Whitlam MP Stephen Jones has called on Wollongong City Council to reveal how millions of dollars set aside to help low-to-middle income earners get their foot in the door of a new home at West Dapto have been spent.
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Six years ago, the council signed a funding agreement with the then-Labor federal government – securing $13.9 million from its Building Better Regional Cities program for the West Dapto Access and Development Strategy.
Mr Jones said the funding agreement required the council to invest in local infrastructure projects that supported an increase in the number of homes for sale, and made rents affordable for working families on low to moderate incomes.
As part of the deal, $9.2 million was set aside to help low-to-moderate income earners buy a home in the West Dapto Urban Release Area.
The council launched its West Dapto Home Deposit Assistance Program (WDHDAP) in 2014 – a scheme that allowed families struggling to save the cash for a home deposit to apply for up to $83,000.
The grants were administered via a partnership between IMB and the council, and available for loans worth up to $415,000.
However, the program was discontinued due to sharp increases in land and house values affecting low-to-moderate income earners’ ability to access the scheme.
It was designed to assist more than 120 households, but a council spokesman said only one property owner successfully met the scheme’s criteria at the time.
Mr Jones has written to the council to air his concerns that the $9.2 million had not been spent.
The MP has also called for the funds to be directed to social housing, given the “critical shortage of housing stock in the region”.
Mr Jones said six years on there was still no plan of action.
The spokesman said the council had entered “an arrangement to facilitate the delivery of affordable housing in the region with the funds”.
“The options for affordable housing are still being investigated by council,” he said.
“Currently the funds are being held by council as a restricted asset, attracting interest.”
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.
