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Central Darling Shire Council addresses Sale of land for unpaid rates at April meeting

Back Country Bulletin

Kimberly Grabham

01 May 2025, 8:00 PM

Central Darling Shire Council addresses Sale of land for unpaid rates at April meeting

Central Darling Shire Council, like all local government bodies across New South Wales, faces the challenge of managing unpaid rates.


A standard, albeit serious, procedure available to councils for recovering long-overdue rates involves the sale of the land itself.


This process, governed by state legislation, was a point of discussion at the April meeting of the Central Darling Shire Council.


A report on the sale of land for unpaid rates was presented and noted by the Council members.


The report provided an update on the progress of this process.


It was mentioned that the necessary documents for the sale were being prepared.


However, at the time of the April meeting, these documents were not yet ready for signing.


The update indicated that the documentation was expected to be ready for the next month's meeting.


The primary purpose of this report was simply to inform the Council of the current status of these land sales.


After reviewing the report, the Council resolved to formally receive the report.


Recognising the ongoing nature of this process, the Council also decided on a path forward for future updates.


It was resolved that bi-monthly reports on the sale of land for unpaid rates would continue.


These regular updates are set to carry on until the contracts of sale are completed and the entire sale process is finalised.


Under the Local Government Act 1993 (NSW), councils have the power to sell land if rates and charges have been outstanding for a specified period (currently five years, though there are provisions for shorter periods under certain circumstances).


Selling land for unpaid rates is typically a last resort, pursued only after a council has exhausted other debt recovery options, such as payment arrangements, legal action, or placing a charge on the property.


There is a strict legal process that must be followed, including providing numerous notices to the landowner, advertising requirements, and often involving court proceedings.


When land is sold, the proceeds are first used to cover the outstanding rates, charges, interest, and all costs associated with the sale (legal fees, advertising, etc.).


Any remaining surplus funds must be paid to the former landowner or, if they cannot be located, held in trust by the council.


For the Central Darling Shire Council, the April report served as a confirmation that the process of recovering significant unpaid rates through land sales is moving forward, albeit with documents still pending at that specific time.


The commitment to bi-monthly reports ensures that councillors will be kept regularly informed until these matters are brought to a conclusion .



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