Kiama Municipal Council will hold an Extraordinary Meeting on Wednesday to discuss a proposed variation to its existing Performance Improvement Order from the NSW Government.
Minister for Local Government Ron Hoenig issued a Notice of Intention to vary the PIO on 13 May which would allow Kiama Council an extra 12 months to achieve a balanced budget by the end of the 2027-28 financial year.
Kiama Mayor Cameron McDonald has welcomed the proposed variation and is confident Council can achieve the required outcomes within the allotted timeframe.
"This variation to the PIO will be very beneficial for our community and we look forward to meeting these objectives," he said.
"Overall, it's positive news because it means we won't have to reduce community services or our staff.
"We still need to be careful - manage resources, and live within our means. Tough calls will still need to be made - but we have more time up our sleeves and can breathe a little easier while we work through it all."
Under the proposed variation, Council is required to:
Adopt a financially sustainable budget pathway by specified dates, incorporating a one-year extension to the need to achieve a balanced budget.
Sequence budget repair measures before higher-impact staffing, asset sales and outsourcing measures are considered.
Prepare a strategic business case for Blue Haven Terralong Village.
Review strategic assets and revenue opportunities.
Strengthen reporting requirement to the Office of Local Government.
Not outsource its domestic waste management service.
Complete additional governance and financial management actions within specified timeframes.
The revised timeframe allows Council greater flexibility to investigate opportunities for the long-term management of its five tourist parks after recently receiving three unsolicited partnership offers from large-scale operators, which could significantly improve its financial position.
The Extraordinary Meeting will be held at 5pm on 27 May at Kiama Council Chambers.
Photo: Kiama Mayor Cameron McDonald, Local Government Minister Ron Hoenig and Deputy Mayor during their meeting at Community Cabinet at The Pavilion on Tuesday.
