'Not fit for purpose': Special fund to go as city looks to balance budget

It was established as part of the 2014/15 budget with 0.5 per cent of rate revenue set aside each year for projects and was initially praised for its success.

The first year, a once-off amount of $395,943 was allocated to the fund and every year since a percentage of rate revenue - about $300,000 - had been directed into the fund.

But by 2022, the amount sitting in the funding had ballooned to almost $800,000 with perplexed councillors imploring community groups to apply for funding.

Councillors will vote on Monday, May 6, 2024 on a motion that proposes to cease the fund.

The council says the small infrastructure fund was "no longer considered fit for purpose" in its current state as it moves to a subdivided ward structure.

The 2024-25 draft budget - which will also go before Monday's meeting - does not include further allocations to the small infrastructure fund.

"The allocation to the fund must cease to balance council's budget in response to growing infrastructure needs and will no longer be suitable as a funding program under its terms of reference for a subdivided, ward-based council," the council says.

"The intent of the concept was to create a fund to assist in the financing of projects that fail to gain capital works funding in the budget process and which maybe smaller projects that improve the linkages and livability of the local neighbourhood areas within the municipality," the council says.

Community groups seeking council support are now encouraged to make a submission to an annual budget community engagement round.

Unallocated funds currently held in the small infrastructure fund will be returned to the council's cash reserves.

In 2020, former mayor Tony Herbert said the fund allowed councillors to act far quicker on community projects than normal council processes often allowed.

The council's small infrastructure fund was set up to allow councillors to fund community projects such as the dog park extension, petanque facility and footpaths.

Other projects which have benefited include the Japanese Gardens and a spectator shed for netball.

In 2020, former mayor Kylie Gaston said fund was a great initiative which allowed the council to get some "small but important" community projects done.

Former mayor Mike Neoh said in 2020, that when the fund was established "I don't think we realised how successful and then oversubscribed it would be some four or five years later".

But in 2022, Cr Richard Ziegeler said it was "perplexing" that more community and sporting groups in Warrnambool had not tryed to tap into the special fund councillors control to give infrastructure projects a boost.

At the time there was $760,000 sitting in the fund.

"I think it's a terrific opportunity for a lot of groups in the community to take advantage of. It just puzzles me as to why there aren't more takers," he had said.