Earlier this month, Cr Tapscott made a valiant attempt to explain-away the $2M cost blowout for the new, very understated, Merimbula Airport Passenger Terminal.
Having poured praise on council employees for their wonderful custodianship of the airport, Cr Tapscott claimed that the blowout in total cost to $4.4M was occasioned by the fact that various “life-cycle upgrades” carried-out were outside the original project “scope”, while the “limited design” for the building had not allowed for changes to “security” requirements & the building itself was in need of major remediation work.
According to the latest information available from council, the ratepayers’ contribution to the total $4.4M cost of the project had jumped from $1.2M to $3.2M since the project was initiated, while the commonwealth government contributed via a $1.2M grant.
Needless to say, Cr Tapscott’s claims seem to be entirely devoid of substance based on council’s own documents on the project.
In March, 2016,
council submitted its application for $1.2M in grants funding for the project to the
Commonwealth Department of Infrastructure & Regional Development.
The association believes that the scope of the proposed works in the application (see page 10) included all the items mentioned by Cr Tapscott, including necessary changes to security requirements. Indeed, the “scope” for the project also included for a “Tourism Interpretation Centre” (whatever that was), which long ago has disappeared from view.
The association believes that the real reasons for the blowout in costs of the terminal project are simply that the original costs were based on unqualified estimates, while the project itself was subject to at least a two year delay.
In other words, the preliminary management of the project was ham-fisted, meaning that its ultimate cost was always going to substantially exceed the original projections.
In concluding her remarks, Cr Tapscott confirmed that council will not move to install the outstanding security screening & baggage handling facilities until it was legally obligated to do so.
The association thinks that is an extraordinary admission, given that all of the airlines that might consider establishing services to Merimbula Airport in the future have made it clear that they would not even consider doing so until after those facilities were in place.
Given such is the case, the association believes that ratepayers are entitled to ask why council bothered to embark on the terminal project at all when the installation of the passenger screening & baggage handling facilities was the main justification for the project.
Why spend the money & not complete the project?
The association contends that the financial challenges currently confronting council are not just a product of its failure to accept accountability for its project planning & management shortcomings, but more importantly, its belief that it is acceptable to respond to problems of its own making on the basis that it can simply continue to borrow & spend more money on the ratepayers’ tab.
That circumstance is not just a matter of fundamental incompetence, but continuing negligence.
John Richardson
Secretary/Treasurer
Bega Valley Shire Residents & Ratepayers Association
Tel: 0264945669
Email: secretary@begavalleyshireratepayers.asn.au
Website: http://www.begavalleyshireratepayers.asn.au