Port Macquarie-Hastings Council has developed and adopted a property investment policy.
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So, does that make council a 'developer'?
Council developed a draft property investment policy to 'establish a structured and prudent' approach to property investment, a report to the December council meeting said.
"The policy formalises the use of property investment by council, to contribute to financial sustainability, and to improve long term outcomes for the community," the report stated.
"Under the policy, council will utilise property investment to establish a recurring income stream that supplements the traditional income base of rates, charges, and government grants.
"The policy will be used to invest in property assets to meet future community, operational and growth needs."
The draft went on exhibition in September. Council received two submissions.
One of those submissions was from the Hastings Construction Industry Association's Michael Mowle.
In one part of that submission, Mr Mowle described the intended policy as 'untenable'.
"This intended policy is untenable in a society where government is required to be both transparent and accountable to the community," he said in the submission.
"Government's role is the approval and regulation under relevant legislation, and the provision of services to the public, which must be delivered in a way that there can be no conflict of interest with the community it serves."
Mr Mowle says the proposed policy 'clearly details that council proposes to become a developer.
This intended policy is untenable in a society where government is required to be both transparent and accountable to the community.
- Michael Mowle
"Land and property development is a high risk industry which requires significant skill and expertise to be successful," he said.
But speaking to the recommendation at the meeting, Cr Geoff Hawkins said the investment policy gives a framework to what council does.
"And it also incorporates us to go in another direction well: that is, all councils are under financial pressures with restrictions and we need to explore every opportunity we can to seek different sources of revenue.
"We also need to manage the risk involved in that," he said.
No decision to buy, develop or dispose of a property will be made without a report being tabled at a formal council meeting for reconsideration.
"That was clearly a concern that came through the consultation process," Cr Hawkins said.
Cr Justin Levido said the policy is a good move by council.
"I am very much in support of this motion," he said.
"Council has the expertise to get involved in property investment and to maximise its return and to get long term benefits on behalf of the community.
"There are council involved in this area, on a cautious basis."
Cr Levido said council, as one of the most regulated authorities, takes its obligations of council and governance very seriously.
Mayor Peta Pinson said she supports the motion where 'council can derive further income options'.