Closed-door legal talks at Shellharbour City Council’s extraordinary meeting this week offered advice that a “reasonable” merger court case appeal was only a 50-50 chance of success.
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Councillors this week voted 5-2 in favour of appealing the Land and Environment Court’s ruling to throw out the council’s merger lawsuit.
Shellharbour council’s lengthy legal fight against the state government’s proposed merger with Wollongong City Council now heads to the NSW Court of Appeal.
At Thursday night’s meeting, the council’s legal team ran councillors through several appeal scenarios during an hour-long confidential sitting.
Mayor Marianne Saliba refuted suggestion the confidential discussions were held because council’s lawyers had advised not to proceed with the appeal.
“The advice from lawyers was that there was reasonable grounds for appeal, [the advice] from the [council] officers was the report be received and noted,” Cr Saliba told the Mercury on Friday.
“It was up to council then to make a determination.
“This [decision] rests wholly and solely with the councillors, in determining whether we wished to pursue this further or not.”
Explaining the term “reasonable”, Cr Saliba said “reasonable is a 50-50 chance” of success.
The Mercury understands the range used in the confidential discussions was 45 to 55 per cent.
Councillor Peter Moran said the legal advice “did not say proceed or don’t proceed”.
“We just got straight out legal advice and we had to make our own mind up,” Cr Moran, who joined Cr Helen Stewart to vote against the appeal, said.
“My overall thoughts were that the grounds of appeal seem rather thin to me as a non-legal person,” he said, adding if it was his money he wouldn’t go ahead with it.
“The legal advice didn’t suggest that we had anything better than a 50-50 chance.”
A spokesman for Local Government Minister Paul Toole said the appeal was a matter for the council and “the government at all steps has respected the processes of the courts”.
The appeal will be lodged by Tuesday.
What Shellharbour councillors said at Thursday night’s meeting
John Murray (in favour of appeal)
“We’ve got everything to lose and nothing to gain from this amalgamation or takeover.”
“I think we owe it to our residents to fight, to try and save the city.”
David Boyle (in favour)
“It [Wollongong] is a metropolitan city and we’re a regional city. When you want to merge something you need to have synergy and there’s definitely no synergy there.”
“They’ve got a central business high-rise mentality and we’re regional with villages and communities.”
Peter Moran (against)
“This proposed merger is a really bad deal for Shellharbour, a really bad deal.”
“We are a plaything of the state government and the state government will do what the state government wishes to do in regards to this.”
Paul Rankin (in favour)
“If we don’t stand up for the residents … I think we would be negligent in our duties to the community.”
“I think the costs will be reasonable. I think that in the long term our residents will lose far, far more than what we would lose by going to court and fighting the government.”
Helen Stewart (against)
“The state government is playing the tune and they expect us to dance to it.
“It [the merger proposal] has split the city. The state government has come in with a sledgehammer and just went ‘bang’ fair over the back of the head, no real consultation [and] no real thought for the residents.”
Kellie Marsh (in favour)
“The money that we are spending, I’ll have to be honest with you, I feel sick to the stomach about it.”
“I’d like to just say to the community, how much do you put a price on our city’s heritage? And how much can you put a price on Shellharbour City? I just think our city’s priceless.”
Marianne Saliba (in favour)
“Nobody wants to throw good money after bad in a case that we won’t win, but we don’t know that and, yes, sometimes the underdog does win.”
“If it means that we continue with the battle, I think it’s appropriate.”
Andrew Pearson
Andrew grew up in the western Riverina town of Hay and has strong ties to the region. He is a former DA journo who has a passion for breaking news and has covered everything from council and politics to crime and court.
Andrew grew up in the western Riverina town of Hay and has strong ties to the region. He is a former DA journo who has a passion for breaking news and has covered everything from council and politics to crime and court.
