Date

Thursday, 20 May 2021

Release

Northern Beaches Council today welcomed the response from LSI Consulting which demonstrates the amalgamated Northern Beaches Council is performing better than its former individual councils.

LSI Consulting released a Performance Index in October last year using flawed calculations. This week they provided Council with amended analysis which clearly demonstrates the benefits of the new Council.  

In an email to Council, LSI Consulting said the best performance by the old individual councils when consolidated is 1.10 in 2014.  In comparison, Northern Beaches Council was 1.08 in 2017, 1.11 in 2018, 1.16 in 2019, with a drop in 2020 to 1.02.

In the email they say directly that on the basis of the Performance Index numbers, the amalgamated council is doing better than the former individual councils.

Mayor Michael Regan welcomed the release of the adjusted figures, although said the ongoing exclusion of operating grants income continues to distort this index, especially for newly merged councils.

“It was very disappointing to read in the paper last year that Northern Beaches Council is amongst the worst performing when we know that’s not true.

“And even worse to see opponents of amalgamation use it as evidence for their cause.

“I am pleased to have the record corrected by an independent organisation, confirming that as an amalgamated council we are performing better than the former three council areas.

“We will continue to work overtime to make this Council even more efficient and effective and deliver the best outcomes for our ratepayers and community.”

Among a range of flawed issues with the original analysis, the original report used incorrect pre-amalgamation base-line figure calculation, using 12 months of rates income but only 10.5 months of expenses, overstating results by some $20million for the former councils that now represent Northern Beaches Council.

It then understated the post amalgamation year (2016/17), assessing 13.5 months of expenses but only accounting for 12months of rate income. This understated the Northern Beaches Council surplus by some $20million.