
CITY of Newcastle says it will spend $116 million on infrastructure in its upcoming budget if the document wins approval at next week's council meeting.
The budget, which was publicly exhibited from March until last month, includes what the council says will be a record spend on capital works in a bid to offset the blow of the coronavirus lockdown.
Lord mayor Nuatali Nelmes said the budget, which forecasts a $275 million boost to the economy and will come into force from July 1, was pivotal for the city.
"When it comes to major economic downturns through incidents such as COVID-19, governments at all levels have a responsibility to accelerate investment to both keep people employed and uplift economic activity," Cr Nelmes said.
"The budget also includes a further $3.3 million community and economic resilience package providing significant targeted relief for businesses, residents and the most disadvantaged members of our community.
The major infrastructure spend includes $22.9 million for road and footpath upgrades, $17 million for waste management including a new organics facility; $14.2 million for renewal of local centre areas including Hunter Street mall, Wallsend, Kotara, Merewether, Shortland, Stockton, and $9.3 million for sustainability projects.
It also includes more than $8 million for parks and playgrounds, $7.3 million on storm water upgrades, $5 million for cycleways and $5 million for implementing the council's climate action plan.
The Newcastle Herald has reported that the council's employee costs face a 16 per cent rise over the next two years.
Chief executive Jeremy Bath said the budget came against the backdrop of a $12 million income drop for the council.
More than 70 per cent of the submissions received during the budget's public exhibition were classified as positive or constructive, the council said, with most focused on community support or council's financial sustainability.
Cr Nelmes said past experience showed the council could play a key role in the economic return from COVID-19.
"Independent economic analysis shows that our investment in local infrastructure has sustained over 3500 local jobs and increased economic output across Newcastle by more than $1.27 billion since 2015," she said.