Newcastle council is forecasting a $1.2 million surplus in its draft 2021/22 budget, which CEO Jeremy Bath says will be a $23.5 million turnaround on this financial year's results.
The $330 million budget, which will be tabled at Tuesday's meeting, proposes a $90.4 million infrastructure program that includes the Newcastle Ocean Baths restoration, Wallsend town centre revitalisation, an organics facility to recycle residential food waste and Bathers Way works.
Mr Bath said council's long term financial plan also showed the budget would remain in surplus for the next 10 years.
"We know our city and community is not yet completely out of the woods when it comes to the economic impact of COVID-19," he said.
"That's why we have made a conscious decision to push our capital works program as hard as is possible this year and next, knowing that the economic return on our $90 million infrastructure program will be hundreds of local jobs."
The council last year adopted a budget for 2020/21 that forecast a $22.7 million deficit. It included a record $116 million spend on capital works.
Lord mayor Nuatali Nelmes said the 2021/22 draft budget would support the economic and population growth of the city.
"We will spend $330 million in what is a commitment to deliver services and infrastructure that support our city ... as an inclusive and sustainable place to live and work," she said.
"Investment in services across the city is a key priority ... with $13.7 million for upgrades to local roads, bridges and footpaths and $9.1 million for new and improved parks, playgrounds, sporting and aquatic facilities."
