Already under pressure from the demands of daily business, the first thing that stood out to Nambucca Shire mayor Rhonda Hoban was the requirement to prepare a lengthy document about their future plans by June next year.

“This will immediately take significant staff resources to prepare,” Cr Hoban told the Guardian.

“But I can’t see how this will help because nowhere in the package is there any real funding to address the infrastructure backlog, which is where this all began.

“All I can see is money being offered for amalgamations with nothing left over for infrastructure. 

“And the offerings for regional and rural councils are peanuts.”

She said she was annoyed the Government was doing nothing about changing, for example, the grant funding system that sees financial carrots dangled in front of councils without allowing them and their communities to decide for themselves what services are needed most. 

“I can’t see in here any real structural reform that gives us a long term fix and a solid goal to work towards. I am searching for sustainability.

“There is no change to grants, no change to rates, no change to the funding for major projects ... basically there is no change in how councils can raise funds apart from their ratepayers.”

She said she would nonetheless approach the package with an open mind, agreeing that resource sharing between the nominated group of four councils (Nambucca, Bellingen, Coffs Harbour and Clarence) could be improved.

“There are possibilities for sharing IT and financial services and also sharing tenders for the purchase of plant equipment, but we are already doing a lot of this so there are no major cost savings there.

“I’d be more positive if I could be confident we’d all be better at the end of all this.”

President of Local Government NSW and Coffs Harbour councillor, Keith Rhoades, described the package as “amalgamation by bullying”.

“If councils don’t meet certain criteria, they are penalised,” Cr Rhoades said.

“This creates two levels of councils - those who are fit, get access to government grants and the $258 million, and those who are not, are stuck with rate pegging and given the crumbs of grants.

“There should only be one level of councils, no matter how big or how small ... and there should be no discrimination against regional councils.

“Why should a city council (in Sydney) the size of Coffs Harbour receive $22.5 million versus the regional one is offered only $11 million?”

He said much of the funding on offer was ‘spin’.

“The $600 million worth of low interest loans still equates to money having to be paid back and the $100 million they say will be saved, is not helping councils.

“The Local Government NSW board has not taken any position yet - we have a lot of work to do talking to local councils.”

* The Office of Local Government will be in Coffs Harbour this afternoon to field questions from council mayors and general managers; Coffs Harbour C-Ex, 4pm.