06 June, 2014

No means no

At a recent meeting of Council, we reaffirmed our position of not supporting the Transport Development Levy. We’ve consistently spoken out, with a range of other community organisations, making it very clear the damage it will reap on our city economy.

News that the State Opposition has warned it will block the State Budget unless the levy is removed from the process has further increased the pressure on the Government to either abandon it or introduce it separately to Parliament.

While some are saying the State’s billion dollar budget process should not be held up over a $26 million parking tax, there is far more at stake when you consider the flow on effects to the city economy and the impact of the parking tax on business.

Visitors to the city are already price sensitive around parking. We hear this from the community when parking prices rise as part of our annual budget process. In this instance, all the revenue raised
by Council is ploughed back into improving city infrastructure and services. All revenue from the levy will land in State coffers, with no guarantee it will be spent in the city. Ironically, Government owned parking stations are not covered by the levy.

The Transport Levy will change customer behaviour and flies in the face of the State’s claims of support for the vibrancy agenda within the city.

When the city economy is strong we know our State prospers. The city makes a contribution of 17% to the State economy – more than any other council region. That’s a whopping $15.5 billion. Taxes, without direct benefits for the users of the city, stand to threaten social and economic growth. Much progress has been achieved in Adelaide, and we don’t want the levy ripping the heart out of the city’s business community.