THE Australian Hotels Association has called for rate relief for Bendigo hotels among fears the end of JobKeeper and continued COVID-safe trading restrictions will have a negative effect on the industry.
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AHA Victoria executive board member and Hotel Shamrock Bendigo owner Ray Sharawara said he was concerned a number of support measures would no longer be available to businesses.
"Business costs are rising and deferred rents are now due and payable," he said. "The Australian Hotels Association is demanding council rate relief for Bendigo pubs.
"The City of Greater Bendigo Council has refused to give local pubs any relief on rate payments. Pubs requested this help and have been told to pay up."
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As part of the 2020-21 budget, the City of Greater Bendigo announced a number of measures to support eligible businesses including a deferral on rates payments to June 30, 2021.
Council also introduced a full waiver of various fees including A-frame display, outdoor dining and goods for display permit fees, a 50 per cent reduction of food, health and accommodation registration fees.
The total of reduced fees, and waived interest and rent by the city totalled $1.4 million in the 2020-21 budget process.
Council director of corporate performance Andrew Cooney said the council will consider the new draft budget in April. It is set to include a range of initiatives to support for businesses such as reductions and waivers of fees and charges, along with the potential for eligible businesses to defer rates payments again.
"The city has also recently supported the expansion of outdoor dining to allow hospitality businesses to serve a greater number of patrons and keep the community safe. There have been no fees or charges attached to this initiative," Mr Cooney said.
"Importantly, there will be a significant increase in funding to attract major events to Greater Bendigo across the financial year and build back our tourism economy, which will then benefit the tourism, accommodation and arts economies."
Mr Sharawara said the schedule of fixed costs that came with deferring rates was difficult to keep when hospitality businesses were unable to operate at full capacity.
"Continuing restrictions of one patron to two square metres limits the number of patrons allowed in the premises, makes it difficult to get back to normal trading," he said.
"Pubs have done all the right things and have been leaders in introducing and enforcing contact tracing and COVIDSafe plans.
"Charging rates on a business which is forced to shut is morally wrong and should be reversed. It beggars belief that the City of Greater Bendigo believes pubs should absorb all the fixed rate costs when forced to shut."
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Mr Cooney said council had been in discussion with hoteliers and hospitality businesses for the past year.
"Accommodation and hospitality are not the only sectors to be affected by COVID-19 and it would have been unfair to create a special response for one sector," he said.
"While council is acutely aware of the financial pressure many households and businesses are under, the community relies on the many services we provide and subsidise.
"Council is focused on facilitating a return to better trading conditions for the entire business community through investment in events, grants, services and critical community infrastructure."
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