KINGSTON Council estimates that its ratepayers are paying for nearly $7 million in responsibilities passed on to councils by the state government.
Earlier this year, Kingston Council officers began work on a report outlining instances of “cost shifting from the Victorian State Government to the City of Kingston.” The report, published last week, revealed that “more than $6.8 million of known costs have been shifted from the state government to council and are now embedded within the existing budget.”
“In addition, proposed policy changes by state government could result in a further $6.8 million in estimated annual ongoing costs. This all represents budget resources that could otherwise be spent on other priorities for the Kingston community,” the report read. “A further $47.6 million relates to costs passed through to the community and administered by council and with the potential to be perceived as council-costs, including the Emergency Services and Volunteers Fund and the landfill levy that is recovered through council’s waste charge.”
At last week’s public council meeting, Cr Sarah O’Donnell said that the figures contained in the report were a “shock”. She said “when I saw the numbers in this spreadsheet my jaw dropped about three feet. When we are talking figures up to $47.6 million, that’s a concern.”
“We don’t have a leg to stand on, we have to literally cop it. We turn around and look at the Emergency Services and Volunteer Fund, that has hit residents and businesses significantly. That is a state-mandate, there is not a thing we can do about it, but the hours of work that staff have to contribute to this to fulfill the obligations that the state government has imposed on us costs an awful lot of money.”
The most significant current cost-shifting instance identified by Kingston Council was the “erosion of funding arrangements” for its libraries. It estimates that more than $2.7 million has been shifted to council.
“State funding levels for public libraries [has] not increased at pace with operating costs which are increasing faster than funding levels and shifting greater pressure to council, despite the understood 50:50 funding expectation,” the report read.
The state government-mandated introduction of a fourth bin was highlighted as the most significant future cost-shifting issue. Council estimates that upwards of $4.3 million will be spent on “state-mandated purple glass recycling bins from 1 July 2027, with associated capital and operating costs recovered through the waste charge and ultimately borne by ratepayers.”
First published in the Chelsea Mordialloc Mentone News – 5 August 2026