That’s the testimony Victorian Farmers Federation put to the state government commission of inquiry into Ararat Rural City Council’s proposed ratings strategy.

The strategy would see differential rates abolished, eliminating the 45 per cent discount for farmers as well as extra rates for commercial and industrial properties.

Residential properties would see their rates stay the same but receive an overall payment discount thanks to another proposal to abolish municipal charges.

Ararat Rural City Councillors voted last month to defer the new rates regime until after the inquiry produces its report on August. 

The Victorian Farmers Federation told a private hearing of the inquiry on Tuesday that farmers account for less than 13 per cent of the total Ararat economic output.

The federation claimed farmers would contribute more than half of the $14 million Ararat Rural City council expects to earn under its proposed strategy.

Referencing reports from the REMPLAN economic data firm, the federation claimed that Ararat’s commercial and industrial sectors, worth $1.2 billion, would pay just 10.4 per cent of rates revenue.

The federation said its numbers showed that commercial and industrial ratepayers would be billed a total of $756,000 while farmers would pay $7.8 m.

Federation president David Jochinke said the statistics showed an alarming inequity in the Ararat Rural City’s draft rating strategy.

“Ararat Council has not given a rational explanation to abolish differential rates; they have not provided any analysis on how the plan will impact ratepayers; they have not seriously explored alternative options; and they have not considered community evidence about the negative impact of the plan,” Mr Jochinke said.

Mr Jochinke said he was pleased with the opportunity to present the federation’s argument to the inquiry.

“On Tuesday, we put the farmer’s case to the Commission along very simple and clear lines: the lack of analysis about true costs of rates to farmers and disinterest from the Ararat Council means they’ve got a very tough case to answer,” he said.

“We believe we had a fair hearing and I look forward to seeing the final report.”

The inquiry will hold public hearings on July 12 between 11am and 1.30pm and also from 2.30pm until 7pm at the Gum San Great Hall, 31 – 33 Lambert Street, Ararat.