Fiona Phillips (centre) has supported the community campaign for a new Sanctuary Point Library, delivering $7.5 million for its construction four years ago. Photo: Supplied.
Shoalhaven City Council looks set to knock back $7.5 million in federal funding earmarked for a new library at Sanctuary Point.
Federal Member for Gilmore Fiona Phillips said she was “bitterly disappointed” for people in Sanctuary Point and the Bay and Basin area following news the council was poised to scrap current plans for the new Sanctuary Point District Library.
In 2022, the Federal Government committed almost $7.5 million for construction of a two-storey building valued at more than $20 million; however, in response to financial constraints, the council recently requested a variation to pursue a lower-cost option.
In November 2025, the council endorsed a single-storey library building to be built on the corner of Kerry Street and Paradise Beach Road. The proposed development was to replace the existing undersized facility and support the 30,000 residents in the Bay and Basin communities.
The council has come up with a new plan. Image: Supplied.
Shoalhaven director of city services Kevin Norwood said the variation would have enabled planning, design and site establishment to make the project ‘’shovel ready’’ for future funding. However, the Department of Infrastructure has confirmed the funding must be used for the original, larger building, or the funding deed would need to be terminated.
“Council has been through an exhaustive process to determine the site, design and size of a library that would be attractive and functional for the community to use into the future,” Mr Norwood said.
“Without government funding, council is not in a position to proceed with the library at this time.”
Mrs Phillips said the $7.5 million funding was still available for construction of the original library until the end of June 2027.
“Shoalhaven Council has stalled for more than four years on the project, changing designs and locations back and forth, and ultimately has been unable to build a library as originally promised within the timeline of the grant program,” she said.
“Council is now recommending forgoing the federal funding that I secured for this important community facility.
“It’s not good enough. People in Sanctuary Point deserve to have the new library they were promised.
“It beggars belief that a cash-strapped council would forgo significant federal funding for a project that ratepayers will ultimately have to fork out more money in rates for.
“Years in planning, the new Sanctuary Point Library will bring many benefits to people of all ages and backgrounds in the fast-growing area. The modern, purpose-built space will bring the community together to study, read and connect.”
If the council votes to terminate the agreement at its meeting on 28 April in line with the options outlined by the Department of Infrastructure, the project will be placed on hold until new external grant funding or a future council budget allocation is secured.
Mrs Phillips urged the council not to follow that course of action.
“I implore Shoalhaven City Council to get on with the Sanctuary Point Library they promised, and not hand back the $7.5 million federal funding,” she said.
“I will continue to back the community and support the project should council come to me in the future with a fleshed-out plan that will enable them to deliver the library.”
