Category: Newcastle News

Audited financial statements for the last twelve months show that the City of Newcastle lifted its infrastructure spend by more than ten percent, to a record $102.4 million, to counter the impact of COVID-19 on the local economy.
The record infrastructure spend, combined with a decision to put more than $10 million away for the future remediation of the long closed Astra Street waste facility meant the City of Newcastle’s operating result from continuing operations was a cash reserves funded deficit of $4.4 million compared with a forecast surplus of $1.6 million.
The deficit with income from grants and contributions for capital purposes, was a cash reserves funded deficit of $32.5 million compared to a budgeted deficit of $22.7 million.
Despite the COVID-19 hit budget, CN remains in a strong financial position on the back of long-term prudent and progressive economic management, with total cash and investment reserves of $366 million, including unrestricted cash reserves of $22.6 million.
Newcastle Lord Mayor Nuatali Nelmes said City of Newcastle made a conscious choice during the early stages of the pandemic in 2020 to support the community with a $5.5 million Community and Economic Resilience Package and increased capital works budget.
“During COVID-19, Council decided to provide financial relief and support for vulnerable groups and business, and to expand existing services, while increasing investment in projects to stimulate the local economy and support jobs,” Cr Nelmes said.
“This included investing a record $102.4 million across the city through our capital works program in 2020/21 to provide upgraded or new community infrastructure that delivers real benefits for our community in their everyday lives.
“These crucial decisions were only possible due to our strong financial sustainability, a legacy of six consecutive surplus Budgets prior to the pandemic.
“We expected COVID-19 to place further strain on our community and our budget, however as a Council we understand the importance of providing targeted responses and support for those in need and our local economy.
City of Newcastle CEO Jeremy Bath said six years of consecutive budget surpluses had provided Council with the cash reserves to run a stimulus program during the worst of the pandemic.
“It’s been an extraordinary 18 months for the City of Newcastle. Despite the repeated hits from having to close down so many of our income generating services, we were able to avoid laying off staff, cutting community grants or suspending infrastructure projects.
“With the city now almost at 80% fully vaccinated, we can look forward with real optimism to Newcastle bouncing back to a stronger position than before the pandemic struck. For City of Newcastle, it will be a gradual return to profitability given the impact of the recent lockdown. Despite this we have set ourselves the challenge of lifting our infrastructure spend even higher over the coming year to ensure the local economy rebounds as quickly as possible”, he said.
In 2020/21 City of Newcastle also committed an additional $10 million to remediation work at Astra Street which will include final capping and reprofiling of the site, drainage improvements to aid in management of surface water and sediment runoff, followed by revegetation and landscaping.

Green-thumbed residents are being given the opportunity to transform Newcastle’s street verges into flourishing road-side gardens.
The new Street Garden Initiative will be launched by City of Newcastle this summer, providing keen gardeners with the guidelines they need to develop attractive, safe and appropriate green spaces on the city’s verges.

Deputy Lord Mayor Declan Clausen said the city’s verges have long been limited to formal street tree plantings and complicated arrangements with footpath, overhead and underground utilities. However, Novocastrians are increasingly looking to this roadside space as a location for new gardens.
“Newcastle is one of only a handful of local government areas across the nation that have tackled this issue to enable our community to assist in greening the city and enhancing our urban forest,” Cr Clausen said.
“Whilst home during COVID, many within our community have taken a new interest in our local parks and their own gardens, and our city has never looked better. Getting outside in the garden has proven health benefits, improves our local biodiversity and helps make our region more resilient to the effects of urban heat island and storms.
“City of Newcastle’s new Street Garden Initiative provides gardeners with clear guidance on what can be grown in their verge, how to go about approaching neighbours, and registration requirements before gardening commences.
“The City has worked through the challenging parts of this equation – such as mitigating impacts to utilities, road users and pedestrians – and the easy-to-follow guidelines ensure that gardening can be undertaken safely on the verge.”
The best-practice suburban street garden program will begin with a 12-month trial to inform the rollout of a long-term initiative, which will add to the health and vitality of street trees planted in conjunction with the street gardens.
Comprehensive guidelines provide clear direction on every aspect of establishing a verge garden, including information on the positioning of gardens to allow for pedestrian access, a setback from the gutter for garbage truck access and to assist people accessing cars.
Appropriate plant species selections including maximum plant height, a standard planter box design for those wishing to use the space to grow food and registration of gardeners to provide workplace health and safety information for those working near the road reserve also form part of the guidelines and application process.
Newcastle gardeners should keep an eye on City of Newcastle’s website for further information, with the Street Garden trial to begin in December 2021.

A sixth man has been charged following an investigation into a series of armed robberies in the Lake Macquarie region.
Detectives from the State Crime Command’s Robbery and Serious Crime Squad established Strike Force Bergs to investigate eight armed robberies at licensed clubs and hotels, which occurred between February and May 2019.
Four men – aged 24, 27, 36 and 29 – have been charged by strike force detectives over their involvement and have since faced court.
As part of Strike Force Bergs, an investigation has been conducted into the alleged robbery of a hotel on Lake Road, Argenton, on Monday 6 May 2019, where it is alleged two men entered the premises using keys and assaulted an employee, before allegedly stealing cash, then fleeing on foot.
Following extensive inquiries, investigators arrested a 25-year-old man at an apartment on Hanbury Street, Mayfield, about 9.50am yesterday (Thursday 21 October 2021).
During a subsequent search of the premises, investigators seized methylamphetamine, an extendable baton, and two mobile phones.
The man was taken to Newcastle Police Station and charged with robbery in company, supply prohibited drugs on an ongoing basis, possess or use a prohibited weapon without permit, and possess prohibited drug.
He was refused bail and will appear at Newcastle Local Court today (Friday 22 October 2021).
The other man allegedly involved, a 24-year-old, was arrested and charged in June and remains before the courts.

January 2022 will usher in a new year – and a new career – for 12 trainees, apprentices and graduates as Newcastle looks to create employment opportunities for the city’s young people as part of its response to COVID-19.
City of Newcastle will begin recruiting for its annual intake of early career positions this month, with roles available across a range of sectors including business services, customer service, greenkeeping, horticulture, conservation, metal fabrication, carpentry, civil construction and human resources.

Successful applicants will begin work towards the end of January, bringing City of Newcastle’s number of apprentices, trainees, undergraduates and graduates to forty-two.
Deputy Lord Mayor Declan Clausen said that as one of the largest employers in the region, City of Newcastle has an important role to play in creating career pathways and ongoing job opportunities.
“COVID-19 has been one of the most challenging periods for local jobseekers, with an economic downturn, rising unemployment levels and the restrictions put in place as part of the lockdown orders,” Cr Clausen said.
“Young people have borne the brunt of these impacts, with youth unemployment levels in Newcastle and Lake Macquarie rising to almost 20 per cent earlier this year, significantly higher than the state average.
“Supporting and creating local job opportunities continues to be an important part of our response to the pandemic.
“This includes boosting our 2021/22 works program, which will support the local economy and help create new jobs, and forging ahead with our next intake of apprentices, trainees and graduates, to ensure there are quality early career opportunities for young people available in Newcastle.
“Importantly, these positions offer a foot in the door that can lead to meaningful employment in the longer term.
“In the past 12 months we’ve been able to transition 10 of our trainees and apprentices into permanent or ongoing temporary work opportunities with us, with three of these also undertaking further tertiary studies supported by City of Newcastle. An additional four staff employed under the graduate program have also secured permanent positions.
“With more than 20 of our current apprentices and trainees under the age of 24, City of Newcastle fosters an environment where young staff can learn from experienced professionals. In return these youth employees offer us the passion and enthusiasm that comes with commencing a full-time work career.”
Tarryn Collison-Marsh was among those who made the successful transition into a full-time role this year after previously gaining an apprenticeship in Civil Construction and Road Maintenance in January 2019.
“Obtaining my apprenticeship was not only a kickstart to commence a career at City of Newcastle but also a great stepping stone for a future in the civil construction industry,” the 21-year-old said.
“I’ve learned many skills that will not only greatly benefit me in my career but also in everyday life, such as greater communication skills and the ability to complete my own projects.
“This year I commenced a Diploma in Civil Construction Design and hope to continue my work and study options with City of Newcastle to eventually achieve my goal of becoming a Civil Engineer working on major projects for the Newcastle community.”

The two-and-a-half month lockdown of Newcastle is expected to cost the City of Newcastle $8.5 million this year alone with the biggest financial hits coming from the loss of tonnages to the waste management centre at Summerhill, the temporary closure of the Civic Theatre, the closure of the Stockton Holiday Park and a reduction in the number of people using parking meters in the CBD as well as parking tickets being issued.
In an effort to stimulate the local economy as it begins the climb out of lockdown, the City of Newcastle will propose at this month’s Council meeting to increase this year’s infrastructure program by $14 million to an overall record $104.7 million.
The combination of the financial impact of the lockdown combined with the economic stimulus package is forecast to reduce the City’s operating result from continuing operations to a modest surplus of just $2.153 million.
If grants and contributions provided for capital purposes such as developer contributions, state and federal road funding programs are not included then it would be a deficit of $11.635 million.
Due to the City’s prudent management of its financial position prior to the pandemic, the additional infrastructure work can be funded from its cash reserves.
Newcastle Lord Mayor Nuatali Nelmes said the City has made a conscious decision to provide financial relief and support for vulnerable groups and business, and to expand existing services, while increasing investment in projects to stimulate the local economy and support jobs.
“The latest outbreak of COVID-19 and subsequent restrictions have placed significant strain on our community and our current budget, however as a Council we understand the importance of providing targeted responses and support for those in need,” Cr Nelmes said.
“Council unanimously voted in August to move forward with additional COVID support measures, including rapid response grants to support our vulnerable community members, business training and mentoring programs and economic development and community grants.
“We have also boosted our 2021/22 works program by more than $14 million to a record $104.7 million, which will support the local economy and help create new jobs.
“These crucial decisions were only possible due to our strong financial sustainability, a legacy of delivering six consecutive operating surpluses prior to the pandemic.”
The $8.5 million impact of COVID-19 on the City’s forecast income includes:

• $2.6 million reduction in income caused by waste trucks from Sydney being locked out of the Summerhill Waste Management Centre due to the public health orders affecting the Greater Sydney region
• $2 million loss of ticket sales from the closure of Civic Theatre and other City facilities
• $1 million reduction in parking meter revenue
• $1.3 million reduction in parking tickets
• $600,000 reduction from bookings to the Stockton Holiday Park.

CEO Jeremy Bath said City of Newcastle was well-placed to weather these short-term economic fluctuations because of its strong financial foundations, while the increased works program will have far-reaching benefits.
“Just like the majority of businesses and organisations in our city and region, our organisation has been significantly affected by COVID-19,” Mr Bath said.
“We are fortunate that, despite the impacts of COVID, we have been able to manage these financial setbacks without them threatening the sustainability of the organisation or requiring us to consider other measures such as rate increases or reduced staffing levels.
“Prudent economic management has enabled us to cope with this economic downturn, while our decision to increase our works program to a record $104.7 million will stimulate the local economy, provide enhanced facilities for our community and create new employment opportunities, with every one million dollars we spend generating about 10 new local jobs.
“Importantly, the budget will continue to be fully funded from the City’s cash reserves, which have been built on the back of six years of strong financial management and surpluses.”
Mr Bath said the Long Term Financial Plan adopted earlier this year indicates that the budget will be in surplus next year and remain so for the next 10 years, allowing the City to continue to support existing services and invest in new and upgraded infrastructure to improve the livelihood and wellbeing of our community.

City of Newcastle Councillors will vote on Tuesday to award the Newcastle Ocean Baths upgrade contract with the site to close early next year and be off limits for just one summer.
Six companies submitted tenders for the Stage 1 works which were assessed against a range of criteria and a recommended construction program that would limit disruption and impact on baths users.
Lord Mayor Nuatali Nelmes said having Newcastle Ocean Baths open through the upcoming holiday period would allow locals and returning tourists to enjoy the iconic pools with COVID-19 restrictions lifted.
“Newcastle Ocean Baths turns 100 next year and while this upgrade is well-needed, starting construction after this coming summer means locals who have been staying home and visitors itching to get back to Newcastle can enjoy the space over the holidays,” Cr Nelmes said.
“The upgrade to Newcastle Ocean Baths’ pools, lower promenades and pumping system is significant, which means that shutting after this coming summer it’s expected construction will continue through to Autumn 2023.
“This summer I encourage everyone to visit Newcastle Ocean Baths and enjoy this iconic local facility before it undergoes a generational upgrade and is returned improved for the community in 2023.”
City of Newcastle Acting Director of Infrastructure and Property, Joanne Rigby, said the preferred tenderer was determined after a thorough tender process involving an independent external probity advisor.
“The preferred tenderer has significant experience in large construction projects and their response to the tender demonstrated a thorough understanding of the construction requirements,” Ms Rigby said.
The City of Newcastle is committed to funding the renewal of Newcastle Ocean Baths in full and will direct the $9.5 million recovered from the sale of the Frederick Ash Building to the project. Stage 1 of the Newcastle Ocean Baths upgrade received $3 million in funding from the NSW Government’s Public Spaces Legacy Program.

Sporting facility upgrades for Alder Park in New Lambton, Empire Park opposite Bar Beach, Cook Park in Shortland and Hamilton Park Tennis Club are among 59 projects awarded a combined $450,000 in funding from the City of Newcastle.
Councillor Peta Winney-Baartz, who is a member of the City’s Liveable Cities Advisory Committee, said the grant funding is eligible to projects that improve sportsgrounds used by grassroots sporting clubs.
“Novocastrians love their sport, which is why City of Newcastle is committed to assisting local clubs with projects that will benefit the region’s players for years to come,” Cr Winney-Baartz said.
“Grant funding provides clubs the opportunity to enhance the facilities they use on a weekly basis, without impacting upon the cost of playing.
“The injection of $450,000 of grant funding into the local economy will also assist in the creation of jobs as Newcastle recovers from COVID-19 and the recent lockdown.”
Image: Councillor Peta Winney-Baartz and New Lambton FC President Clayton Harrison at Alder Park, which will benefit from new seating thanks to City of Newcastle grant funding.
New Lambton Eagles Football Club President Clayton Harrison said that the grant funding secured through City of Newcastle’s Infrastructure Grants Program will be used to enhance spectator experience with new seating at Alder Park.
“We’re grateful for the financial support from City of Newcastle, which will allow our club to install tiered seating at Alder Park in New Lambton,” Mr Harrison said.
“The seating will not only benefit New Lambton FC spectators throughout the winter season, but also the athletics community which operates from the park during summer.”
Financial support has also been provided to Wallsend Football Club for playing surface improvements at Cook Park, Hamilton Park Tennis Club for electrical upgrades and Merewether District Cricket Club for irrigation upgrades at Empire Park.
The Community Support and Infrastructure Grants assist a wide variety of projects across diverse funding streams including arts, culture and heritage projects, environmental programs and social inclusion initiatives. Façade improvement projects and sustainability initiatives have also been funded through the program.