Hi Everyone,
I wanted to share an exciting update with you – the campaign is really gaining momentum! 🚀
This week, I sent out a press release to the media to help amplify our message and bring more attention to the issue. Now, I need your help to keep this energy going.
Please take a moment to check out the press release below, and if you believe in the cause, share the petition or the words from the press release far and wide. Together, we can make our voices heard and show the true power of people coming together for change. Your support and engagement are what make this movement strong!
Thank you for being a part of this journey.
#PeoplePower #SpreadTheWord #CommunityImpact
Geelong Residents Concerned Over Significant Rate Hikes Amidst Cost-of-Living Crisis
As households across Geelong received their rates bills for the upcoming year this week, many are alarmed by the significant rate rises, calling for greater accountability. This comes despite the State Government’s rate cap, which was set in December last year at 2.75 percent for the 2024-25 financial year. The cap, based on the forecast Consumer Price Index (CPI) and advice from the Essential Services Commission (ESC), is intended to provide certainty for households during a time of economic uncertainty.
Minister for Local Government, Melissa Horne, emphasized the importance of the rate cap, stating in December: “Fair Go Rates mean households have certainty over their council rates, and in 2024-25, the increase will be kept to the forecast inflation rate. The rates cap has made a real difference to household budgets over the past eight years, and we’ll keep working to reduce costs for families.”
The recently approved Geelong City Council budget reveals that the council decided average residential rates were to increase by 4.5 percent, exceeding both the state’s rate cap and official inflation rate (CPI) at 3.5 percent. The Council’s budget appears to offset this by offering a 5 percent reduction in rates for commercial properties, likely leading to the overall 2.75 percent rate cap required by law. Though this still needs to be confirmed by Council.
The 2024 Geelong City Council budget also indicates that the average residential valuation decreased by 3.1 percent to $768, 093. In contrast, the average commercial/industrial valuation increased by 2.6 percent, to $1.18 million making the matter of large increases on households further indefensible.
Community advocate and Candidate for Barrabool Heights in the Geelong City Council election, Aleta Moriarty, noted that it is generally best practice not to increase household taxes during periods of economic decline as it can exacerbate economic contractions through a reduction in consumption.
“It looks like the council has taken the rate cap, intended to support struggling households, and passed this on in full as a rate cut to businesses, while excessively hiking residential rates. This is while they are acknowledging the average residential valuation has declined and the average commercial property value has increased,” Aleta said. “It’s quite unconscionable during a period where the majority of our community is experiencing financial stress. We should be looking at ways to help alleviate the pressure, not further sticking the boot in.” she said.
“It is hard to understand the justification for levying rates higher than the inflation (3.5%) on households that are already significantly struggling,” Aleta said. “There needs to be more transparency around how these decisions were made, particularly given the cap was introduced to give more certainty to households and alleviate cost of living pressures for families.”
Moriarty also argued that this approach flies in the face of basic economics.
“The people who made these decisions might think that giving a cut to businesses instead of households will boost economic development, but that’s not how an economy works. What we will likely see if a negative economic multiplier effect. Consumption across Geelong will likely contract as households now have hundreds, some up to a thousand dollars less in their budgets, which they would likely have spent on local businesses, particularly with Christmas around the corner,” Aleta explained.
There are a number of questions that council needs to answer to meet the fairness test: why have residential rates gone up, on average, more than inflation? Why has the council hiked residential rates substantially above the state recommendation and dropped them for businesses, despite average residential valuations being down and commercial entity valuations increasing? Is the council passing on a rate saving intended for households to businesses to meet the 2.75 percent cap? Finally, how does the council justify a 10 percent interest charge, much more onerous that the official cash rate or commercial rates, on ratepayers who are late in paying given the level of financial stress households are already under?
Responding to growing concerns from the community, Aleta Moriarty started a petition demanding more transparency around how these decisions were made. The petition has already garnered almost 270 signatories and continues to grow, reflecting widespread dissatisfaction among Geelong residents.
The Geelong Council’s budget for 2024-25 highlights that council rates constitute 47.8% of local government revenue. While the council faces rising costs due to inflationary pressures, the rate cap aligned with inflation was intended to address these challenges.
“I accept that rates are an important way to fund important community services. What I am asking for is that the application of rates is fair, which I don’t believe they have been in this instance,” Aleta said. “People are in financial distress because of this cost-of-living crisis – they are skipping meals, not using their heaters, not going to the doctor to alleviate financial pressure – we should be helping them - and we certainly should not be increasing household rates higher than the inflation rate. Honesty, it gives me the ick.”
Aleta drew a parallel between council rate hikes and price increases at supermarkets, stating, “When a supermarket raises prices higher than inflation, we view it as opportunistic gouging during this cost-of-living crisis. We need the same discipline in our public financial management to ensure rate-paying households aren’t burdened with excessive costs. It needs to be fair.”
In a call to action, Aleta urged residents to take a stand. “I know households are feeling very disempowered and battered at the moment, but the election is around the corner. If people are unhappy with this, now is your moment to exert your people power. Vote with your feet.”
If this is of concern, people can sign the petition here:
About Aleta Moriarty:
Aleta Moriarty is deeply connected to Geelong—her hometown for three generations. Having raised her family in Belmont, she feels a strong bond with this community, which is why she’s running for Geelong City Council.
"Geelong deserves better. It’s time for change, and with your support, we can build a brighter future for our community,” Moriarty emphasized.
With more than 20 years professional experience, Aleta has made a difference with some of the world’s most influential organizations, including the United Nations and World Bank. Throughout her career, she has demonstrated a deep commitment to making a tangible difference, including spearheading global poverty alleviation initiatives and successfully completing major infrastructure projects internationally. She was previously CEO of one of Victoria’s largest arts events, the Human Rights Arts and Film Festival, where she led the organization to record attendance and revenue.
As a successful business owner and Director of the Centre for Sustainability, Aleta works to enhance environmental sustainability and human rights outcomes across Geelong and Australia. She has a robust background in business management, having previously worked for some of Australia’s leading companies, including Cotton On Group as their Sustainability Manager. In her spare time, she volunteers across the community, including on the Geelong City Council’s Disability Advisory Committee, improving disability inclusion across the Geelong area. Aleta holds a Master’s degree in International Relations from the University of Cambridge.
You can follow her here - https://bit.ly/3Xb0SV6
Authorised by Aleta Moriarty, PO Box 182 Belmont 3216