At its first meeting since Port Stephens Council proposed an invitation to merge, Dungog Shire Council has remained ambivalent about the prospect of voluntary amalgamation.
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The mayor also re-issued a call for the state government to provide “substantial” compensation for the ill-fated forced merger process.
“The amount we’ve lost has never been quantified but it’s substantial,” Dungog mayor Harold Johnston told Fairfax Media.
“It’s hundreds of thousands of dollars, maybe more than a million. It’s not just the costs of reports and delegates, it’s staff time that comes at a cost too.”
On March 1 councilors met with Local Government Minister Gabrielle Upton to talk about the challenges Dungog faced and what support it could expect.
“There have been staff losses [because of the forced mergers]. They need to be replaced,” Cr Johnston said.
“But the big cost is that it was a waste of time, and time is money.”
At Tuesday night’s meeting Cr Johnston said his council would meet with NSW Deputy Premier John Barilaro on April 4 armed with a list of questions.
If Dungog chooses to stand alone, Cr Johnston wants assurance the state government will support council with ongoing grants and support the council’s submission to IPART, which will allow them to raise rates and become financially viable.
“When we met with the minister [Upton], we were aware of the orphan councils – of which Dungog is one,” Cr Johnston said, speaking of councils who were not deemed financially fit and therefore unable to borrow from Treasury.
“They can’t be left to sink.”
If they choose to merge with Port Stephens, Dungog wants the amalgamated entity to be financially supported so it can address the town’s $42m infrastructure backlog, which includes crumbling roads and bridges.
“Dungog is nowhere near the worst in the state but these bridges affect farmers, grain producers, business.”
It also called for the $15m set aside to fund the forced merger to be given to the amalgamated council for community investment.
Cr Johnston said it was difficult to read community sentiment on the issue so council was keeping an open mind and moving step-by-step through the process to find the best result for the Dungog community.
“There’s a mixed message from the community,” he said.
“It’s hard to understand the drift right now.
“[But] We’re not talking about the next few years here. We’re talking the next few decades, we’re all looking into the future.”