Council services safe

Councillors say briefing clears up doubts on multimillion-dollar payout

CITY Hall will pay a one-off $5000 fee to its insurer to cover the cost of a multimillion-dollar payout to a local developer, Geelong councillors say.

Councillors have said chief executive Martin Cutter briefed them last week on details of the confidential settlement with Bisinella Developments following a three-year legal dispute.

Six councillors said yesterday the details had to remain confidential but sent assurances council services would not be impacted by the pay out.

Windermere councillor Anthony Aitken said neither party could disclose the contents of the settlement.

“I asked if all councillors could be briefed on the issues so councillors can decide if the community’s interests had been protected,” Cr Aitken said.

“After receiving that briefing I am confident that community interests have been upheld because (the payment to our insurer) doesn’t make a financial impact on council.”

He said council had not been successful in being the planning authority and the developer of the land at the centre of its dispute with Bisinella.

“It’s not normal for council in Geelong to be able to do that. Council is not an expert in developing land and onselling it.

“There is merit to consider the complexity of council being both a developer and a landlord.”

On the settlement, Cr Kylie Grzybek said: “We’ve been advised that the insurance premiums shouldn’t vary as a result of this.”

Cr Trent Sullivan said: “The ratepayers can trust that the council and its officers are acting in their best interest. This settlement will not have gone through if it wasn’t the appropriate course of action.”

Last week the Geelong Advertiser revealed had settled with Developments.

The company had sought $8 million in the Supreme Court after it alleged council acted improperly in its management of a key employment precinct in the city’s north.

Last week Mr Cutter said the settlement was not an admission of wrongdoing or error by staff.

The Geelong Advertiser contacted all Geelong councillors yesterday about the Bisinella settlement.

All responded except finance committee chairman Pat Murnane, Stephanie Asher, Jim Mason and Sarah Mansfield. council Bisinella