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EXCLUSIVE

Wollongong, Shellharbour, Shoalhaven, Kiama councils bank $153m in infrastructure funds

New data has revealed councils on the state’s south coast have banked an eye-watering amount of infrastructure funding from developers. SEE THE FIGURES HERE.

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A whopping $153.4 million in funds expected to be spent on local infrastructure projects stretching from Wollongong to Shoalhaven is currently sitting in council coffers rather than being spent in the community.

New data has revealed southern region councils have banked staggering amounts of developer contributions, with Shellharbour Council holding onto a massive $48.9 million.

Wollongong council has $36.7 million in unspent funds, Wingecarribee is holding onto $33.4 million, Kiama has banked $5 million, while Shoalhaven Council has $28.8 million held in the coffers.

A Wollongong City Council spokeswoman said it was “committed to investing in essential infrastructure across our city” — highlighting the need for projects in fast-growing regions around West Dapto.

“In April, council opened Karrara Bridge and the associated road links that formed part of the Fowlers to Fairwater Drive road link project,” she said.

“This was one of the largest infrastructure projects undertaken by council and provides flood-reliable access to the residents of West Dapto now, and into the future.”

Urban Development Institute of Australia chief executive Steve Mann at the UDIA NSW Greater Sydney Luncheon. Supplied
Urban Development Institute of Australia chief executive Steve Mann at the UDIA NSW Greater Sydney Luncheon. Supplied

Overall, councils in communities across NSW have banked a massive $2.65 billion worth of unspent developer contributions, as industry leaders call for the funds to be urgently spent in local infrastructure projects to support communities post-coronavirus.

The shocking amount of funds in council coffers across the state has been revealed by The Urban Development Institute of Australia NSW, who’s chief executive Steve Mann found councils banked an extra $191 million in the past year.

“The five councils who have banked the highest amounts of developer contributions are all Sydney-based, with Bayside Council holding onto $286 million, Blacktown banking $214 million, Liverpool has $160 million, while Sydney and Ku-ring-gai have $141 million and $135 million respectively.

Developers pay development contributions to councils for local infrastructure projects. (Image / Monique Harmer)
Developers pay development contributions to councils for local infrastructure projects. (Image / Monique Harmer)

Mr Mann said councils across the state could spend the developer contributions on local parks, footpaths, roads, sporting fields and lighting.

“These are funds that must be spent on projects to benefit the local community, so what better time to invest in local infrastructure than now?” Mr Mann told NewsLocal.

“Councils can consider these contributions as free money — now is the time to spend it.”

Funds can be spent on playgrounds, parks and roads. Picture: James Knowler
Funds can be spent on playgrounds, parks and roads. Picture: James Knowler

The UDIA NSW chief said spending the funds would result in fast economic outcomes over the next 12 to 18 months, however, councils are hamstrung by red tape and policy in “desperate need of reform”.

Mr Mann said, surprisingly, there is no clear relationship to the completion of major developments and when developer contributions are actually spent.

Original URL: https://www.dailytelegraph.com.au/newslocal/illawarra-star/wollongong-shellharbour-shoalhaven-kiama-councils-bank-153m-in-infrastructure-funds/news-story/7661883acc410ffdc261a8ac9c805c9c