East gippsland volunteer Groups Face insurance Costs on Crown Land
Bairnsdale,VIC – Volunteer committees managing Crown land in East Gippsland are facing increased financial strain as they are now largely responsible for insuring assets,including buildings,a situation councils say is the result of a cost shift from the Victorian State Government.While the Department of energy, Environment adn Sustainable Advancement (DEECA) provides public liability insurance, it does not cover assets, leaving committees and, potentially, local councils to foot the bill.
The Municipal Association of Victoria (MAV) reports councils are being forced to make challenging decisions due to growing financial pressures and increasing state government expectations. MAV president Jennifer Anderson stated, “Regrettably there are increasing costs to council due to the things that the state government is asking councils to do…There’s only ever so much money to go around, so they have to prioritise and look at what they can afford and what they can’t afford on behalf of their community.”
Examples cited include maternal child health and school crossing supervisors, where councils are contributing more than the state government.
The council has pledged continued support to committees through grants and maintenance. A DEECA spokesperson said the department is “committed to having ongoing discussions on this issue” and is working to support the committees.
Former council chief executive Chris Eddy questioned why ratepayers should insure assets they do not own, such as roads, adding, “Councils are saying, ‘Hey, that’s enough of this cost shift – we just can’t afford to wear it any longer.'”
The issue highlights a growing tension between state and local governments regarding financial responsibility for infrastructure and services on Crown land managed by volunteer groups.