Mount Isa's Indigenous Housing Crisis: Families Face Homelessness as Forced Auctions Loom

Mount Isa is grappling with a looming social crisis as a significant number of Indigenous families face the very real threat of homelessness. Twenty-five properties, currently owned by the Aboriginal and Torres Strait Islander Corporation for Welfare Services (ATSICFWS), are scheduled for auction in September, a direct consequence of the organisation accumulating nearly $1 million in unpaid rates to the Mount Isa City Council. With 15 of these properties currently occupied, hundreds of residents are staring down an uncertain future.

A Call for Urgent Intervention

Victorian Senator Lidia Thorpe has stepped into the fray, vowing to fight the impending auctions. Speaking out after receiving numerous pleas from the community, Senator Thorpe highlighted the dire lack of housing alternatives in Mount Isa. "There are no other options for housing in Mount Isa," Senator Thorpe stated, criticising the current government response as insufficient, noting it primarily involves "sending some bureaucrats down to talk to people and provide information packs."

Senator Thorpe has urged both the Queensland and federal governments to combine efforts and financial resources to resolve the outstanding debt. "It's not a lot of money for the Queensland and federal governments … Why can't those two come together, raise a million dollars and get on with it?" she questioned, underscoring the broader national housing and homelessness crisis.

Council's Stance: Legal Obligations vs. Compassion

Mount Isa City Council Mayor Peta MacCrae has robustly defended the council's decision, citing legal obligations. Cr MacCrae clarified that while the auctions were initially planned for July, the September date was due to the unavailability of an auctioneer, not a postponement for deliberation. "We're not in the business of wanting people out of their houses," Cr MacCrae affirmed, but stressed the council's limited legal options: "Legally, we have two options — either auction the property, or we can write off the rates, and we have absolutely no intention of writing off the rates."

The Mayor expressed openness to an alternative solution if presented by other levels of government and also called for stronger oversight of Indigenous corporations to prevent similar situations from reaching crisis point in the future.

Governments Respond, But No Debt Solution Yet

Both the federal and Queensland governments have acknowledged the gravity of the situation but have yet to commit to covering the substantial debt. A spokesperson for Indigenous Australians Minister Malarndirri McCarthy confirmed ongoing discussions between the minister, Queensland Housing Minister Sam O'Connor, and Mount Isa City Council Mayor Peta MacCrae. "The situation in Mount Isa is very concerning," the spokesperson said, adding that the National Indigenous Australians Agency (NIAA) is working with tenants to provide support options and collaborate with the Queensland government.

Similarly, a Queensland Department of Housing and Public Works spokesperson stated that their priority remains supporting impacted tenants, with all affected individuals who sought assistance placed on the social housing waitlist. However, with an average wait time of two years for social housing in the region, and an already tight private rental market, the future for these families remains precarious.

Understanding the Regulatory Framework

The Office of the Registrar of Indigenous Corporations (ORIC) has also been drawn into the debate, with community concern regarding its role. An ORIC spokesperson acknowledged the "angst and confusion" but rejected criticisms of regulatory inaction. They clarified that ATSICFWS is not mandated to report to ORIC on its housing services, tenancy management, or asset management activities. "A regulator intervening whenever management is performing poorly would effectively transfer responsibility from directors to regulators, which is not how Australia's corporate governance framework is designed to operate," the spokesperson explained, highlighting the boundaries of ORIC's jurisdiction.

The Human Cost and Looming Deadline

For the tenants, many of whom continued paying rent until news of ATSICFWS's collapse earlier this year, the complexities of corporate governance and inter-governmental responsibility are mere technicalities. The immediate threat is the loss of their homes, with ATSICFWS allegedly ceasing rate payments in 2017. As the September deadline approaches, the pressure mounts on all parties to find a compassionate and viable solution.

Senator Thorpe's final warning reverberates through the crisis: "We need to be talking about this as a nation. We have a homelessness crisis. We have a housing crisis. And the more we sell off to private developers or put in the private market, where do people go?"