Central Road Drysdale Residents not supported by VCAT

VCAT has handed down their decision on the Central Road retirement village drainage case.

The residents lost. Geelong Council's Special charge has been confirmed. The residents must pay the special charge for drainage.

We put up a valiant fight

The case took a whole day and it was very tiring. The amount of preparation that goes into fighting a case like this is huge.

We had a fair hearing. Our case was heard by Judge MF Macnamara, Vice President. He dismissed both our applications under Section 185 and 185AA of the Local Government Act 1989.

The Judge was sympathetic to our grounds for a hearing. However he said

"... success by an applicant for review requires demonstration that no benefit at all will accrue from the relevant work.  It is not sufficient to demonstrate for instance that the special benefit to accrue does not really justify the size of the rate or charge levied on the ratepayer...

I am inclined to think that viewed from the point of view of either of these ratepayers, the benefit held out by these works is simply not worth what they are being charged.  Nevertheless, that fact in itself, if it be accepted as a fact, is not sufficient to make out the relevant ground.  To the extent that these applications are based on this ground for review the applications must fail."

$77,935 and $73,352 is a lot of money for pensioners to pay.

What makes it worse is that even though Geelong Council has enabled the deferment of this payment, it comes at a cost. Specifically 5% compounding interest for the first five years and then subsequently according to present interest rates at a rate of between 9 - 10% thereafter.

That translates to a huge sum of money if payment is deferred for a reasonable amount of time.

This is payment for a drain these residents will not use in their life time.

The issue however, is that special benefit accrues to the land not to the people resident on the land. The land at some stage will be subdivided but probably not for a long period of time. In the mean time any residential development work that involves, drainage and other infrastructure development that, perceivably the land may benefit from, in the future, even before it has been subdivided, to which Geelong Council is a party to, will result in additional charges to the relevant landholders.

So if you live on a road which is unmade, has little drainage and no footpaths - beware! At some stage in the future, Geelong Council will come knocking on your door with their hands out saying you will pay and you will pay in the thousands for this infrastructure whether you personally want it, whether you will use it, or not. It is not about you, it is about the land, and it is ultimately what this Council wants to do with the land. The fact that you own it and have your own wants and needs and no capacity to pay is immaterial.