I have kept silent for many years, watching what I consider to be a self-indulgent council, led by former lord mayor Nuatali Nelmes and Cr Declan Clausen, ride roughshod over this city.
At last, Ross Kerridge, a previous member of the Labor party who had worked out how this city had been led, was elected. Dr Kerridge stood on a platform that made commonsense to me, but I was always afraid that he would never get the numbers. The past few days have proven that, as he has been crushed by Labor and the Greens.
As a matter of record, I inherited a council that, as advised by the accounting staff, was set to run out of cash within two years. On the same night, we were presented with a proposal to extend the art gallery for $30 million. I couldn't believe my ears as Labor and the Greens, despite the dire warning, supported the gallery work. I believe the actions of the former council led to the loss of the federal government grant during my term that was to go towards that extension.
This week, I watched the first meeting of the new council, and was appalled. Labor, particularly Cr Clausen, instead of talking to the motion in hand, was completely political and continually referenced the amazing work of the previous council, which I consider utter rubbish. Under Nuatali Nelmes and Labor, they had complete and unfettered power. At my time in council, without raising rates, we reduced the staff to just over 900 (my model was 600 staff). Today I believe the figure is close to 1400.
The previous council's record is quite appalling. The skate park on Newcastle beach is undoubtedly in the wrong place and went from a budgeted cost of $11 million to $20 million, and took more than three years to build, which is about the time it took my company to build the John Hunter Hospital.
The demolition of the Hunter Mall car park was a massive overrun. A condition report later showed it could have been made safe for about $1.5 million. The art gallery extension is likely to exceed $60 million. That contract needs a full investigation. The council's move to Newcastle West was simply a rip-off of ratepayers' money.
Reducing absenteeism was given as one of the reasons for the move. However, management can't get staff back to work following COVID. So, where's the absenteeism now? We were seeking new premises, and my staff recently inspected that level. There were 90 workstations with about 20 people there, who we were told could fit on other floors. So, they offered up nine car spaces for 90 workstations. How many did they keep for their own staff who won't go to work?
Each lord mayor of Newcastle and mayor of Port Stephens has sat on the Williamtown Airport Operating Board, receiving no remuneration. Nuatali Nelmes voted herself and Jeremy Bath onto the board in 2019 for an annual payment of $50,000 each.
The cost blowout from the council office move was put at $7 million, then went to $17 million and that figure did not include IT costs. An investigation needs to be held to the validity of the $7 million and who issued the variations and changes to get to $17 million? The council chambers at Roundhouse was adjacent to City Hall, the art gallery, the library, museum, and Civic Theatre, all in walking distance. That staff efficiency is now well and truly gone as they can't get the staff to come back to work in the new office.
By our calculations, both rates and fees and charges have rise by more than 80 per cent since I left. They now have the hide to try to restrict the new lord mayor's powers so that they still run the show with their collective wisdom, making Cr Kerridge simply a figurehead and stopping him from achieving open and transparent government.
I fear the new lord mayor's powers will be effectively frozen. Jeremy Bath is giving some reasons for this, but why didn't he complain when Cr Nelmes and he introduced them after he was appointed by her?
So, unfortunately the current Greens and Labor have thumbed their nose at the citizens of Newcastle who elected the lord mayor they wanted. I wish Cr Kerridge well, but feel dreadfully sorry for him. He appears to be a man of great integrity and intellect.
Government intervention will be required to sort this out - to be transparent to the citizens of Newcastle.
Jeff McCloy was independent lord mayor of Newcastle between 2012 and 2014.
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Editor's Note: This story was amended on October 17, 2024, to clarify that the announcement of the loss of the federal government grant promised for the art gallery occurred during Mr McCloy's term as lord mayor, not during the previous lord mayor's term.
