Daily Archives: September 2, 2011

Dunedin City Council is buggered

### stuff.co.nz Last updated 01:00 02/09/2011
‘Marvel’ needed to pay for Dunedin stadium
By Wilma McCorkindale – DScene
Dunedin City councillors have been warned that not only is the city struggling to finance its brand new stadium, it may also not be able to afford to maintain the controversial venue. The report recommended any surplus cash flows generated by the DCC or its holding company, Dunedin City Holdings Ltd (DCHL), over the next 10 years, go to reducing stadium debt.

“That is mind-boggling,” Cr Lee Vandervis, a stadium opponent, said. “This is saying that any spare cash, anywhere, all goes to the stadium. That is every spare dollar that might show up in any budget in the DCC or DCHL over the next 10 years. There will not be one dollar for anything else.”

Another recommendation has the DCC pushing stadium debt from 20 years out to 40 years. “That adds an obscene $115 million in interest charges to the cost of the Stadium,” Vandervis said, “and the figures say we must push out to 40 years because it is no longer possible for DVL to repay the debt over 20 years.

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Posted by Elizabeth Kerr

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