'Unjustifiable' Ray Walsh House problem divides council and community

"There will be a report going to council Tuesday night which will recommend that council not remediate Ray Walsh House, that we don't re-occupy it as a council, and that we look at alternate accommodation options [for council staff] in the interim," Tamworth Regional Council (TRC) general manager Paul Bennett told media on Friday morning.

The report also recommends exploring options for the "future disposal" of the 50-year-old building.

Mr Bennett confirmed two local developers have expressed interest in purchasing it from TRC, but said council "has neither received nor sought any offers from developers related to Ray Walsh House".

The decision is sparking outrage among locals who are already disappointed with the multi-million dollar cost TRC has paid to refit, rent and relocate staff so far.

"It's concerning that council wants to go and spend more money when our rates are through the roof," local ratepayer Stephen Knight said.

"I can't see how they can justify it. I think we need more transparency from council, show us where the money's going and why."

Earlier this month the Leader revealed price estimates for remediating and refurbishing Ray Walsh House range from $52 million to $64.5 million, though residents are sceptical of these figures.

"It seems quite excessive what they're saying it's going to cost. They need to get it assessed properly and actually use the building," a resident who asked not to be named said.

And it's not just residents who are wary.

Councillor Mark Rodda told the Leader he plans to vote against the abandoning Ray Walsh House at the upcoming council meeting.

Cr Rodda said he's worried resolving to sell or dispose of the building will lock TRC into an even more expensive alternative, for example adding council offices into plans for a Performing Arts Centre (PAC).

"We supposedly need a 36.3 per cent rate increase because we're so cash-strapped, but on the other side of the coin we're talking about these huge plans for Tamworth," Cr Rodda said.

"It's nice to have big plans but it's also nice to be able to fund them too."

During the morning's press conference TRC's general manager argued combining the construction of new offices with a proposed $90 million PAC and 400-space car park would actually be cheaper for the community.

He said doing so would probably cost around $120 million in total, but would attract subsidies from the NSW and Australian parliaments given the wide range of community benefits.

"If we can build this project in with the Performing Arts Centre, we'd look for assistance from the state and federal government to go one-third partners each, which will significantly reduce the overall cost to the local community," Mr Bennett said.

"The government typically likes to see that there is a collaboration between the different tiers of government to deliver good community outcomes. It's a big ask, there's no doubt about that, but we are a growing cosmopolitan-like city, and I think government is looking to grow arts in our areas."

But Cr Rodda says expecting any money from higher tiers of government is ridiculous, especially after the federal government's recent refusal to fund $15 million for the Tamworth Regional Aquatic Centre.

"Anyone is deluded if they think we are going to get significant funds from the other tiers of government towards a performing arts and cultural centre," he said.

As debate on Ray Walsh House rages, TRC is spending about half a million dollars each year to rent temporary office space from six different buildings in the CBD.

On Tuesday councillors will discuss finding cheaper, more centralised rental options for the "medium term" of up to 10 years while TRC continues searching for a solution to the Ray Walsh House issue.