Southern Downs councillors accused of breaching public trust over Emu Swamp Dam buy-in

‘You’re guilty until you prove yourself innocent’: Mayor Vic Pennisi hits out after all nine Southern Downs councillors come under fire for the decision to buy into the controversial project with 450ML from Storm King Dam.

UNDER FIRE: Mayor Vic Pennisi has called for changes to the complaints process, after all nine Southern Downs councillors were accused of breaching public trust in the Emu Swamp Dam project. Picture: file

Southern Downs Mayor Vic Pennisi has blasted the local government complaints process after accusations with “absolutely no basis” were levelled against all nine councillors over the controversial Emu Swamp Dam project.

A letter from the Office of the Independent Assessor, dated May 24, was included in the agenda for Wednesday’s ordinary council meeting.

It revealed Cr Pennisi and his eight fellow representatives had been accused of breaching the Local Government Act and responsibility to the public in their decision to buy – and potentially sell or lease – 450ML from Storm King Dam for the Emu Swamp build.

“It is alleged (Cr Pennisi) and fellow councillors … breached the trust you owe to the public when you agreed in principle to sell a council asset to the proponents of the Emu Swamp Dam, Granite Belt Water Limited,” the letter read.

“It was alleged (the) council failed to obtain a valuation of the asset from a registered valuer that could lead to the asset being sold under its value.”

The letter stated the complaint was received by the OIA on May 12 and dismissed less than two weeks later, taking into account the agenda and minutes from the SDRC meeting on December 16 last year and other legislation.

Councillor Stephen Tancred and Cr Pennisi remained in the room but did not vote on the buy-in decision due to conflicts of interest, while fellow councillor Cameron Gow excused himself entirely from the discussion.

The OIA letter stated it was these processes that made clear the complaint against all Southern Downs representatives could be dismissed.

“The OIA also noted that the resolution was carried unanimously by those councillors eligible to vote and that the decision was an administrative decision of the council, and therefore, not councillor conduct as defined by the Act,” it read.

It wasreported at the time the 450ML was equitable to about $1.125 million, and the decision on whether to sell or lease the water allocation was delegated to SDRC CEO Dave Burges.

Member for Maranoa David Littleproud with Deputy Prime Minister Michael McCormack on a visit to the proposed Emu Swamp Dam site as part of their campaign for the project. Picture: Matthew Purcell / Stanthorpe Border Post

An SDRC spokeswoman said there was “absolutely no basis” to the allegations, as water brokers Waterfind finalised an independent valuation of the 450ML allocation in February.

The Waterfind report declared the water was valued between $1.125 million or $2500 per ML and $1,530,675 or $3401.50 per ML.

The SDRC spokeswoman added no decision has been made in relation to the potential sale of the allocation as the “draft agreements (were) still being negotiated”.

Cr Pennisi told the Daily News this was only the most recent in a string of complaints lodged against him and his fellow councillors regarding the controversial Emu Swamp Dam project, but was the first he’d seen aimed at all nine representatives.

He contended the current legislation made it easy to file “vexatious” complaints that proved a “waste of everybody’s time”.

“The thing I think is wrong about all of this, in general, is that as a councillor when a complaint is lodged against you, you are guilty until you prove yourself innocent,” he said.

“It costs a lot of money and a lot of time. Sometimes it’s the officers’ time and others it’s the councillors’, depending on what the complaint is about.

“It’s free, the identity of the person who lodges the complaint is protected by the whistleblower legislation, and - dare I say - sometimes people do it to keep you out of the room and stop you voting on a particular issue.

“It’s about how we can protect the system from being used fraudulently.”