Did the Guaranteed Maximum Price (GMP) come under budget?
NO. There was an agreed design in December 2008. Since then a significant amount of redesign was needed to get an acceptable GMP and then it will have increased maintenance costs and less attractive appearance. In fact the turf savings could make the use even more limited.
Did the project come in at $188 million?
NO. It is at least $198 million and potential for other costs to add substantially to that amount. Dunedin City Council has committed to at least $104.4 million, including the $3 million Otago Community Trust shortfall, but a further $15 million shortfall from private funding, maximum $14 million shortfall for SH88 and long term costs of Carisbrook all possible inflators.
Did Carisbrook Stadium Trust (CST) raise 60% of the private funding?
NO. They needed to raise $27.3 million. They have sold seats for 5 year terms and accounted for them as 10 year terms. This inflates the figures by $3.25 million at least. And then there is the unfettered ability of those that had previously purchased 10 year seats to reduce to 5 year contracts with a risk/liability of a further $1.75 million. That is a further shortfall of $5 million. They haven’t even reached 50%. Moreover that funding requirement was based on the first year payment being in 2009/10. That has now been pushed back to 2011/12 so there is more bridging finance not accounted for by the private sector.
Has the agreement with the University of Otago made a substantial reduction in the land acquisition costs?
Has Dunedin City Council found $20 million to reduce the ratepayers’ contribution/liability?
NO. It added that to other over-costs and has taken the short term opportunity of low interest rates to sell the idea that it won’t cost any more than what was calculated last year.
Did Otago Community Trust give $10 million?
NO. They have a shortfall of $3 million or 30% funding.
Has the Dunedin City Council been honest and open with you?
Posted by Elizabeth Kerr