Snowy Valleys Council in New South Wales is preparing to vote on potential de-amalgamation.
The move follows a report from the Local Government Boundaries Commission which examined the council’s de-amalgamation proposal, including its financial sustainability plan, long-term strategic vision, and the capacity of the new councils to deliver services.
After its deliberations, the commission recommended that the Local Government Minister Ron Hoenig support the proposal. Having accepted the recommendation, Mr Hoenig is now consulting with the NSW Electoral Commissioner to allow Snowy Valleys Council – located in the South West Slopes region of the state – to hold a constitutional referendum and let its 15,000 residents vote on whether they want the demerger to proceed. The majority of the LGA must support the vote for the demerger to go ahead.
Mr Hoenig recently met with Snowy Valleys Council Mayor Cr Julia Ham, the Member for Wagga Wagga Dr Joe McGirr MP and the Member for Albury Justin Clancy MP, to discuss the next step in the demerger process.
Snowy Valleys Council was formed in May 2016 from the merger of Tumut Shire and Tumbarumba Shire councils.
The Boundaries Commission report says rates in a restored Tumut Shire would increase by almost 15 per cent over seven years and between 45-65 per cent in Tumbarumba over the same period. In addition, there would be a range of increases to various fees and charges including water and sewer, leases and licenses, commercial fees and drainage.
As part of the referendum process, Mr Hoenig insisted residents be made aware that they will be facing rate increases and other costs to support the demerged councils. “If there is majority support in the referendum and residents are prepared to accept the financial costs, then the council can progress with the transition work required to demerge,” Mr Hoenig said. But if the referendum is rejected, “the community and the council must respect that outcome and get on with it”.
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