ST GEORGE and Sutherland Shire councils reacted with mixed views on news they would be provided with financial incentives to merge under a state government program announced last week.
Premier Mike Baird launched the $1 billion Fit for the Future package, which would see $258 million provided to councils that merge, including $153 million for councils in Sydney.
Cheaper finance would be offered under the plan.
Rockdale mayor Shane O'Brien welcomed the decision to offer financial compensation but questioned the amount.
"I think they've done it in the right way because there are significant costs in merging councils," he said.
"Is it enough? I'm not sure."
He said he kept an open mind to possible amalgamations but was not convinced it proved more sustainable.
"I don't think it makes sense to group councils like a football team," he said.
"I would like the government to explain to us what our four local councils stand to gain from this."
A Kogarah Council spokeswoman said the council's "stated position is that it does not support any of the options for its amalgamation proposed by the Independent Local Government Review Panel".
"This includes amalgamation of the St George councils or a wider amalgamation of the St George councils with Canterbury Council," she said.
She said the potential implications of the package for the community would be considered in detail.
Kogarah mayor Stephen Agius said the council had "a proven record of providing quality and cost-effective facilities and services to the community".
"This, coupled with state, national and international recognition of council's sustainable business and environmental practices provide clear evidence of Kogarah Council's capacity to deliver a high level of service to our community," he said.
A Hurstville Council spokeswoman said the council would review the government's information before determining the best way forward.
Sutherland Shire mayor Steve Simpson said the council was not likely to face amalgamation but any final decision should be with ratepayers.
"I do believe that we need to amalgamate some councils. We need to make sure that we have services that are complementary to the regions they cover," he said.
"In the end, it should be up to the ratepayer."
The government incentive comes after analysis released last week showed two-thirds of NSW councils were running combined deficits exceeding $400 million last year.
Are council amalgamations a way of saving money while providing good service to ratepayers?
