The Yass Valley Council has formally moved to block a long-proposed shift of the Australian Capital Territory's border, deciding it is financially better off retaining control of a key parcel of land slated for future housing.
Council Votes to Retain Lucrative Development Land
In a decisive meeting held in December 2025, the council unanimously adopted its first official stance against altering the territory boundary. This position was confirmed after detailed, long-term financial modelling indicated the council would benefit significantly by keeping the land within New South Wales.
The area in question is part of the cross-border Ginninderry housing development, specifically the future Parkwood precinct. This land is uniquely positioned, being only accessible from the ACT side but currently falling under NSW jurisdiction. It was originally separated from the ACT in the 1910 survey conducted by Charles Scrivener.
A report from consultants AEC Group presented to the council concluded that retaining the Parkwood development was "more advantageous." The analysis found the project offers the council "a substantial and growing revenue base that can support higher service levels, contribute positively to operating surpluses and underpin a strong cash position."
Financial Pressures Drive Council's Stance
The council's decision is heavily influenced by its challenging financial outlook. While it reported a small surplus for the 2024-25 financial year, its long-term plan forecasts serious difficulties. The council's own annual report projects an average annual deficit of $5 million and an unrestricted cash balance of negative $22 million by 2034-35.
According to the consultant's findings, moving the border would achieve only modest ongoing savings for the council while permanently forfeiting a major opportunity to bolster its strategic financial capacity. The development is seen as a catalyst that could activate other projects and generate significant additional economic activity across the Yass Valley local government area.
The council's plan involves implementing a special rate variation for future Parkwood residents to ensure the rest of the Yass Valley community is not burdened with increased rates and charges. The consultants also highlighted that building a public access road over Ginninderra Creek would deliver extra economic benefits by providing direct access from NSW, reducing reliance on ACT roads.
ACT's Border Ambitions Thwarted
The move represents a setback for the ACT Government, which has long sought to realign its north-western border to encompass this enclave. ACT Chief Minister Andrew Barr had previously expressed confidence that legal hurdles would be overcome and the border would shift.
As recently as November 2025, Mr Barr wrote to NSW Premier Chris Minns and federal Regional Development and Territories Minister Kristy McBain, reaffirming the ACT's view that a border move was the "optimal pathway forward." This followed meetings in June 2024 between ACT officials and NSW Planning, Housing and Infrastructure Department Secretary Kierstan Fishburn to discuss servicing the Parkwood development.
The ACT had been working with the NSW Cross Border Commissioner and a joint committee that included Yass Valley Council representatives to identify the legal and governance steps required for a border adjustment. However, the council's formal opposition, declared on December 18, 2025, now stands as a major obstacle.
The Parkwood land was rezoned for residential development in 2020 to allow for approximately 5000 homes, following a recommendation from the Yass Valley Council itself. The council had initially agreed to consider the feasibility of a border move back in 2017.
Draft minutes from the December council meeting indicate the mayor and chief executive will now formally write to both the NSW and ACT governments to communicate the council's definitive position against changing the border.
