D-Day for local government in Tasmania 4

As the close of local government polls looms closer to 10am on Tuesday morning, so does D-Day for local government in Tasmania. A bit dramatic? No. The Hon Peter Gutwein, Treasurer, Minister for Planning and Local Government intends to write to all Mayors once the polls are declared to start asking about reforms and how local government can take on more economic responsibilities.

And he’s going to get it all wrong.

And worse, miss one of the best windows of opportunity for whole of government reform Tasmanians will ever likely support in current times.

What! you ask. Well, he doesn’t like to use the “A” word, but if you’ve listened to him at the TCCI breakfast and the STCA AGM and a few other venues, you get the feeling that local government’s futures is going to get more complex because it’s the massive elephant in the room that no one wants to challenge, even if it is three more years to the next State election. Resource sharing only goes so far. We need different thinking.

Bendigo Pottery anyone?

This is what is getting me irritated about the level of conversation on government reform in Tasmania. The Minister keeps asking how local government can contribute more to economic projects. He talks about the State dropping payroll tax, land tax, etc to attract economic projects. He wants local government to consider waiving rates and charges as well. As a case in point, apparently the goats grazing at the Inveresk site in Launceston is getting him a tad upset. And I am too given the amount of taxpayer money invested in the site, so whatever’s gone wrong there in the site’s inability to attract economic projects, it doesn’t need more money thrown at it, which is what the Minister wants to do, and local government to throw a few wads as well.

So if one of his solutions to fixing Tasmania’s economy is to start a race to the bottom with taxes, rates and charges in attempting to attract economic investment to Tasmania, hasn’t he learned any history? Previous Lib/Lab governments have tried this, with no lasting success. Bendigo Pottery upped and left once the corporate welfare tap was turned off, and they joined any number of businesses that desert this island when the economic tide turns. More so since the global economy really got going.

And what would be the impact on local communities?

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