Government silent about City funds

Government silent about City funds

The State Government has done little to ease concerns about the City of Busselton’s ability to attract the $40 million needed to continue the foreshore redevelopment.

City of Busselton Mayor Ian Stubbs recently expressed grave doubt about whether the council would receive funds to finish the vital project if they endorsed a proposed $28 million administration building and performing arts centre.

The proposal is now out for public consultation and, if passed, will be funded through additional rate rises of 1.25 per cent for three years, followed by one year of 0.5 per cent for operating costs.

Responding to questions from the Times, Regional Development Minister Terry Redman declined to comment on the City of Busselton’s case.

But he said a local government’s expenditure did come into consideration when awarding Royalties for Regions funding.

“A robust due diligence assessment is conducted by the Department of Regional Development on each submitted business case for Royalties for Regions funding before being approved, which includes a financial assessment of the proponent’s ability to manage contracts, ” Mr Redman said.

City chief executive Mike Archer said it was important to note the City had allocated funds from its own resources for all major projects and these were included in their 10-year financial plan.

“While external funding assistance (to finish the foreshore redevelopment) is not guaranteed at this stage, we’ve established a good track record for delivering major projects like for example the $27 million Busselton Jetty Refurbishment Project which was completed while other major projects were being undertaken at the same time, ” he said.

“The City has effectively managed State and Federal funding contracts and this success should hopefully be recognised when the Government determines future applications.”

Mr Archer said the next stage of the foreshore redevelopment was securing $9.5 million in funding to construct a combined youth services building and surf life saving club.

The broader 10-year plan includes the relocation of the tennis and croquet clubs, construction of Railway House, road infrastructure work, important coastal defence structures and additional public open space.

Mr Archer said the City had put itself in “the best possible position to secure external funding” and hoped the May budget would provide a clearer picture of available opportunities.

Mr Redman said he could not comment on 2014-15 budget deliberations. Cr Stubbs was on leave and unavailable for comment.

The City has effectively managed State and Federal funding contracts and this success should hopefully be recognised …Mike Archer