Council’s $100m booster
KEY projects will receive an injection of about $100 million this financial year as Townsville City Council brings forward $50 million in borrowings to stimulate the economy.
The spending is part of $221.9 million in capital investment planned for 2020-21.
The key projects include the replacement of century-old water mains in the suburbs, upgrades to the Douglas water treatment plant, developing a Wulguru wastewater pump station and expanding the Stuart dump.
Other projects include improving drainage and building a Solar Tree at the Central Park boardwalk near the stadium and installing an aeration system in Ross River Dam to help prevent algae growth.
Council budget papers show the council’s debt will be around $386 million at the end of this financial year with planned borrowings of $50 million offset by planned debt repayments of $32.6 million.
Queensland Treasury Corporation’s 2020 credit review rated the council’s position as sound.
Mayor Jenny Hill said the council had planned to borrow $25 million this year and $25 million next year but would now bring forward the borrowings to undertake work around the Douglas water treatment plant.
“It’s a bit like the (Great) Depression, if we can do things and spend some money, kickstart the economy again and allow the private sector to step in, that’s what we are trying to do,” Cr Hill said.
JENNY HILL
“The risk we run is if the economies move into a depression. I think that’s what every nation is trying to stop.
“By council spending that money and putting those funds back into businesses and keeping jobs going, we are hopeful that the economy won’t slide into a depression and then we start to see unemployment figures drop.”
Townsville water and wastewater committee chair Russ Cook said a sizeable chunk of the council’s capital spending would be on water and wastewater infrastructure.
About $23.5 million in spending would see critical water mains replaced across Townsville.
Cr Cook said the new Wulguru pump station was important to reduce sewerage overflows in high rainfall.
Infrastructure services committee chair Mark Molachino said $11 million would be spent improving safety to high priority roads, while $6 million would be spent upgrading pathways, especially around schools.
A new $5 million laboratory would be built at the Douglas water treatment plant, maintaining it as the most capable local government lab north of Brisbane.