- Published on
Community events like the Inverloch Equinox Festival attract thousands of visitors, but holiday accommodation is key. Photo: Visit Inverloch
By Glen Morris
BASS Coast is thriving tourism region with the economies of our key towns very much dependent on tourism.
Community groups are establishing more and more fabulous reasons to visit Bass Coast whether it be for major festivals or hugely popular annual surf lifesaving club events.
Tourism in our region largely relies on owners who offer short stay rental accommodation (SSRA) via Airbnb and similar booking options.
In July 2023 Bass Coast Shire Council introduced a new registration process and annual fee – $300 – for short stay rental owners across the shire. On July 1, the council raised the annual registration fee to $600-$900, depending on the size of the property.
BASS Coast is thriving tourism region with the economies of our key towns very much dependent on tourism.
Community groups are establishing more and more fabulous reasons to visit Bass Coast whether it be for major festivals or hugely popular annual surf lifesaving club events.
Tourism in our region largely relies on owners who offer short stay rental accommodation (SSRA) via Airbnb and similar booking options.
In July 2023 Bass Coast Shire Council introduced a new registration process and annual fee – $300 – for short stay rental owners across the shire. On July 1, the council raised the annual registration fee to $600-$900, depending on the size of the property.
Discontent on this issue is growing fast as affected homeowners voice their dissatisfaction through a community-led petition now reaching Phillip Island, San Remo, Inverloch and Cape Paterson. Destination Phillip Island has opposed the increase and Destination Gippsland will be asking questions of the council.
Over 250 responses so far received are highlighting common themes:
SSRA providers are prepared to accept regulation and pay a reasonable registration fee but this unjustified fee increase is seen as a revenue grab by the council.
At the August council meeting I asked what tasks were funded by the registration fee, the number of staff involved and how the council justified the fee increase given the likely impact on short-term accommodation in tourist town such as Inverloch and Cowes.
CEO Greg Box responded that the registration fee helps the council administer and enforce the Short Stay Rental Accommodation program, including registrations, enquiries, system support, compliance, investigations and managing impacts on waste, parking, local laws, traffic and neighbourhood amenity.
“Ongoing administration is estimated at 1.0 FTE with additional support from relevant service areas as needed … The fee reflects the growing oversight required and benchmarking against comparable charges at other municipalities that also have a short stay registration fee in place.”
Over 250 responses so far received are highlighting common themes:
- A 100-150% increase is excessive and unjustified.
- The council has not explained how the new fee was calculated and what it actually costs to administer short stay accommodation.
- The higher fees are not matched by extra services or benefits.
SSRA providers are prepared to accept regulation and pay a reasonable registration fee but this unjustified fee increase is seen as a revenue grab by the council.
At the August council meeting I asked what tasks were funded by the registration fee, the number of staff involved and how the council justified the fee increase given the likely impact on short-term accommodation in tourist town such as Inverloch and Cowes.
CEO Greg Box responded that the registration fee helps the council administer and enforce the Short Stay Rental Accommodation program, including registrations, enquiries, system support, compliance, investigations and managing impacts on waste, parking, local laws, traffic and neighbourhood amenity.
“Ongoing administration is estimated at 1.0 FTE with additional support from relevant service areas as needed … The fee reflects the growing oversight required and benchmarking against comparable charges at other municipalities that also have a short stay registration fee in place.”
“The council is potentially recovering around $1.8 million per annum to cover one FTE staff member.”
A total of 3021 Airbnb properties are listed within the Bass Coast Shire, which means the council is potentially recovering around $1.8 million per annum to cover one FTE staff member. Is that really the case?
These charges are placing an unnecessary financial burden on local homeowner operators who are already navigating a challenging economic climate.
Short stay owners already pay the 7.5% State Levy Accommodation, insurance and other costs. With the rise in council fees, many will decide it’s no longer worth renting out their properties.
Any measures that reduce the number of visitors staying in Bass Coast hurt regional businesses and the general economy of our region.
Council arguing that the levies benchmark with those imposed by neighbouring councils is just plain wrong! Two major tourism-centric coastal shires which compete for tourism with Bass Coast are Mornington Peninsula, which charges an annual administration fee of $360 per property, while Surf Coast Shire does not charge a fee.
The Inverloch Tourism Association believes the newly introduced fees of $600/$900 should be scrapped and the previous fee of $300 reinstated.
We want visitors coming to Bass Coast rather than see them choose to visit other locations where they can obtain cheaper holiday accommodation.
Council needs to listen to these concerns and act to support tourism. If it fails to do so then the affected communities have no option but to explore alternative means in order to remove the unfair increases.
Glenn Morris is president of the Inverloch Tourism Association.
These charges are placing an unnecessary financial burden on local homeowner operators who are already navigating a challenging economic climate.
Short stay owners already pay the 7.5% State Levy Accommodation, insurance and other costs. With the rise in council fees, many will decide it’s no longer worth renting out their properties.
Any measures that reduce the number of visitors staying in Bass Coast hurt regional businesses and the general economy of our region.
Council arguing that the levies benchmark with those imposed by neighbouring councils is just plain wrong! Two major tourism-centric coastal shires which compete for tourism with Bass Coast are Mornington Peninsula, which charges an annual administration fee of $360 per property, while Surf Coast Shire does not charge a fee.
The Inverloch Tourism Association believes the newly introduced fees of $600/$900 should be scrapped and the previous fee of $300 reinstated.
We want visitors coming to Bass Coast rather than see them choose to visit other locations where they can obtain cheaper holiday accommodation.
Council needs to listen to these concerns and act to support tourism. If it fails to do so then the affected communities have no option but to explore alternative means in order to remove the unfair increases.
Glenn Morris is president of the Inverloch Tourism Association.
2 Comments
You neglected to mention Land Tax which is also extortionate. My properly, for one, will not be available for rental anymore.
Were a bank to increase its fees in such a manner it would be called to account. Short stay rentals fill gaps in the accommodation market. Students on placement at Wonthaggi Hospital need low cost accommodation for several weeks. Groups of workers such as telecommunications, abattoir and the first aid team for the Wonthaggi motorcross events need to stay where they can cook meals.