By AIDAN KNIGHT

 

IN the wake of the extensive protesting among CFA volunteers and farming communities across Victoria, the state government has walked back on it’s plan to charge farmers a more expensive emergency services levy since it’s implementation on May 16.

Farmers have been given a 12-month reprieve, with the levy staying at a rate of 28.7 cents per $1000 land value, down from the $71.8c signed off previously.

In the space of a fortnight, state premier Jacinta Allan announced the rollout of the Emergency Services and Volunteers Fund Levy (ESVF), announced grants of up to $5000 for farmers across the state to offset those affected by drought, and announced a temporary backdown on the bill for all farmers, who will also receive a further $37.7 million in the budget.

Prior to the reduction announcement, Latrobe City Council scheduled an emergency meeting last Monday (June 2), specifically to address how to tackle the controversial bill.

Local councils had been tasked with collecting the ESVF on behalf of the state government, to much objection from council and ratepayers alike.

All 79 councils across the state made formal grievance to the levy, in support of the physical show of protest like what was seen in Morwell on May 20 – one of many held across Victoria that week.

Councils seemingly felt universally displeased about being forced to collect this controversial amount from ratepayers on behalf of the state government.

Stuck between a rock a hard place of the people they serve and the body that funds them, councils combined expressions of unease paid off – at least for the next 12 months.

The ESVF was announced as part of the state government’s Drought Package, and it was announced upon implementation that 24 councils would have farmers pay a reduced rate to the levy when time came to cough up on July 1.

But the farmers themselves argued that drought has adverse effects on producers all across Victoria, not just the ones selected important enough by the state government.

Many CFA volunteers are farmers themselves, which only added to the objection.

This rate reduction has now been extended to apply to all primary production properties, capped to the same amount paid in the 2024/25 financial year under the former Fire Services Property Levy.

The Victorian Famers Federation says the government’s response is a welcome one, but still leaves room for more to be desired.

“Some are facing the worst drought conditions in living memory” VFF President Brett Hosking said.

“It’s a step in the right direction but plenty more remains to be done.

“Pausing the levy increase for 12 months is the right call but it doesn’t change the underlying problem: this levy is an unfair cost shift onto farmers”.

The tax will still be applied to all other Victorians, and the temporary capping for primary producers will be lifted after 12 months, in a move that Gippsland South Nationals MP Danny O’Brien has also summed up as unfair.

“Farmers get a one-year stay of execution but they shouldn’t be facing this massive tax slug in the first place,” he said.

“The only way to fix this issue is to scrap the tax altogether.”

Meanwhile, the Premier justified the bill by focusing on who it supports, rather than who it effects.

Stating “the purpose of this levy is to support the emergency services… Every dollar collected through this levy is going to go back into those emergency services”.

The bill comes with a catch itself – it is limited to a primary place of residence. It is not uncommon practice for farmers to manage multiple parcels of land to diversify and enhance operational efficiency.

This has prompted further pressure from stakeholders to have the levy revaluated or still scrapped altogether, hoping for a more equitable long-term funding model for Victoria’s emergency services that isn’t at the expense of primary producers.

 

LATROBE City Council met on Monday (June 2) for an Unscheduled meeting.

The meeting, held at Kernot Hall, was called by Mayor Dale Harriman with intention to move the motion that council endorses him writing to the Premier of Victoria to abandon the Emergency Services and Volunteers Fund (EVSF) in it’s current form, “given the significant financial impact it will have on Latrobe City community”.

The proposed motion also calls for the release of both the consultation plan the state government was moving forward in order to formulate the EVSF and the total sum they will receive through the levy that will actually be funnelled back into Latrobe City.

Cr Harriman also asks what arrangements are being put in place for those unable to make the payments, provided the current economic situation many people are faced with in the climate of a cost-of-living crisis.

This would then inform council adequately to be able to prepare a report for a further meeting at which there would finally be a concrete answer on what happens if Latrobe City Council takes the stance to not collect the ESVF from it’s constituents.

Tyers Ward Councillor, Darren Howe joined the meeting virtually, while apologies were heard from councillors Joanne Campbell (Jeeralang Ward), Steph Morgan (Yallourn Ward) and Morwell River Ward’s Tracie Lund (leave of absence).

Latrobe City Chief Executive, Steve Piasente returned from leave.

Trafalgar’s Rich Nicholson spoke at the meeting, laying out his rationale.

“It’s not a volunteer fund but a government tax in disguise,” he said.

“The farmers are feeling the greatest pain. It’s been designed to put you as councillors as modern debt collectors, and is a great opportunity to see where you as councillors stand.

“We have seen too much of the fruit of what happened with the timber industry. Stand with the farmers and don’t be just a tax collector for the state government.

“A stand for farmers is a stand for our community.”

Budgeree Ward Councillor Leanne Potter moved, Boola Boola’s David Barnes seconded, Moe’s Adele Pugsley amendment to Point 3 (the 12 months time frame) which was then seconded by Newborough Ward’s Sharon Gibson.

Both Pugsley (of a farming background) and Gibson (not of) got emotional when speaking.

The unanimous motion was voted to the amended motion.

“This levy is an unfair levy on all our residents. The temporary relief that was announced late last week is not enough,” Cr Pugsley said.

“The whole levy is a real burden on all our residents, I really don’t see it doing any good.”

“Lets get this right, this is not a levy this is a grab for a cash. In the first three days, 17 farmers have taken their lives. The state government must abandon this tax. We cannot afford it financially, and we cannot afford the mental toll,” Cr Gibson added.

“I know personally from the Moe Fire Brigade, they were made to rotate it, and the truck they received was worse than the one they previously had.”
Nobody spoke against the motion.

“It’s good to see the Victorian government has actually listened to make their changes late last week, that’s really encouraging, but this is only a pause,” Cr Potter said.

“It’s still hanging over our head. Why is the burden falling particularly onto rural Victoria?

“The timing couldn’t be worse because of the worst drought in living memory.

“We need a levy that is fair and equitable, doesn’t treat our emergency services as something that will be funded by those who are less fortunate”.

Mayor Harriman likened it to the French republic overthrowing the government during the revolution.

“Its great to see this fight so being fought by local councils in rural Victoria, much like it was in France all those years ago,” he said.

“It attacks us where we live. It is not a good tax. And it’s supposed to be a levy, but when it goes into general revenue it is classified as a tax.”