CEO Message 5 September, 2025

Hi everyone,

Another key topic discussed at Tuesday's tri-council gathering was financial sustainability, an issue that's becoming increasingly critical for councils across Victoria.

I have spoken many times here about the challenges that all Victorian councils, especially those in rural and regional areas, are facing after almost a decade of government rate capping and continued cost shifting.

We heard from Hepburn Shire Council CEO Bradley Thomas, who talked about the process of applying for a rate cap variation, a decision he said was not taken lightly and was only considered after exhausting operational efficiencies, asset rationalisation, and revenue diversification.

Like most councils, Hepburn's financial position had been impacted by a range of factors that will sound familiar to our community: very limited alternative revenue streams to rates, a relatively small and dispersed population, and the ongoing challenge of responding to natural disasters while sustaining a rate cap that falls below cost increases and CPI.

Additionally, the reduction in state and federal grants particularly impacts small councils like ours that rely heavily on external funding for capital projects and asset maintenance.

That’s why we've committed in our Council Plan to develop a Financial Sustainability Strategy, where we will review all of our services and facilities to identify opportunities for savings and efficiencies.

Discussions with our community about desired levels of services compared with the rates levels needed to fund those services are an important function for any Local Government.

There will be opportunities for community to get involved in this process, and once we have finalised the scope and parameters of the strategy, we will be turning to you to get involved and have your say. 

Enjoy your weekend.

Trevor.

My customer service pledge: If we fail to deliver on our customer service charter please feel free to contact me directly on 0417329424, or via email at trevor.ierino@indigoshire.vic.gov.au