Glen Innes Severn Council will consult the community on a proposed special rate variation (SRV) that could see rates increase by up to 68.5 per cent over three years, as part of its effort to address long-term financial sustainability.
At its Ordinary Meeting held in April, councillors endorsed a number of strategies and plans under the Shaping Tomorrow Community Engagement Program. The program will gauge ratepayer sentiment on future planning priorities and potential SRV options. The community consultation period will run until 6 June 2025, with a final decision to be made at the Council’s meeting on 19 June.
The move follows a NSW Auditor-General’s report that found Glen Innes Severn and Tamworth Regional were among 16 councils that did not have sufficient funds to operate for more than three months, based on 2022–23 and 2023–24 audits.
Mayor Margot Davis said that many councils across NSW are facing similar pressures, due to factors such as rising inflation, increased cost of wages, scarcity of contractors and materials, reduced grants, and cost-shifting from state and federal governments.
“It’s a situation afflicting councils right around NSW, with close to 40 having applied for an SRV in the past four years. This is a long-term problem that needs a long-term solution. Our General Fund has been in deficit since 2021 so it’s well overdue to address this challenge,” Cr Davis said.
“We know this is a difficult conversation—especially at a time when the rising cost of living is placing real pressure on households. No one wants to see rates increase. However, achieving long-term financial sustainability is vital if we are to continue maintaining our infrastructure, delivering valued services, and planning for a stronger future,” she said.
At the meeting, General Manager Bernard Smith said, “This is the most important plan Council will consider for this term,” and noted that Council must ensure it is operating as effectively and efficiently as possible, while also exploring all available revenue options.
Council is now asking the community for feedback on the following SRV options:
- Managed Decline (rate increase limited to just the yearly rate peg): The cumulative rate peg increase is estimated at 9.5% over three years as follows, 3.5% rate peg for 2026/27 and forecasted rate pegs of 3.0% for 2027/28 and 2028/29. Council will implement the Service Review Program and the Review of Waste (domestic and non-domestic) pricing, Water and Sewer Costs and Pricing Strategy. This improves the General Fund’s operations by reducing the deficit from $6.1 million to $4.7M. These strategies alone will not fully resolve operating deficits or a decline in cash reserves.
- Sustainability Scenario: A cumulative permanent SRV (including the rate peg) of 55.49% applied over two years as follows; 28.5% (rate peg + SRV) in 2026/27 and 21% (rate peg + SRV) in 2027/28.
- Growth and Prosperity Scenario: A 61.75% cumulative permanent SRV (including the rate peg) over two years applied as follows; 31.5% (rate peg + SRV) in 2026/27 and 23% (rate peg + SRV) in 2027/28.
- Growth and Prosperity Scenario: A 68.50% cumulative permanent SRV (including the rate peg) over three years applied as follows; 26.5% (rate peg + SRV) in 2026/27, 20.0% (rate peg + SRV) in 2027/28 and 11.0% in 2028/29 (rate peg + SRV). With this increase, Council can have a modest surplus to deliver a Growth and Prosperity Program that delivers health, housing, parklands and township improvements across the region and importantly, plans for economic growth into the future. This is Council’s preferred scenario.
A bloc of three councillors — Troy Arandale, David Scott, and Andrew Parsons — had proposed an alternative plan with a lower rate rise of 30 per cent. Cr Arandale said a number of ratepayers had contacted him, concerned and scared by the proposed increases. However, Council General Manager Bernard Smith said preparing new scenarios would take significant time and documentation, and the alternative proposal was ultimately voted down.
Council is now inviting the community to have their say through several channels, including online, hard copy submissions, and public information sessions.
In-person community information sessions will be held at the following locations:
- Emmaville War Memorial Hall: 5th May, 5:00pm – 7:00pm
- Glen Innes Town Hall: 14th May, 5:00pm – 7:00pm
- Deepwater School of Arts Hall: 27th May, 5:00pm – 7:00pm
Virtual sessions via Microsoft Teams will also be available on:
- 6th May, 5:30pm – 7:00pm
- 15th May, 5:30pm – 7:00pm
- 28th May, 5:30pm – 7:00pm
Hard copies of the draft documents and SRV survey will be available at Council Administration Offices at Town Hall, the Glen Innes Severn Public & TAFE Library, and Australia Post outlets at Emmaville and Deepwater.
Community members can also make submissions or access more information online at: https://haveyoursay.gisc.nsw.gov.au/shaping-tomorrow.
At the conclusion of the consultation period, Council will review all feedback before deciding whether to proceed with an SRV application to the NSW Independent Pricing and Regulatory Tribunal (IPART) in February 2026. Ratepayers will then have another opportunity to comment directly to IPART during its formal review process.
