Why Southern Grampians council isn’t backing down on the $48 million Hamilton Art Gallery rebuild
Southern Grampians mayor Dennis Heslin has reset the narrative with naysayers, arguing the project is a once-in-a-generation chance to shift the region’s economic fate.

Contemplating the debate raging about the $48 million-plus Hamilton Gallery rebuild, Southern Grampians Mayor Dennis Heslin tells the Brolga: “Our population hasn't grown in 35 years. We've just flatlined. We need something major, we need something that is not agriculturally based.”
It’s unusual for a mayor to release a statement headlined “Let’s set the record straight!” on behalf of themself and council’s executive staff, but so it was on Tuesday, when Heslin issued a long missive about the mega project.
It came in the wake of a petition against the gallery development being circulated, and the usual social media complaints about money being spent on the arts instead of footpaths and roads.
The Brolga understands the petition originated via a private Facebook group and has not yet been formally submitted to council. Its contents and the number of signatures collected so far are unclear.
Heslin’s open letter to the people of Southern Grampians welcomed community participation, but rejected claims the gallery was a wasteful use of public money.
“Some people in the street probably think the council's about to spend $70 million of ratepayers’ money on a gallery, and that's just not the case,” Heslin told The Brolga.
“It was just about helping people understand the way the numbers have been put together.”
Under the proposed funding model, the council expects to contribute around $10 million to the gallery rebuild, with $30 million coming from state and federal governments and $30 million from philanthropic sources such as The Gallery Foundation.
“That $10 million would be borrowed funds,” Heslin said.
Part of the confusion in the community revolves around the costings for the project, which have varied from $48 million to $70 million.
Funding for major projects is challenging for councils, as they must seek cash from a variety of sources - mostly state and federal governments - knowing that while one grant application may succeed, the next may fail.
Successful grant applications can also come with strict conditions, including deadlines for the money to be spent.
The result is an imperfect system, where projects often don’t get underway until years after they were greenlit, in which time costs for materials may have soared, or tradie shortages may have led to increased labour costs.
Asked about this, Heslin said: “There’s been a little bit of fat built in there. If we had a project, let’s just say it’s the art gallery, and the current indication is 49 million, if we suggest it’s going to be 50, well, you don’t have to be Einstein to suggest that it’s probably going to run over that, but that is a reality.”
He said that to get it done, “you build in a few of those contingencies, overestimate where you think you need”.
He said it was important people understood that state and federal government funding was specifically allocated for a particular set of projects focused on - for example - the arts, infrastructure, major roadworks, sporting facilities, and cannot be used in any other way.
“It is frustrating, but I'm a big subscriber that the onus has to fall on council and councillors to get that message out there,” he said.
Cultural investment as economic insurance
With the region’s economy heavily dependent on agriculture, and local businesses feeling the pressure of current drought conditions, Heslin said the region’s farmers were in turn spending less money at local businesses.
He said council saw the gallery not just as an arts venue, but part of a long-term plan to reduce economic reliance on farming.
“Similar to the way farmers try and drought-proof their farm, or the reason we take out insurance on our cars ... we are so overly reliant on the agricultural industry. We have to make these big decisions now to provide some financial protection for our businesses.”
Strategic spend, external money
The gallery’s design phase is funded by $5 million from the federal government, under the Regional Precincts and Partnerships Program — a grant covering three projects: the gallery, a proposed community hub, and a streetscape upgrade.
“It’s a lot of money on consultants and design, but it's not money that's come out of our pocket,” Heslin said.
The hope is that by the time “we get to the point where we're what they call ‘shovel ready’ and ready to construct something, [state and federal governments won’t] turn their back on it.”
A building no longer fit for purpose
Heslin said the current Hamilton Gallery “was looked at through the eyes of the architect and the building is just not fit for purpose for what we want to create. [We’re] not going to get too many opportunities to be involved in a legacy project like this one. I think if you're going to do it, you're best to do it properly to begin with”.