Peppercorn rent in question for Scouts

Potential fee raises on Scout halls across Knox are set to place extra pressure on the organisation. Picture: (Unsplash).

By Tanya Steele

A pressing financial issue for scout halls across the Knox area has Scouts District President Karin Orpen appealing to Knox Council for answers.

In the monthly council meeting on 24 June Ms Orpen asked about two increases in fees that would affect the organisation.

“We were advised that the peppercorn rent of $10 will increase to $450 per site from 1 July 2024 – in addition we were advised that it was a council direction that we are also charged $250 per site for the fixed portion of the Fire Services Levy, a charge that has not been imposed before,” she said at the meeting.

“The State Revenue Office advised that from 1 July that (the fire services levy) is set to rise to $267, even at $250, this brings the total cost for Scouts from $10 per annum to more than $9100 per annum – a cost which will be passed on to the parents of Scouts across Knox,” she said.

There are 13 sites that the fees would apply to and the higher rent of $450 and $250 fire services levy bring annual bills to $700 per site.

Ms Orpen asked council whether they would keep the keep the annual lease as it is and would they waive the $250 fire services levy per site that Scouts are now being asked to pay.

Ms Orpen said at the meeting that council has acknowledged that the halls are owned by Scouts and their leases are for the land on which the halls sit, with no maintenance provided by council. Other community groups paying the same amount for council buildings and land, have maintenance provided by council – an inequitable situation.

“Unlike the local sporting clubs, we do not provide our youth services for a season, but weekly activities through the year by a group of dedicated and caring volunteer leaders and district personnel,” she said.

“We have more than 3,000 youth, leaders and families involved in scouting in Knox, many of whom we know are currently challenged with cost of living pressures.”

Mayor Jude Dwight responded to both of Ms Orpen’s questions.

“We – both councillors and council – sincerely appreciate the role Scouts play in the Knox community,” she said.

“With regard to future lease arrangements and fire services levies, there has not been any decision made.”

“Council officers are currently meeting with representatives from Scouts Victoria to discuss the future lease arrangements, in advance of an officer report being presented to a council meeting for a decision to be made.”

“There is no change to the lease arrangements while the budget is being endorsed tonight – thank you for your interest and advocacy.”

Until the matter is resolved Ms Orpen has said that the cost increases are a mean spirited, unacceptable situation to parents in Knox.

“It’s one of the largest community organisations in Knox that’s providing activities for young people all throughout the year, in halls, that the council does absolutely no maintenance on,” she said.

“To put us in the same category as some of the other groups who get maintenance done – this is a cost that these parents cannot afford.”

“It is very disappointing that council would exploit the fact that fees and charges are exempt from rate capping and bring increases in licensing like this into play.”

Ms Orpen said that at least two other groups on similar leases are not paying the 250 dollar fire services levy and they are having council maintenance done.

The fire services property levy is collected by local councils and usually appears on rate notices. Property owners pay an annual levy via council rates to support emergency services.

“The jump is just ridiculous,” Ms Orpen said.

Mayor Dwight said the report and recommendations will be included in a future Knox council meeting agenda.