Where is DVML’s report to DCC ? Go to ODT 30.1.13
### ODT Online Tue, 29 Jan 2013
Call for new stadium events fund backed
By Chris Morris
Dunedin city councillors support a new $400,000 annual fighting fund to lure more major concerts, and the millions of dollars of extra spending that comes with them, to Dunedin.
Cr Lee Vandervis questioned whether stadium events delivered additional economic benefits or largely moved money around within Dunedin. [DVML chief executive] Darren Burden disputed the latter, citing an economic impact report on Sir Elton John’s stadium concert, estimated to have contributed $14 million to the city’s economy. The exact figure could be disputed, but with half the 35,000-strong crowd for the show coming into Dunedin from elsewhere, returns for the city were ”in that sort of ballpark”, he said.
Crs Kate Wilson and Richard Thomson agreed, saying their businesses had recorded substantial increases in turnover at the time of Sir Elton’s concert, and other businesses would, too, in future.
Go to ODT 30.1.13
Cr Syd Brown hoped the ”modest” extra investment would allow the stadium, and the city, to ”punch above our weight”. Other councillors also supported the move, including deputy mayor Chris Staynes, who said even if the economic impact of shows like Sir Elton’s was only half what was claimed, it was still ”a pretty good investment”.
Posted by Elizabeth Kerr
Filed under Business, Concerts, DCC, DVML, Economics, Events, Media, Name, People, Politics, Project management, Property, Site, Sport, Stadiums
Email received from Lee Vandervis this evening.
My overview regarding the Annual Plan that has gone out for consultation today is that little has changed.
Rates rises continue to be disguised, first by getting DCHL to borrow up to $23 million on our account, continuing to take more than policy allows from the Waipori Fund [proposed relaxing Waipori rules to justify], continued significant underspending on drains, and now buying $3 million in paid-up share capital of DVML – yet another multi-million dollar gift to bail out overspent Stadium operations.
The official result – the long heralded 4% rates rise.
I believe the real rates rise to be somewhere between 25% and 30%, as the DCC continues to amass all kinds of liabilities and debt that will have to be paid for in the future. CEO Paul Orders has made real gains finding significant DCC staff efficiencies, but most are simply going to bail out Stadium operational inefficiencies.
Stadium annual drains on the ratepayer now include:
● $1,666,000 rates subsidy via a ‘Stadium Differential’ [LTP 2013/14 – 2021/22 p8]
● $750,000 annual ‘Stadium Community Access’ fund
● $725,000 ‘Stadium Capital Repayment’ fund for each of the next 4 years
● Annual $400,000 ‘Stadium Event Attraction’ fund.
The Dunedin City Council is now going to buy the events that the Stadium was supposed to attract by itself. These further Stadium subsidies will only prolong the currently unaffordable wasteful Stadium operations, and entrench the directorships, fat contracts, and rugby cronyism that plague current Stadium costs.
If anyone can think of any other type of ‘fund’ that might possibly go to the Stadium please don’t tell the DCC or we will shortly be paying that annually too.
From an email I sent to senior staff and the Mayor last Monday:
“I have been uncomfortable with the timing and presentation advantages enjoyed by DVML in being perfectly positioned to come into our workshop and present and pluck us for millions yet again, but I accept that their issues needed to be addressed.”
Many Annual Plan issues have not been addressed but they have been bought into.
The predetermined Plan has just happened again.
Posted by Elizabeth Kerr
Filed under Business, DCC, DCHL, DVL, DVML, Economics, Events, Name, ORFU, People, Politics, Project management, Property, Site, Sport, Stadiums, Town planning, Urban design