This afternoon’s reconvening of Council’s September Meeting (all held in confidential session) has agreed to self-report to the Independent Commissioner Against Corruption on possible matters of maladministration as a precautionary measure and put its second Akuna St property (the higher carpark) up for tender.

Details of the self-reporting are few, only that it will be “detailing concerns of the possibility of corrupt conduct” arising from the forensic audit assessment that was reported in April the year (conducted by specialist firm Forsyths and known as the Forsyths Report).

The minutes say that “while no conclusions could be drawn from the investigation that fraud or corruption did in fact take place, matters were identified that required further investigation to rule out the possibility of fraud and corruption”.

They also say that legal advice obtained by Council “identify areas that require further investigation before the possibility that fraud or corrupt conduct can be ruled out”.

They note the legal advice that “No proof of corrupt conduct is required, and in general, ICAC encourages principal officers to err on the side of caution and report a matter. There are no risks to Council should you choose to report.”

This resolution follows one made yesterday in the first part of the September Meeting, which called for the additional work necessary to release an executive summary of the Forsyths Report be made a priority if money can be identified in the Quarterly Budget Review, due to be considered at the October Meeting. The executive summary of the confidential report will need to be prepared by Forsysths, at a cost of $28,000.

The resolution, proposed by Deputy Mayor Imogen Draisma and approved 7:2 (Croxford and Rice against), also asked for a report to be prepared “on the mechanisms available to Council for an independent investigation of the performance of Kiama Municipal Council between 2016 and 2022”.

“The purpose of Forsyth's forensic audit was to investigate the financial reporting of Council from when we were found 'Fit For the Future' to early 2022,” says Councillor Draisma.

“As a result, a forensic audit into our organisation would provide a limited assessment of underlying human factors and decision making that has contributed our financial situation.

“My notice of motion asks for a report into the capacity to investigate the performance of staff and councillors during that term of Council. This is so we can be better informed and take active steps to ensure that the culture in the previous term Kiama Council is put to an end.

“Ultimately, further investigation is needed to better inform Council and community.”

This is the third time Cllr Draisma has called for the executive summary to be released.

“The problem is we keep talking about it and basing decisions on it, and the public still doesn’t know what is in it,” she says.

The decision to put Council’s other land holding on Akuna Steet out to public tender as a priority is not unexpected, particularly now that the Town Centre DCP gives guidance on what can be built on the virgin site (3 to 4 storeys).

It was resolved later in the meeting, when two year cashflow projections required by the Government were looked at, to "accept the Cash Flow Option requiring the short-term restoration of cash reserves and the balance sheet in the order of $30 to $40 million by exploring all possible asset divestment opportunities and capital works reductions over the next two years".