Anthony Aitken criticises Geelong council’s budget process, questions proposed deficit

A last-minute move by a pair of Geelong councillors to push back the release of City Hall’s most important financial document added some spice to Tuesday night’s meeting.

Anthony Aitken and Stretch Kontelj were all smiles at the recent Geelong Manufacturing Council’s awards dinner. Those smiles were nowhere to be seen at Tuesday night’s council meeting. Picture: Supplied.

A Geelong councillor’s bid to halt the release of City Hall’s draft budget amid claims of a flawed process has been shot down despite some colleagues agreeing that the document needed significant work.

Anthony Aitken, supported by Melissa Cadwell, wanted to defer the release until the end of next week, but the last-minute move at Tuesday night’s meeting failed to gain any traction.

Raising the ire of mayor Stretch Kontelj, Mr Aitken, again with the support of Ms Cadwell, then attempted to introduce six amendments, none of which succeeded.

Upon the introduction of the final amendment that sought to ramp up council’s performance targets, an exasperated Mr Kontelj said: “It’s not even comprehensible what you’re asking … it makes sense to you, it makes no sense to me.”

Mr Aitken, as with others, said he only received the budget papers last Thursday, leaving him little time over Easter to satisfactorily digest the 122-page document.

The Corio ward councillor said he had many unanswered questions and that the public consultation period should be delayed.

He also questioned the logic of a $3.4m deficit, rather than a small surplus.

“I have been involved in 16 budgets as a local councillor and this budget at this point in time, I feel the most ill-informed that I have ever been, I feel rushed,” Mr Aitken said.

“The current budget as it stands does not reflect my values as a councillor and does not, I believe, reflect the values of the community I represent in the northern suburbs.”

Ms Cadwell echoed those views, saying she had not had sufficient time to make informed decisions.

“There are numerous questions from councillors (to city officers) that are still outstanding and I’d feel far more confident in the budget if those questions were answered before being released to the public,” she said.

Geelong council’s Anthony Aitken, Stretch Kontelj and Melissa Cadwell.

Mr Kontelj said there were many moving parts, notably funding commitments from both major parties during the federal election campaign and uncertainty over whether City Hall would continue to provide in-home aged care.

“It is certainly my wish that we still end up with a surplus budget,” he said.

A push by Mr Kontelj and deputy mayor Ron Nelson to freeze rates fell flat, but the proposed 2.5 per cent increase is below the state government’s 3 per cent cap.

The average annual residential rate bill is expected to rise $38.60 to $1583 and just shy of half of the $725.8m in total revenue will be derived from rates and charges.

Despite uncertainty surrounding the future of the G21 alliance, $338,750 has been allocated to the advocacy organisation in 2025-26.

But with the G21 board to meet next month to “discuss future arrangements”, that funding could be subject to change.

Councillors Eddy Kontelj, Ron Nelson, Elise Wilkinson, Chris Burson and Emma Sinclair all cited concern about certain aspects of the budget, but their prevailing position was to commence community feedback sooner rather than later.

“This is not a perfect budget, there’s no doubt about it,” Ms Wilkinson said.

Public consultation on the draft budget ends May 21.

EARLIER: Free parking, asset sales headline City Hall FY26 budget

The sale of the former Geelong saleyards site, free CBD parking and a four-year borrowing freeze form part of City Hall’s draft budget for 2025-26.

Geelong mayor Stretch Kontelj said the document, brought forward at Tuesday night’s council meeting and subject to public consultation before its formal endorsement in June, reflected his aim to implement structural reform of the city’s coffers.

Money reaped from offloading assets deemed surplus to requirements is expected to drive down debt, albeit not at Mr Kontelj’s preferred pace.

Close to $15m is forecast to come from the sale of land that includes the Saleyards site at 125 Weddell Rd in North Geelong, expected to generate $7.2m, and an 11,190 sqm reserve at 11 McHarry Court in Corio for $2.5m.

Expected to bring in a further $1m is the sale of land opposite Drysdale cemetery at 21-25 Oakden Rd.

The Geelong saleyards permanently closed to the sale of sheep and cattle in August 2017. Picture: Andy Rogers.

Mr Kontelj previously said he wanted to wipe $50m off council’s debt in the next 12 months, but the draft budget outlines a $62.5m reduction over four years to $142.2m.

No new borrowing is proposed during that period.

“In tough economic times, council’s main priority is to ensure the long-term financial sustainability of our region, and this budget takes significant steps toward achieving that goal,” Mr Kontelj said.

“We are committed to delivering essential services and renewing infrastructure without burdening our community with excessive debt.

“This budget, our first as a council, will ensure we can continue to deliver much-needed services and infrastructure for our community while prioritising long-term fiscal responsibility.”

In what is hoped will assist struggling CBD retailers, there will no longer be a cost associated with all two-hour parking bays across the city.

The move, pushed by councillor Eddy Kontelj for many years, is a sharp shift from the current budget that forecasts a 68 per cent increase in revenue from parking infringements thanks to “increased parking compliance resourcing”.

More than $1.7m has been allocated for “leasehold fit-out upgrades to level two and ground floor of Wurriki Nyal”, a sign that council might finally be close to filling vacant space at its $102m headquarters on Mercer St.

Mayor Stretch Kontelj is determined to drive down Geelong council’s debt. Picture: Alison Wynd

Council funding for the increasingly popular Cadel Evans Great Ocean Road Race is projected to increase by $20,000 to $280,000, while funding for Pako Festa will fall by the same amount to $80,000.

The draft budget comes soon after the release of a report complied by Geelong council’s most recent monitors, Peter Dorling and Mark Davies.

The report raised concern about council’s long-term financial planning, as well as its annual budgeting process.

“The council has approved a capital work program for the 2024-25 year totalling $180.2m,” the report stated.

“As monitors, we were concerned that the development of the program was based mostly on discussions with and direction from councillors on a ward-by-ward basis, rather than on a planned and prioritised basis which aims to meet the infrastructure and asset needs of the community as a whole.”

The public has until May 21 to provide feedback on the draft budget.

Originally published as Anthony Aitken criticises Geelong council’s budget process, questions proposed deficit