I would like to thank John for raising the issue of council amalgamations for consideration by NAC residents.
Much of what he says about council mergers is correct, however, does not address the question why consider mergers in the first place.
The answer is very simple. The state government, who are councils' masters, have required all councils to do exactly that.
All councils have been “audited” by treasury, an expert panel and 2 reports produced. The first, the treasury report assessed all councils as to their sustainability now and into the future. They were given a rating of good, moderate, weak or distressed. Along the coast from Newcastle to the Qld border only 3 councils were considered moderate now and into the future: Port Stephens, Great Lakes and another one up near Coffs. The rest were either moderate or weak now and going to be weak or distressed into the future. Other than Port Stephens, the other 3 councils adjoining us (Dungog, Gloucester and Taree) were considered to be weak and probably distressed into the future.
The expert panel investigated the future of the councils and produced a report Fit for the Future and made recommendations on how councils could become fit for the future. It suggested a greater regional focus through collaboration with adjoining councils as we already do with the Hunter Region of councils. It also suggested possible mergers. Although Port Stephens and Great Lakes were considered “fit for the future”, it recommended that Dungog, Gloucester and Taree need to seriously examine mergers to overcome their problems. Taree should be in a sound position but for some reason is not and was ranked in the list of poorest performing councils.
Dungog was recommended to go with Maitland. Gloucester with us and perhaps an even bigger entity also with Taree. The panel did recommended that PSC could stand alone as amalgamation with either Newcastle or Dungog would drag them down. The panel viewed that Great Lakes could strengthen Gloucester and help Taree into the future. There was no consideration given to the merging of Great Lakes and Port Stephens (probably because there was no advantage in amalgamating 2 sound councils).
Great Lakes could stand alone, but Gloucester was asked to approach GLC and Taree or face intervention later this year. After discussions, Gloucester and GLC agreed to explore “merger” constraints and possibilities and received grant funding for expert consultants to provide a report to the two councils. Neither council wishes to merge and it is not a matter of either council wanting to take over the other. The preferred option is for us to stand alone. Once the report is received Council will be placing the report on exhibition and seeking community feedback. As far as the councillors are concerned, the report would have to be very compelling for us to amalgamate voluntarily.
The Fit for the Future report is available on the Local Government website. It is well worth reading.
Cr Len Roberts
