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Newcastle Herald
Newcastle Herald
National
Madeline Link

'Smacks of an ambush': Ross Kerridge stripped of lord mayoral powers

Newcastle lord mayor Ross Kerridge at the inaugural council meeting on Tuesday night. Picture by Marina Neil

NEWCASTLE lord mayor Ross Kerridge says a decision to strip him of powers afforded to predecessor Labor Cr Nuatali Nelmes "smacks of a deliberate ambush" designed to undermine his ability to do the job barely a week into the term.

Under a new document which sets out his decision-making powers, Cr Kerridge will not have control over the chief executive's pay, bonuses and incentives, the number of staff who work in the lord mayor's office and its structure or deciding who gets a vote at local government conferences.

Cr Kerridge said the "rushed move" goes against the precedent set over the past decade.

"Although it is always appropriate to review the delegations to the lord mayor and the CEO, on this occasion it appears politically motivated to curtail my effectiveness, and prevent me delivering the change the citizens of Newcastle voted for," he said.

"It is particularly ironic that this rushed stripping of powers was supported by the former lord mayor."

All 10 Greens, Liberal and Labor councillors voted in favour of the rollback, with Independents Cr Kerridge, Cr Gittens and Cr Brooker opposed to the motion.

Instruments of Delegation (IOD) must be reviewed by all NSW councils in the first 12 months of each term of office.

At Tuesday night's council meeting it was decided to bring the powers back in line with those set out in state government legislation typically adopted by councils.

A delegation which made the lord mayor and chief executive nominated directors on Newcastle Airport related companies was also removed, instead the council will vote on representation after a briefing at the end of the month.

At the meeting, Labor Cr Declan Clausen said he had "significant involvement" in the IOD over the years, which he said were modelled off elements from Jeff McCloy's era and those afforded to Sydney lord mayor Clover Moore.

"I think it's about time, and it's appropriate, that the delegations that are before us this evening are modernised consistent with the core duties of each of the roles of general manager, or CEO as its referred for this council, the lord mayor and the development applications committee," he said.

Chief executive Jeremy Bath said the bespoke Newcastle document was creating headaches for council staff.

"What we're actually doing is looking to mirror the Local Government Act (the Act), we're wanting there to be no discrepancy between what the Act describes for whether it be the council general manager, whether it be for elected council, whether it be for the lord mayor," he said.

"I say without question and on behalf of the executive manager of legal and governance, it has proved exceptionally challenging for us, particularly over the last four years, to interpret a hybrid model where you have effectively delegations that are a combination of state government legislation as well as words crafted by councillors.

"While it is often clear to the councillors what their intent of words is, they are not clear to council staff."

A move to increase the limit on tenders Mr Bath is able to accept to $2 million was shot down at council, keeping it at $1 million. The chief executive's delegations were also brought in line with the Act.

The new council appointed a four-person panel to undertake the annual review of the CEO's performance, one of which is Cr Kerridge.

The panel will make recommendations to the council in terms of performance and remuneration. The council will then make the final decision.

Newcastle lord mayor Ross Kerridge (left) and chief executive Jeremy Bath at the first council meeting. Picture by Marina Neil

If a new CEO was recruited, the process would be led by Cr Kerridge, unless the council resolved differently.

The appointment of a new CEO would be determined by the council, with terms including salary negotiated by the lord mayor.

While Cr Nelmes was afforded powers over the chief executive's pay packet, staff in the lord mayor's office and voting rights at local government conferences, a statement from Newcastle Labor councillors said she requested a review of the delegations to ensure they aligned with the Act in 2023.

"The former lord mayor was always cognisant in her use of discretion, seeking approval from the elected council," the statement said.

"During the previous terms of council, CEO remuneration, for example, was recommended by the full CEO Review Panel, and approved by the full elected council.

"All staff in the former lord mayor's office were engaged in accordance with the Local Government Act, reporting to the council executive and CEO."

Cr Kerridge said he was disappointed to lose authority over staffing and budget decisions in his own office.

But, he acknowledged some of the previous powers could be considered "overreach" and should have been corrected.

"I'm determined to find a more appropriate balance that upholds my mandate while ensuring proper checks and balances. But this isn't it," he said.

He said the administrative changes may hamper his ability to deliver on his election promise to launch an investigation into council matters, including the Neylon-Sivo letter writing scandal which saw Mr Bath face heavy scrutiny from both the public and non-Labor councillors.

"Newcastle voted for me based on my commitment to conduct appropriate investigations into council matters, and the community expects this to occur," he said.

"Non-Labor councillors have previously stated in the Herald their commitment to investigations into matters of public concern regarding the council.

"I hope they will honour that commitment."

The lord mayor said that if the goal was to update the IOD, it should have been done collaboratively with the involvement of the council.

"I would counsel my fellow councillors, to reflect on the result of the election, and the accountability demanded by the citizens of Newcastle," he said.

"The community has indicated by its voting that they value transparency and integrity, and are sick and tired of tricky political games being played in local government."

Cr Kerridge said he fully intends to build a council that is "accountable, trusted and respected" by the community.

A City of Newcastle spokesman said the 2022 delegations were difficult to interpret and created uncertainty.

"They were a hybrid of language contained in the Local Government Act and drafted and amended by councillors," he said.

"When clarification of delegations were inevitably sought by councillors, the public and the media, staff were often unable to provide definitive advice of how they should be interpreted."

The spokesman said that unless delegations are clear they are "largely pointless" and create a significant legal risk to City of Newcastle staff and councillors.

He said the review of delegations began well before the election and change in lord mayor.

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