Hills Shire Council Budget: COVID-19 losses revealed

A council’s COVID losses for the financial year have been revealed but the mayor has warned the total cost is not yet known. It comes as the council unveils it major projects for 2021/22.

Hills Shire Council has lost more than $1.8m as a result of COVID-19.

However, the Mayor Michelle Byrne warned the full impact of the pandemic was not yet known.

The council has lost $421,000 in revenue so far this financial year on top of $1.4 million last year mainly through the forced closure of council venues.

“We still don’t know the true impact COVID-19 has had on our council,” Mayor Byrne said.

“Last year, we had to temporarily close some of our venues and services as a result of the Public Health Orders that were put in place to manage the spread of the virus.

The annual Orange Blossom Festival attracts thousands of visitors to the region.

“The COVID-19 pandemic is far from over, but we are in a strong financial position to meet challenges that come our way.”

She said council had also taken steps including fiscal management to minimise the impact of the pandemic

This year’s $421,000 loss was partly offset by events and festivals not being held, according to council.

Hills Mayor Michelle Byrne

“Like many of our residents and businesses, council has also been impacted by COVID-19,” a council spokeswoman said. 

“Council lost $1.4 million in revenue during the 2019-20 financial year and that was driven largely by the closure of council venues, including halls, community centres, outdoor sporting facilities and decreased attendance at child care centres, as well as reduced operations at Hills Community Care.”

She added the council made savings in other areas and received government grants to accelerate infrastructure projects to help minimise the financial impact of the pandemic.

Meanwhile, council has released its draft plan for the 2021/22 financial year.

As part of the plan $174.2 million has been allocated to new infrastructure including upgrades to parks and playgrounds.

The highest allocation of funds was $92.6 million towards acquiring land for infrastructure projects.

Hills Shire Council lost revenue through the forced closure of council venues during the height of the pandemic

When asked for the specific breakdown of projects and funds, a council spokeswoman said the dealings were “confidential.”

“These matters are normally carried out between council and the property owner,” she said.

“These dealings are usually confidential, but they relate to land identified in our Developer Contributions plans for roads, intersections, parks and drainage.”

Sizeable amounts were also committed to parks as part of the Draft Plan including $7.5 million to The Water Lane Reserve playing fields and $1.9 million to Kenthurst Park extensions.

Another $13.5 million was allocated to maintain parks and bushland and $2.1 million to update some of the parks.

Hills Shire Council has lost more than $1.8 million in revenue as a result of the COVID-19 pandemic to date.

$21 million was also committed to build new roads and update existing roads.

Liberal councillor Reena Jethi said commitment to more infrastructure was important due to the council being in the midst of a “high transition phase.”

“There will be a high influx of people in three years in areas like Box Hill. What we need is more green space, more schools…and a strong network of roads.”

While Cr Jethi said she believed the budget was “balanced” and forward focused, she said it was council’s responsibility to manage ratepayers’ funds rather than increasing rates.

“I am not a supporter of increasing rates.

“It is our responsibility to manage the funds and get it back into the community through assets like libraries and sporting grounds,” she said.

When asked whether there were talks of increased rates she said there hadn’t been firm discussions but she said “ideas do float.”

The Draft Plan is now on exhibition on Council’s ‘Have Your Say’ page.