The issue has drawn the attention of mayoral candidate John Dorahy, who said Wollongong City Council should stop fighting the plan and let residents gain the benefits it would offer.

A development application over land off Arkell Drive is now moving to the Land and Environment Court.

The DA includes a single house and a debris control structure in American Creek, which is adjacent to the development site.

The structure in the creek would stop debris blocking culverts under the M1, thereby reducing modelled flood levels for a much larger housing estate planned, called Cobbler’s Run.

The flood mitigation works would be funded entirely by the developer, RBFI Pty Ltd.

The company stands to benefit, as the plan is predicted to lower the modelled flood level of Cobbler’s Run land by 1m, reducing development costs.

But on the other side of American Creek is the Northview Estate, where residents have been campaigning since 2014 about exaggerated flood levels prescribed by council’s mapping.

Residents there want the lower flood level modelled for Cobbler’s Run extended to their estate. And they have endorsed the debris control structure as a method to avoid drains becoming blocked in heavy storm.

Spokesman John Mathieson said the plan would lower modelled flood levels by 1.3m, cutting insurance premiums by thousands of dollars.

But after three months council has not approved the plan. RBFI will now take it to the court arguing that this should be deemed a refusal.

The Mercury understands council has retained an external law firm for the matter.  

Mr Dorahy, who has sat on the suburb’s floodplain committee, said he would take up the residents’ fight for the reduced levels, and endorse the Cobbler’s Run debris control structure plan.

“When you have experts throw really good points towards a solution, you need to have an open-door policy where you don’t push back on these people, but you take on board what they’re talking about and consider it,” he said.

“Why do we need to go down the path of spending money in courtrooms when there’s a simple solution to assist not only the people of those two estates, but [Figtree] more widely?”

The council said it could not comment. “Council has not yet determined the application and will consider the merits of the application as part of the appeal process,” a spokesman said.