The $17.6 million Kingaroy Transformation Project cost ratepayers around $9 million, Council staff say, with most of the balance contributed by the Federal and State Governments (Graphic: SBRC)

March 15, 2023

A total of $17.64 million has been spent on the Kingaroy Transformation Project (KTP), with $9.4 million of this coming from rates.

At March’s Liveability Standing Committee meeting, South Burnett Regional Council staff confirmed that all outlays associated with the KTP so far had been included in the 10-year capital works report presented at February’s General Meeting.

That report showed what capital works projects had been undertaken in each of the Council’s six divisions over a 10-year period between 2013 and 2023, and how much had been spent on each one.

However, staff conceded this might not be as obvious as had been hoped.

This was because KTP funding had come from several sources and it was necessary to show the project’s outlays over three lines.

For clarity, they said 40 per cent of the KTP’s budget had been funded by external grant programs or State Government departments such as the Building Better Regions Fund or the Department Of Transport and Main Roads.

A further $1.4 million had been drawn from the Council’s Water and Wastewater business unit to cover the replacement of 70-year-old underground water and sewerage pipes in Kingaroy’s CBD.

And the balance – $9.05 million – had come from the Council’s capital works program (ie. general rates).

In December last year the SBRC called a halt to any further expenditure on the KTP this financial year.

A few remaining “final touches” to the project – such as the construction of a trailhead at O’Neill Square or the addition of street furniture – are expected to be funded from next year’s budget.

Last December, staff estimated these final touches could cost a further $80,000 to $260,000.

If enacted, this would bring the project’s final cost to between $17.72 million and $17.9 million.

Footnote: When the KTP was first proposed in mid-2017 it was expected to cost $8 million, but by the time work began in January 2021 this budget had expanded to $13.6 million. However, material and labour shortages caused by the COVID pandemic and CPI increases of between 12 and 25.7 per cent – coupled with five extreme weather events – saw this revised figure balloon to $17.9 million.

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5 Responses to "KTP Bill Totals $17.64m"

  2. Are the councillors so incompetent that they didn’t ask for a budget or costings or even a plan before continuing to pour more and more money into this white elephant? The roads in the rest of the region will deteriorate even more as all the money went to this exorbitant exercise and there are no funds for road maintenance.

    Reply

    • To be fair to Council, the figures released recently show roads are Council’s biggest expense. The money that was spent on the KTP did not come from the roads budget. It came from government grants and money set aside for depreciation of Council assets.

      Reply

  3. There is interesting information in the recent KTP articles to understand. The vacant shops are a result of the worldwide economy that has impacted everywhere.

    More interesting, though, is the fact rates have not increased because of the KTP project leading me to believe that funds contributed by Council were held in accumulated depreciation provisions and were combined with government grants to create a totally funded capital project.

    And the finished work is brilliant! A large proportion of the cost has been invested underground and on roadworks, not on above-ground structures.

    It is important to put the project into its proper context.

    Reply

  4. Must agree, Mal. There are empty shops in every town in our region. I hope council does not lose its appetite to continue refurbishments in our other towns.

    The refurbishments enhance liveability for our residents and make the region attractive to tourists.

    Just today Myer announced it was closing their Queen St Mall shop.

    I think it is great full disclosure of funding has now taken place. Facebook may experience a slowdown.

    Reply

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