Gunnedah Shire Council will seek to amend its flood planning map following the completion of the Blackjack Creek Flood Mitigation Project in 2018.
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At Wednesday's ordinary meeting, councillors voted that the flood planning area be removed from the properties located on the eastern side of the project site, excluding the riparian corridor and constructed channel area.
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Mover of the motion, councillor Colleen Fuller said she was thankful to council's Planning and Environmental Services director Andrew Johns for "moving forward" with the proposal.
"I'm really pleased this is going to happen and hopefully we can reduce insurance costs for those 193 residents," Cr Fuller said at the meeting.
The $3.2 million Blackjack Creek Flood Mitigation Project was carried out to protect Wandobah Road from future flooding by creating channel banks, deepening, widening and realigning 1.9 kilometres of Blackjack Creek, between McCalls Road and Oxley Highway, to increase capacity.
Council will now prepare a draft planning proposal to amend the Gunnedah Local Environmental Plan 2012 and submit the proposal to Department of Planning and Environment. The proposal will go on public display.