Cowra Council will not introduce a blanket suspension of interest charges on outstanding debts, however councillors have not ruled out revisiting the proposal in the future.
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The matter was originally deferred until the April council meeting after a number of councillors expressed concerns about the scheme, which was proposed as a way to assist ratepayers experiencing financial hardship as a result of the COVID-19 pandemic.
Councillor Bill West encouraged those who are having trouble paying their water, sewerage or general rates to contact council for assistance.
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"We might revisit it in three months time but we also encourage our community to talk to our staff if there are issues," Cr West said.
Councillor Bruce Miller said there was financial assistance available from the federal and state government.
"If they are having difficulties meeting those obligations... come to council and talk to the appropriate people for arrangements to pay those debts," Cr Miller said.
"There are a number of packages that have been announced around support packages as we go through the COVID-19 issue.
"There's a plethora of other options at the moment and I think if we need to at some stage in the future, we can, but I don't see a need at the moment to do that."
Councillor Ray Walsh, who was originally in favour of a suspension on interest charges, said higher levels of government were in a better position to provide financial support.
"They have a far greater ability to raise some taxes or borrow money or in the federal government's case, print some money if they need too, local government cannot do that," Cr Walsh said.
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"We've got to make sure we are always fit for the future. If anyone has a problem with their rates, water, sewage, whatever... they can come and negotiate some form of payment with council."
Cr West also noted that foreclosures were "not something we really ever go down the path of except in very exceptional occasions".
"Cowra Shire Council, like other councils, have a very lenient policy when it comes to foreclosing on ratepayers," he said.
"I think all council have a good track record of being supportive and working with their communities."