Mayor's update: A new path forward for Kiama Council

Published on 29 May 2026

There’s been a lot said recently about Kiama Council receiving a “12-month extension” to its Performance Improvement Order.

This decision is about far more than giving Council extra time.

What the NSW Government has proposed is in fact not an extension, it’s a whole new varied Performance Improvement Order, a new document that recognises the enormous amount of work already completed while setting a more measured and practical pathway toward long-term financial sustainability.

Recently, CEO Jane Stroud and I met directly with Minister for Local Government Ron Hoenig at Parliament House during the LG8 meetings to discuss Kiama’s situation face-to-face.

Importantly, the Minister demonstrated a detailed understanding of the progress Council has made and the challenges that remain.

Over the past four years, Council staff, councillors and our community have worked through one of the most difficult periods in Council’s history. There have been hard decisions, difficult conversations and significant pressure on everyone involved.

But there has also been an extraordinary amount of work happening behind the scenes to rebuild confidence in Kiama Council’s future.

That work is now being recognised.

The proposed variation to the PIO comes with a new series of requirements around governance, financial management and long-term sustainability measures, including the future operating model of Blue Haven Terralong retirement village, additional financial reporting measures and revenue strategies to strengthen Council’s long-term cash position.

Importantly though, this pathway now allows Council to retain many of the services our community values, including youth services, tourism services, our libraries, the Visitor Information Centre and Kiama Leisure Centre.

That does not mean all difficult decisions suddenly disappear, but it does provide Council a longer time to make careful decisions while maintaining service levels.

This position reflects years of work by Council staff, constructive engagement with the Office of Local Government and advocacy to ensure Kiama’s unique circumstances were properly understood.

There is still significant work ahead.

But these past weeks represented an important turning point for Kiama Council.

Not because the job is finished, but because there is now a clearer and more achievable path forward for both Council and our community.