Home » 2017 » Balranald won’t borrow to build on hostel

Balranald won’t borrow to build on hostel

THE death knell has finally sounded for Balranald’s multi million dollar aged care hostel expansion. 

A motion to reverse a previous council decision and proceed with the extension to the Bidgee Haven facility was brought before Balranald Shire council on Tuesday night.

Mayor Leigh Byron again used his casting vote to overturn the matter.

In a presentation, Councillor Ken Barnes criticised a report commissioned by council late last year which recommended not proceeding with the extension.

The report by national audit and consulting firm RSM found council were wearing the hostel’s substantial administrative costs and noted the “persistent vacancies” at the Mayall Street facility.

Cr Barnes proposed selling council assets like the Balranald Manor Units to make up the funding shortfall for the hostel project, which is estimated to cost in excess of $3 million.

Two thirds of the funds were to be covered by a federal government grant while the rest was to be secured by loans. 

“This town is on the verge of quite substantial financial gain … the means are there to do it without borrowing any money,” he said.

Cr Barnes was backed up by Cr Elaine Campbell and Cr Alan Purtill, who called the $2 million federal funding a “once in a lifetime opportunity”.

For more on this story, pick up a copy of Friday’s Guardian (May 20, 2016).

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