Levy plays vital role in boosting city's economy
31 Mar, 2005 12:20 AM
The umpire has
spoken and Ballarat's
controversial tourism
and economic develop
ment charge will stay
in place.
It will not please
everyone, but it now
must be accepted until
and unless circum
stances change.
One thing the out
come of the VCAT
challenge to the levy
has done is prevent the
imposition of a higher
residential rate to
make up for the
amount which would
have been lost.
The city had already
indicated it would im
pose such a rate in
crease as it needed to
maintain the funding
levels for tourism and
economic promotion.
Cities the size of Bal
larat need to be active
in their promotion of
business and tourism.
Business and tour
ism generate positive
financial outcomes
from the wages paid
and the money taken
from locals and visi
tors.
Cities cannot con
duct their vital
promotional work
without adequate
funding and it is pref
erable that such
money does not come
from the already
stretched resource of
normal rates.
There are arguments
that many business
who are forced to pay
the unsuccessfully
challenged levy gain
absolutely no benefit
from tourism.
The levy is not only
for tourism promotion
but also for economic
development as well.
However, the extent
to which tourism im
pacts on the wider
business community
can be easily under
stated.
The many people
who work in tourism in
Ballarat spend money
on other services.
Their children at
tend school, they buy
newspapers and petrol,
they need food and
clothing like the rest
of us.
The tourism busi
nesses also need the
services of trade and
other businesses
operating in the city.
There may certainly
be some business and
industry which
justifiably assert that
they get no benefit
from paying the levy.
There may be others
who do not have to pay
it that, perhaps,
should.
But many who think
they do not get a ben
efit from the levy un
doubtedly will do so
from the existence of a
vibrant tourism sector
and strong general
economy.
The city council has
a responsibility to at
least play a part in
ensuring that the econ
omy is strong.
The tourism and
economic levy may not
be the perfect way to
fund that activity but
the money has to come
from somewhere.