Central Coast: Jobs Creation Fund grants awarded to projects that still haven’t been approved by council

Serious questions hang over a multimillion dollar grant scheme after more than $1.3 million of taxpayer funds were awarded to projects that are still yet to be approved by council.

Thirteen projects on the Central Coast were successful in being awarded grants under the state government Regional Job Creation Fund. Picture: supplied

Three private companies, including one from Western Australia, were awarded $1.3 million in government grants despite the fact they didn’t even lodge their development applications (DAs) until after projects were supposed to be finished.

Serious questions hang over the state government’s delivery of the Regional Job Creation Fund on the Central Coast where at least three companies were successful in securing grants despite not seeking relevant council approvals until after delivery deadlines had lapsed.

Meanwhile, the government department responsible for running the funding scheme said projects were given seemingly “indefinite” extensions on a case-by-case basis and the money was not handed over in “lump sums” but doled out in “milestone payments”.

However, the Department of Regional NSW refuses to say how much taxpayer money has already handed over so far because “milestone payments are confidential”.

The State Government launched the $240 million Regional Job Creation Fund in 2020 as part of its stimulus response to Covid and accelerate shovel-ready projects to convert them into bona fide jobs.

One project to secure funding was a mountain bike track at Glenworth Valley Outdoor Adventures. (File image)

It opened a second round of funding in February 2022 and a third round last January before the scheme was suspended pending a review.

Nine local companies were successful in being awarded funding in Round 1 of the program and a further four companies secured grants in Round 2.

Keira Rumble, of Krumbled Food, was successful in securing a $1.3m grant to create 89.5 jobs. Picture: supplied

One of just five essential assessment criteria included applicants having to demonstrate they could deliver their finished projects by June 30, 2022.

But three applicants — Glenworth Valley Outdoor Adventures, Broken Bay Pearl Farm and WA-based microbrewer Beerfarm — were successfully awarded grants worth a combined $1.3m despite not even lodging their DAs until after the deadline had lapsed.

Another company, Krumbled Foods, was awarded $1.3m alone to relocate its manufacturing facility to West Gosford and employ a further 89 staff. Repeated attempts to contact the health food bar maker over the past four weeks have gone unreturned.

GLENWORTH VALLEY’S MOUNTAIN BIKE TRACK

The popular horseriding and camping park was awarded $300,000 to build a mountain bike track under Round 1 of the funding.

A spokesman for the Department of Regional NSW said 17km of the 21km bike trail had already been built and it was “expected to be completed this year” to deliver 15.3 full time jobs.

Glenworth Valley wanted to add mountain biking to its quad bike offerings at the park.

However, Central Coast Council has confirmed Glenworth Valley did not lodge a DA for the bike track until July 24, 2023 — a full 13 months after the funding scheme’s deadline.

What’s more, council “returned” the DA on August 1 because of “deficiencies in the information submitted” and it remains unapproved.

Glenworth Valley owner Bart Lawler said their grant did not expire until December 2023.

“We have lodged an application to extend it for a further 12 months,” he said.

“This is the same for a number of other projects including the Beerfarm brewery project. They have been forced to do the same thing.”

BROKEN BAY PEARL FARM’S OYSTER SHED

Boutique jewellery producer Broken Bay Pearl Farm was awarded $100,000 to build a new 16m by 7.5m oyster processing shed at its property on Kowan Rd, Mooney Mooney, and employ another six staff.

However it didn’t lodge its DA until July last year, with its application still “under assessment”.

Broken Bay Pearl Farm lodged its DA for a new oyster shed a month after the deadline for finished projects but was successful in securing a grant. It’s DA still has not been approved. Picture: Supplied

A number of public submissions have since been lodged in relation to the DA including one opposing the development on the grounds the pearl farm was operating more as a tourism venture — offering a growing number of tours and tasting experiences — rather than an aquaculture producer in line with the area’s zoning.

Calls and emails to Broken Bay Pearl Farm went unreturned.

BEERFARM’S MICROBREWERY

Western Australian brewer Beerfarm initially secured $900,000 to help build a micro brewery on the coast at Halloran and create 47.3 new jobs.

It lodged its DA in October 2021 but owner Craig Thomason told the Express Advocate negotiations with council over connecting the greenfield site, which was zoned industrial, to town water and sewer broke down so they went looking for another site.

Western Australian brewer Beerfarm lodged new plans for a microbrewery at Calga in August 2023 despite the deadline for finished projects being June 2022. Picture: Artist’s impression of the brewery and restaurant.

Beerfarm lodged a second DA in August of this year to build its microbrewery at Calga, on land owned by Glenworth Valley.

Mr Thomason said the Department of Regional NSW had allowed the company to “take the grant” with them to the new site despite the change in location blowing out the estimated completion date by a manner of years.

KRUMBLED FOODS’ WEST GOSFORD RELOCATION

Founded by Keira Rumble, local homegrown health food bar maker Krumbled Foods was given one of the biggest grants issued under the scheme when it was awarded $1.3m to relocate its manufacturing to a new facility at West Gosford and create 89.5 jobs.

A Department of Regional NSW spokesman said “capital works are progressing well and are on track to be completed by Q2 in 2024”.

Ms Rumble has not returned calls or emails since early November. Picture: supplied

However attempts to find a DA for the project in council’s e-planning portal have proved unsuccessful and Ms Rumble has not returned any calls or emails since November 1.

Meanwhile the effectiveness of the Regional Jobs Creation Fund will go under the microscope today when a parliamentary inquiry into the scheme begins public hearings in Sydney.