READER’S LET­TER

Clutha Leader - - OUT & ABOUT -

Not­with­stand­ing that the Cross Re­cre­ation Cen­tre is a great fa­cil­ity, lo­cated in Bal­clutha, I won­der if ratepay­ers fully un­der­stand what they are pay­ing for each year?

The coun­cil gave $2.5 mil­lion to­wards the cap­i­tal cost, then $159,000 for carpark seal­ing and an­nual op­er­a­tional grants, com­menc­ing at $20,000 per an­num ris­ing to $43,000pa and to­talling $158,869 since 2011.

In­ci­den­tally, you can look at the Cross Cen­tre ac­counts on the char­i­ties web­site un­der Clutha Re­cre­ation Cen­tre Inc. The ac­counts to 30 June 2016 show that the cen­tre is in a sound po­si­tion with cash and de­posits of $166,903.

In the 2017-2018 an­nual plan the coun­cil states that the re­pay­ment of the Cross Re­cre­ation Cen­tre loan, by ratepay­ers, is based on the prox­im­ity of the ward to the fa­cil­ity. The 2017-2018 re­pay­ments ap­pear in your lat­est rate de­mand and they are as fol­lows:

Bal­clutha: $42.20, $120,900, 49.85% of total; Clutha Val­ley & Kai Matua: $31.60, $37,900, 15.63%; Clin­ton & Catlins: $21.20, $35,300, 14.55%; Lawrence, Tuapeka & Bruce: $12.70, $43,100, 17.78%; West Otago: $4.30, $5300, 2.19%.

Surely Clin­ton and Owaka are fur­ther away from Bal­clutha than Mil­ton is. Why are they pay­ing more than Mil­ton? This is pre­sum­ably a 25 year ta­ble loan so the ratepay­ers will be pay­ing 25x $242,500 = $6,062,500 – not petty cash, fel­low ratepay­ers.

Per­haps the coun­cil can clar­ify the terms of the loan and how the re­pay­ments were in fact de­ter­mined and by whom. Were they set out clearly in a draft an­nual plan for ap­proval by ratepay­ers?

How was the carpark seal­ing, cost­ing $159,000, han­dled in terms of who is pay­ing for this and on what ba­sis? Is this added to the orig­i­nal $2.5m loan?

How is the op­er­a­tional grant, now to­talling $158,869, and pre­sum­ably on­go­ing, han­dled by the coun­cil – who is pay­ing for

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