Ryde Central

28 November 2023

At the 28 November 2023 Council Meeting, it was a resolution of Council to defer any development at the Ryde Central site. Therefore, all temporary fencing has been replaced with permanent fencing for ongoing public safety as well as security of the site.

As the year draws to an end, I wanted to take this opportunity to update you, our community and Councillors, on the status of the Ryde Central site and staff progress in delivering key actions in our Action Plan.

Update on the project

Council acknowledges the iconic history of the Ryde Central site and community support for the project and for the site to remain publicly owned. At the Council Meeting held on the 28 November 2023, Council resolved to defer the commencement of any new civic building at the Ryde Central Site until sufficient funding can be identified and to retain public ownership of the site. The complete Council resolution can be found here.

Action Plan

As you may be aware, our Council’s Action Plan is the roadmap guiding our progress to ensure that the City of Ryde’s financial management and asset management complies with all relevant legislative requirements. For complete transparency and accountability, the Action Plan has been continually updated and provided for your information, and also to our Councillors, the Office of Local Government and the Council’s Audit Risk and Improvement Committee (ARIC).

My previous statements relating to Ryde Central are located below. 

I am pleased to advise that Council staff have made significant progress on the Action Plan. The following link provides the latest information detailing our progress, as at December 2023.

View the Ryde Central Action Plan

As you may be aware through my previous public statements, City of Ryde (‘Council’) has been assisting the Office of Local Government (OLG) and the Independent Commission Against Corruption (ICAC) with their ongoing inquiries into the mismanagement of funds contained in Council’s ‘restricted reserves’.

Council staff have developed an Action Plan with the assistance and guidance of the OLG who have now approved Council sharing the Plan with Councillors, our Audit Risk and Improvement Committee, staff and the Community.

It should be noted that Council has already undertaken a number of important actions, with the oversight of the OLG:

1. Council’s Chief Financial Officer (CFO) has reversed and returned funds to the relevant Restricted Cash Reserves within Council. This was an action endorsed by the OLG and Council Resolution. The return of funds to correct accounts will not adversely impact rates or any Council services provided to the community. Further details of this is on Council’s website and contained in my previous public statement.
2. A new Cash Reserves Policy for the future utilisation of Council’s restricted reserves funds, was adopted by Council on 27 June 2023. This is also now available on Council’s website.
3. An external Review of Council’s Voluntary Planning Agreements (VPA) and the financial implications and liabilities to Council has commenced and is ongoing.

On June 30, Council provided the OLG with extensive materials in relation to the ongoing external investigation into the alleged mismanagement of ‘restricted reserves’.

The OLG is reviewing these materials and Council staff are continuing to co-operate with the OLG on any further lines of enquiry it may require.

On 17 July 2023, I, as the CEO briefed members of Council’s Audit Risk and Improvement Committee (ARIC) on the Action Plan. All Councillors were then briefed on 19 July 2023.

The Action Plan aims to ensure that best practice systems and structures are implemented to achieve greater governance, accountability and transparency around Council’s funds and practices.

With inquiries by the OLG and the Independent Commission Against Corruption (ICAC) still ongoing, no further comment can be made by Council.

At the Council meeting on 23 May 2023, I delivered a public statement regarding transfers of funds from Council’s restricted cash reserves in 2020 and 2021. At the time, I stated that investigations were ongoing in relation to the treatment of funds in Council’s Restricted Cash Reserves.

Although the investigations into these matters are still ongoing, Council’s Chief Financial Officer has taken the necessary action to reverse the transfers and return the funds to the relevant Restricted Cash Reserves, being an action agreed by the Office of Local Government.

Council considered these actions at its meeting last night and resolved to take the following steps:

1) Return $35,500,000 from Ryde Central Reserve to S7.11 Externally Restricted Reserves as follows:

• $26,406,740 to S7.11 Open Space & Recreation Facility Reserve
• $8,659,138 to S7.11 Community & Cultural Facility Reserve
• $434,122 to S7.11 Stormwater Management Facility Reserve

2) Return $1,086,451 Employee Leave Entitlements Reserve to S7.11 Externally Restricted Reserves as follows:

• $808,159 to S7.11 Open Space & Recreation Facility Reserve
• $265,006 to S7.11 Community & Cultural Facility Reserve
• $13,286 to S7.11 Stormwater Management Facility Reserve

3) Allocate a total of $1,140,267 from Accommodation Reserve for interest earned in prior years to S7.11 Externally Restricted Reserves as follows:

• $848,190 to S7.11 Open Space & Recreation Facility Reserve
• $278,133 to S7.11 Community & Cultural Facility Reserve
• $13,944 to S7.11 Stormwater Management Facilities Reserve

4) Return $3,381,645 from Accommodation Reserve to Voluntary Planning Agreement Reserve

5) Return $361,249 from Accommodation Reserve to Voluntary Planning Agreement Reserve

6) Return the amount of $1,006,700 from Accommodation Reserve to Domestic Waste Reserve due to a COVID-19 Rates Rebate.

Council also resolved to adopt a new Cash Reserves Policy. This Policy will provide greater confidence for the Council and community on the future utilisation of any restricted reserve funds by staff contained within those restricted reserves.

I stress that the implementation of the above resolution will have no adverse impact on Council rates or the quality of services and programs that Council provides to the community. In fact, this will now mean that funds that had previously been set aside for open space, community and cultural facilities, and infrastructure needs can now be allocated back to projects and programs within those areas.

Finally, as a result of these actions, and as I mentioned in May, the future of the Ryde Central Project is currently under review. We will continue to keep the Council and the community updated as that review progresses.

As these matters are still with the Office of the Local Government and Independent Commission Against Corruption for their consideration, no further comment can be made by the Council at this time. 

At the Council meeting on 23 May 2023, I delivered a public statement pertaining to matters concerning the transfers of funds obtained from developer contributions which had been placed in restricted reserves, funds which are required to be held by Council and spent for the purposes for which they were collected from developers in line with Council’s Contributions Plan. The transactions in question should not have occurred.

Council has provided all relevant details relating to these matters to the Office of Local Government and the Independent Commission Against Corruption, who are now undertaking their own inquiries on these matters. Council is cooperating in full with these inquiries.

Council’s top priority is to make sure Ryde ratepayers continue to receive the services and programs that they have come to expect and that the impacts from these matters are minimised. Council’s main priority is our ratepayers. Council staff will continue to work diligently every day in the best interests of our community.

I must strongly stress that as these matters have been referred to the Office of Local Government and ICAC for their consideration, no further comment can be made by Council on these matters until the conclusion of the external inquiries. I will endeavour to keep you informed as appropriate.

View my full statement delivered to Council and the community last night.