Adelaide City Council could walk away from free city bus funding, festival sponsorships

Funding for Adelaide festival sponsorship, the CBD’s free City Loop bus service and even Christmas decorations could be cancelled under gaping hole on the City Council’s balance sheet.

CEO of Adelaide City Council, Mark Goldstone said the council needed to have a discussion with DPTI about the future of the city connector service. Photo Naomi Jellicoe

Sponsorship of the city’s biggest events, funding for community groups and Christmas in the CBD and a free bus service are under scrutiny as the Adelaide City Council looks to balance its budget.

The council is in draft budget talks as it has more than $22 million in potential projects on the table but only $15.7 million at its disposal to spend.

CEO Mark Goldstone said to fund new proposals and programs there needed to be some reprioritisation at Town Hall.

“There is no appetite and there is a limited ability for further borrowings so we really need to work within our limits,” he said.

To do this council staff have flagged scaling back its contribution to some of the biggest events in Adelaide.

As part of its sponsorship of the Fringe, the Adelaide Festival, Tasting Australia, the Superloop 500, the Tour Down Under, the council operates a “contestable fund”, reserved for additional funding proposals from the individual events.

Adelaide City Council CEO Mark Goldstone. Picture: Naomi Jellicoe

Council staff have said reducing this could save $191,000.

The council spends nearly $2 million a year on its festival and event management sponsorship program.

Cutting back on Christmas in the city would save $100,000, while removing CPI increase for community grants programs is also being mooted as a potential measure in the draft budget.

Lord Mayor Sandy Verschoor said she didn’t support the push.

“I don’t agree to the cuts to the festival and events sponsorships, nor those tiny cuts (to the community grants),” she said.

“I don’t think we should cut Christmas, I think it would have an impact on the retail of the city and I think if we did it properly it could have a big uplift for the city.”

Scott McLaughlin from Shell V Power Racing celebrates after winning the Superloop Adelaide 500. Picture: AAP Image/David Mariuz

Another cost-saving proposal is ending funding for the free city connector bus service, which runs on a daily inner-city loop and an extended loop around North Adelaide, and give it wholly to the State Government to run. This would save the council $915,000 a year.

However, Cr Robert Simms said it was a concerning proposition.

“This is a free community service, it should be prioritised,” he said.

Mr Goldstone said the council needed to have a conversation with the Transport Department about the future of the free service.

Cr Anne Moran said more money should go towards infrastructure upgrades, saying the city “looks a little tired”.

The council is set to push back a number of infrastructure programs, such as planned large scale upgrades of Jeffcott St to free up funds for some of the new initiatives.