Mount Isa City Council to Auction 25 Indigenous Housing Properties Over Unpaid Rates
Mount Isa, QLD – The Mount Isa City Council will auction 25 properties owned by the Aboriginal and Torres Strait Islander Corporation for Welfare Services (ATSICFWS) starting July 1, 2026, due to nearly $1 million in unpaid rates accumulated over five years. Of these properties, 15 are currently occupied.
Background
The corporation, registered under Virginia Mayo, has a history of noncompliance with the Office of the Registrar of Indigenous Corporations (ORIC).
In 2025, ORIC issued a $15,000 penalty for failing to lodge financial reports dating back to 2018.
In a separate 2013 case, the Federal Court found that former chairwoman Leigh Kerkhoffs improperly wrote off approximately $380,000 in rent debts—including her own debt of over $23,000.
Statements
Kerry Major, tenant
Ms Major, who has lived without hot water for years, expressed deep concern about becoming homeless with her family.
"I cannot afford private rental," she said. "We may have to live in a tent."
Mount Isa City Council CEO Tim Rose
Mr. Rose acknowledged the potential for homelessness but stated the council had extended time frames and that ATSICFWS has not engaged to resolve the matter.
"We cannot ignore the debt," he said.
Queensland Department of Housing and Public Works
The department stated that Indigenous housing is primarily a federal responsibility, but it is assisting tenants through housing options and is working with the National Indigenous Australians Agency (NIAA).
National Indigenous Australians Agency (NIAA)
The NIAA confirmed it is working with the state government but noted that Indigenous housing responsibility transferred from the Commonwealth to the states in 2009.
Current Status
Despite years of noncompliance, the corporation remains registered. ORIC declined to comment on the specific chronology but stated it uses a graduated compliance approach.
Implications
Residents of the 15 occupied properties face possible eviction. Affected tenants include Ms Major and her family. The council has not received a response from ATSICFWS.
Key takeaway:
Nearly $1 million in unpaid rates over five years has triggered the forced sale of 25 properties, with 15 families at risk of losing their homes.