Internal Loan - Rescission Motion
Published on 19 June 2025
Statement from Acting Mayor Ben Fry:
I have called an extraordinary meeting to deal with the rescission motion lodged by Councillors Aubin, Cranston and Wright. This is an exercise in procedural vandalism, not robust scrutiny. The trio seek to overturn Council’s 18 June decision to create a $10 million internal-loan facility from the Sewer Fund to the General Fund - a facility explicitly recommended by the Office of Local Government, fully compliant with sections 409 and 410 of the Local Government Act, and parked as a contingency, not a cash-grab.
A rescission motion should be used sparingly, when fresh, material information comes to light. No such information exists. What we have instead is a reheated list of talking points already tested, debated, and defeated in open session. Every hour staff now spend re-drafting reports and reassembling agendas is an hour not spent repairing roads, balancing budgets, or delivering services. Ratepayers foot that bill.
The movers cite “inaccuracies” and “lack of rigour.” I have examined their claims against the record:
“Hidden multi-year exposure” The report and ministerial letter, circulated in full via the business papers, state the facility may remain open because cash-flow uncertainty does not follow tidy calendar boundaries. That is prudent liquidity management, not sleight-of-hand.
“Sewer Fund at risk.” A credit limit is not a debit balance. The facility is a safety valve, drawn only if cash tightens and repaid from scheduled revenue. That is Finance 101.
“Moving deficit numbers.” End-of-year accruals refine forecasts: worst-case estimates were narrowed to a final $2.19 million deficit projection once information landed. That is routine accounting, not conspiracy.
“Legal risks unexplained.” Written advice confirming compliance was provided to all Councillors.
“Staff intimidation.” Serious words, zero Code-of-Conduct complaints received. If bullying is alleged, lodge the paperwork. Until then, let’s call it what it is: experienced officers giving frank, fearless advice - courage in hearing it should match the courage in delivering it.
Bathurst faces a structural deficit. The facility gives Council a cost-free safety margin while we finalise broader recovery measures. It is cheaper than external borrowing and protects essential services.
Weaponising rescission motions because a vote goes against you is not oversight, it is obstruction. The extraordinary meeting will proceed, the rescission motion will be dealt with, and Council can return to the real work of balancing the books.
Media enquiries: Ben Fry Acting Mayor Bathurst Regional Council