Caloundra South
Caloundra South Roxanne Mccarty-Okane

$530m shortfall for Caloundra South still unresolved

WHO will ultimately pay for a $530million infrastructure shortfall associated with the Caloundra South development remains unresolved, 2½ years after it was first identified by Sunshine Coast Council.

A council spokesman said it was still committed to getting the best outcome for ratepayers. Negotiations were continuing, he said.

That response came nearly a year after mayor Mark Jamieson told ABC Coast FM the matter would be resolved by Christmas last year.

At stake is a potential general rate rise, identified by the council at between 4.5-9%, for 30 years, if the State Government leaves council with the bill.

Otherwise residents buying into the Caloundra South development, which stretches from Bells Creek Rd in the south to Caloundra east of the Bruce Hwy, may face an annual levy of between $940 and $1478 for 49 years.

The development, which will involve more than 20,000 homes to house 50,000 people, will be built in the next 40 years.

The money is required to augment infrastructure and facilities because of the pressure that will fall on Coast roads, libraries, sporting facilities, car parking and beach access and parks.

The umbrella organisation for 30 Sunshine Coast ratepayer and community groups, Oscar, wrote to Cr Jamieson in August seeking information about the dollar cost to ratepayers of council's Build and Benefit subsidy program designed to stimulate development approvals to actual construction.

Oscar also wanted clarity about negotiations between the council, Deputy Premier and State Development Minister Jeff Seeney, and Stockland. The group claims it received no response but the spokesman for the mayor said he had no recollection of the correspondence but would consider the questions.

"In 2012 council, the State Government and the developer Stockland were holding discussions to resolve the situation," Oscar president Ian Christesen said.

"Here we are 2½ years later still in the dark."

Mr Christesen said Local Government Association Queensland studies showed present shortfalls in developer contributions were forcing councils into massive debt.

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