I observe with disbelief the rather devious and desperate proposal currently floated by TCC to have NZTA, a cash-strapped Govaernment Agency, take over the Route K debt from TCC in return for TCC foregoing the 15th Avenue/Turret Road widening, which should be Tauranga residents and ratepayers choice, not TCC. NZ taxpayers have no business bailing out the profligate TCC in respect of this Route K debt.
TCC were warned by Transit (now NZTA) in 2001 not to undertake Route K because it was not viable but TCC ignored Transit's advice and built it anyway.
Route K cost $32m being justified on wildly inaccurate usage predictions. Debt has increased to about $60m in 10 years on this lemon. TCC has not paid one cent off Route K, it has simply capitalised all costs, losses and interest into long-term debt.
If Transit ridiculed the Route K project at $32m, why would NZTA now provide the $60m take out having regard to the current circumstances and background?
NZTA must not go with this TCC strategy as ratepayers and taxpayers do not want the matter resolved in this way. NZTA must uphold National's political pledge to complete Turret Road /15th Avenue four-laning/ Hairini Bridge/Welcome Bay underpass link-up.
Forget getting rid of the $60m debt for a much bigger future debt.
R Paterson, Matapihi.
4 comments
JUST ONE EXAMPLE
Posted on 02-02-2013 17:31 | By PLONKER
Route K but then there are a few others to compare that look that same and perhaps even worse than include: Baypark, Mount Greens, Pyes Pa Bypass, Hot Pools repair job ... I am sure that there are a few more out there somewhere also.
ANOTHER BAILOUT
Posted on 04-02-2013 12:36 | By YOGI
The bell rings on Bell Road also, it is now sliding down the pole and into the mire also, just another quality decision by TCC and the bunch of woblles there, trying to be developers with public monies, millions later we find that the game has not changed a bit. Warm and fuzzies at the time now a financial mess that is multiplying out of control and yet again they don't see it coming (dreamtime) until after it has arrived, hit and pummelled so no where to hide.
CAN NOT HAPPEN
Posted on 05-02-2013 10:24 | By YOGI
To offload Route K @ $70m and release NZTA from the Turret, 15th Ave, Welcome Bay upgrade that costs considerably more, perhaps $150m or more is definitely not a good decision. It is merely self serving to do this and leave Tauranga with a bigger future burden.
15th/Turret Widening
Posted on 06-02-2013 14:13 | By PLONKER
That is already promised by the local MP's to the wider community, so it is just not acceptable that a mere handful of local officals then want to use that to bailo themselves out of Route K debt of jsut $70m, that all came about because TCC failed to take heed of the good advice that TCC asked for from NZTA at the time. Despite the good advice TCC went ahead and did it all anyway.
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