Emergency Services and Volunteers Fund
Published on 20 June 2025
The Emergency Services and Volunteers Fund (ESVF) is a new Victorian Government levy (replacing the Fire Services Property Levy) due to be introduced on 1 July, 2025.
The farming sector was to be the hardest hit by the new tax with a proposed increase of 150%.
In response to significant backlash, on 30 May the Victorian Government announced a temporary backdown on the ESVF for the farming sector only and declared the entire state of Victoria in drought.
How will it impact us?
The drought declaration means the ESVF variable rate on primary production properties will remain at 28.7 – the same as it was in 2024-25 – for the duration of the 2025-26 financial year.
This reduced rate will be applied to rates notices for primary production properties automatically.
Whilst we welcome the reprieve for farmers, the concern for the hike in the levy for residential and commercial property owners remains.
The new tax will also have a significant impact on Council. The cost alone to administer this extra tax collection is significant, and this ultimately impacts the services we deliver to the community.
“Just don’t pay” – it’s not that simple
The local government sector has been advocating for the levy to be collected by the State Revenue Office, not Council.
These efforts have been unsuccessful and unfortunately, you will see the levy itemised on your rates bill, even though it is not a Council charge.
We have heard the suggestions to “just don’t pay the new tax”. Unfortunately, it’s not that simple.
Councils are obligated to collect the levy and cannot use a separate invoice to collect the levy.
Also, Council must proportionally allocate rates revenue towards the levy if ratepayers choose not to pay the levy element on their rates notice. For example, if your rates are $3,000, and the levy is $500 and if the property owner pays only the $3,000 rate component, Council collects $2,550 (roughly 85% of payment in this example) and the $450 balance goes off to the Government for the ESVF. We know that will be significantly more for many ratepayers. Plus your rates notice will still be in arrears.
Unfortunately, ratepayers who refuse to pay the levy may cause financial strain on councils across the state. It may also be subject to Council’s debt collecting processes – something we agree is unfair.
You will hear more from us about the levy prior to receiving your 2025/26 rates notice
What next?
Alongside the local government sector, we will continue to advocate for the ESVF to be scrapped. Emergency services should be properly funded through the State’s general revenue – just like other essential public services.
If you are a farmer, commercial business owner, or have vacant land, talk to your accountant or financial advisor about how you may be able to minimise the impact of the levy.
If you are a CFA or SES volunteer, investigate with the emergency services organisation you represent how you can get the volunteer rebate on your principal place of residence or farm. This rebate is not administered by Council.
If you are experiencing any difficulty in paying your rates, please talk to us as soon as possible. We’re here to help.
We also encourage farmers to access drought relief funding and support. For details visit: www.agriculture.vic.gov.au/dryseasons
Helplines:
■ Rural Financial Counselling Service Victoria 1300 735 578
■ National Centre for Farmer Health 5551 8533
■ Lifeline 13 11 14
■ Beyondblue 1300 224 636
Council advocacy:
18 June 2025 - Cr Liesbeth Long message in Dunolly Welcome Record
17 June, 2025 - Mayor Cr Grace La Vella message in The Maryborough District Advertiser
10 June, 2025 - Deputy Mayor Cr Ben Green message in The Maryborough District Advertiser
29 May, 2025 - Council calls for a fairer deal