IN THE NEWS - Articles, opinions & Council matters
Have Your Say on Northern Beaches Council Budget 24/25
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"The draft Northern Beaches Council 2024/25 budget has a focus on resilience and sustainability, prioritising projects and services that support and strengthen our community and environment.
The 2024/25 draft budget projects total expenditure of $526 million, including a capital works program of $101 million with $40 million in asset renewal to improve the overall condition of our assets and to reduce ongoing operational costs associated with asset repair and maintenance. A further $61 million will deliver high priority new assets to the community. It forecasts an operating deficit before capital grants and contributions of $5.8 million.
Capital works program highlights include:
“The proposed budget balances the need to respond to the increasing occurrence of storms, floods and coastal erosion, and their impact on infrastructure, while maintaining services and activities valued by our community.
"It will deliver some important projects including stormwater management works to reduce flooding and pollution, flood mitigation works on Wakehurst Parkway, trials of circular economy initiatives for reuse, repair and recycling of household items, critical structural repairs to rockpools and improvements in roads, footpaths, playgrounds and sporting fields.
“However, Council is not immune to growing pressure on our financial sustainability and the rising costs of materials, contracts, and construction. The COVID-19 pandemic and six natural disasters have also eaten into our budget, to the tune of millions of dollars.
“The significant cost shifting from other arms of government, such as the 50% increase in the Emergency Services Levy to $9.3 million per year, is adding to this financial pressure.
“The State Government sets the limit for rates increases each year, however the cost of providing council services and community infrastructure has increased by more than this each year. Over the past 3 years inflation has increased by 16.8% – more than double the 7.2% increase in rates income over the same period – this is an accumulative gap of $18 million.
“We continue to work hard to find ways to offset cost pressures while maintaining our services and assets. In recent years we have reviewed fees, found efficiency gains and cost savings, including over $2.4 million in efficiency savings in the last two years and within this proposed budget.
“In planning for the future, we are committed to working with our community on a way forward to ensure we can maintain our services and infrastructure in a sustainable way.
“I encourage the community to get involved and have their say online or by attending one of the information sessions.”
Submissions are open from 3 May to 2 June".
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"The draft Northern Beaches Council 2024/25 budget has a focus on resilience and sustainability, prioritising projects and services that support and strengthen our community and environment.
The 2024/25 draft budget projects total expenditure of $526 million, including a capital works program of $101 million with $40 million in asset renewal to improve the overall condition of our assets and to reduce ongoing operational costs associated with asset repair and maintenance. A further $61 million will deliver high priority new assets to the community. It forecasts an operating deficit before capital grants and contributions of $5.8 million.
Capital works program highlights include:
- $23.2m for new community facilities including Warriewood Valley community centre ($16.7m) and Warringah Recreation Centre ($2.2m)
- $16.4m on improving road assets including $7.1m to resurface 4.8km of roads
- $10.1m towards priority stormwater management works to reduce flooding and pollution
- $5.8m on cycleways including the pedestrian and cyclist bridge at Queenscliff ($3m)
- $5.2m for new and improved footpaths and walkways which includes:
- a section of the Coast Walk
- the Queenscliff Headland access ramp
- $2.8m to deliver 5km of footpaths across 14 suburbs - $3.5m improving sports fields and new recreation facilities
- $3.4m improving foreshores at various locations, including implementation of the Freshwater Beach masterplan ($1.5m)
- $3.3m on new and improved reserves and playgrounds including Frenchs Forest precinct park upgrade ($1.5m)
- $3.3m to continue the Collaroy-Narrabeen coastal protection works
- $2.2m for work on Taylors Point and design of Greater Mackerel Beach and Currawong wharves
- $2m improving recreational trails, including a new Manly Dam boardwalk ($1.5m)
- $1.8m improving public amenities at Freshwater Beach and West Esplanade, Manly
- $1.7m on town centre and village upgrades
“The proposed budget balances the need to respond to the increasing occurrence of storms, floods and coastal erosion, and their impact on infrastructure, while maintaining services and activities valued by our community.
"It will deliver some important projects including stormwater management works to reduce flooding and pollution, flood mitigation works on Wakehurst Parkway, trials of circular economy initiatives for reuse, repair and recycling of household items, critical structural repairs to rockpools and improvements in roads, footpaths, playgrounds and sporting fields.
“However, Council is not immune to growing pressure on our financial sustainability and the rising costs of materials, contracts, and construction. The COVID-19 pandemic and six natural disasters have also eaten into our budget, to the tune of millions of dollars.
“The significant cost shifting from other arms of government, such as the 50% increase in the Emergency Services Levy to $9.3 million per year, is adding to this financial pressure.
“The State Government sets the limit for rates increases each year, however the cost of providing council services and community infrastructure has increased by more than this each year. Over the past 3 years inflation has increased by 16.8% – more than double the 7.2% increase in rates income over the same period – this is an accumulative gap of $18 million.
“We continue to work hard to find ways to offset cost pressures while maintaining our services and assets. In recent years we have reviewed fees, found efficiency gains and cost savings, including over $2.4 million in efficiency savings in the last two years and within this proposed budget.
“In planning for the future, we are committed to working with our community on a way forward to ensure we can maintain our services and infrastructure in a sustainable way.
“I encourage the community to get involved and have their say online or by attending one of the information sessions.”
Submissions are open from 3 May to 2 June".
Thursday 6 June 2024, 6 - 7pm
Newport Community Centre – Main Hall, 11-13 The Boulevarde, Newport
Northern Beaches Council is hosting information sessions for residents on the NSW government’s proposals to increase housing heights and density on the Northern Beaches.
- Council has called on the government to scrap the proposals due to the anticipated scale of proposed development having long lasting environmental and social impacts for the local area.
- Mayor Sue Heins encouraged local residents to attend an information session to understand what the proposals would mean for them.
- “We want to be part of the solution to Sydney’s housing crisis, but we cannot support this one-size-fits-all approach to housing density which will put inappropriate housing in inappropriate locations and take away Council’s ability to properly and strategically plan for growth in our area,” Mayor Heins said.
- “We’ll see increased pressure on our already struggling roads, public transport and community infrastructure, and in some areas see a reduction in trees and heritage protection.
- “I encourage residents to register to attend one of the sessions to learn more about what is proposed, how it will affect you and what you can do about it.”
- The sessions will be hosted by Council Planning staff who will host one event in each of the 5 Council wards. The events are free but online registration is essential.
COUNCIL DEMERGER A DEAD DUCK:
LACK OF GOVERNMENT FUNDING THWARTS COUNCIL DE-AMALGAMATION
3 May 2024 I Local Government
Kelvin Auld
MAIN POINTS
The NSW Government decision not to fund Council de-amalgamations (demergers) will make it "virtually impossible", for Councils wishing to de-amalgamate, according to Local Government NSW (LGNSW).
President of LGNSW Councillor Darriea Turley said,
LACK OF GOVERNMENT FUNDING THWARTS COUNCIL DE-AMALGAMATION
3 May 2024 I Local Government
Kelvin Auld
MAIN POINTS
- The Government's council de-amalgamation bill passed both houses of parliament on 9 May 2024 and will become law.
- De-amalgamation of Northern Beaches Council into three would be practically impossible without Government paying for the demerger costs. There is also a costly de-amalgamation process to navigate. That's the message from Local Government NSW, local government's peak body representing NSW Councils.
- Northern Beaches ratepayer's aren't going to cop the cost of Council demerger. Figures of $150-190m or more have been mentioned. Of course these amounts need clarification.
- The money is simply not there. Government and Council are "financially constrained" (skint).
- In relation to demerger, there doesn't appear to be groundswell of community opinion across the Northern Beaches calling for de-amalgamation of Council into three separate councils. Community opinions are mixed and there is no consensus.
- A cost effective poll or survey of community opinion may help clarify the matter. However, community members say they would want to see the business case and "pros" and "cons" of a viable Council de-amalgamation proposal before they express their opinion or vote on the issue.
- It is noted the new de-amalgamation legislation would require a Council led proposal with a viable business case to de-amalgamate Northern Beaches Council prior to the community formally voting on it.
- Community members are yet to be convinced Council de-amalgamation is the right move at this time given the uncertainty and costs to ratepayers. The main questions are asking is, "Why split Northern Beaches Council anyway?", What are the costs?", "What are the pros and cons? and "How much would rates go up to pay for Council de-amalgamation?".
- De-amalgamation is not a practical option. Demerger of Northern Beaches Council into three would be practically impossible because there is simply no Government money and a costly and uncertain de-amalgamation process to navigate. That's the clear message from Local Government NSW.
- It's time for a major Council restructure with revised priorities. A restructure could also include ward based community boards and precinct committees like those in North Sydney to improve representation.
The NSW Government decision not to fund Council de-amalgamations (demergers) will make it "virtually impossible", for Councils wishing to de-amalgamate, according to Local Government NSW (LGNSW).
President of LGNSW Councillor Darriea Turley said,
- "its very disappointing that Councils should have to carry the financial burden of unravelling amalgamated Councils".
- "de-amalgamating larger Councils may cost as much as $150 million, money which Councils just do not have".
- "if Councils choose to de-amalgamate, they will need to prepare a business case to be approved by the Minister for Local Government, and then hold a plebiscite of the local community". (See diagram above showing de-amalgamation process)
- "Only then will the Council de-amalgamation be able to take place".
De-amalgamation of Northern Beaches Council into three would be practically impossible because there is simply no Government money and a costly and uncertain de-amalgamation process to navigate. That's the message from Local Government NSW.
Anyway, there is no pressing groundswell of community opinion across the Northern Beaches calling for de-amalgamation of Council into three councils. There are a range of local community opinions on the performance of Northern Beaches Council and urgent need for change but there is no apparent community consensus "demanding" the de-amalgamation of Council; not even from Pittwater it seems.
A cost effective survey of community opinion may help to clarify the matter. However community members want to know the pros and cons of a possible Council de-amalgamation before they express their opinion or vote on the issue. Community members want to make an informed decision, not so much a political or ideological one. They are concerned about the de-amalgamation costs that ratepayers will need to fully fund. What are the real pros and cons impacting the community not so much the perceived political, historical or sentimental ones.
Pittwater Council was on balance a good Council and should not have been amalgamated. Its loss together with that of Mona Vale Hospital, was a shock to the community and community identity. Now there are pressing and immediate issues facing Pittwater and Northern Beaches, especially the Government's:
There have been significant unforeseeable changes impacting NSW Local Government and communities since 2016, apart from amalgamations. The list includes change of Governments, tight budgets, Covid pandemic, major weather events, high inflation, rising interest rates, hike in construction costs, cost of living and housing crisis, a per capita recession, jump in population growth, building companies and other businesses folding, major "reforms" of the planning system that have reduced the power of Local Council in all aspects of planning and significant cost (and responsibility) shifting from Government.
TAKEAWAYS
The majority of NSW Councils are under pressure to increase rates and/or change priorities with cuts to some services and projects. Northern Beaches Council is not alone. The majority of NSW Councils are facing similar challenges. Pittwater Council would have found itself in exactly the same position.
Community members are increasingly concerned about the campaign to split Northern Beaches Council given the current economic climate and the Government's onerous and expensive de-amalgamation process. Main concerns include the high cost of de-amalgamation that ratepayers must pay for, a long drawn out divisive process and disruption to Council administration, services and works. All with an uncertain outcome.
The millions of dollars of ratepayer's money involved, even if the money was available, would be much better spent on much needed local infrastructure and affordable housing. One estimate for de-amalgamation was around $150m or more.
It would appear easier to make changes to the Council structure, operations and priorities than split it into three. Options such as ward based boards and precinct committees like those in Randwick and North Sydney are probably the way to go.
De-amalgamation is not a practical option under the Government's long and expensive procedure shown in the diagram below. On top of that ratepayer's would have to foot the excessive bill for the actual Council demerger. They don't want to.
Procedural amendments to the Government's Local Government Amendment (De-amalgamation) bill 2024 won't make much difference if the insurmountable problem is lack of money. Significantly the Government hasn't budgeted for Council demergers in the 2023-24 NSW State Budget.
CONCLUSION
Note: The views expressed are those of the author. Draft for community discussion.
Kelvin Auld has expertise and experience in corporate management, HRM and organizational change (private sector), local and state government administration and policy, environmental policy and impact assessment and urban planning and development.
Notes
1. Diagram below shows the Government's "Proposed De-amalgamation Process".
2. Council has resolved to investigate the pros and cons of possible de-amalgamation and seeking informed community feedback on the impacts and considering the idea of a formal poll. Resolution below.
3. Have your say on the 2024/25 Counci's draft budget. Click On Image.
Anyway, there is no pressing groundswell of community opinion across the Northern Beaches calling for de-amalgamation of Council into three councils. There are a range of local community opinions on the performance of Northern Beaches Council and urgent need for change but there is no apparent community consensus "demanding" the de-amalgamation of Council; not even from Pittwater it seems.
A cost effective survey of community opinion may help to clarify the matter. However community members want to know the pros and cons of a possible Council de-amalgamation before they express their opinion or vote on the issue. Community members want to make an informed decision, not so much a political or ideological one. They are concerned about the de-amalgamation costs that ratepayers will need to fully fund. What are the real pros and cons impacting the community not so much the perceived political, historical or sentimental ones.
Pittwater Council was on balance a good Council and should not have been amalgamated. Its loss together with that of Mona Vale Hospital, was a shock to the community and community identity. Now there are pressing and immediate issues facing Pittwater and Northern Beaches, especially the Government's:
- Unprecedented undermining of Local Government,
- Significant shifting of costs and responsibilities to Local Government,
- Undermining Council planning strategies, planned urban growth and community-led planning via local government.
- Targeting Northern Beaches and Pittwater for unplanned high density development and unsustainable growth without the necessary infrastructure and human services.
- Council's draft budget 2024-25 blow-out. clearly immediate and medium term measures are necessary to control spending. Ultimately a Council restructure based on radically revised priorities is probably called for.
- De-amalgamation is not a practical option at this time. Anyway the de-amalgamation proponents have yet to provide the community with a tangible proposal to consider.
There have been significant unforeseeable changes impacting NSW Local Government and communities since 2016, apart from amalgamations. The list includes change of Governments, tight budgets, Covid pandemic, major weather events, high inflation, rising interest rates, hike in construction costs, cost of living and housing crisis, a per capita recession, jump in population growth, building companies and other businesses folding, major "reforms" of the planning system that have reduced the power of Local Council in all aspects of planning and significant cost (and responsibility) shifting from Government.
TAKEAWAYS
The majority of NSW Councils are under pressure to increase rates and/or change priorities with cuts to some services and projects. Northern Beaches Council is not alone. The majority of NSW Councils are facing similar challenges. Pittwater Council would have found itself in exactly the same position.
Community members are increasingly concerned about the campaign to split Northern Beaches Council given the current economic climate and the Government's onerous and expensive de-amalgamation process. Main concerns include the high cost of de-amalgamation that ratepayers must pay for, a long drawn out divisive process and disruption to Council administration, services and works. All with an uncertain outcome.
The millions of dollars of ratepayer's money involved, even if the money was available, would be much better spent on much needed local infrastructure and affordable housing. One estimate for de-amalgamation was around $150m or more.
It would appear easier to make changes to the Council structure, operations and priorities than split it into three. Options such as ward based boards and precinct committees like those in Randwick and North Sydney are probably the way to go.
De-amalgamation is not a practical option under the Government's long and expensive procedure shown in the diagram below. On top of that ratepayer's would have to foot the excessive bill for the actual Council demerger. They don't want to.
Procedural amendments to the Government's Local Government Amendment (De-amalgamation) bill 2024 won't make much difference if the insurmountable problem is lack of money. Significantly the Government hasn't budgeted for Council demergers in the 2023-24 NSW State Budget.
CONCLUSION
- The money simply isn't there for Council de-amalgamation.
- The de-amalgamation process is too expensive with uncertain outcomes.
- There is no widespread groundswell of community opinion across the Northern Beaches "demanding" or "calling for" de-amalgamation of Council into three councils
- It's the democratic right of all registered voters within the Northern Beaches LGA to have a say on any proposal to de-amalgamate the Council into separate local Councils. However
- No viable proposal as been developed by so far by the de-amalgamation proponents for the community to consider.
- Focus instead on adapting the Council organisational structure, operations and priorities including the establishment of ward based community boards and formal precinct committees like those in North Sydney to improve local representation.
Note: The views expressed are those of the author. Draft for community discussion.
Kelvin Auld has expertise and experience in corporate management, HRM and organizational change (private sector), local and state government administration and policy, environmental policy and impact assessment and urban planning and development.
Notes
1. Diagram below shows the Government's "Proposed De-amalgamation Process".
2. Council has resolved to investigate the pros and cons of possible de-amalgamation and seeking informed community feedback on the impacts and considering the idea of a formal poll. Resolution below.
3. Have your say on the 2024/25 Counci's draft budget. Click On Image.
Council dead broke
May 1, 2024 | Government
Northern Beaches Council will be taking $4.6m from dead people to help pay the bills next year.
Discussion of the proposed 2024/25 budget was anything but ‘dead’ at last night’s meeting (Tuesday, 30 April) of Northern Beaches Council. The lively debate saw Liberal Councillors vote against the proposed budget going on public exhibition, and revealed a budget black hole of $5.8m.
In a series of increasingly astonishing revelations, it came to light that in order to cover the expected $5.8m budget deficit and a shortfall on infrastructure funding, Council will propose a rate rise of up to 20 percent over and above any rise approved by IPART. Council will also seek to balance the books by taking $4.6m from the Mona Vale Cemetery fund.
With family budgets stretched by cost of living pressures, Council also revealed it plans to spend $5m on 5km of new footpaths. In response to Councillor questions about the astonishing figure, a Council staff member said the $1,000 per metre ‘planned cost’ of footpaths was a ‘conservative estimate’.
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