Farmers face rate hikes

Land valuations spike, biting into running costs

SOME rural property owners are in for a shock with land valuations forcing up their rates by as much as 22 per cent.

The council in its 2020-21 budget announced on Monday trumpeted a rates freeze, and while some smaller property owners will benefit from a $64 rebate others are paying the price for rural acreage.

A council source told the Bulletin: “There are certain categories which cover acreage areas where the rate rise is higher. If it’s where land values have gone up, the rates will go up.”

The Bulletin understands in Division 9, which includes Mudgeeraba and west to Numinbah, the average rates rise could be as high as 22 per cent given a 150 per cent increase in land valuations on large rural lots.

Division 14, which includes the Currumbin Valley, will see some rates for property owners on rural land increase by up to 26 per cent.

But further north the city land valuations have not increased, which overall explains the small average increase in rates across the Coast.

A Gilston farmer, who asked not to be named, was bracing for a massive rate increase after the unimproved value of his farm land was judged to increase from $280,000 to $1.2 million.

Fifth generations of farmers looking after an estimated hundred head of cattle admit it will be impossible on annual returns of $50,000 to undertake improvements to their property like fencing and weeding.

“In Gilston here we have just had a 20 hectare lot sell for $2.5 million,” the farmer said.

“It’s what slipped the noose around. It’s distorted the values.

“There has to be some sort of dispensation or allowance for us genuine farmers. The bureaucrats and politicians only see dollar signs.”

Hinterland-based councillor Glenn Tozer has flagged a proposed rural primary producers stimulus package where farmers could access “a pool amount of $50,000”.

The funding would be for property owners or businesses in the rural zone who are primary producers for tax purposes and can explain a detrimental impact to their business as a result of COVID-19.

Grants of up to $2000 per property can be provided for purchase of farm equipment, accounting costs, building and fence improvements, animal and weed pest management along with bushfire management.

GILSTON FARMER