Hunter Business Chamber says the business community must have a voice on a proposed City of Newcastle panel which will assess funding applications for improvement activities.
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The Newcastle Herald reported this week that the lord mayor and three council staff would sit on a panel to decide who receives money under a proposed new model for Newcastle's $1.3 million business levy scheme.
The proposed make-up of the panel runs contrary to a staff report to the council on May 28 summarising public feedback on a "business improvement association (BIA) review implementation report" by consultants AECOM.
"A number of submissions have suggested that business representatives be part of the panel and this is supported," the report said.
"Once Council has determined the model moving forward Expressions of Interest for projects and events accessing contestable funding will be called during June 2019 with applications to be reviewed and assessed by a panel consisting of Council staff, the BIA Support Officer and a Business Representative."
The council voted last week to place on public exhibition draft guidelines on how funding applications will be assessed, but the new model drops the plan to include a business representative on the assessment panel.
HBC chief executive Bob Hawes told the Newcastle Herald that the chamber had been stressing to the council the importance of having a business owner on the panel.
"There's a lot at risk," he said, referring to the well documented struggles of inner-city traders.
"We need someone on that panel who understands how business works."
HBC said in its submission to the AECOM report that it was "aware of concern among business groups that the Council will assume complete control of the allocation of contestable funds ... with no opportunity for the business community to have input into evaluation of applications."
The new scheme bans two established BIAs, Newcastle Now and Hamilton Chamber of Commerce, from applying for funds because both have had agreements with the council "terminated due to a breach of the agreement".
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