LAUNCESTON CITY COUNCIL NEEDS A REALITY CHECK RIGHT NOW AND LOCAL GOVERNMENT IN TASMANIA IS BROKEN

GO TO https://lcc63.blogspot.com/2020/07/perhaps-launcestons-mayor-and-ceo.html?fbclid=IwAR0rhbZXu8iA6m7kZU-d88tl9RCCf9Hm3PEYGcHiJnQoKjvR4XvEL9YaVAM

If the City of Launceston wants or needs its ratepayers to take its Council seriously the time has come to stop ripping the off and selling them short. When it is reported that the GM/CEO says that councils do not need to make a profit because any losses made can be, amnd will be, passed on to ratepayers.

the Council needs to start managing the city's affairs as if it matters really maters rather than take and make every bureaucratic excuse available. The money manage does not fall from heaven, it is the hard earned money conscripted from ratepayers and make no mistake about that!

THIS STORY APPEARED IN 

THE MERCURYJULY 17

Mounting deficits should prompt government action on council amalgamations, says mayor

Widespread deficits being faced by Tasmanian councils, largely due to COVID-19, have reignited calls for amalgamations — but not everyone is on board. 

Jessica Howard, Mercury| July 17, 2020 9:26am

Local Government Minister Mark Shelton says if councils were happy to explore their options on amalgamation, the government would work with them on their ideas. Picture: ZAK SIMMONDS

WITH at least 20 of Tasmania’s 29 councils facing deficits this financial year, it is time for the state government to move on amalgamations, says a greater Hobart mayor.

Councils are facing a combined debt of more than $56 million in the wake of the coronavirus crisis.

Last year, almost 80 per cent of Tasmanians in an exclusive Mercury survey said there were too many councils, with an average of one for every 17,000 people.

The state government has held fast on a no forced amalgamations stance for several years.

Kingborough Mayor Dean Winter said with a number of councils in severe financial distress from COVID-19, it was time for the state to intervene.

Glenorchy Mayor Kristie Johnston, Kingborough Mayor Dean Winter, Hobart Mayor Anna Reynolds, and Clarence Mayor Doug Chipman. Picture: NIKKI DAVIS-JONES

“There is always much more opposition at a local level when the proposal is to do away with a specific council — Tasman last year was a good example of that,” he said.

“After five years, it’s time to admit Tasmania’s voluntary amalgamation policy has failed.

“The local government establishment will never agree to the set of reforms that are required because it is in their interest for things to stay the way they are.”

But Clarence Mayor Doug Chipman said his council had previously looked into amalgamating with eastern councils such as Sorell and Tasman as well as those to the west such as Hobart City.

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RED INK FORECAST FOR COUNCILS IN 2020-2021

Hobart – $11.8 million deficit

Clarence – zero bottom line – no deficit nor surplus

Glenorchy – $9.6 million deficit

Kingborough – $2.4 million deficit

Brighton – expecting a surplus, could not say how much

Derwent Valley – estimates to be considered next week, but forecasting $1.4 million deficit

Central Highlands – $299,133 deficit

Huon Valley – underlying surplus of $412,182

Glamorgan Spring Bay – $2.4 million deficit

Southern Midlands – $388,000 deficit

Sorell – $1,075,374 deficit

Tasman – $58,426 surplus

Launceston 

$11.3 million 

[operating] deficit

Burnie – $2.2 million deficit

Waratah-Wynyard – $810,000 deficit

West Tamar – $2 million deficit

Northern Midlands – $1.6 million deficit

Kentish – details not yet released

Dorset – underlying surplus of $550,000

Circular Head – $1.2 million deficit

King Island – statutory operating deficit of $1,392,674

Flinders Island – details not yet released

Devonport – $2.2 million deficit

Break O’Day – $532,705 net deficit

Central Coast – $300,700 surplus

George Town – $534,901 deficit

Latrobe – details not yet released

Meander Valley – $2,064,800 deficit

West Coas t– $895,380 deficit

“At the end of it all — the economics didn’t stack up,” he said. “There’s some obvious savings in overheads in merging councils, but it didn’t result in savings or rate reductions.

“The economics haven’t stacked up in merging in good times so why would they be any better in bad times?”

Ald Chipman said the majority of costs for a council were in providing services and infrastructure to the community, which would remain no matter how many councils there were.

“There are obvious savings like having one general manager instead of two, so that might save $300,000 a year, but in the scheme of things, that’s really not much at all,” he said.

“We looked at merging with Hobart — we’re very lean and mean — we contract out a lot of the work whereas Hobart is all an internal workforce and we’d find the industrial relations climate would probably try to force Clarence into that system, which is less efficient.”

Acting Hobart Lord Mayor Helen Burnet said while there were councils under strain, any amalgamations had to be community-driveHelen Burnet. Picture: ZAK SIMMONDS

“There are many opportunities councils do take to resource share and we all want to make the dollar stretch further,” she said.

Glenorchy Mayor Kristie Johnston could not be reached for comment, but has also previously said the council remained open-minded about reform, but change ought to be led by the community.

Local Government Minister Mark Shelton said on Thursday if councils were happy to explore their options on amalgamation, the government would work with them on their ideas.

“The government’s position remains that local government reforms such as amalgamations stand the best chance of succeeding when they are voluntary,” he said.

He added, despite the challenges the “underlying financial positions of the majority of councils are strong”.

jessica.howard@news.com.au

OPEN LETTER TO MAYOR ALBERT van ZETTEN

From: Ray Norman

Date: Friday, 10 July 2020 at 1:03 pm

To: Mayor

Cc: Michael Stretton , "Shelton, Minister (DPaC)" , Premier Gutwein , "Bridget Archer MP, Federal Member for Bass"

Subject: Community Outrage

Dear Albert,

I have received a number of calls from people who are absolutely outraged that the city is taking this money that the city is not actually entitled to. That Council even considered seeking this money from this fund, dedicated as it is to the extremely worthy cause of drought relief, and required by people and places in deep distress, well it is beyond comprehension.

Launceston is not and has not been in DROUGHT CIRCUMSTANCES. It is humiliating in the extreme to be living in a city that will pull this kind of unconscionable bureaucratic stunt, and indeed one such as this, well it is breathtaking.

It seems that the elected Councillors, except for perhaps your good self, now blighted, were apparently unaware of the application going forward – and from a drought fund. This whole thing has all the hallmarks of a bureaucracy finding itself in financial bother looking to dig itself out of a hole by any means.

Albert, that you apparently believe that this is kosher beggars belief. That the application went forward to this fund set up for the purpose, well it is mind blowing. That you must have known about it and that we, residents and ratepayers, get to read about it after the fact in the press, that shames the city. It is all way too clever by half!

From a disenchanted client, “The only drought Launceston has suffered is a drought of common sense. A Creative precinct seems to be certainly creative in wangling money from the gullible. It's the way of the world, alas” – and especially so in Launceston it appears.

That we, indeed you, need not go any further than Leviticus 19:11 “You shall not steal; you shall not deal falsely; you shall not lie to one another” for guidance speaks volumes in regard to the place the city finds itself in. Taking this money under these circumstances diminishes us all and in ways we may not be able to redeem ourselves ... mere words fail me!

I beg that you examine your conscience,

Ray Norman

Ray Norman

<zingHOUSEunlimited>

The lifestyle design enterprise and research network

eMAIL 1: raynorman7250@bigpond.com

“A body of men holding themselves accountable to nobody  ought not to be trusted by anybody.” Thomas Paine

“The standard you walk past is the standard you accept” David Morrison

https://raynormanadvocate.blogspot.com/

Rainfall and river flow data was used to prove Launceston was in drought in order for the council to receive a $10 million grant for the proposed redevelopment of Birchalls.

But questions remained as to whether the City of Launceston council was eligible for the grant, as it was not listed under the councils included in the Commonwealth's Drought Communities Programme - a key criteria for the grant.

The only Tasmanian councils included in that program were Devonport, Break O'Day and Glamorgan Spring Bay.

The council's chief executive officer Michael Stretton said rainfall and river flow data was used to help prove eligibility. I BEG YOUR PARDON

"The application for funding was made through a collaboration between the Coordinator General's Office and the City of Launceston last December, and was required to meet a range of eligibility criteria set by the federal government," he said.

"[It] demonstrated its eligibility against all of those criteria, including through the use of rainfall and river flow data to highlight severe rainfall deficiency in Northern Tasmania over an 18-month period." REALLY??

The council received the $10 million grant as part of the Building Better Regions fund for the Creative Precinct development. The project will have the Paterson Street car park transformed into a bus exchange and Birchalls site to host the creative industries education precinct.

The council fielded questions about the proposed redevelopment and the council's relationship with Creative Property Holdings at Thursday's council meeting.

To be eligible for a Building Better Regions grant the applicants must prove the project would be delivered in a drought-affected location. I BEG YOUR PARDON

Evidence to prove the location is drought affected can include Bureau of Meteorology data indicating an extended period without rainfall or a significant decline in rainfall, if the project is located in a drought-declared municipality, if the local government area is eligible for the government's Drought Communities Programme and if the applicant can demonstrate the impact of drought on the economy or employment in the area. BOVINE DUST

Break O'Day received $30,000 in funding through the scheme, while at a meeting in December Glamorgan Spring Bay chose to apply for funding. GSB council applied for $295,000 to upgrade the Triabunna Wharf, develop a business case for a new mountain bike trail and write an economic development plan.

GSB council did not receive a grant. WHY EVER NOT???

Labor Lyons MHR Brian Mitchell said the situation was a clear display of "pork barelling". TOO BLOODY RIGHT!!

"There are four specific eligibility criteria for this drought funding and Launceston doesn't meet any of them," he said.

"I think a Creative Precinct for Launceston stands on it's own two feet as a meritorious project but to say that it should have drought funding is just absolutely ridiculous.

"If there is a place in Tasmanian that doesn't qualify for drought funding it is the North - there are all sorts of places in Tasmania that are drier than Launceston that are not eligible for that funding ... if the government wanted to give $10 million to a marginal Liberal seat they should have just said so." SAD BUT TRUE

Mr Mitchell said the government should prove how Launceston met the eligibility criteria. YES, IT MUST!!

Data from the Bureau of Meteorology shows Launceston had below average rainfall in the 18 months up until December 2019, while the rest of the North had very much below average rainfall.

However the data also shows Launceston and the North did not have a serious or severe rainfall deficiency over that period of time.

BoM data also shows Hobart experienced very much below average rainfall in the 18 months to December 2018.

But a spokesperson for the City of Hobart council confirmed they were told not to apply because they wouldn't meet the eligibility criteria.

Liberal Bass MHR Bridget Archer said the project was supported because it would create jobs in the construction industry and help with education attainment rates. REALLY REALLY???

The Examiner requested a copy of the grant application today and in June. Commercial-in-confidence was previously cited as a reason not to provide it. GOOD OLD SECTION 62 TAS LOCAL GOVT ACT ... ALWAYS THERE WHEN YOU ARE IN A SPOT OF BOTHER

FISCAL FOLLEY AT TOWN HALL

An extra $2.8 million came out of the City of Launceston council's coffers to finish work on Riverbend Park and a UTAS Stadium upgrade, council documents reveal.

Council planned to spend $8.45 million building the popular Riverbend Park, but the final amount spent was $10.4 million. [EXRTA COST = 6 CEO/GM salaries or 6 average Launceston houses .... always remembering that Launceston’s CEO is paid more than the Premier]

About $5.4 million was to be spent on resurfacing UTAS Stadium and developing a 22,000 square metre turf farm at Dilston, however the final cost was $6.2 million.

The budgets for the projects blew out by a combined total of $2.8 million

City of Launceston mayor Albert van Zetten said the extra spending had delivered the community "world class assets" it would benefit from for years to come.

"Riverbend Park is going to be a fantastic tourist attraction for our city and it's something we did want to get right," he said.

"It was 2015 when we did the estimates for it and by the time the work was done from 2018 onwards, the costs have obviously went higher and in addition to that there's been an extra basketball court and other work that's been done which has been added to the project." [unadulterated bovine dust]

Councillor van Zetten said the UTAS Stadium overspend was needed to "get the job done".

"What they found when they did the work was that some of the base wasn't quite suitable so they had to do more work," he said.

"We had to get it right and that's why we had to spend a bit more than originally budgeted." [AND anyway, the ratepayers will pay wont thy at about $7.00 PLUS for each and every property where rates are paid]

The stadium and park made Launceston a better place to live, Cr van Zetten said. [For whom??]

"We are a good city but we want to be a great regional city and we need a Riverbend Park, we need a UTAS Stadium, we need to have world class sporting events here so we do need to have these facilities and we need to keep them to a fantastic standard otherwise we won't get the AFL games and we won't get Big Bash and we won't even get the World Cup soccer here," he said.

Cr Van Zetten said there were lessons that could be learned from the budgeting process the stadium and park projects went through. [SURE THERE ARE!!! AND BIG ONES!]

"When we budgeted and did the costing for Riverbend Park we should have added 20 per cent in the beginning but we didn't know how long it was going to take us to do the job and we didn't know what extra projects were required as well," he said. [ONLY if you believe in budget elasticity ... 5% would be excessive if the budget advice was expert advice!!]

"I think it's always probably prudent for council in future to have a contingency in there of around 20 per cent and then you would find we'd come within budget. It's something we will no doubt continue to look at in the future." [ONLY if you take financial advice from the fairies at th

e bottom of the garden ... and only then if you believe that they are there!]

Council's chief financial officer Paul Gimpl said both projects exceeded their budgets by less than the 20 per cent contingency amount "generally accepted" for projects which were big and complex. [TOTAL RUBBISH if you are employing EXPERTS to do the financial planning and EXPERTS to do the planning]

 

COMMENT .... RATEPAYERS deserve and need better than this tosh delivered as it is in a recession! They say ‘pay peanuts and you buy monkeys’ but in Launceston ratepayers pay TOP MONEY and still they are dealt up with this nonsense. On top of this in the last 3 or 4 years budget overruns are standard practice and nobody is penalised EXCEPT the ratepayers. When will it ever end and when will ‘management’ start managing, meeting KPIs and STOP GOVERNING while the elected 12 are asleep on the job?