Ballina’s hospitality sector is breathing a sigh of relief after council voted to reverse a steep hike in outdoor dining fees which some say would have forced them to close.

Many café owners choked when they opened their rate notices to find the charges for placing tables and chairs on footpaths had more than tripled from last year – on top of the Special Rate Variation applied to all property owners in the Shire.

The shock prompted accusations of poor communication and a lack of transparency from within council itself.

Mayor Sharon Cadwallader has publicly apologised. She said councillors were just as surprised as business owners.

“It sent shockwaves through our hospitality community,” she said.

“We’re in the middle of winter. Businesses are doing it tough. And to receive invoices up to three times more than last year was unacceptable.”

The new charges were based on a per-square-metre rate and formed part of this year’s budget. But councillors now say that detail was not clearly explained.

“There was a gap in communication,” Cr Cadwallader said.

“We had no idea it would hit businesses this hard.”

Cr Michelle Bailey, President of the Lennox Head Chamber of Commerce, described the increases as staggering.

“Some went from $1,000 to $3,300,” she said.

“One small café with just eight outdoor chairs saw their bill jump to more than $2,000.”

Cr Bailey (pictured above) said councillors believed they were approving a flat increase. Instead, they were endorsing a per-square-metre charge.

“We genuinely thought we were capping the rate, not tripling it,” she said.

Cr Bailey stepped aside from the council debate after declaring a conflict of interest, due to her Business Lennox role.

However, she worked behind the scenes to rally support for urgent action.

After reviewing the issue, councillors voted unanimously to void the original invoices.

A new plan will phase in a 10 per cent increase annually over the next five years.

“Everyone was horrified,” Cr Bailey said. “We would never have approved that kind of increase if we’d known the impact.”

Even so, some business owners say the revised plan still doesn’t go far enough.

“You’d think, with retail and hospo struggling, Ballina Shire Council would take a leaf out of Lismore’s book and waive fees until the economy improves,” one café owner said.

Council will now send out fresh rate notices, adding to its administrative costs.

Mayor Cadwallader acknowledged the toll.

“There is obviously a cost involved,” she said.

“It would have been far better to avoid the stress this has caused, both for business owners and for council.”

Councillors say they will now examine future proposals more carefully.