The lobby group whose submission to the State Government has led to a referendum on de-amalgamation of the Douglas region has welcomed last week's announcement, but have concerns over the figures presented by the Queensland Treasury Corporation (QTC).

Friends Of Douglas Shire Spokesperson Robert Hanan shared his reaction with The Newsport on Thursday (the day of the announcement), admitting at the time the group had not yet had the opportunity to review the Queensland Boundaries Commissioner Proposed Douglas De-amalgamation Report.

"Initially we were delighted. There is a few spikes on the road, but what we need to do now is come to some mutually satisfactory position with Queensland Treasury in relation to what exactly the figures are," Mr Hanan said.

The figures Mr Hanan refers to are predominantly the costs associated with de-amalgamation.

In their submission to the State Government, FODS estimated the cost for the Douglas region to break away from Cairns Regional Council was between $3.7 million to $4.1 million.

However, the Minister for Local Government David Crisafulli told The Newsport on Thursday that, after analysing figures provided by FODS and Cairns Regional Council, QTC had put the cost at over $8.1 million.

"Crisafulli has asked us to look at where we think we can make savings, and where we can generate income," Mr Hanan said.

"One of things we would certainly look at is the reintroduction of the levy (on residential investment properties) so we can then guarantee (the future of) Tourism Port Douglas Daintree and have control over our own marketing."

According to Mr Hanan, prior to amalgamation with Cairns Regional Council, the levy generated almost $500,000 annually.

The Boundaries Commissioner report said the impact on Douglas ratepayers in a de-amalgamated region would be significant with an extra $701 per ratepayer in the first year and ongoing costs of an extra $462 per ratepayer every year thereafter, rising with inflation.

VIEW THE QUEENSLAND BOUNDARIES COMMISSIONER PROPOSED DOUGLAS DE-AMALGAMATION REPORT HERE

These are figures that could be a deal-breaker for property owners already burdoned by high rate costs, with many unit owners still coming to terms with escalating body corporate insurance premiums.

Acknowledging the challenges such increases would present the de-amalgamation bid, Mr Hanan said efforts would be made to work with QTC to review some of the figures in the report.

"We have to look carefully at how that figure was arrived at. If we can get it down to between where we were ($3.7 million) and the $8 million, if we can meet somewhere in the middle, that impact becomes less and less.

"If QTC says it's going to be $700 that's probably going to put a lot of people off. But if we can argue the case that it can be done for $200-$300 (the impact would be lessened)."

To the simple question of why people should vote for de-amalgamation, Mr Hanan replied: "It's still the same old thing, self-determination. We determine where the money is being spent.
 
"You'll have a much healthier economic community if the money stays here."

Mr Crisifulli approved the referendum for the Douglas region despite a recommendation from Boundaries Commissioner Col Meng who reported that the chance a re-formed Douglas Shire Council would be sustainable was "highly unlikely".