Central Coast Council will spend $46.4M over 10 years on a new computer system.
But the amount to be spent is actually $4M less than what was budgeted for the existing system.
Council says it has taken a significant step towards improving its information and technology systems.
It follows a confidential report adopted by the councillors at the June 23 meeting which will see Council enter a 10-year contract with TechnologyOne for its OneCouncil integrated Software as a Service (SaaS) solution.
The signed agreement, which starts on January 1, 2026, includes a four-year phased implementation plan, supported by dedicated internal governance and project delivery structures.
“This move is in line with industry best practice – Central Coast Council will join 77% of councils in NSW which have transitioned or are transitioning to TechnologyOne,” Council said, adding that it would deliver significant cost savings for the community,” Council said.
“Implementation of TechnologyOne’s OneCouncil system will take time and will mean that the suite of core systems our staff use to deliver services to the community will change.
“Council is committed to ensuring this transition is as smooth as possible and will ensure that councillors and the community are kept informed along the way.”
The transition to TechnologyOne is part of what Council calls a “future-focused internal transformation program to improve efficiencies, customer service, governance, security and ultimately, our services to the community”.
The total project cost of the TechnologyOne contract and implementation was included in Council’s adopted Operational Plan and Delivery Program budget.
The implementation of the integrated system is forecast to deliver $4.2M in savings over the 10-year period.
“Additionally, Council anticipates significant workflow efficiencies following implementation and over the course of the contract, which are expected to further increase the value of these savings to the community,” Council said.
“Council staff were rigorous in their contract negotiations and successful in incorporating favourable terms including competitive pricing (significantly below comparable councils), additional protections and risk mitigation.
“These include a termination for convenience clause, increased liability caps, strengthened data sovereignty and privacy provisions, and formalised service level expectations.”
An additional $7.45M over four years is an internal cost (meaning it does not get paid to T1) to support implementation.
“This relates mostly to data cleansing and migration, integrations to existing systems and staff training,” Council said.
This week Council also began advertising for a Chief Technology Officer.
“The Chief Technology Officer (CTO) will play a pivotal role in shaping the digital future of our organisation,” the ad says.
“Reporting to the Director of Corporate Services, the CTO will be responsible for developing and leading the technology strategy that aligns with our organisational goals and drives innovation.
“This leadership position will oversee the implementation of new technologies and digital initiatives while ensuring compliance with legislative and operational frameworks.”
I wonder to what extent Councillors really looked into this project and the associated business case? A headline $4.2M of savings over 10 years is really a much lower number when factoring in the time value of money, and significantly outweighed by the additional $7.5M of implementation costs that Council will incur. If the project is expected to improve workflow efficiency and increase savings, why are these not locked-in and factored into the returns? Sounds oddly like a case of extolling the benefits without committing to delivery. Let us hope the delivery of the project and realisation of business case benefits are openly shared with rate payers.