Rainy weather and COVID-19 delay City of Newcastle works by months

City of Newcastle CEO Jeremy Bath said the La Nina-induced conditions combined with COVID impacts had created huge challenges for the works teams.

"In the last seven months alone, we've received about 850mm of rain. That's more than three quarters of our rainfall for the entire year," he said.

"So that translates to about two and a half months of work being lost when it comes to on ground investigation and construction delivery. That doesn't include the additional lost time when you're waiting for the ground to dry.

"But probably just as significant a challenge, predominantly on the basis that you factor in a degree of rainfall, is what we didn't factor in this year was COVID. COVID has had a more disruptive effect this financial year than what it had last year."

He said this was caused by the "domino effect" of staff going down with the virus as well as supply chain disruptions and material shortages.

Most affected projects include No 1 Sportsground, which has lost more than 100 work days, Wallsend Active Hub due to a wait on overseas materials, grouting at Newcastle Art Gallery and local centre upgrades at Stockton, Shortland and Orchardtown Road. South Newcastle Beach skatepark has also been heavily hit by big swells washing away materials.

The capital works spend is down about $6 million on what was budgeted to this point - a similar figure to Lake Macquarie council.

"We've spent just over $70 million this year in our capital works program," Mr Bath said. "That compares to almost $73 million at the same time last year.

"Last year, we delivered about $30 million of infrastructure in June, the final month of the year. If we deliver that amount this year, then we will hit budget.

"But it's highly unlikely even if we don't get significant rain that we're going to be able to deliver $30 million in June, purely on the basis of the supply chain disruptions resulting from COVID."

The expected overflow of works is set to create further headaches with a record capital spend of $132 million planned for next financial year. The draft budget was recently exhibited and will be presented to council on June 28 for adoption.

"Next year's capital works program is a stretch, but we like to operate that way," Mr Bath said.

COVID cases have reduced and isolation rules changed, Mr Bath said, and while supply chain issues will continue to be a challenge, those delays were factored into the next budget.

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