Council issued with Performance Improvement Order

Published on 09 November 2022

Kiama Council has received a response from the Minister for Local Government confirming the issuance of a Performance Improvement Order (PIO) and the appointment of a temporary adviser, Mr Peter Tegart.

The letter from the Minister for Local Government, the Hon Wendy Tuckerman, acknowledged our 25 October response to her letter, and the work Council has done to date to address our financial situation, including the sale of our Akuna Street landholdings and the resolution to sell Blue Haven Bonaira, noting however that these actions are not enough to address the fundamental area of concern.

Minister Tuckerman’s letter said: “In deciding to issue a PIO, I have had particular regard to Council's use of restricted funds for purposes other than the restricted purpose, evidence suggesting Council may not be able to pay its debts as they fall due, and the deterioration of Council's financial position.”

Council CEO Jane Stroud said, “I respect the Minister’s decision. Local Government is an instrument of State, and our focus must relentlessly be on only core local government services and remaining financial sustainable.”

“Hundreds of staff and our residents and ratepayers depend on our ability to pay our bills, week in, week out. I’ve worked tirelessly to unearth and address these issues since starting in the role, and that effort won’t stop.”

“We must improve the business, address the items in the performance improvement order and retain our local government for the people of the Kiama local government authority”.

Council will table the full letter in next week’s Ordinary Meeting on Tuesday 15 November and it will be included in our business papers, which will be on Council’s website this afternoon.