Property owners in South Australia's Mid North have been issued a summons for thousands of dollars in unpaid council rates, and some date back nearly 17 years. According to a report by the Australian Broadcasting Corporation. the Northern Areas Council made the demand for the rates on June 12, which totaled 49,000 in legal fees.
"Under the Local Government Act, any council can sell properties when the rates have been in arrear for greater than three years. We will do it, but we won't include any properties that are principal places of residence for people," said Northern Areas Council chief executive Kelly Westell.
According to the report, one Gladstone resident has unpaid fines that total more than $25,000 since September 2016. Another Caltowie resident owes $7,000 in unpaid rates and attorney fees that date back to December 2006. The remaining fees are in the $2,800 to $4,700 area. According to Westell, none of the five properties with debt were residential and included vacant land and an abandoned house.
The council said that it had sent letters and posted signs on fences in an effort to get in touch with the property owners. The owners now have 30 days to speak to the council to work out a payment plan. If this is not done the property will be put up for auction. The debt will be paid off with the proceeds of the sale, along with the costs of the sale. Remaining funds will go to the property owner. This comes a week after a separate public demand for more than $100,000 in back taxes was made by the Naracoorte Lucindale Council. Ratepayers were contacted severall times regarding the debt, according to Mayor Patrick Ross.
Westell explained in the report that the council has a debt collection process that starts with someone not paying rates, and the primary concern of the council is trying to get people into a payment plan.
"If people are in a house, council will not push them out of a house, we are not going to sell property if there's somebody living there," Westell said. "I think most people understand that the rates are a tax and that tax is required to deliver services in a community. Most people are willing to pay and most people want to ensure they are part of a community and paying their rates accordingly."
