Benalla Rent Hike 550%

[turboplanner]

Category: | Herald Sun

 

The increase will be from 75 cents per square meter to $5.00 per square metres, and on top of this, members and private hangar owners will be slugged another $2.00 per square metre development fee, 10% GST, and a Fire Service Levy.

 

The Council is saying this is reasonal since the rent hasn't been reviewed for a long time.

 

Benalla's development is moving north, and the airport is no longer out in the paddocks as it used to be

 

Hopefully you can download the Herald Sun link for more of the story, but one Council comments seems to indicate to me that the Council has decided to charge "what the market will bear"

 

We have a general problem with Councils, particularly with those which have attempted to operate on "business" principles.

 

In recent years they've had a tendency to value their assets at current values; in this case, not farm land bought many decades ago for what today would be peanuts.

 

Once these assets , community assets, are revalued, and "business cost recovery" is applied, it often is no longer feasible for the sporting club, historical society, and so on to rent the space, and they disintegrate, with a detrimental effect on the town.

 

I've driven past Benalla airfield thousands of times on business, and was once involved in a glider forced landing when our tow rope broke, and this airfield is an asset which should never be allowed to deteriorate to the point where it becomes "developer fodder" and the Council is manipulated into rezoning the land industrial or residential.

 

I had a look at the airfield's history, and sure enough, the Council never paid millions of dollars for the site and buildings, and in reality only has the airport's maintenance to budget for, yet take a look at this fascinating series of financial injections into the community:

 

14 July 1976

 

Army Huts ownership trasferred to Council by Department of Admin. Services

 

No mention of any payment.

 

3 July 1992

 

Benalla Aerodrome became a Council asset under a deed between the Council and Commonwealth of Australia.

 

No mention of a payment for this asset.

 

12 January 2012

 

$210,000 State funding to Council for airport drainage, electrical and apron upgrades/improvements.

 

2013

 

Council received $99,000.00 funding for airport Master Plan

 

Council reports the Gliding Club Annual Spend with local businesses at $850,000 ( make a note of this because the shopping centre is struggling badly with empty shops and closed businesses - I needed a wireless computer mouse for a meeting presentation, and found previous computer businesses had closed, and I would have needed to go to Wangaratta....if I'd had the time before the meeting)

 

2014

 

Council applies for $20 million Regional Aviation Fund

 

2015

 

Council applies for $500,000 State Funding

 

7 December 2016

 

$715,252 Funding Grant from Federal Government to Council.

 

2015/2016

 

Council estimate World Glding Championships will inject $7 - $9 million into the local economy.

 

1 January 2016

 

Council received $500,000 funding from State Government

 

Source: Aerodrome History | Gliding Club of Victoria

 

This current action by the Council, could be devastating to the Gliding operations.

 

To me, this is stunning information, and I will be following it up within the State Government system to analyse the history of the flow of assets and taxpayer funds - you've all paid something out of your taxes to this Council at the Federal level, and Victorians have provided the monay that the State has poured in, and it warrants an assessment of how the Council arrived at these new charges.

 

 

[fly_tornado]

Councils use that commonwealth money to develop the airport on other projects and justify the rise in rents on the amount of money they have spent.

 

 

[robinsm]

seems to me to be about standard for most councils that want to get short term dollars instead of people and activity into an area. Either that, or sell it to make a short term gain at the expense of the using public. People don't matter any more, the country is being run by greed and accountants hell bent on making a profit at any cost.

 

 

[turboplanner]

Councils use that commonwealth money to develop the airport on other projects and justify the rise in rents on the amount of money they have spent.

If that is true, then that would be fraud, and there would be consequences for any Council Officers/Councillors involved.

 

 

[fly_tornado]

corruption in local government is wide spread, the problem with corruption in Australia is its blatant and guys like you TP seem to think that there are consequences and the system will protect them.

 

 

[turboplanner]

corruption in local government is wide spread, the problem with corruption in Australia is its blatant and guys like you TP seem to think that there are consequences and the system will protect them.

Corruption only gets going when you do nothing about it. I had an experience with a council which decided to cancel its Mobile Library service, citing only 567 visits per year. On checking with the State Government department involved, I found the Council was claiming payments based on 16,000 visits. The result was terminal for the Director involved. If you sit back and just commentate, then sure, the corruption just goes on. (NOTE: I am not saying there are any issues of this nature with Benalla)

 

 

[turboplanner]

People don't matter any more, the country is being run by greed and accountants hell bent on making a profit at any cost.

In this area, they are not required to make a profit, just charge ratepayers to cover their costs; but their cost controls leave a lot to be desired. Take a look some time at the Annual Grants handed out by your Council; the money you are donating directly to people and groups!

 

 

[cscotthendry]

I think the problem is that developers see large tracts of cleared flat land and see dollar signs. Those same developers donate *generously* to councillors and so get favorable treatment in many cases. Finally, councils see their small airports as large costs, and they think in terms of dollars only, so the outcomes are fairly predictable.

 

I would like to shout out to those councils (like the council that oversees Gayndah) that not only recognise the traffic and income that their airport brings to town, but are willing to develop and improve their airport rather than trying to flog it off to the carpet baggers.

 

 

[fly_tornado]

Corruption only gets going when you do nothing about it. I had an experience with a council which decided to cancel its Mobile Library service, citing only 567 visits per year. On checking with the State Government department involved, I found the Council was claiming payments based on 16,000 visits. The result was terminal for the Director involved. If you sit back and just commentate, then sure, the corruption just goes on. (NOTE: I am not saying there are any issues of this nature with Benalla)

these sorts of prosecutions tend to be political, prosecute someone for a small misdemeanour to keep them from blowing the whistle on a larger one, but not a big enough crime to stop them getting another job.

 

Most of the NSW ICAC prosecutions are involving local government. In QLD, the CCC only investigates 2% of complaints and now the mayor of Ipswich is facing some serious jail time, they've sacked a bunch of management.

 

The gold coast council was on four corners a few weeks ago with some serious allegations.

 

 

[Old Koreelah]

I think the problem is that developers see large tracts of cleared flat land and see dollar signs. Those same developers donate *generously* to councillors and so get favorable treatment in many cases. Finally, councils see their small airports as large costs, and they think in terms of dollars only, so the outcomes are fairly predictable...

Since, in most cases local councils were given their airports for free by a short-sighted federal government, perhaps they should be considered to hold them in trust for the community.

Is this a legal angle worth pursuing?

 

 

[turboplanner]

Since, in most cases local councils were given their airports for free by a short-sighted federal government, perhaps they should be considered to hold them in trust for the community.Is this a legal angle worth pursuing?

Yes, that's where I am going. I'd suggest others do the same.

 

 

[turboplanner]

these sorts of prosecutions tend to be political, prosecute someone for a small misdemeanour to keep them from blowing the whistle on a larger one, but not a big enough crime to stop them getting another job.Most of the NSW ICAC prosecutions are involving local government. In QLD, the CCC only investigates 2% of complaints and now the mayor of Ipswich is facing some serious jail time, they've sacked a bunch of management.

The gold coast council was on four corners a few weeks ago with some serious allegations.

How about telling us some specifics FT - or are you happy to see the glider guys squeezed out with suggestions the situation's normal, nothing can be done, just let them go?

 

 

[fly_tornado]

maybe you're not familiar with what happened in NSW, property developers were banned by the ALP from making donations so the liberal party created the legal infrastructure to wash the donations.

 

 

[fly_tornado]

TP just use google, do your own research

 

 

[old man emu]

It is essential that those actively involved in aviation around centres like Benalla raise the awareness of the local community to the need to positively support local aviation.

 

This means button-holing the local newspaper editors, shock jocks and TV reporters and telling them how the presence of the aviation centre bolsters the local economy.

 

Much must be made of the emergency need for the airport. Benalla profits from the motor sport at Winton. How would emergency services cope with an incident where a V8 Supercar launched off the track into the spectator area and caused 20 - 30 serious injuries, requiring quick air evacuation to Melbourne? What about its use as a staging point for fire-fighting aircraft?

 

Get the local travel agents on side. How are the good people of the Benalla district going to get to their overseas holiday places without pilots? Dreamliner pilots don't just appear from the ether. They are planted as seed in local airports and nurtured in these local nurseries until they have developed the flying skills to handle a commercial heavy in an emergency situation. Heck! any iPhone worth its chip has the computing capability to fly incident free from Sydney to London, but it takes the homo sapiens brain Ver: 1.0 to deal with the unexpected.

 

What about enlisting the aid of the Chamber of Commerce? The presence of the airport and the activities carried on there must bolster the incomes of small business in Benalla.

 

Finally, demand that the local council provide details of the way in which Federal and State monies, in the amounts listed above, have been spent. If a cent of this money has been spent elsewhere, take the council to task for misappropriating funds.

 

If a council wants to play hardball with users of airports they got for nothing, then the ball should be smashed back at them to deal with.

 

OME

 

 

[biggles]

Category: | Herald SunThe increase will be from 75 cents per square meter to $5.00 per square metres, and on top of this, members and private hangar owners will be slugged another $2.00 per square metre development fee, 10% GST, and a Fire Service Levy.

Turbo, is the article referring to annual lease payments for hangar owners. I cannot download the article... Bob

 

 

[turboplanner]

Turbo, is the article referring to annual lease payments for hangar owners. I cannot download the article... Bob

Yes, but it also mentions members whatever that implies.

 

 

[Roundsounds]

This is an example of the greatest threat to the light end of Australian Aviation. Airports will start closing at increasing rates. There’s already less flying being committed, per movement landing fees will increase as utilisation decreases, eventually reaching a point whereby councils will be justified in selling off unused airports. People buying fast plastic aircraft with tiny wheels will find it difficult to find places to operate them from, unlike the true ultralights and old stuff like Cubs and Champs.

 

 

[biggles]

Yes, but it also mentions members whatever that implies.

I wondered about these " members " also. My latest lease agreement with Shire of Bairnsdale is for $10 p.s.m ....... Bob .

 

 

[Mewp]

I believe any airport transferred from the commonwealth to local government must remain an airport unless re-use is signed off by the commonwealth. Cross funding local government departments is easy when cost recovery principals are applied. Oncosts charged against a specific tied grant soon reduce the grants total funds applied DIRECTLY to the project and can be greater than 50%. This is not illegal but standard accounting practice.

 

 

[Roundsounds]

I believe any airport transferred from the commonwealth to local government must remain an airport unless re-use is signed off by the commonwealth. Cross funding local government departments is easy when cost recovery principals are applied. Oncosts charged against a specific tied grant soon reduce the grants total funds applied DIRECTLY to the project and can be greater than 50%. This is not illegal but standard accounting practice.

I would imagine the local councils could build a case to support closing an airport if it was grossly under utilised. It’s then only a matter of a process to alter the conditions placed on them when passed from federal to local Govt to allow the council to “repurpose” the land use.

 

 

[Glenn Wilson]

3 July 1992Benalla Aerodrome became a Council asset under a deed between the Council and Commonwealth of Australia.

No mention of a payment for this asset.

When the aerodrome was handed from Commonwealth to the local council, a VERY large sum of $s came with it so council could invest it and carry out ongoing maintenance with the interest. It would probably have been in the millions of dollars.

 

 

[turboplanner]

When the aerodrome was handed from Commonwealth to the local council, a VERY large sum of $s came with it so council could invest it and carry out ongoing maintenance with the interest. It would probably have been in the millions of dollars.

You guys probably need to find a local accountant who would be interested in following the money.

 

 

[Oscar]

The transfer of regional/local airfields to Council ownership was the parting 'gift' of the then Leader of the Nats. and Minister for Transport, John Anderson, to Australian aviation.

 

A more cynical act with the entirely obvious ultimate result of depriving regional communities of facilities to support not just the regional transport network but the development of tourism, support services for medical, fire-fighting and flood (at least sometimes) relief work, is hard to imagine. After water, power, communications and roads, airfields may not seem such a prominent 'player' in the game of keeping regional communities connected with the major centres of population, but they CAN play a role in local community life, providing incentives for local development and acceptably 'connected' - rather than isolated- places to live and work. The growing capability of RAA-class aircraft makes this 'connectivity' more viable at sane cost.

 

In my view, John Anderson sold out regional communities by that act.

 

 

[Old Koreelah]

The transfer of regional/local airfields to Council ownership was the parting 'gift' of the then Leader of the Nats. and Minister for Transport, John Anderson, to Australian aviation.A more cynical act with the entirely obvious ultimate result of depriving regional communities of facilities to support not just the regional transport network but the development of tourism, support services for medical, fire-fighting and flood (at least sometimes) relief work, is hard to imagine. After water, power, communications and roads, airfields may not seem such a prominent 'player' in the game of keeping regional communities connected with the major centres of population, but they CAN play a role in local community life, providing incentives for local development and acceptably 'connected' - rather than isolated- places to live and work. The growing capability of RAA-class aircraft makes this 'connectivity' more viable at sane cost.

 

In my view, John Anderson sold out regional communities by that act.

...and worse, he is remembered fondly in his electorate for having "done a good job for the bush",

The die-hard conservative supporters remember Howard and his government for saving us from wasteful Labor governments. Maybe. The cost of Howard-era shortsightedness is now becoming too apparent.