For the second time in as many months, the retirement village sector faces an uphill battle with a branch of government not understanding or appreciating what the sector offers ageing Australians, or the communities they remain a part of.
In March this year, we wrote extensively on potential aged care reforms that could trigger mandatory liquidity ratios on aged care operators who also own and operate retirement villages.
At the time, it was referred to as Government over-reach, with a federal branch of Government regulating what has always been part of State jurisdictions.
Now we have an example of local government failing to recognise the role of retirement villages in their communities with Cairns Regional Council proposing a minimum rates charge per independent living unit in a retirement village, or per home in a land lease community, equating to up to an 800% increase, year on year.
The above letter to the Editor, written by Judy Holzheimer, a resident of Oak Tree Retirement Village in Cairns, once again demonstrates a lack of understanding about retirement villages.
The second paragraph calls out the mayor and councillors in Cairns for showing “no real concept of the purpose of a retirement village”.
The peak body for village operators, the Retirement Living Council, is incensed. That the Council is unwilling to talk does not help matters.
For more than two decades, the sector has faced an uphill battle with various branches of government. From planning reforms through to regulatory reforms across the country. It is vital that villages are viewed as an integral part of the greater community, and a valuable support service for older people.
When it comes to liquidity ratios, despite lobbying from Ageing Australia and the Retirement Living Council, this matter is still unresolved for operators.
If Cairns Regional Council goes ahead with charging rates on each retirement living unit or land lease home, it may lead to other cash-strapped Councils taking similar aggressive action.
It’s time for the sector to mobilise. Whether this latest push by residents and the Retirement Living Council will sway the Council remains to be seen – but the sector can’t afford to stay quiet any longer.
