Whittlesea farmers approach council asking for greater rate clarity

Whittlesea council is believed to be cracking down on "land bankers" who have bought agricultural land in the shire and are claiming the reduced rate.

Currently, the farm land rate is 40 per cent lower than the general rate but council is asking primary producers to re-apply for the concession every four years.

"Existing recipients of the farm land rate will be required to re-apply for the farm land rate via an online form on a set four year cycle commencing February 1, 2024, February 1 2028 and February 1, 2032, regardless of when the applicant was first approved for the farm land rate," the council has told primary producers.

Whittlesea levies a specific farm rate, under a net annual valuation system, introduced in the Valuation of Land Act of 1960.

Other councils reduce the rate for farm businesses by using a differential, or lower percentage, of the general rate.

It comes as the state parliament conducts two inquiries, into farming systems on the fringes of Victoria's urban areas and food security.

Beef producer Lynn Vearing, Glen Goulburn Poll Herefords, has properties in Whittlesea, Epping and at Glenburn, constantly shifting stock in his 500 head herd between different blocks in the three locations.

A Whittlesea shire ratepayer, he was part of a farm delegation to the council, to discuss what he said were "onerous" provisions contained in the application form for the farm rate.

"There are people buying land on speculation and council doesn't consider them to be genuine farmers, so they shouldn't get the farm rate - I can see their point of view," he said.

"They are trying to have a form that catches up with those sort of people, we can understand where they are coming from."

Mr Vearing said the group suggested the council accept the Australian Taxation Office rules for primary producers.

He said it was an amical discussion and the council was bound by state government regulations.

"We don't mind supplying some of the information," he said.

"But if you had an on-site farm inspection, it would give you a better indication of what is happening rather than a whole lot of paperwork, which is arduous for both sides."

In its recent Agri-Food Plan 2023-2026 council pointed out in 2020-21 the total value of agriculture in Whittlesea was $92 million.

The largest commodity produced was vegetables, which accounted for 92 per cent of the City of Whittlesea's total agricultural output.

Of the 1,579 rural properties in the municipality, there are only 30 of a size above 100 hectares, which the report said was judged to be the notional threshold level for economic viability for a large-scale commercial dryland grazing operation.

"This presents an opportunity for the development of small-scale commercial farming operations as land fragmentation and rising land prices from historical and potential subdivisions have, and continue to, contribute to the decline of large-scale commercial farming operations," the report authors said.

Mr Vearing said long-term Whittlesea farmers had never had to re-apply for the farm rate.

"It's only new people who had to apply for it - it just looks like they (council) are now looking at it and saying the regulations set down by government are that you have to apply every four years," he said.

"They can't find any bookwork, where it has happened before - we were never asked to apply," he said.

"Surely they would have on their books information that we have owned these properties for more than 100 years."

He said the delegation just wanted a form that was simpler and cost effective for both council and farmers.

"They could see where we were coming from, it's been left where we will get back to them with our recommendations," Mr Vearing said.

"It would have been easier if we had this meeting before they designed the form.

"Most government departments put the cart before the horse."

Council has been contacted for comment.