CORANGAMITE Shire will “bite the bullet” and pay its $2.9 million superannuation liability early.
Council’s decision, made at a special meeting on Tuesday night, will save it $97,000.
The council had the option of making a full payment, partial payment or making no payment until July 1.
Mayor Chris O’Connor said in his time on council it had been the single most disruptive factor to the shire’s budget.
“We decided to bite the bullet and it will mean borrowing some (money) and cutting some programs,” he said.
Cr O’Connor said he expected the council to be presented with a list of programs that could be cut at the next council meeting in February.
He said there had been some indications given to some community groups about cuts but would not comment on which groups.
He said the superannuation liability would impact on the budget for the next two to three years and the council would look at putting money aside for future calls.
Glenelg Shire Council voted last month to pay early and save about $60,000.
Warrnambool City Council ($4.77m bill) will consider the issue in a few weeks, Moyne Shire Council ($2.79m) is likely to make a decision by March, while Southern Grampians ($2.87m) and Colac Otway ($3.1m) shires councils will also consider early payment.