Emergency rent waiver could impact Council services
COUNCIL will consider waiving rent owed by community and sporting organisations struggling with the impacts of COVID-19.
But like any other landlord considering their options in these tough times it could be a risky move.
For Coffs Harbour City Council the decision to waive rent could impact their ability to provide ongoing services to the community.
A report to be considered by Councillors on Thursday night recommends a 100 per cent rent waiver for tenants identified as community or sporting organisations for the period July 1 to September 30 at a cost of $52,197.78.
Commercial and airport tenants will be asked to provide information to allow Council to determine the level of assistance needed.
Council is a landlord for many organisations and businesses throughout the Local Government Area and has already implemented assistance for business and community groups that have been adversely affected.
This latest rent waiver will put further strain on Council's ability to provide services.
The impact on Council's Delivery Program and Operational Plan for the 2020/21 financial year is estimated to be a minimum of $52,197.78 up to a total of $275,032.36.
But if Council does not provide the waiver it could mean that some community groups and businesses that occupy Council owned and managed properties may not be able to continue trading at the conclusion of the COVID-19 pandemic.
This would not only be detrimental to those businesses but also to Council with a high level of vacancy of rental properties into the future.
Council also has access to a number of Federal Government stimulus packages to assist including $1.38m from the Local Roads and Community Infrastructure Program.
From this fund Councillors will consider allocating $600,000 towards the Jetty Foreshores Stage 5 Carpark Project and $782,096 for the North Coast Regional Botanic Garden Glasshouse Project.