The future of the free Gong Shuttle is on a knife’s edge following the rejection of the state government’s demand for more money.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
On top of this, if the stalemate is not broken by June 30 fares are likely to be introduced.
Wollongong City Council and the University of Wollongong had offered $700,000 a year for three years to plug the funding shortfall and keep the shuttle free.
On April 18, Transport for NSW (TfNSW) told the university and council that would not be enough money.
To fill the funding shortfall would now cost $788,000 in the first year and more than $400,000 in the third and final year of the agreement.
“Representatives from the university and council met with TfNSW on April 18 where TfNSW representatives provided an alternative proposal to the offer of co-funding from the university and council, which was made in December 2017,” a spokeswoman from Wollongong City Council said.
“After considering this TfNSW proposal both parties wrote back rejecting the government’s proposal and reiterated the terms of the original offer made in December.”
A university spokesman said it was opposed to paying more than the amount already put forward, stating it was “a fixed offer”.
Both the university and council believed the deal had to be concluded before June 30 to avoid the introduction of fares.
“Both the council and university stand by their offer of $350,000 per year for three years,” the spokeswoman said.
“Previous advice suggests that if a resolution is not found full Opal fares will be introduced from July 1, 2018.
“We are hopeful of an agreement, however the shuttle is a NSW Government service and ultimately they will determine its future.”
The University of Wollongong spokesman said the body remained optimistic TfNSW would accept “its substantial contribution to maintaining the free service”.
The cpuncil spokeswoman said Parliamentary Secretary for the Illawarra Gareth Ward “has been seeking to find a resolution to the issue”.
A TfNSW spokesman did not respond to questions about whether the negotiations had a deadline or what would happen if no deal was made before the start of the next financial year.
However, the spokesman said talks with both bodies were continuing.
“TfNSW is investigating a solution to keep the Wollongong shuttle as a free service for customers based on the level of funding proposed by Wollongong City Council and the University of Wollongong,” the spokesman said.
“We expect to be in a position to discuss this with stakeholders in the next week.”
Glen Humphries
I'm an award-winning senior journalist with the Illawarra Mercury and have well over two decades' worth of experience in newspapers. I cover the three local councils in the Illawarra for the Mercury, state and federal politics, as well as writing for the TV guide. If I'm not writing, I'm reading.
I'm an award-winning senior journalist with the Illawarra Mercury and have well over two decades' worth of experience in newspapers. I cover the three local councils in the Illawarra for the Mercury, state and federal politics, as well as writing for the TV guide. If I'm not writing, I'm reading.
