Queanbeyan Palerang Regional Council will force the sale of dozens of properties to recoup unpaid rates of more than a million dollars, and there will be more to come in future years as it tries to stay on top of its revenue collection.
The council has published a list of 38 properties from across the shire whose owners have not paid rates for more than five years.
The debts range from almost $7000 to $160,000.
The properties – 26 vacant blocks of land, six houses, three units, two other structures and one business – will go under the hammer on 2 May.
The sales, the first since the merger in 2016, could be seen along with rates increases as a tougher response to QPRC’s parlous financial situation, but General Manager Rebecca Ryan said it was more like housekeeping after years in which staff disruption, a rates freeze and COVID preoccupied the council’s time.
“It’s a matter that we should be doing, all councils, as a regular process, not letting their [overdue] rates get out to more than five years,” Ms Ryan said.
She said the public notice had already had a response, with one owner paying the bill and two others preparing to sell their properties privately.
Mr Ryan said there should be more owners who come forward to either settle their bills or make payment arrangements.
But it won’t be another nine years before the next forced sale, with another expected next year or the one after.
The council had made repeated attempts to contact overdue ratepayers to arrange payment, but Ms Ryan said many were unknown, and some could be deceased or living overseas.
It was hoped the mandatory public notice would flush more out or alert estate or company stakeholders.
Proceeds from the sales beyond the unpaid debt will be held in trust and transferred to the owner or their estate if they come forward.
Ms Ryan said the sales were a last resort that no general manager wanted to do.
She hoped that the publicity would also prompt people struggling to pay their rates to contact the council and arrange a payment plan.
“We have over 2000 residents or ratepayers on payment plans or receiving assistance under our financial assistance policy,” Ms Ryan said.
“Council is very aware that people come into financial difficulty over time for whatever reason, and we do have a very generous financial hardship policy, which can include interest-free periods of up to two years.
“That’s why we encourage people to contact councils sooner rather than later.”
The council employs an independent service called Recouper to advise struggling ratepayers of their options.
“Our council wants to be fair and wants to be very empathetic towards people that are in financial trouble, but we also need to make sure that we do collect our rates,” Ms Ryan said.
In July 2023, the council raised rates 18 per cent a year for three years after recording a deficit of $1.14 million in 2022-23, and an independent report found that without intervention, the average operating deficit over 10 years would be $20.6 million a year.
The auction will take place at 10 am on Friday, 2 May, at the Queanbeyan Bicentennial Hall, 257 Crawford Street. It will be conducted by Ian McNamee and Partners.
Original Article published by Ian Bushnell on Riotact.