Wollongong council rejects $16m cut to federal grants
Wollongong would lose $16 million yearly in federal grants under a new calculation formula.
The Commonwealth is changing how it divides federal grants to councils. Wollongong would lose $16 million yearly, with money going to rural and regional councils.
Deputy mayor David Brown called it 'potentially catastrophic' with only one year to adjust. Services would be cut: pothole repairs, playground maintenance, pool hours, and council jobs.
The new formula uses household income to judge a council's ability to self-fund. But councillors say this ignores that law caps how much councils can charge in rates.
The council unanimously approved a formal submission rejecting the plan.
- $16 million
- Yearly grant loss
- Next financial year
- Implementation
Why it mattersLocal services that residents rely on, roads, parks, pools, jobs, would shrink if $16m vanished in a single year.
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