Fire levy on property plan

The VFF says a fire levy on motor vehicles could also be part of a new-look funding model for the CFA.The VFF says a fire levy on motor vehicles could also be part of a new-look funding model for the CFA.

THE Victorian Farmers Federation has called on the State Government for fire services to be funded by a levy on building value.
VFF President Andrew Broad said that the VFF’s response to the State Government’s Fire Services Property Levy Options Paper outlines that a charge on building value is the fairest way to fund the state’s fire services.
Over the past 10 years the VFF has continually argued that the current model of taxing insurance to fund fire trucks is inequitable and is a disincentive for people to insure their property.
“We congratulate the government for undertaking this important change, but urge that they consider farm businesses when developing the new funding model,” Mr Braod said.
“The State Government has to make sure that farmers, who make up a large percentage of the CFA volunteer force, are not disadvantaged by the new funding model.
“The fairest system is to charge a levy based on building value to fund the fire services into the future.
“A building charge reflects the asset being protected and is the best way to estimate the capacity to pay.
The VFF said it does not want the Fire Services Levy to be replaced by a system similar to municipal rates.
“Farmers are over-burdened through the municipal rates system already because it is based on land and building values,” Mr Broad said.
“Farming is a land intensive business. If the new fire services model includes charges on farmland value it will be inequitable.
“It also makes sense to place a charge on motor vehicles. Motor vehicle accidents average 12 per cent of call-outs.
“We would also like to see a $20 charge on the 4.2m vehicle registered in Victoria.”