Parking fine error could be $783,200

by Courtney O'Brien

Baw Baw Shire Council has not revealed how much the roll out of the parking infringement refund scheme will cost ratepayers, or what will happen to the mistakenly collected revenue if not refunded.

After over-collecting on seven different types of parking fines over a total of 17 years, an estimated 17,800 fines are eligible for a refund of between $13.50 and $61.

An average refund calculated at $44, amounts to about $783,200, mistakenly collected by council.

Council announced last week it was rolling out the refund scheme after an error was discovered. The cause of the error was unknown.

The cost of the investigation into the error, and the administrative, labour and technology costs associated with the scheme, which have been ongoing since August last year, have not been revealed.

"There is no additional associated cost to council as the refund scheme is being managed by council officers," planning and development director Luke Connell said.

With motorists needing to apply for a refund with multiple verifying documents - some from up to 24 years ago, many affected motorists may not seek a refund.
And, with no messaging beyond council's local channels, it is unlikely people from outside the shire, who've been overcharged, will find out about the scheme.
Council refused to comment on what will become of the revenue that is not refunded.
The refunds apply to periods between January 1, 2002 and June 30, 2010; and, between July 1, 2016 and August 4, 2025.
Between 2010 and 2016 motorists were not overcharged because the fine amount was adopted as part of council's annual fees and charges.
When The Gazette asked council why parking fines were delivered differently before and after the dates - from 2002 to 2010 and 2016 to 2025, Mr Connell stated: "for the periods where fines included an incorrect amount, the actual cause of this is unknown and any further comment on this would be speculation."
Council reported the maximum 0.5 penalty unit was applied to what should have been a 0.2 penalty unit, without a specific council resolution during the two periods.
To charge the higher rate council officers must seek council approval.
"A report must go to council recommending that an increased penalty unit be fixed for specific offences," Mr Connell said.
However, the report was not presented to council and fines were continued to be charged 0.3 penalty units above the requirement.
The Gazette asked how council could guarantee the same situation would not arise and what training, administrative changes and reviews council was undertaking to ensure compliance with legislation.
"Reviews of council's practices are ongoing to ensure compliance with legislation. It was such a review that led to the discovery of this issue, which council has been hard at work to rectify since its discovery."
In the first week of the scheme opening, council reported about 120 applications or less than one per cent, had been received. Affected motorists have 12 months to apply for a refund.