Full marks to Newslink for exposing the novel building consent discount awarded Mataura Valley Milk by the Gore District Council (a 25 per cent discount on fees for work valued over $1 million, the total discount so far, $38, 156.46).
Steve Parry said that the $200m MVM project dwarfs anything else in the 28 year history of Gore district. Wrong, Mr Parry. Rayonier cost $180 million in 1997 - $270 million in today’s money.
Mr Parry should do some research, should learn, and should inform the public just what value was won, for the benefit of our community, from Rayonier in 1997. Rayonier asked for a discount, but was refused and also paid a generous development levy. That was proper council management.
I am amazed that this foreign owned company has managed to extract such a very favourable deal from the usually tight GDC. Such generous treatment is not dished out to ratepayers. For instance, GDC once offered a discount for full and on-time rate payments. Long gone now.
The discount to MVM, and what it costs, will have to be made good by district ratepayers. A precedent has been set for future projects such as the pending Kaiwera Wind Farm. The district is in fact worse off, and in effect our ratepayers are lining the wallet of the government of China (the owner of the company that mostly owns MVM.)
Ian Robertson, Arthurton. I am not wrong and would suggest that Mr Robertson do a modicum of research before bursting into print. For the record, the consented value of the buildings erected by Rayonier, including the main building, earthworks, ancillary buildings water and waste water treatment was $12.1 million. Using the Reserve Bank inflation calculator this equates in 2017 to $18.49m. In comparison, the consented building values (to date) for the new MVM complex