Thursday, 6 March 2025

Bills

Fire Services Property Amendment (Emergency Services and Volunteers Fund) Bill 2025

Statement of compatibility

Danny PEARSON (Essendon – Minister for Economic Growth and Jobs, Minister for Finance) (10:11): In accordance with the Charter of Human Rights and Responsibilities Act 2006, I table a statement of compatibility in relation to the Fire Services Property Amendment (Emergency Services and Volunteers Fund) Bill 2025:

In accordance with section 28 of the Charter of Human Rights and Responsibilities Act 2006 (Charter), I make this Statement of Compatibility with respect to the Fire Services Property Amendment (Emergency Services and Volunteers Fund) Bill 2025 (Bill).

In my opinion, the Bill, as introduced to the Legislative Assembly, is compatible with the human rights as set out in the Charter. I base my opinion on the reasons outlined in this statement.

Overview

The Bill amends the Fire Services Property Levy Act 2012 (Principal Act) to expand the fire services property levy to fund a broader range of emergency services and consequently amends other Acts including the Taxation Administration Act 1997 (TA Act).

Many provisions of the Bill do not engage the human rights listed in the Charter because they either do not affect natural persons, or they operate beneficially in relation to natural persons.

Human rights issues

The human rights protected by the Charter that are relevant to the Bill are the right to privacy, the right to property and the right to a fair hearing.

Privacy: section 13(a)

Section 13(a) of the Charter provides that every person has the right to enjoy their private life, free from interference. This right applies to the collection of personal information by public authorities. An unlawful or arbitrary interference to an individual’s privacy will limit this right.

The right to privacy may be engaged to the extent that the Bill extends the concessions available under the Principal Act and introduces an offset of the leviable amount for eligible volunteers of certain emergency service providers. Natural persons may be required to provide personal information to enable the concession or offset to be applied.

To the extent that the collection of any personal information from a natural person in relation to these concession or offset applications may result in interference with a natural person’s privacy, any such interference will be lawful and not arbitrary as these provisions do not require that a person’s personal information be published. Further, these provisions only require the provision of information necessary to achieve the purpose of determining eligibility for the concession or offset which is exclusively in the person’s possession. Therefore, there are no other reasonable means available to achieve this purpose.

Further, consequential amendments to section 92(1) of the TA Act pursuant to clause 22 of the Bill will permit disclosures of information obtained under or in relation to a taxation law to a Council for the purpose of administering the Principal Act.

The types of information that may be disclosed include, but are not limited to, information regarding land ownership, tax liabilities and payments by taxpayers, taxation defaults by taxpayers, and applications for objection, appeal and review under Part 10 of the TA Act by taxpayers.

Permitted disclosures are strictly confined to their legitimate purposes and are subject to considerable legislative safeguards. In particular, section 94 of the TA Act prohibits ‘secondary disclosure’, that is, on-disclosure of any information provided by a tax officer under section 92, unless it is for specific purposes (for example, the purpose of enforcing a law, protecting public revenue, where the Commissioner has consented, or a disclosure has been made with the consent of the person to whom the information relates). Further, section 95 provides that an authorised officer is not required to disclose or produce in court any such information unless it is necessary for the purposes of the administration of a taxation law, or to enable a person to exercise a function imposed on the person by law.

The amendments to section 92(1) of the TA Act ensure that the Commissioner and municipal councils can exercise their respective regulatory and administrative functions in accordance with legislation.

Accordingly, to the extent that these provisions could interfere with a person’s privacy, any interference would not constitute an unlawful or arbitrary interference.

Right to property: section 20

Section 20 of the Charter provides that a person must not be deprived of his or her property other than in accordance with law. This right is not limited where there is a law that authorises a deprivation of property, and that law is adequately accessible, clear and certain and sufficiently precise to enable a person to regulate their conduct.

The Bill may engage the right to property to the extent that a natural person may become liable to pay the levy or an increased amount of the levy. However, the imposition of the levy is not arbitrary because it is precisely formulated under Part 2 of the Principal Act and administered as provided under Parts 3 and 4 of the Principal Act. The Bill and the Principal Act are adequately accessible, clear and certain, and sufficiently precise to enable affected persons to inform themselves of their legal obligations. Furthermore, levy payers have the protections under both Division 2 of Part 3 of the Principal Act, and Part III of the Valuation of Land Act 1960 in respect of rights of objection, review, appeal and recovery.

Right to fair hearing: section 24(1)

The right to a fair hearing is protected under section 24 of the Charter which provides that a person charged with a criminal offence or a party to a civil proceeding has the right to a fair hearing. The right to a fair hearing applies to both courts and tribunals, such as the Victorian Civil and Administrative Tribunal.

Generally, the right to a fair hearing is concerned with procedural fairness and access to a court or tribunal, rather than the substantive fairness of a decision of a court or tribunal determined on the merits of a case.

The right to a fair hearing under section 24 of the Charter may be engaged by the Bill. The Bill provides for a concession from the levy in respect of a person’s principal place of residence (PPR), expanding the concession available under the Principal Act for holders of certain concessions. The Bill also provides for a offset of the levy for eligible volunteers of certain emergency service providers. However, the Bill does not set out a right of review of a decision regarding a natural person’s eligibility for the PPR concession or offset.

Limited statutory review rights for the offset and PPR concession are required to reduce the administrative burden on councils of administering the Levy and on the responsible entity for the administration of the offset, thereby promoting the efficient determination and collection of government revenue. Importantly, however, a person seeking to challenge a decision in relation to the PPR concession or offset remains entitled to seek judicial review by the Supreme Court consistent with administrative law principles.

Clause 19 of the Bill amends section 84 of the Principal Act to state that it is the intention of sections 5, 12, 15 and 37 to alter or vary section 85 of the Constitution Act 1975 as they apply on and after the commencement of the proposed Act. This amendment is being inserted to ensure that the jurisdiction of the Supreme Court is limited in relation to certain non-reviewable decisions under the Principal Act as originally intended. The reasons for designating these decisions as non-reviewable and their compatibility with the right to a fair hearing have been previously addressed in the Statement of Compatibility which accompanied the Fire Services Levy Bill 2012.

To the extent that limiting the jurisdiction of the Supreme Court may limit a natural person’s fair hearing rights as protected under section 24(1) of the Charter, any such limit would be demonstrably justified. The classification of certain decisions under the Principal Act as ‘non-reviewable’ is directly related to the particular statutory purpose and context of those decisions.

Conclusion

For the reasons given in this statement, I consider that the Bill is compatible with the Charter of Human Rights and Responsibilities Act 2006.

THE HON DANNY PEARSON MP

Minister for Finance

Second reading

Danny PEARSON (Essendon – Minister for Economic Growth and Jobs, Minister for Finance) (10:12): I move:

That this bill be now read a second time.

I ask that my second-reading speech, except for the section 85 statement, be incorporated into Hansard.

Incorporated speech as follows, except for statement under section 85(5) of the Constitution Act 1975:

This Bill amends the Fire Services Property Levy Act 2012 (Principal Act) to replace the Fire Services Property Levy (FSPL) with the Emergency Services and Volunteers Funding Levy (ESVF) to enable it to fund a broader range of emergency services. To reflect this broader purpose, the Bill renames the Principal Act the Emergency Services and Volunteers Fund Act 2012.

From 1 July 2025, the ESVF will make sure Victoria’s hardworking emergency services – including Fire Rescue Victoria (FRV), the Country Fire Authority (CFA), Victoria State Emergency Service (VICSES), Triple Zero Victoria, Emergency Management Victoria, the State Control Centre, Forest Fire Management Victoria and our recovery agencies – have the resources they need to keep Victorians safe and help them recover from natural disasters. It will also bring Victoria’s funding arrangements for emergency services into line with other Australian States and Territories.

The ESVF is expected to raise $610.9 million more in 2025-26, and $765 million more in 2026-27 and 2027-28, when fully implemented. Every dollar raised will go towards vital life- saving equipment, vehicles, staff, training for volunteers, community education, and recovery support for when Victorians need it most.

In December last year, the Government announced its intention to provide more than $250 million in additional support for CFA and VICSES volunteers across the state. This additional support will be funded by the ESVF and is conditional on the passage of this Bill.

Fire Services Property Levy

Since 2013 the FSPL has ensured that all Victorians contribute to funding Victoria’s fire services: the CFA and FRV. The property-based levy system is a fair, equitable and sustainable way to distribute the burden of funding fire services.

FSPL applies to all land, including non-rateable land, and is collected by councils through rates notices or separate notices for non-rateable land. FSPL liability consists of a fixed charge, which is higher for non-residential than residential properties, and a variable rate that depends on the land’s capital improved value and its land use classification such as whether it is residential or commercial land.

The State Revenue Office (SRO) provides oversight of the FSPL and its collection by councils.

ESVF

The Bill replaces the FSPL with the ESVF to fund several additional fire and emergency services authorities from the 2025-26 financial year. The Treasurer will determine and publish the ESVF rates in May each year, through a process similar to the FSPL. Councils will be notified of the new 2025-26 rates through this rate-setting process.

The ESVF will fund up to 95% of the annual budgets for VICSES, Triple Zero Victoria, Emergency Management Victoria and Forest Fire Management Victoria. These entities complement the activities of fire services agencies, including responding to flood, storm, and other emergencies. The proportion of entities’ budgets funded through the ESVF can be reduced if that is appropriate.

The Bill further amends the Country Fire Authority 1958 and Fire Rescue Victoria Act 1958 to allow the ESVF to more flexibly fund the CFA’s and FRV’s operating budgets. The FSPL currently funds a fixed 87.5% of FRV’s annual budget and a fixed 77.5% of the CFA’s annual budget. From 1 July 2025 the ESVF will be able to fund variable proportions of up to 95% of the CFA’s budget, and up to 87.5% of FRV’s budget.

Existing FSPL concessions and exemptions will continue to apply to assist home and farm owners. This includes the $50 concession for pensioners and veterans holding a pensioner concession card or Department of Veterans’ Affairs gold card, on their principal place of residence. The single farm enterprise exemption will also continue to apply to assist farmers with multiple properties. This exemption allows farm owners to pay a single fixed charge for multiple properties that operate as a single enterprise.

Offset for volunteers

Our emergency service volunteers give so much for Victorians, making immense contributions to protect our community from the threat posed by fires and other emergencies. To recognise volunteers who give up significant time and resources to serve the community, from 1 July 2025 eligible CFA and VICSES volunteers will be able to apply for a payment to offset the levy on their principal place of residence or farmland that they own (including where the farmland is owned by a trust or a company and the volunteer has an indirect ownership interest).

The Treasurer will declare the specific eligibility criteria for volunteers in consultation with the Minister for Emergency Services, by notice published in the Government Gazette. The Treasurer, in consultation with the Minister for Emergency Services, will also be able to declare further emergency volunteer-based organisations whose volunteers can access this offset. The maximum offset available in respect of farmland will be capped based on a certain land value, as declared by the Treasurer. This measure will ensure that the offset is only used to support our hard-working volunteers and will safeguard against the scope of potential avoidance of the ESVF given the broad eligibility criteria for the offset.

The government recognises this Bill represents a significant change to the administration of the FSPL by local government collection agencies. To reduce the administrative burden on councils, the offset scheme will be administered by a responsible entity declared by the Treasurer in a notice published in the Government Gazette. The entity responsible for administering the offset scheme is intended to be a State Government public service body or body head, entity or official with statutory responsibilities.

Vacant land changes

As part of the introduction of the ESVF, the existing FSPL category for vacant non-residential land will be abolished from 1 July 2025. Vacant land will be allocated to the land use classification closest to its intended use. For example, vacant industrial land under the FSPL will be reclassified as industrial land under the ESVF from 1 July 2025.

Residential land changes

From 1 July 2026, the Bill increases the fixed charge for residential land to match the higher fixed charge that applies to non-residential land. However, principal place of residence land will become eligible for a 50% fixed charge concession meaning owner-occupiers will continue to pay the lower fixed charge.

The Bill amends the Taxation Administration Act 1997 to authorise the SRO to share appropriate data with councils on the principal place of residence status of different properties to facilitate administration, under the safeguards provided by that Act’s secrecy provisions, such as the strict requirements prohibiting secondary disclosure.

Jurisdiction of the Supreme Court of Victoria

I draw the members’ attention specifically to clause 19 of the Bill. This clause of the Bill proposes to limit the jurisdiction of the Supreme Court to ensure the determination of ESVF rates each year is non-reviewable. Accordingly, I provide a statement under section 85(5) of the Constitution Act 1975 of the reasons for altering or varying that section by this Bill.

The Bill implements a sustainable model for the long-term funding of emergency services, using one of Victoria’s fairest levies to support an essential public service.

Fire, floods and storms are becoming increasingly common and we have seen the lasting devastation they bring. The ESVF will provide dedicated funding ensuring our emergency services have the tools and resources they need to keep Victorians safe and help them recover from natural disasters.

I commend the Bill to the house.

Section 85(5) of the Constitution Act 1975

Danny PEARSON: I wish to make a statement under section 85(5) of the Constitution Act 1975 of the reasons for altering or varying that section by the Fire Services Property Amendment (Emergency Services and Volunteers Fund) Bill 2025.

The Fire Services Property Levy Act 2012 is proposed to be renamed the Emergency Services and Volunteers Fund Act 2012 by the bill. Clause 19 of the bill amends section 84 of the principal act to provide that it is the intention of sections 5, 12, 15 and 37 of the principal act, as they apply after the commencement of the bill, to alter or vary section 85 of the Constitution Act 1975. These provisions preclude the Supreme Court from entertaining proceedings to which they apply, except as provided in the provisions.

Section 5 of the principal act defines the meaning of ‘non-reviewable’ in relation to the principal act. ‘Non-reviewable’ is referred to in sections 12, 15 and 37 of the principal act. If a determination or decision is non-reviewable, no court, including the Supreme Court, has jurisdiction or power to entertain any question as to the validity or correctness of the determination or decision.

The reason for limiting the jurisdiction of the Supreme Court in relation to the determination of the levy rates under section 12 of the principal act is that the levy rates will be determined by the minister each year having regard to the funding requirements of the emergency services funding recipients defined in section 3 of the principal act as inserted by clause 6 of the bill, the administrative costs of councils as collection agencies and other relevant matters. This section limits the jurisdiction of the court in order to provide for the efficient determination and collection of government revenue to fund Victoria’s emergency services, which would not be achieved if the minister’s decision was reviewable.

The reason for limiting the jurisdiction of the Supreme Court in relation to the determination of the land use classification under section 15 of the principal act is that the determination is based on the allocation of the Australian valuation property classification codes, or AVPCC, to all parcels of land by the valuer-general under the Valuation of Land Act 1960. Part III of the VLA permits a person aggrieved by the allocation of an AVPCC to make an objection. This section limits the jurisdiction of the Supreme Court to review the land use classification determination to prevent unnecessary proceedings and overlap with the review and appeal procedures under the VLA in respect of the allocation of the AVPCC.

The reason for limiting the jurisdiction of the Supreme Court in relation to levy amounts and levy interest collected by the collection agency to be kept in a dedicated account (under section 37 of the principal act) is that the commissioner may require interest earnt by a collection agency on levy amounts and levy interest to be paid to the commissioner if they determine that a collection agency has failed to perform its duties or is in breach of its obligations under the principal act. This section is intended to encourage compliance and penalise collection agencies that fail to perform their duties under the principal act. This is important because breach of a collection agency’s obligations may compromise the funding of Victoria’s emergency services. This section limits the jurisdiction of the court in order to ensure the effectiveness of this provision as a penalty and deterrent in order to preserve the integrity of Victoria’s new emergency services funding model.

I commend the bill to the house.

Roma BRITNELL (South-West Coast) (10:16): I move:

That the debate be adjourned.

Motion agreed to and debate adjourned.

Ordered that debate be adjourned for two weeks. Debate adjourned until Thursday 20 March.