$19.5 million in hidden grants to Hornsby Shire Council

2024-10-30

The current Minister for Local Government was not informed of an additional $19.5 million in grants awarded by the Berejiklian Government to Hornsby Shire Council (HSC) for a range of projects and some of which have not commenced 4 years after the money was provided to the Council. In answers to questions asked by Greens MP Sue Higginson in budget estimates, Minister for Local Government Ron Hoenig was advised that OLG was not responsible for the administration of any grants paid to HSC other than the Stronger Communities Fund grants, that information was inaccurate.

The Government has launched a review into how this incorrect information was produced in response to Ms Higginson’s questions, and whether more recovery attempts would need to be made by the NSW Government, along with the $36 million of unspent grants to HSC as part of the discredited Stronger Communities Fund.

Greens MP and spokesperson for Planning and Environment Sue Higginson said “It is deeply concerning that the Minister for Local Government was given inaccurate information by the Office of Local Government in response to very specific questions. This one group of grants is worth $19.5 million, how many other secret pork barrel grants of the former Liberal National Coalition are still out there?”

“The grants identified in these documents seem to be a pre-election gift to Hornsby Shire Council from then treasurer and Member for Hornsby, Matt Kean. The payment of monies to the Council were being made while a Parliamentary inquiry, chaired by the Greens, was looking into the Stronger Communities Fund where documents were shredded by the Premier’s office. This takes brazen pork barrelling to a new level,”

“While understandably the Government is taking this revelation seriously, I am concerned that there is a possible conflict of interest in the review that has been started. The Planning Secretary responsible for this review, was also Coordinator General for Planning and Local Government in Office of Local Government (OLG), in 2021 - when OLG was administering these grants. In fact, one of the letters obtained under freedom of information is signed off on by the Coordinator General at the time,”

“These grants were required to be spent within two years of the money being received and we know that at least one of the projects that was supposed to receive money has not commenced - Westleigh Park, which controversially would see the development through the rarest critically endangered woodlands communities of the Sydney Basin. Other pork barrel funds for Westleigh Park are already the subject of recovery action by the NSW Government, to get back the unspent $36 million that was handed to Hornsby Shire Council. These other funds should be included in that recovery before the Council rushes ahead to spend this money that they shouldn’t have,”

“The Minister for Local Government should take this opportunity to look closely at what other State Government monies have been thrown to Liberal controlled councils as part of this so far unknown grant stream. The Greens want local communities to receive funding for important projects, but the awarding of these grants occurred in the shadow of corruption and pork barrelling. Where conditions of grants have not been met, those monies should be returned to the Government and redistributed in an open and transparent way,” Ms Higginson said.