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Council to be back in the black after lifting performance

The Bugle App

Paul Suttor

15 June 2025, 1:00 AM

Council to be back in the black after lifting performanceKiama. Photo: Darren Parlett

Kiama Mayor Cameron McDonald is proud of what Council has achieved under its Performance Improvement Order and is committed to Council getting back in the black by 2026-27.


Cr McDonald says Council has come back from the brink and, while it has been a hard slog for both the previous and the current Councillors, as well as the wider council organisation, the results speak for themselves.


“The Performance improvement order (PIO), is what’s mission critical for our council and has been since it was issued by the NSW Government back in November 2022.



“The PIO is about balancing the budget and making sure that we’re financially sustainable and I’m really proud of what’s been achieved in 2.5 short years,” Cr McDonald said.


A report from the CEO on the PIO in Council’s June Business Papers outlines Council’s progress, showing nearly all items are complete (70%) or underway.


“We’ve seen our budget deficit reduced to a $3 million deficit – which means Council has achieved operational savings of $15 million – a huge achievement.”



But that doesn’t mean Council can rest on its laurels, as there is still more to do. Council has introduced a rolling program of service reviews to ensure efficiencies and that it is delivering best practice.


Service reviews are a local government requirement and they also reassure the community they’re getting a good return on investment.


“The ratepayers are our shareholders and essentially they want to see their money being spent in the best way possible on services and for their local community.



“So that’s where we definitely need to go. We need to be accountable to ratepayers.


“Delivery of services within the restrictions imposed by the performance improvement order is the critical piece at the moment.”


The Office of Local Government is looking closely at anyone who is under a performance improvement order to make sure that they are addressing their relevant issues and hitting their targets.



While the Council may consider some increases (eg: the NSW Government/IPART-dictated 10% increase in domestic waste charges) and reductions of services, for example shorter seasonal hours at our Visitor Information Centre and Libraries, “it is about a partnership between the public and Council moving forward to make sure that we get that PIO lifted”.


Council, like the rest of Australia, is subject to financial pressure from inflation and rising costs of living.


The NSW Government’s IPART granted a rate increase of 3.7 per cent last year but Council’s wages bill went up by a similar amount, while the cost of electricity increased by double that, and Sydney Water charges have risen up to 18%.


“Altogether, we’re tracking really well and if we all pull together, I’m confident we can clear the PIO and continue to deliver appropriate, effective and efficient services that benefit everyone in our wonderful Kiama community.”