Ballina council considers writing off $15K debt from rugby club

Some councillors agreed the club was too important to the local community not to be supported by the council.

The Ballina Seagulls Rugby League Club's mascot in River St in the lead-up to the club hosting its third consecutive grand final on 2015. Photo Graham Broadhead

Ballina Shire Council is open to discussing a possible debt write-off with the Ballina Seagulls Rugby League Club.

Ballina councillors debated a current debt of $15,579.70, which includes water consumption and access charges of $2,637.44, wastewater consumption and access charges of $7,530.15, rates of $5,319.87, and interest of $92.24.

Council's financial committee decided on April 7 to mandate general manager Paul Hickey to negotiate directly with the Ballina Seagulls Rugby League Club.

The council's committee also agreed to write-off interest charges for $92.24.

At Thursday's monthly meeting, councillors were open to a full write off of the debt, as soon as the club was able to offer further proof of its financial woes.

An original motion discussed by council would have allowed council's general manager, Paul Hickey, to write off up to 50 per cent of the debt.

But councillors decided to allow Mr Hickey to be able to have the chance to discuss a write off the full amount, a decision that would have to be sanctioned by council at a future meeting.

A number of councillors agreed the club was too important to the local community not to be supported by council, but requested for the Seagulls to be able to prove their financial woes, something that has been hard for the current administration.

Mr Hickey explained to councillors that although the club still exists in its commercial form, it's being wound up, because a not-for-profit version of the organisation has already been created.

"I think it's okay for me to say that the club's treasurer has said to us that the other major burden they have is a $30,000 debt or overdraft with a bank," he said.

"They have asked that bank a possible reduction of that debt, and they have also asked us to consider a write off of this whole charge."

All councillors present voted for the motion, which allows Mr Hickey to search for a future resolution.

Originally published as Ballina council considers writing off $15K debt from rugby club