Mayor column: with Cr John Harvie

Published on 23 April 2026

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The Country Mayors Association of NSW (CMA) have invited Murray River Council (MRC) to participate in a vital campaign advocating for the restoration of the Commonwealth Financial Assistance Grants to local governments. 

The campaign seeks to restore at least one percent of total Commonwealth taxation revenue for local councils under the rallying call: 'Invest in us so we can invest in them.'

The past several years has seen unprecedented operational cost increases with successive Australian Governments rolling back Financial Assistance Grants to half of the one percent they began at. 

To try to keep local NSW councils from going broke, the NSW government have provided councils with an opportunity to apply for a Special Rate Variation (Increase) to make up for the loss of the Financial Assistance Grants funding. In MRC’s case this amounts to $11million each year and we would have to permanently increase your rates by 60-70% over a three-year period to raise that amount of money. 

A few councils have made the decision to pursue a Special Rates Variation to remain financially sustainable. Your council has decided to fight the federal government and demand that they reinstate the funding back to 1% of federal revenues instead of being forced to increase our rates to make up for money the feds have stolen from you over the years.

This is the only fair pathway to ensure that councils can achieve financial sustainability. 

The ‘Invest in us so we can invest in them’ campaign is about giving communities a stronger voice. We’re encouraging residents to write to the Prime Minister, Anthony Albanese, and Treasurer, Jim Chalmers, calling for the return of funding that has been reduced over successive governments… funding that is vital to supporting local communities.

Implementing this policy change would cost approximately $3 billion per year and deliver benefits to all Australians, whether you own or rent your home. Within four to five years, councils would be in a more sustainable financial position, reducing reliance on targeted, competitive grant programs and delivering long-term savings for the Federal Government.

$3 billion is small change for the feds, when you consider halving the fuel excise for only three months will cost the budget $21 billion, or the fact that the government has committed to paying $0.60 billion to fund an NRL team in PNG.

 

 

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