At its latest meeting, Wollongong City Council (WCC) stood accused of entering into a 'sweetheart deal' with long-time operator Skydive the Beach, resulting in ratepayers forgoing millions of dollars in missed earnings.

The issue arose during discussions on Monday night about a new City Foreshore Plan of Management, which provides Council with guidance on how best to oversee land use in the popular precinct between WIN Stadium and Fairy Lagoon.

During the consultation period, there was considerable scrutiny and comment on the skydiving operations in Stuart Park that have operated now for more than 25 years.

Community members claimed the skydiving operations contravened permissible uses for public (community) land and, in his address to Council, a former senior engineer with WCC said "...over the past 20 years, Council, ratepayers and residents have missed out on millions of dollars of rent due to the peppercorn amount determined by staff..."

John Riggall told the Council meeting in 2015 Skydive the Beach's annual rent of $8000 equated to 42 cents per jump. He said that was less than two per cent of the rent paid to Victoria's Port Phillip Council of $27 per jump. He understands 10 years later, a similar commercial arrangement remains in place.

Mr Riggall said if there were 20,000 jumps each year in Wollongong and the Council received $25 per jump that would equate to half a million dollars in earnings per year, not $8000. "Why is this allowed?" he asked.

Responding to those questions, a number of councillors agreed that in future the city should look at getting a better financial return for ratepayers.

A 'sweetheart deal' for skydiving

Councillor David Brown said, "Skydive [the Beach] probably is getting a sweetheart deal."

Cr Brown said if the operator was getting below-market rent this will need to be negotiated.

"The city and the public deserve a better deal than has been happening," he said.

Cr Dan Hayes and Cr Kit Docker also spoke in support of a review of the commercial arrangements for skydiving operations in Wollongong.

"If the accusations are correct around the compensation we receive then that is something we should visit, just now right now," Cr Docker said.

Should skydiving be allowed to continue at Stuart Park?

Two speakers from the community addressed Council on the legitimacy of skydiving being allowed to continue at Stuart Park.

Mr Riggall said, "140 years ago a visionary NSW Government proclaimed Stuart Park as Crown Land for the people of Wollongong and NSW to enjoy as a public park."

He said in the 1990s Council had the foresight to move cricket and baseball from Stuart Park oval to Dalton Park and in December 2000 the NSW Minister adopted the 2000 Stuart Park plan of management, including to "create a village green in the area of the old sports oval ... to provide an additional passive recreation space for additional open space as a 'village green' environment.

"It [Stuart Park] is the most significant and loved regional park on the South Coast, and has many recreational uses," Mr Riggall said.

"It is fundamental that Council, as stewards of Crown Land, must manage scarce precious public parks in the best interests of the community, preserving them from threats of alienation for private profit."

Mr Riggall, and a second speaker to address Council, Ian Young from Towradgi, asked Council to amend the foreshore plan of management to give priority for residents and the people of NSW to have free access to Stuart Park and, in the process, relocate the commercial skydiving operation to a large area of green space to the north of Fairy Meadow Surf Club.

Both speakers suggested a deferral of consideration for the foreshore plan of management. Mr Riggall said by putting the report on hold it could "engage an independent expert to investigate and report re: the future of skydiving in Stuart Park..."

'You may as well rip up the master plan'

Mr Young went a step further: "If the continuation of skydiving in Stuart Park is permitted, you may as well rip up the master plan."

Throughout the consultation process and following the concerns raised, Council has sought its own legal advice on the permissibility and legitimacy of skydiving operations at Stuart Park.

On Monday night Council was again advised by its lawyers they were satisfied that the current arrangements with skydiving were consistent with relevant NSW Government legislation.

Cr Dan Hayes said he didn't support the deferral of the new foreshore plan, and he wanted to see skydiving continue in Wollongong. 

Cr Ryan Morris, an experienced parachutist, said from a safety aspect, he believed Stuart Park was the best landing place for skydiving.

Council voted unanimously to adopt the new foreshore plan of management and while it's clear there will be a future review of the existing commercial arrangements for Skydive the Beach, no time-frame has been provided.

Following Council’s decision, Mr Riggall said Council still hasn’t explained to the public why, when there are options for alternative skydiving landing sites, they are so determined to give away Stuart Park for profit-making, when he believes it should remain 100 per cent accessible to the community.

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New Council to decide whether skydiving should continue at Stuart Park