As part of a modification to the approval for the fifth and final stage of the bypass between Rankin Park and Jesmond, Transport for NSW applied to the NSW Department of Planning in May to establish four works depots at Peatties Road in Kotara, Astra Street in Shortland, Cardiff Road in Cardiff Heights and Lookout Road in New Lambton Heights.

The modification was exhibited in June and attracted 42 submissions, 35 from the community, six from government agencies and one from an organisation.

City of Newcastle opposed using Astra Street because it is planning to remediate the former landfill site at the same time the bypass is constructed. It did not object to the other sites being used, but proposed conditions for Peatties Road. That site is spread across Newcastle council and state-owned land at the bottom of a hill about 200 metres into Peatties Road, which runs into Wimbledon Grove.

While the works depot is in the Newcastle local government area, residents along Wimbledon Grove - a dead-end street in Garden Suburb - live in Lake Macquarie.

Issues raised by the community in submissions included traffic impacts at the Peatties Road and Charlestown Road intersection, the ability of existing roads to accommodate heavy vehicles, pedestrian and motorist safety, noise impacts and a lack of consultation.

Transport for NSW recently responded to submissions, dumping Astra Street but remaining committed to using the other sites.

That prompted Newcastle councillor Peta Winney-Baartz and her Labor counterparts to this week move a motion proposing the council write to the Transport Minister to oppose the use of Peatties Road due to residents' concerns.

It also proposed writing to the Health Minister because Transport for NSW only sought approval for new construction compounds as NSW Health indicated a previously approved depot site on the John Hunter Hospital grounds could no longer be used due to the facility's planned $780m expansion.

The motion, which passed unanimously, also outlined the council's intention to refuse leasing its Peatties Road land to the state government.

Cr Winney-Baartz said the health and transport ministers needed to get together to come up with a "complementary timetable" for the two projects to ensure, not only that the original depot site can be used, but there aren't other disruptions during construction.

"It's critical that the impacts on residents are limited both through construction and [the bypass'] eventual operation," she said.

Save Peatties Road Action Group spokesman Rob Maggiotto said Wimbledon Grove residents fear a "nightmare" 30 months - the bypass' expected construction time - should the Peatties Road site be used.

"There's going to be something like 80 to 100,000 construction vehicle movements on that quiet road," he said.

"Our main concern is safety; we've got 50 to 60 kids in this street and it's our only way in and out of the place.

"They're going to be tradies rushing in and out, there's a bend on that corner. There's really bad access in and out. It's totally ridiculous.

"There's going to be an incident, or worse.

"Whatever controls they put in to mitigate the risk, it just doesn't stack up."

READ MORE: Calls for bypass, hospital to proceed separately to avoid 'chaos'

Lake Macquarie City Council made a submission about the proposal, but it made no reference to Wimbledon Grove residents.

North ward Labor councillor Barney Langford intends to move a notice of motion this month calling for greater advocacy from the council.

"Where the issue makes a problem is the land the site is on is in Newcastle council, but the major impact is on residents of Lake Macquarie," he said, adding the Peatties Road site was a "ludicrous proposition" that was the result of "two departments not really communicating very well".

Transport for NSW said in its application that the hospital's expansion works would "significantly reduce the usable area" of the previously approved depot site.

"Due to a lack of space and the sensitive nature of the surrounding natural environment, no suitable sites are available within or adjoining the [project's] construction footprint," it said.

Major bypass works are expected to start in early 2022. A timeframe for the hospital expansion is less clear but the two projects are "likely to coincide", Transport said.

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