Financial Sustainability Community Consultation Page

Cessnock City Council Administration Building entry via Cumberland Street

Project Updates

February 2026 Update:

Council has submitted its application for a Special Variation (SV) of rates to the Independent Pricing and Regulatory Tribunal (IPART) for assessment. The independent body will ultimately make the decision as to whether to approve the SV.

IPART is now holding its own public feedback period before it hands down a final decision, and the community has the opportunity to continue to engage during this important process regarding our LGA’s financial sustainability into the future.

Find out how to have your say with IPART via link below.

Visit IPART's special variation website


January 2026 Update:

Councillors resolved to apply to IPART for a 39.9 per cent 1-year permanent special variation for FY26/27 at a meeting on 14 January 2026. Council officers will now complete and submit an application prior to the due date in early February.

At the meeting, Councillors also voted to progress a review into Council's rating structure as to how Council's rates are structured and calculated across all rating categories. The review will include consideration of the most appropriate rating categories and sub categories, base rates and ad-valorem rates (rates calculated on land valuation) and is aimed at assessing impacts across the structure to improve equity impacts, legislative compliance and revenue stability, with a report on the outcome to be provided to Council for consideration for FY27/28.

The meeting papers from the Wednesday 14 January Council meeting are available here: Council Meeting Minutes and Agendas


Project Background

At Cessnock City Council, we deliver a range of quality services and infrastructure that are valued by our community.

To do this, we rely on various funding mechanisms including rates.

For the last five decades, Council rate revenue and certain other council revenues have been regulated in NSW under an arrangement known as 'rate pegging'.

Acting on the advice of the Independent Pricing and Regulatory Tribunal (IPART), the NSW Government determines the percentage figure by which councils can increase their general rate income each year through its rate-pegging policy.

If councils want to apply for a larger increase they need to make a Special Variation application. IPART then considers the application and makes a determination.

Council has engaged an independent expert, Professor Joseph Drew, and his team of three professors to explore the matters necessary to prepare an application for a special variation and undertake community consultation.

Professor Drew previously prepared a review of our financial sustainability. The report is available to download on this page.

Throughout this phase of work, this page will be regularly updated, including with responses to questions asked by the community and videos prepared by Professor Drew explaining the work he is undertaking.



Important Documents



Other Important Resources

You may watch Professor Drew's video series where he

addresses topics like staffing costs, the cost of growth and why now

via clicking this link.



Community Engagement

Please note community consultation prior to Council's Special Variation application has now closed. Details of activities held and consultation opportunities that were provided are below. Consultation is now open for submissions with IPART here.


How can I get involved now?


The dates and times for all 6 (six) Public Meetings held are recorded below:

DateTimeVenueAddress
Friday 21
November 2025		4pm to 6pmWollombi Tennis Club2979 Paynes Crossing Road, Wollombi
Saturday 22 November 202511am to 1pmEast Cessnock Bowling ClubVictoria Street, Cessnock
Saturday 22 November 20255pm to 7pmKurri Kurri Senior Citizens Hall132 Barton Street, Kurri Kurri
Sunday 23 November 202512pm to 2pmBranxton Community Hall35 Bowen Street, Branxton
Sunday 23 November 20256pm - 8pmEast Cessnock Bowling Club6 - 12 Victoria Street, Cessnock
Monday 24 November 20255.30pm to 7.30pmCouncil Chambers, Administration Building62-78 Vincent Street, entrance via Cumberland Street, Cessnock



The dates and times for all 10 (ten) Pop Up/Listening Posts held are recorded below:

DateTimeVenueAddress
Thursday 13 November 202510am - 12pmCessnock Village1 Keene Street, Cessnock
Thursday 13 November 20252pm - 4pmWollombi Tennis Club2979 Paynes Crossing Road, Wollombi
Friday 14 November 202511am - 1pmHuntlee Shopping Centre22 Empire Street, Branxton
Friday 14 November 20253pm - 5pmBranxton IGA52 Maitland Street, Branxton
Monday 17 November 202511am - 1pmThe Central Millfield51 - 53 Wollombi Road, Millfield
Monday 17 November 20253pm - 5pmHunter Valley Visitor Information Centre455 Wine Country Drive, Pokolbin
Tuesday 18 November 20259am - 11amHedleigh Park, Heddon Greta2 Adams Street, Heddon Greta
Tuesday 18 November 20253pm - 5pmMaybury Peace Park122 Cessnock Road, Weston
Wednesday 19 November 20259am - 11amNeath Hotel28 Cessnock Road, Neath
Wednesday 19 November 20252pm - 4pmKurri Kurri Library253 Lang Street, Kurri Kurri


Project Updates

February 2026 Update:

Council has submitted its application for a Special Variation (SV) of rates to the Independent Pricing and Regulatory Tribunal (IPART) for assessment. The independent body will ultimately make the decision as to whether to approve the SV.

IPART is now holding its own public feedback period before it hands down a final decision, and the community has the opportunity to continue to engage during this important process regarding our LGA’s financial sustainability into the future.

Find out how to have your say with IPART via link below.

Visit IPART's special variation website


January 2026 Update:

Councillors resolved to apply to IPART for a 39.9 per cent 1-year permanent special variation for FY26/27 at a meeting on 14 January 2026. Council officers will now complete and submit an application prior to the due date in early February.

At the meeting, Councillors also voted to progress a review into Council's rating structure as to how Council's rates are structured and calculated across all rating categories. The review will include consideration of the most appropriate rating categories and sub categories, base rates and ad-valorem rates (rates calculated on land valuation) and is aimed at assessing impacts across the structure to improve equity impacts, legislative compliance and revenue stability, with a report on the outcome to be provided to Council for consideration for FY27/28.

The meeting papers from the Wednesday 14 January Council meeting are available here: Council Meeting Minutes and Agendas


Project Background

At Cessnock City Council, we deliver a range of quality services and infrastructure that are valued by our community.

To do this, we rely on various funding mechanisms including rates.

For the last five decades, Council rate revenue and certain other council revenues have been regulated in NSW under an arrangement known as 'rate pegging'.

Acting on the advice of the Independent Pricing and Regulatory Tribunal (IPART), the NSW Government determines the percentage figure by which councils can increase their general rate income each year through its rate-pegging policy.

If councils want to apply for a larger increase they need to make a Special Variation application. IPART then considers the application and makes a determination.

Council has engaged an independent expert, Professor Joseph Drew, and his team of three professors to explore the matters necessary to prepare an application for a special variation and undertake community consultation.

Professor Drew previously prepared a review of our financial sustainability. The report is available to download on this page.

Throughout this phase of work, this page will be regularly updated, including with responses to questions asked by the community and videos prepared by Professor Drew explaining the work he is undertaking.



Important Documents



Other Important Resources

You may watch Professor Drew's video series where he

addresses topics like staffing costs, the cost of growth and why now

via clicking this link.



Community Engagement

Please note community consultation prior to Council's Special Variation application has now closed. Details of activities held and consultation opportunities that were provided are below. Consultation is now open for submissions with IPART here.


How can I get involved now?


The dates and times for all 6 (six) Public Meetings held are recorded below:

DateTimeVenueAddress
Friday 21
November 2025		4pm to 6pmWollombi Tennis Club2979 Paynes Crossing Road, Wollombi
Saturday 22 November 202511am to 1pmEast Cessnock Bowling ClubVictoria Street, Cessnock
Saturday 22 November 20255pm to 7pmKurri Kurri Senior Citizens Hall132 Barton Street, Kurri Kurri
Sunday 23 November 202512pm to 2pmBranxton Community Hall35 Bowen Street, Branxton
Sunday 23 November 20256pm - 8pmEast Cessnock Bowling Club6 - 12 Victoria Street, Cessnock
Monday 24 November 20255.30pm to 7.30pmCouncil Chambers, Administration Building62-78 Vincent Street, entrance via Cumberland Street, Cessnock



The dates and times for all 10 (ten) Pop Up/Listening Posts held are recorded below:

DateTimeVenueAddress
Thursday 13 November 202510am - 12pmCessnock Village1 Keene Street, Cessnock
Thursday 13 November 20252pm - 4pmWollombi Tennis Club2979 Paynes Crossing Road, Wollombi
Friday 14 November 202511am - 1pmHuntlee Shopping Centre22 Empire Street, Branxton
Friday 14 November 20253pm - 5pmBranxton IGA52 Maitland Street, Branxton
Monday 17 November 202511am - 1pmThe Central Millfield51 - 53 Wollombi Road, Millfield
Monday 17 November 20253pm - 5pmHunter Valley Visitor Information Centre455 Wine Country Drive, Pokolbin
Tuesday 18 November 20259am - 11amHedleigh Park, Heddon Greta2 Adams Street, Heddon Greta
Tuesday 18 November 20253pm - 5pmMaybury Peace Park122 Cessnock Road, Weston
Wednesday 19 November 20259am - 11amNeath Hotel28 Cessnock Road, Neath
Wednesday 19 November 20252pm - 4pmKurri Kurri Library253 Lang Street, Kurri Kurri


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  • Why when we drove past Branxton pool last Sunday, there wasn’t one person in there and the lawns were being mowed! Tightening the belt would include this cost being completed at a regular hourly rate not Sunday rates per hour! The cost and public perception needs to be addressed before the public will see the council as needing the additional funds instead of real or perceived bureaucratic wastage!

    Mich asked about 1 month ago

    Hi Mich,

    The Pool Attendant position description is diverse and includes facility maintenance, mowing/landscaping, cleaning (including changerooms and toilets) as well as lifeguarding. Our staff are multiskilled, so when attendance is low, they can still be productive and alternate between other activities that are required to be undertaken to maintain the pool environment.

    It wouldn’t matter whether it was a Sunday or a weekday, alternate duties are always undertaken by staff.

    Thank you for asking.

  • At the Branxton popup, professor Drew said the increase was ongoing for every year forward, yet the implication above is that the increase is only for the next financial year - which is it? And could you be clearer as I for I e do not want a nasty shock!

    Mich asked about 1 month ago


    Hi Mich,

    Council is applying to IPART for a one-off Special Variation of 39.9% in 2026–27 (this includes the normal annual rate peg).

    If approved, rates would increase once in 2026–27 to a higher base level. After that, rates would not increase by another 39.9% each year, instead from 2027–28 onwards rates would only increase by the normal annual rate peg set by IPART which is the same process that applies to all NSW councils.

    What Professor Drew was referring to is that the higher rate base continues forward. It doesn’t reset or drop back but future increases are only the standard rate peg, not another special variation.

    You can find out more information about how IPART sets the rate peg via their website here -https://www.ipart.nsw.gov.au/Home/Industries/Local-Government/For-Ratepayers/The-rate-peg  


  • Do developers pay rates on all the individual lots that have been approved for subdivision or on the broad acre holding at the agricultural rate?

    Mich asked about 1 month ago

    Hi Mich, 

    Rates are applied based on how the land exists at the time rates are levied. If a subdivision has been registered, rates are calculated separately for each individual lot. If the land remains a single holding, rates apply to that holding. In both cases, the land values used for rating purposes are likely to differ. 

    The rating category is determined by the land use at the time of assessment. For example, farmland rates apply only where the land meets the required criteria.

    Thanks, Emilie

  • At the council meeting on 10 December 2025 counsellor Madden‘s report stated that in relation to the Black Hill quarry there The member had advised that in all the years that the quarry had been in operation there were only two years when the funds recovered for development contributions were fully expanded. The report went on to indicate that there was a sum of $442,000.available in this account. In view of the fact that the back Hill quarry has been operating for nearly 30 years now and is due to close in six months time. Please advise what council proposes to do with the $442,000 held as development contributions for this development.

    The truth asked about 1 month ago

    Hi Truth

    For information relating to Development Contributions please see the Cessnock City Wide S7.11 Infrastructure Contributions Plan on Council’s website here - Local Infrastructure Contributions and Planning Agreements

    As your enquiry is not specific to the Special Variation, please follow the usual process for a Council enquiry by emailing council@cessnock.nsw.gov.au

  • What is the value of unredeemed waste vouchers for each of the last 5 financial years and What Council done with those surplus funds those

    The truth asked about 1 month ago

    Hi Truth

    Thanks for your question. Waste services are not paid for through Rates, but rather a dedicated waste service charge, which would not be affected by a special variation. As your enquiry is not related to Special Variation or Rates, please follow the usual process for a Council enquiry by emailing council@cessnock.nsw.gov.au 

    Thanks, Emilie

  • At the council meeting of 22/10/25 Councillors Dixon asked the Chief financial officer a question to the following effect “ what is the estimated cost of the community consultation including the distribution of the fact sheets, survey and prepaid envelopes to every household farm and business? The CFO indicated he would have to take the question on notice as the costs were dependent on how many people use the prepaid envelopes To get back to the Council and that was a bit of a variable figure. Can you please advise the answer to the Councillors question ?

    Robinmallik49 asked 2 months ago

    Hi Robinmallik49, 

    Thank you for asking a follow up question to the Council meeting on 22 October 2025 for a response to the question asked of the Chief Financial Officer taken on notice. 

    The total cost of engagement for the Special Variation is estimated at $41,500 exclusive of GST. This includes the printing, posting and letterbox drops but does not include staff costs. 

  • Councils financial records show that for the 3year period -2020 to 2022 legal costs amounted to $2.417 million. The same records show that for the three period of 2023 -2025 legal cost amounted to $11.5 million. This is a dramatic spike of $9 million .Please explain the reason for this dramatic increase in legal costs. Is it anticipated that these costs will continue at this level and have they been taken into account in considering future expenditure. Is this increase in expenditure a reason why there is an anticipated deficit this year of approximately $8million.

    The Truth asked 3 months ago

    Hi Truth, 

    Thank you for raising the question.

    Primarily the increase in the 2023-2025 period is the airport hangar decision. It is not anticipated to be at this level in the future and is expected to return closer to historic norms, noting that the period 2020-2022 were lower as debt recovery actions were on hold during the lockdowns. The increase in legal fees in past years has no impact on the deficit for this year, which is driven by structural budgetary challenges. 

  • How many people have responded to each of the two surveys ?

    The Truth asked 3 months ago

    Hi Truth,

    Thanks for your question regarding the number of surveys received as part of community consultation undertaken for the proposed Special Variation. 

    If Council adopts a recommendation to apply to IPART for a Special Variation the survey results will form part of the application which is submitted to IPART and made available on IPART's website. Alternatively, if an application does not proceed Council will look to publish the results through an alternate manner such as via Council's website. Please stay tuned.

  • I have attended a listening post in addition to a public meeting with Professor Drew but have not been provided with an answer to the following question- what is the amount of developer contributions currently held by council and why have these contributions not been used for local infrastructure such as road improvements when the required nexus and need exist?

    Prunes asked 3 months ago

    Hi Prunes,

    Thanks for raising (another) question!

    As at 30 September as per the Quarterly Budget Review Statements adopted by Council, we hold $54.4. In the first quarter of the year we received $1.6m and spent $2.3m. These are used by Council in line with the Delivery Program that maps out our forward works program. Council is committed to using Developer Contributions as a higher priority, though it should be noted that generally Council is also required to spend some of its own funds on these projects. 

    Works proposed under the contributions plan represent infrastructure to be funded via a variety of sources. In some instances, the total cost of work is to be funded pursuant to the local infrastructure contributions provisions of the Act. In other instances, the cost is to be borne by a combination of local infrastructure contributions under this plan, local infrastructure contributions received under previous contributions plans, Capital Works Fund, and/or other funds. The scenarios in the Long Term Financial Plan (LTFP) highlight the importance of Developer Contributions and how we may be able to apply it in the future.

    The LTFP is currently on public exhibition here: Long Term Financial Plan 2026 - 2035 | Together Cessnock  

    Kind regards

  • I note from the NSW response to the recommendations following the Inquiry into the ability of local government to fund infrastructure and services dated May 2025 that Special variations will only apply to specific council projects or programs and that a Comprehensive Spending Review that forensically examines expenditure as well as revenue will be required for an IPART application for permanent rate increases . I note that Professor Drew in his video and at the public meeting I attended stated that he has been working on the application for a SV for a period of 6 months (May 25?) and had notified IPART of the proposed SV already. Has council rushed through this SV application for a near 40% rate increase to avoid the consequences and scrutiny of having to provide the Comprehensive Spending Review to IPART and the prohibition of using SV for permanent rate increases.

    Prunes asked 3 months ago

    Hi Prunes,

    Council indicated that it would consider a need to apply for the Special Variation in our draft Delivery Program that was publicly exhibited in April 2025.

    In May 2025, the NSW Government announced its intention to support many recommendations from the NSW Parliament’s Upper House inquiry into the ability of local governments to fund infrastructure and services. The Office of Local Government (OLG) has not yet provided a timeline on implementation of these recommendations.

    At its meeting on Wednesday 22 October 2025, Council resolved to notify IPART that Council is considering a Special Variation application. A decision to lodge an application to IPART has not yet been resolved by Council.

    Council has been monitoring developments closely to understand the pathway to progressing an application for 2026/27 and we are following current guidance published by IPART in October 2025.

    Thanks for asking the question. 

Page last updated: 19 Feb 2026, 07:59 PM