FOR IMMEDIATE RELEASE
16 February 2017
Hunter Council Mergers – One Tough Sell
The announcement that the outstanding council mergers in the Hunter will not go ahead is a
missed opportunity for efficiency gains, said the Housing Industry Association (HIA).
“Regardless of whether or not specific amalgamations had merit, the apparent loss of appetite
for amalgamations is a missed chance for Hunter councils to become far more efficient”, said
Craig Jennion, HIA Hunter Executive Director.
“Merging many of the Hunter’s councils would have the benefit of streamlining planning
processes for builders, architects and developers – along with the many residents who use
their services. Unfortunately what remains is a system where every council has a different set
of rules and processes that needs to be understood”, said Mr Jennion.
“Now that the threat of further local amalgamations is off the table, all councils must consider
whether their geographical footprint and the services they provide is appropriate or can be
administered differently”, Mr Jennion said.
“A review of each council’s boundary, an element that was previously off the table, is one
element where there are plenty of opportunity for efficiency gains as a result of stretched
facilities or unserviceable locations.”
A local example is Fern Bay & Fullerton Cove, a boundary development hub where Port
Stephens Council developed a cross boundary Section 94 contributions plan to provide funds
to Newcastle City Council to alleviate the additional pressures on them.
“Alternatively, where if it can be identified that back office administration functions are
duplicated, incentives for councils to decentralise and share resources across councils should
be encouraged to provide better value and reduce rates.”
Retention of the $500 million investment pool that the NSW Government had announced
would be provided to amalgamated councils should now be redirected to those councils that
propose amendments to their boundaries or create efficiencies through shared council
operations and services.
“State Government support and self-determination will be key themes to ensuring that
efficiency gains are identified, while ensuring councils can still retain their local identity without
a perceived attack on democracy,” concluded Mr Jennion.
Council mergers in the region that will stand as a result include:
 Central Coast Council : The merger of Gosford City and Wyong Shire councils
 Mid-Coast Council : The merger of Gloucester Shire, Great Lakes and Greater Taree City
councils
Those that won’t proceed include the merger of:
 Dungog Shire and Maitland City councils
 Newcastle City and Port Stephens councils
 Port Stephens and Dungog Shire councils
For further information contact:
Craig Jennion, HIA Executive Director - Hunter on 0414 872 090 or [email protected].