IPSWICH ratepayers could be exposed to a multi-million-dollar disaster funding shortfall under proposed Federal Government changes that Queensland councils warn could leave communities billions of dollars worse off when the next natural disaster strikes.
The Local Government Association of Queensland (LGAQ) has detailed its concerns in a 67-page submission to the National Emergency Management Agency.
Modelling across all 77 Queensland local government areas indicates that if the proposed changes had been in place over the past eight years, Ipswich City Council’s funding shortfall would have been $32,671,335 – the eighth-highest council gap identified under the proposed arrangements.
With 91,000 rateable properties in Ipswich, this would have meant an additional charge of $351.65 per property to cover the shortfall.
Ipswich Mayor Teresa Harding said she was deeply concerned about the Federal Government’s proposed changes to Disaster Recovery Funding Arrangements.
“These changes would significantly reduce the Commonwealth’s contribution to disaster recovery funding from an average of around 64 per cent, and up to 75 per cent in some categories, to just 50 per cent,” she said.
The Mayor said the issue was compounded by the disparity in revenue-raising capacity between Australia’s three levels of government.
“The Australian Government receives around 81 cents for every tax dollar collected in Australia, while the Queensland Government receives around 16 cents and councils just 3 cents in the dollar,” she said.
“So, when disasters hit, we need the Australian Government to step up and play their part.”
Federal Member for Blair Shayne Neumann rejected Council’s claims.
“The reality is that based on the Federal Government’s proposed changes to Disaster Recovery Funding Arrangements, no council would be worse off,” Mr Neumann said.
“I can assure the Council and Ipswich residents that we will continue to stand by them after every natural disaster, as we always have, and these proposals would not result in reduced disaster recovery funding.
“Based on historical data, the Federal Government has contributed an average of 64 per cent to Queensland under the DRFA, and our state would continue to get the largest share of disaster funding.”
LGAQ President Matt Burnett said councils across the State remained united in their opposition to the proposal.
“Councils have been loud and clear – ditch this dud deal for Queensland communities,” he said.
Ipswich City Council unanimously backed a joint Notice of Motion from Mayor Harding and Division 2 Councillor Paul Tully, as Council’s LGAQ delegates, earlier in the year opposing the proposed changes.
The funding fight carries particular significance for Ipswich, a city with a long and costly history of natural disasters.
