Another South Australian council is selling several properties in a desperate bid to claw back more than $100,0000 in unpaid rates.
The Mid Murray Council will auction off nine properties, mostly vacant land, later this month.
It is a “last resort” move to recover $100,400 of unpaid rates following extensive efforts over several years to recoup the funds from the properties’ owners.
BH Partners’ Rob Brown, who is selling the properties on behalf of the council with Peter Wright, said a range of properties would go under the hammer on November 20.
“There has been good interest so far,” he said.
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The Mount Mary properties at 19 and 20 South Tce are among those being sold by the council.
The move comes shortly after the District Council of Loxton Waikerie sold 57 properties – mostly deceased estates – in a last-ditch attempt to recover more than $170,000 in unpaid rates.
They collectively sold for just over $500,000, with council chief executive David Beaton explaining most would be passed on to owners.
“We can only recover the rates, we have to pass on the rest of the funds to the mortgagee and the people that own the property,” he said in September.
Peterborough Council also sold eight properties under the hammer earlier in the year to recoup unpaid rates.
Councils are allowed to sell properties where rates have been in arrears for at least three years under Section 184 of the Local Government Act.
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The Annadale property at Lot 4 Sturt Highway will also be auctioned.
Mid Murray Council chief executive Ben Scales said every effort had been made to engage with property owners and negotiate alternative payment options.
“When council began this process in 2023, there were originally 70 properties identified that had unpaid rates totalling $746,000, which had been accrued over periods of between seven and 14 years,” he said.
“We understand that the sale of a property is a significant step.
“That’s why we have taken a careful, considered and thorough approach and explored all reasonable avenues to secure payment.
“Council has made substantial efforts to engage with impacted landowners through formal debt recovery, written warnings, pre-Section 184 notices, notices placed on affected properties, and through providing opportunities for owners to enter into other payment options.
“Since council began this process, payments have been received from 31 properties clearing the three year arrears amount, while a further 23 property owners have entered into payment arrangements to clear unpaid rates within 18 months.
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The Sedan property at 123 Kruger Rd will also go under the hammer.
“Payment negotiations are also underway relating to a further seven properties.”
So far the council has recovered $456,000.
The final nine properties will be served final notices and offered for sale unless the outstanding amounts are paid before auction.
Ms Scales said the council did not take the step to sell lightly.
“Most of our ratepayers do the right thing, but when a small number continually fail to meet their obligations – despite multiple offers of support – it becomes unfair on everyone else.”
The auction will be held at Mannum Hotel from 11am on Thursday, November 20.
– with Tom Bowden and Erin Jones
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