Rockhampton Airport Sale "Should be on the table to pay off Council debt" Says Local MP

The Rockhampton Regional Council will have to consider selling the city's $160million airport to help rein in its debt, according the Local Member for Keppel Bruce Young.  Mr Young said in a letter to the Rockhampton Morning Bulletin newspaper recently, that he had met with the Auditor-General to discuss the long-term viability of Rockhampton Regional Council.

He writes:  "The analysis was that Rockhampton Regional Council post de-amalgam predicts that based on financial forecast to 2017 the council will continue to fail to meet its financial liabilities benchmark.  Sadly, Rockhampton is one of four very large councils that have net financial liabilities that exceed 60% of that target range.  The higher the percentage the less ability it has to cover its long-term debts from self-generated revenues, which is mainly rates."

"... although historically, I have been on the record as saying that Rockhampton should not sell its airport, now understanding Rockhampton's continuing debt, I am of the belief it will need to consider the sale of Rockhampton Airport."

Rockhampton Regional Council's debt will stand at $167million at the end of the current financial year.

Initially, Rockhampton Mayor Margaret Strelow declined to comment on Mr Young's views, however, the Morning Bulletin has since reported that Cr Strelow said the council was in a much better position than was anticipated post de-amalgamation, thanks to a tough but effective budget, and was awaiting with confidence the next Queensland Treasury Corporation assessment of its overall position.

"I made it clear at the last budget that my goal was to turn the budget outlook around by cutting costs drastically and by increasing income," she said.

"We did that and are now in a position to continue to develop the airport or to look for partners as appropriate.  "We don't have a gun to our head."

Meanwhile, with Mackay's regional economy set to soar, with a $900 million upgrade of Mackay Airport, it could be a while before Rockhampton is on the same 'plane'.

But one Rockhampton councillor is reportedly guaranteeing Rockhampton Regional Council will continue to put forward its best business case to try to secure state and federal government funding for an airport upgrade.

Rockhampton Airport has the potential to grow, with parcels of neighbouring land blocks available to expand its operations.  No Federal Government funding has yet been allocated for an airport expansion.