Local farmers are outraged farm rates will increase yet again next financial year according to the East Gippsland Shire Council (EGSC) draft budget released last week.

On page 34 of the draft annual budget for 2019/2020, point 4.1.1(c) states the estimated total amount to be raised by farm land, compared with the previous financial year, will increase 12.09 per cent, or $547,000.

Orbost dairy farmer, Chris Nixon, has labelled it “nothing more than a cash grab” when council will make a $13 million surplus and “highlights its insensitivity to what’s really going on in the wider community”.

“This flies in the face of all the comments council has been making about looking after its farmers,” Mr Nixon said.

“Farmers and the wider community are suffering from massive drops in income, we are going into our third failed autumn.

“This makes a mockery of the council’s care for the community and it’s a play on words to say they’re staying within the rate cap.

“Just because values have gone up it doesn’t mean they can have a cash grab, it shows zero care when council has the ability to vary the rate but has made no attempt to. The (draft) budget’s a sham.”

Total rates and charges for 2019/2020 raised will be $58.629 million and the draft Budget 2019-20 proposes a 2.5 per cent increase in rates and charges, in line with the Victorian Government’s Fair Go Rates System.

Alongside the draft Revised Council Plan 2017-2021, council has released the draft Budget 2019/20 for public feedback.

“The Council Plan guides the development of the annual budget,” EGSC mayor, Cr Natalie O’Connell, said.

“In developing the 2019/20 budget, council has acknowledged that businesses, farm enterprises and family are being adversely affected by an extended dry period and propose committing $500,000 to respond to affected communities without the constraints of external funding criteria.”

The draft budget forecasts an operating surplus of $13.868 million after raising rates and charges of $58.629 million and capital revenue of $9.234 million. Excluding non-recurring capital funding, an adjusted underlying operating surplus of $3.909 million is forecast for 2019-20.

Jarrahmond dairy farmer, Dennis Reynolds, echoed Mr Nixon’s sentiments.

“Obviously council’s not listening to us,” Mr Reynolds said.

“It shouldn’t be happening, they’re clearly out of touch. I’m not happy at all and I’ll be making a submission.”

Local land and business owner, John Dahlsen, said he found the increase “absolutely extraordinary”.

“How can they treat farmers like this?” Mr Dahlsen said.

“Farmers simply can’t afford it. It’s not just the financial ruin… it’s the psychological ruin. It shows total insensitivity and it’s ridiculous in the current climate.

“All rate payers would be absolutely stunned.”

The community is encouraged to have a say on the draft Revised Council Plan and draft Budget. The documents, and information on how to make a submission, are available from council’s engagement portal, its Customer Service Centres and Outreach Centres.

Written submissions will be accepted until noon, Friday, May 10.

June 4, 1.30pm, has been designated to hear submissions with the proposed formal adoption at the council meeting on Tuesday, June 25 at 1pm.