CITY of Newcastle says the South Newcastle skate park and the adjoining sections of Bathers Way are "on budget and within anticipated timelines" and that cost increases disclosed in the council's recent annual report reflect "extra works".
This answer has not satisfied the "Friends of Southie" community group, which has been opposed to the skate park from the start.
Independent lord mayoral candidate John Church said the "surprise blow-out" was another example of what he described as "a lack of consultation experienced by many people during this term of council".
Council papers of July 28 last year record the total estimated cost of the works as $12,622,632.
That meeting voted to accept a tender from the main contractor, Lloyd Group Pty Ltd, for $10,997,895.45.
The council's recently published annual report, values the Lloyd's Bathers Way contract at $14,377,285. Convic Pty Ltd has a skate park contract of $1,507,000.
Council chief executive Jeremy Bath said the Convic contract was "novated" - or included within - the Lloyd Group contract, which was the total cost.
A council spokesperson said the Bathers Way South Newcastle work was "part funded by a $5 million grant from the NSW government".
Friends of Southie spokesperson Bernie Wilson said it should not have taken "a line item buried in an annual report to confirm the cost increases".
Cr Church said any changes to the contract should have been referred back to the councillors.
Mr Bath said variations went into a "contract register" as soon as they occurred.
He said the Bathers Way work had two additions.
One was to replace the seawall that collapsed when hit by big seas in May last year.
The other was "an engineering solution" to preserve South Newcastle's 113-year-old stone arches in consultation with the National Trust.
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He said the work had been awarded to Lloyd's because it was less expensive, and less disruptive, than calling for separate tenders.
He said the $1.5-million array of "skate bowls and quarter pipes" was now much smaller than the initially proposed "skate park", and did not encroach onto the sand.
Mr Wilson said that regardless of any changes, the skate park was still "a vanity project" in the wrong place.
