At its Extraordinary Meeting on Wednesday, 12 November, Yass Valley Council resolved to defer a decision about undertaking a community consultation process for a proposed Special Rate Variation (SRV) while it undertakes a deeper review of alternative financial options.
Council acknowledged the progress made by the new executive team and the recently elected Councillors in improving the organisation’s financial position over the past 12 months. Council directed further work to:
• Identify additional efficiency and cost-saving measures across Council operations.
• Explore opportunities to increase non-rate income through Council-owned land, commercial partnerships, outsourcing, and Voluntary Planning Agreements.
• Verify the rating database to confirm all properties are correctly classified and rate income is maximised.
• Update growth and revenue projections to reflect approved developments.
• Conduct modelling of longer-term (4–7 year) SRV options, should it still be required.
Council reaffirmed its commitment to transparency, fiscal responsibility and community confidence by ensuring that a Special Rate Variation is onlypursuedafter all practical alternatives have been fully examined.
A report on these findings will be presented to Council in March 2026. The meeting, spanning hours, had many different speakers and sides until the decision to defer it was ultimately made.
During the meeting, CEO of Yass Valley, Gayleen Burley, said, “The underlying issue is our unrestricted cash. By ’27-28, we will have $22 million negative under restricted cash. We have a number of restricted and internally restricted funds. Externally restricted funds are legislated, so water, sewer, waste, we can’t use those for general fund activities. They have to remain in those categories. You can’t use money that’s being allocated or being paid for water onto roads, for example. That’s a legislative requirement of Local Government in New South Wales.
“We then have internally restricted funds, such as plant and fleet, to make sure that we are updating our plant and fleet in appropriate importance to its usage and its age. In the past, we have let that go, and that well is dry. We are now at the end where we have an ageing fleet, and Council has been traditionally, or in the last few years, buying secondhand fleet, which has not been fit for purpose in a lot of ways. We have a number of other restricted reserves, which we are using to be able to deliver council services.
“Once they are done, we then, we will need to borrow money to be able to do Council’s basic operations. In terms of, if we don’t have this, we don’t apply and are successful for the SRV (Special Rate Variation), what that means is a significant cut to what we call our liveability services. In terms of liveability services, you wouldn’t unfund your infrastructure because that carries a huge amount of liability for the Council, so we need to try and maintain the infrastructure the best we can, but our liveability services are things like pools, libraries, parks, sport fields, they are the services that will have to wear the brunt of us not having a sufficient cash flow.
“We have also done deep dives into our financial management, as well as improved asset management, as can clearly be shown through our newly adopted financial statements for 24-25.
“We’ve done a huge amount of work in that. Councillors have also done some heavy lifting as well, with the already discontinued stage two of Crago Mill. That in itself will save an estimate of $1.5 million per year. We also are doing additional work, such as we put in our development application modification for Discovery Drive. We’ve implemented a new brand management process. We have done some significant work on the analysis on our cost attribution, so making sure our general fund is not propping up our water, our sewer, our waste, to make sure that we are charging appropriately in that area. We are looking at a whole range of land sale potential, but I will say, in terms of land sub sales, they are one-offs. Once it’s sold, it’s sold, and that doesn’t actually help day-to-day running expenditure or fix your running operating deficit in the long term. We need to make sure that we fix that.”
Council reported a consolidated operating deficit of $4.5 million in 2023-24 and an unrestricted cash balance of just $55,000. These deficits are expected to soar in 2027-28 with an operating deficit of $6 million.
The community have been vocal about their opposition to a rate increase, saying the cost of living is already too high, and Yass cutting services when they don’t even have clean water most of the time is appalling.
However, Council insist that they cannot run at the level they currently operate without an SRV.
Councillor Alvaro Charry put a foreshadowed motion to Council which eventually was carried after the recommendation was lost 5-4, postponing the undertaking of a community consultation process for a proposed Special Rate Variation (SRV) decision until March.
He said, “Council voted (6-3) in support of a foreshadowed motion I brought forward. In very simple terms, it means we, as your Council are taking a strategic pause, slowing down and carefully considering every option before we look at asking our community to consider a Special Rate Variation.
“I know that for many people across the Yass Valley, the cost of living is very hard to quantify. It is a real weight that sits daily on the shoulders of families, farmers, pensioners, small businesses and young people trying to get ahead. I grew up in an immigrant family with six younger sisters with very little, and I know what it feels like when every dollar has to be stretched out. I carry that memory with me in every vote I take as one of your councillors.
“That is why this Council resolution matters. Before we ask you, our community, for more money, we must be certain that we are doing everything we can behind the scenes. That includes making sure our data is accurate, ensuring we are collecting the income available to us, recovering debts owed, looking for efficiencies inside our own organisation and exploring ways to bring more money into the Yass Valley without placing further financial burden on our ratepayers.
“Since being elected last year, my purpose and commitment to you has not changed. I want to continue to rebuild trust and confidence in Council’s decision-making. I am determined to keep earning that through integrity, clarity and genuine empathy for you, the Yass Valley community.
“I also wish to acknowledge our CEO, Gayleen Burley. Her steadfast leadership and professionalism, supported by the dedicated work of our staff, have been central to guiding our organisation through this period. I have strong confidence in their work and in our collective ability to move forward with purpose and strength.
“Thank you for your enduring support. I will continue to stand up for you with integrity, responsibility and deep respect for the challenges many of you are facing. We will get through this together, one deliberate step at a time.”
Mayor Jasmin Jones gave the Yass Valley Times her stance after the meeting.
“The decision made at the Extraordinary Council Meeting on 12 November signifies a commitment to achieving long-term financial sustainability through internal reform and alternative revenue streams before imposing a Special Rate Variation (SRV) on the community.
Council’s Long Term Financial Plan indicates that Yass may not be financially sustainable in the long term without significant changes, including a potential rate increase. The Council’s long-term financial plan indicates it cannot maintain its current operating income to expenditure ratio, which means service levels will likely have to be adjusted to align with available budget,” she said.
“This decision means that while a Special Rate Variation is not being pursued, it remains a possible future option if the alternative strategies do not yield sufficient results to address the Council’s structural deficit. The report in March 2026 will provide a clearer picture of the potential success of these alternative measures and the future need for an SRV.
“We’ve done a great deal of work already towards savings and efficiency – In August 2025, Council adopted a Financial Sustainability Roadmap 2025-2029, we’re targeting savings of $2.8 million over 4 years, 5% annual increase in fees and charges revenue, improved financial management and improved asset management. Council has undertaken a review of the Crago Mill development business case leading to the decision in September 2025 not to proceed with Stage 2 of the project. This saves Council $10.2 million in capital costs and avoids a further $1.5 million in annual cash outflows over the next ten years. We’ve reviewed our internal cost attributions, identifying $1.7 million of internal costs to be allocated from the general fund to water, sewer and domestic waste funds. We’ve also reviewed our grant management process, implementing changes to improve decision-making on grant applications and accounting for grants. Council has sold excess plant and equipment with a one-off cash inflow of $200 thousand and we’ve lodged the Development Application (DA) for land in Discovery Drive (Yass) in preparation for land sales. We’re building our capacity to further realise holdings with the recruitment of a Commercial Property Management and Business Improvement Officer. Council has also commenced a review of its organisation structure and has established a Financial Sustainability Committee.”
Delaying an SRV could potentially see residents lose a range of services, face reduced service levels, or experience delays in projects due to the Council’s ongoing financial constraints and the need to prioritise spending.
There will also be a need for Council to implement greater rigour with regard to avenues available to increase non-rate income streams through fees and charges.
“From the perspective of Mayor, a Special Rate Variation (SRV) is a lever that will need to be pulled soon as a necessary component for achieving long-term financial sustainability and addressing structural deficits, though it was acknowledged to be an unpopular subject. The Council is taking a multi-pronged approach to address its financial position, continued implementation of the “Financial Sustainability Roadmap” to progressively reduce deficits and strengthen the Council’s balance sheet will only be able to get us so far. The real concern is that the structural rating issues which local governments in New South Wales face. This directly stems from the combination of rate-pegging and cost-shifting from other levels of government and resulting in a rating system that is unable to keep pace with rising costs and community demands. We’re not alone in this journey. Queanbeyan-Palerang Regional Council and Snowy Monaro have gone out for SRV’s and have been successful. Upper Lachlan has withdrawn from that path but has other serious challenges now. Since 2011, 76% of NSW councils have applied for and have been approved for an SRV.
“The Federal Assistance grants have sunk well below 1% for decades – closer to .5%. If this was restored to 1% of GST revenue and returned to communities for roads and community infrastructure, it could go a long way to wiping out our current operating deficit overnight. NSW Councils, including Yass Valley Council, also carry more than $500 of cost shifting from both state and federal governments. Not everything on your rate bills is collected to run council utilities for our community.
“We’re not wasting a second after Wednesday’s decision. Councillors head into a roads workshop this week with staff, and as Mayor, I continue to use every opportunity to impress upon the State and Federal Government representatives the need to support regional and rural councils with further roads grants. Just 24 hours after our meeting, I was before NSW Roads Minister Jenny Aitchison requesting a meeting to discuss funding streams for ‘last mile’ road works for our farmers to ensure agricultural productivity is supported in Yass Valley as we produce the nation’s food and fibre for the benefit of those in the metro areas.”
Nyssa Stadtmiller
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