THE BYRON SHIRE
Byron s erm College t e guide rs 3 & 4 cou d in this e t inser Echo! week’s
Volume 26 #04 Tuesday, July 5, 2011 Mullumbimby 02 6684 1777 Byron Bay 02 6685 5222 Fax 02 6684 1719 editor@echo.net.au adcopy@echo.net.au www.echo.net.au 23,200 copies every week
CAB AUDIT
8 0 P E R C E N T E N T E R TA I N M E N T B Y V O LU M E
Tough financial times
NAIDOC kicks off
Council’s working reserves close to empty; investments hit by GFC Continuing the metaphor but rerepayments for major projects like the new sports field, and a loss of almost jecting the analysis, Cr Cameron told Byron Shire Council is shedding staff $1 million in interest from investments The Echo ‘as long as we’re careful, we’ll stay a safe distance back from and raising fees for child care and hit by the global financial crisis. the edge of the cliff.’ other services to help offset the costs of expensive legal battles, growing in- Investment losses The financial statements show that National issue for councils terest repayments and losses from the outside of its everyday working fund, Byron’s challenges are taking place global financial crisis. Fees for child care, after-school and Council holds more than $50 million against a backdrop of financial difvacation care will all jump by more in longer-term investments and cash ficulties for local governments across the country. than 10 per cent as Council makes its holdings. Of that sum, more than $14 milIn New South Wales those difficulcommunity services ‘cost neutral’ and prunes and saves elsewhere to try to lion of investments is currently not ties are particularly severe, because returning any interest, which means unlike other states, general rates here balance the books. ‘There’s a tough period ahead, and that while the capital is safe, Council have been capped for many years, we need to take ongoing action to keep is missing out on almost $1 million a often below the level of inflation, effectively meaning long-term decline costs under control,’ says Councillor year in expected income. One particular investment in a in rate revenues. Basil Cameron, the head of Council’s complex financial product called a Economics Professor at the Univernewly created finance committee. Financial statements show Coun- ‘Collateralised Debt Obligation’ re- sity of New England, Brian Dollery, cil’s total turnover is around $65 mil- sulted in a direct loss of $1.6 million. says there’s a ‘big crisis in financial In addition, more than $15 million sustainability for councils nationally, lion, and it has spent almost $700,000 more than it earned this past year, of Council’s cash deposits are cur- which is quite acute in New South causing it to dip into working fund rently not covered by the federal gov- Wales, because of rate capping.’ Unable to reduce services, but with reserves, which have fallen as a result ernment’s guarantee. ‘Like other councils we took a bit declining revenues, councils have cut to just under $200,000. Council’s aim is to try to build that of a hit over investments, post GFC,’ back on maintenance of infrastrucreserve to $1 million to act as a buffer says Cr Cameron, although the in- ture like pools, footpaths and water to deal with unexpected events, and vestments were in line with govern- mains, though there has been some relief from direct government grants despite having already lost 15 staff po- ment rules. Councillor Ross Tucker told The for roads and other services. sitions, it will continue to reduce costs While Byron Council estimates it and raise fees for parking, caravan Echo last week Council is ‘close to being broke’, and in May he said the needs to spend an extra $7 million a parks, and planning applications. A range of factors have caused financial position was approaching year to maintain its infrastructure to Maliyan Baker was one of the Deadly Dancers who performed at Brunswick a decent standard, the national figure Heads Public School last week for the NAIDOC celebrations Council’s financial woes in the past the edge of a cliff. ‘We are in a boat coming up to Nia- for all councils is over $2 billion. year including more than a million This week saw a flag-raising cerdollars in legal expenses, hefty loan gara Falls,’ he declared. continued on page 3 Story & photo Eve Jeffery emony at the council chambers on Last Tuesday school students from Monday and will continue with a across the Shire gathered at the Brun- NAIDOC Week Family Fun Day at swick Heads Public School for an the Mullumbimby Neighbourhood against) was met with applause and noise and traffic on neighbours, its early taste of NAIDOC week, which is Centre from 11am to 3 pm. Luis Feliu relief at Thursday’s meeting, while out-of-character nature and density celebrated across the nation this week. The Arawkal Flickerfest Film Night Byron Shire councillors have ove- the couple behind the plan said they in the street and village, increased The Deadly Dancers performed sev- will be held at the Byron Commuwhelmingly rejected a proposal to re- would appeal the decision in the Land traffic, insufficient onsite parking, eral pieces they have been rehearsing nity Centre where the premiere the develop a gym and squash centre in and Environment Court. lack of privacy and low standard of under the guidance of Dhinawan over film Here I am will begin at 6pm on Mayor Jan Barham succeeded in living and amenity for the boarding the last month. Teven Street, Brunswick Heads, into Wednesday. her motion to refuse a staff recom- house residents. a 33-unit boarding house. The traditional Arawkal NAIDOC Students from both the MulThe decision supports residents mendation approving the change of celebration and march will be held on lumbimby public schools as well The development application was who see it as an overdevelopment use and redevelopment of the 30-yearThursday, starting with a march from as Ocean Shores, Brunswick Heads made late last year under the state which would have ruined the char- old gymansium, squash courts and and The Pocket were part of the Railway Park in Byron Bay at 10am acter of the village and amenity of indoor swimming pool centre into a government’s contentious afford- 37-strong troupe who managed to and a free Family Cultural Day with able housing policy which the new get the teachers up for a bit of a ‘hap- food and activities at Main Beach boarding house. the street. Ray Moynihan
Bruns boarding house bid rejected
The 8-1 decision (Cr Ross Tucker
Objections included impact of
continued on page 3 py dance’ as well.
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