However, to attract investors Launceston’s entrepreneurs need to offer the promise of a dividend or benefit.
On the other hand, Launceston City Council simply conscripts its required funding from its constituency on the promise of a punitive outcome if ratepayers fail to pay.
In the case of The Aquatic Centre expanding its operation on the strength of a ‘conscripted investment’ in order to grow the enterprise, from any vantage point, the playing field looks pretty dammed bumpy!
If LCC were to be crowdfunding this new uncompetitive and inequitable expansion at the Aquatic Centre there would need to be and rewards on offer to volunteer investors.
Currently however, all the dividends seem to go LCC management’s way in the form of salaries and benefits, and that’s outrageous.
It is time for some accountability.
Given LCC’s demonstrated and ongoing inclination to grow its cost centres for the benefit of management, it’s past the time for Minister Gutwein to call in the administrators to relieve ratepayers of their inequitable burden.
Ray Norman
Trevallyn
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“A body of men holding themselves accountable to nobody ought not to be trusted by anybody.” — Thomas Paine
GYM owners are expecting to suffer more losses following a plan by the Launceston City Council to open an outdoor gym at the Launceston Aquatic Centre.
The aquatic centre gym, LAfit, opened its doors in January 2014, much to the anger of Northern gym owners who feared unfair competition because of the ability of council to undercut them with ratepayers subsidising the real cost of the facility.
The $26.3 million aquatic centre opened in 2009 but continues to post an annual deficit of more than $1.5 million.
Launceston Aquatic and Leisure Centre manager Elise Frost said on Tuesday that public consultation on the $35,000 to be spent on the outdoor training area was sought as part of the council budget in April.
The council is set to spend a total of $275,000 on infrastructure at the centre this financial year.
KFM Fitness owner Brian Finch said a number of gyms had closed or were suffering since LAfit opened and the new outdoor area would only put further stress on their businesses.
‘‘It’s just getting out of hand and it’s only going to get worse,’’ Mr Finch said.
EFM Health Clubs franchisee and owner Mark Connelley said as a ratepayer, he was against the council establishing another outdoor gym area when it was continuing to fail to address the debt it already had at the facility.
Other gym operators spoken to raised the same concerns and questioned why the costings of the gym – which was opened to help cover the rising debt of the aquatic centre – have never been made public.
Ms Frost said the existing soft fall area outside the gym would be a training area and they plan to install some equipment in September.
‘‘Launceston Aquatic was always designed to host a gym and dry programs and the majority of council-owned aquatic centres across Australia have implemented these to provide revenue streams; this is one of the reasons aldermen voted to introduce health and fitness facilities at the centre at the council meeting on March 25, 2013,’’ Ms Frost said.
‘‘Our aim is to reduce operating deficits at the facility and the way similar facilities do this around the country is through their dry programs.’’
She said the works were important to respond to market trends.
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