rate environment” – rate capping mandated by the State government that limits increases to two per cent for the year – and cost shifting as major pressures.

Cost shifting is where funds received by council to provide services on behalf of state and federal governments do not increase in line with actual costs.

It cites maternal and child health as a significant area where payments do not reflect the real costs of the services provided.

Library services, community based social services and maintenance costs on assets it doesn’t own are other areas presenting cost shifting pressures.

Cardinia council’s report also states that local government across Australia is entrusted with maintaining 30 per cent of public assets such as roads, bridges, parks, footpaths and public buildings despite raising only three per cent of the total tax raised nationally.

Council says population growth will continue to place significant stress on resources at a time when the community’s needs and expectations are rising.

It describes the budget for the year as “financially responsible” given the challenges.

Cardinia council has also urged the State Government to continue its Growing Suburbs Fund that recognises unique challenges facing the growing suburbs of Melbourne.

Over recent years the shire has received $9.59 million from the fund for significant capital works it would not otherwise been able to do.