Dear David,
Thank you for your email and reference to your social media post.
I’ll endeavour to respond to your satisfaction, however as noted in my response
to the public questions received in late November, much of the information
requested is currently being sourced.
Dear Suzie
I am assuming from this that you have had no current relevant information in
your possession regarding any matters involving the YRCC dating back to its
opening date and beyond to respond to public questions received in November
last year.
This lack of knowledge includes but is not limited to initial and subsequent
funding, architects fees, all building and other construction costs, any and
all running costs, documented income projections compared to actual income and
any other audit information and other matters of commercial importance or
fiduciary interest commencing six-years-ago in 2011?
There is no Peter Lehman report including a Business Plan to be used as a
resource by you although I was personally advised, in writing, by former Acting
CEO Michael Keeble that there was such a document? There have been no
other investigative actions taken by any-third party involving the YRCC that
may have been instigated by former Shire President, Matthew Reid, in his
communications with Michael Keeble, or others including Acting CEO Graeme
Simpson between 2012 and 2016?
You therefore have no documented insight what-so-ever into the YRCC’s past
operational status to allow you to respond to questions, prior to November
2016?
So where are you currently sourcing this information from- as all such
information must be held and be easily accessible to you, retained within the
Shire of York Offices?
Suzie:
When the
new CEO commenced in late April 2016, his first job was to finalise the
outcomes of the major strategic review undertaken by the new Council with the
Acting CEO. In June, following a period of community consultation,
Council adopted as part of its Corporate Business Plan (p 20) the action “YRCC
Management Review” to be undertaken during the 2016/17 financial
year. Subsequently, an organisational restructure led to some changes in
staff and a comprehensive recruitment process to fill three new
positions. The CEO was reluctant to commence the review process without
the appropriate staff resources in place and wanted the new Executive Manager
Corporate & Community Services as the person responsible for implementing
any changes, to lead the process rather than it being led by consultants.
DT:
This information most, who wish to know, already know and the organizational
restructure leading to staff changes was due to alleged mismanagement and
incompetence including failure to keep proper Shire records being in breach of
the State Records Act, 2000.
Effectively, the date in June 2016, when Council, adopted the action “YRCC MANAGEMENT
REVIEW’, was seven (7) months ago.
Personally, I am not aware of any past community consultation undertaken by the
Shire directly pertaining to the future of the YRCC undertaken between April
2016 and June 2016?
Was this obtained through written submissions or through direct contact with
stakeholders and how was this community specifically advised that this process
was being undertaken?
Suzie:
My first
task following my commencement as Executive Manager Corporate & Community
Services on 31 October 2016 was to develop a timeline for the YRCC Management
Review. In November, Council approved a process and timeline for the
review which will be concluded prior to 30 June 2017. Any proposed changes will
be implemented in a staged manner to ensure a smooth transition for all
concerned.
DT:
I am aware that you have only been in your position a short time.
My concern is that in the four (4) months between June and October why the
Chief Executive Officer did not undertake preparatory information gathering
(after the “YRCC MANAGEMENT REVIEW” )to assist you in reducing the
timeline for your review that appears to take a further five (5) months?
Suzie:
Since
then, a Management Review plan has been developed. This incorporates the
following phases;
1.
Project planning and review –
identification of the key issues since the YRCC opened, review of capital and
operating costs since opening, review of business plans undertaken to date,
investigation of current liquor licensing arrangements, identification of the
main stakeholders and development of a community engagement strategy.
DT:
Given your four-stage development process- at what stage are you in this
process? 1. Project Planning and review suggests that:-
a) the key issues are now just being identified and were not available to the
CEO when he responded, on your behalf, in writing, to the public questions in
November, on December 6, 2016?
b) you have yet to identify who the main stakeholders are?
c) there have been other Business Plans put forward in the past, including one
authored by Guy Lehman?
d) community engagement strategy is not the community consultation undertaken
in June?
Suzie:
Stakeholder engagement – organised meetings and information sessions
with identified stakeholders (ie users, Forrest Oval Advisory Group and other
sporting clubs, businesses, interested community members)
DT:
a) you have now identified who all the stakeholders are?
b) is the former President of the Shire of York, Pat Hooper, a member of the
Forrest Oval Advisory Group?
c) if he is-given his extensive initial involvement in the overall YRCC
development and business direction and given those circumstances, could this
not be considered to be a serious case of Conflict-of-Interest?
Suzie:
2.
Discussion paper – outline of capital
and operating costs and usage to date, market analysis and the options
identified resulting from stakeholder engagement and document review. A
Council briefing so that Council can endorse the Discussion Paper with
preferred option for public advertising.
DT:
a) have you personally read the submissions and objections made to the
Department of Liquor Licencing ( and the DLGC) regarding the Shires
determination to obtain a Tavern Licence?
b) are you personally aware of OECD Competitive-Neutrality Principles with
regard to its intent to prevent unfair competition being undertaken by public
funded government agencies and governments against private enterprise?
c) are you aware that on numerous occasions the YRCC advertised ‘Coffee &
Cake’ mornings, and other finance gathering functions, to the general public,
bearing no relationships to local sporting events or sporting clubs, financial
or otherwise, that would be in contravention of Competitive-Neutrality
Principles?
Suzie:
3.
Community engagement and
consultation – advertising, information sessions/consultation, 2 x 1-day fact
finding trips by Councillors and key stakeholders to other facilities in the
region to review alternative management models and structures and to gain some
understanding of the costs involved.
DT:
a) are you aware that only one other Shire owned facility, in the region,
may have a Tavern Licence?
b) to the best of my knowledge no other Shire owned facility, in the region, has
a designated conference centre?
c) no Shire owned facility, in the region has both a Tavern Licence and a
conference centre?
d) so in which facilities in the region do you expect to find alternative
management models and structures that encapsulate the future requirements of
the YRCC?
Suzie:
Development of a Business Plan for the preferred option taking into account
community feedback, Council adoption for public comment, advertising for two
weeks before final adoption of the Business Plan.
4.
Implementation of the new Business
Plan.
DT:
I strongly suggest that the Shire ensures that any new Business Plan takes
into due consideration the OECD Competitive-Neutrality principles and does not
intend to engage in any business enterprise that may have any negative
consequences for current privately owned businesses in York.
Suzie:
I note and appreciate your business plan suggestions
which will be considered during the development of options for the management
of the YRCC. I look forward to your feedback on the draft business plan.
DT:
Thank you for that, but the current ownership structure, business structure
and physical structure of the YRCC premises, in the main, precludes most forms
of viable business development.
Suzie:
Sport and
recreation is an important part of maintaining a healthy and vibrant
community. Council and Shire staff are committed to not only providing
the best possible facilities to accommodate our community but also to minimise
the cost of services to ratepayers while taking into account the need to
promote economic development for the town. These principles underpin the review
and will inform the resulting YRCC Business Plan.
DT:
I concur with everything you have to say here.
However, I am led to believe that Shire employees enjoy a significant,
ratepayer subsidised discount for membership of the YRCC gymnasium. Is this
correct? If so- it may have certain connotations regarding gratuities received
by public service employees through their employment that you may wish to make
yourself aware of?
Suzie:
I
understand the frustration experienced regarding the YRCC and the desire to see
the matter resolved expeditiously. The process outlined above will
provide an opportunity for the community and YRCC users be involved in each
step and to have provide into the options for the improved future operations of
the YRCC. The Shire is committed to this.
DT:
I totally agree. The frustration has gone on for inordinate period of time
when all available information over the past four years suggested that
expeditious action should have been taken years ago!
Suzie:
It is
then the role of Councillors to approve the best business model that balances
three critical elements: services to the community, new business development
within the Shire and the cost of operations.
DT:
I think you may be missing the point here. Any business development within
the YRCC should be owned and operated by a private local sporting consortium or
other co-operative with community approval, possibly under the strictures of
the Associations Incorporations Act, 2015. No business should be owned
by the Shire, just the premises.
Suzie:
To do
this correctly will take time to create the best opportunity for the long term
and successful operation of the YRCC which remains a valuable community asset.
DT:
Personally I think you are rapidly running out of time and I disagree- as
currently the YRCC is a liability that must be retained as a community asset.
You have all the financial information right now to prove how valuable a
community asset the YRCC is to the York community and I call on you to do so.
Suzie:
I trust
this addresses the main points of your email. I look forward to your
input during the review process.
DT:
No not really, I have authored and received such communications that lack
clear definition for much of my working life. It is what I expected.
Regards
David Taylor