In reply to the 'TCC responds” comment in the letters to the editor 8/10/2010 from an unnamed TCC source who states 'The amount provided in rates to TCAL in the last year was $1.44m”, TCC's own website shows that TCC paid in 'cash” of $4.867m not $1.44m, perhaps it is both?
The TCC response also refers to an: 'operational loss of $89,000” but this is not what is reported? The loss shown is $1.278m, plus taxation adjustments of 2.944m a total loss of $4.222m, but wait there is more. The real loss should not include 'grants”, these are ratepayers money paid by TCC to TCAL of $4.838m (ratepayers money paid by TCC to TCAL is not income). This means a 'REAL LOSS” of $9,089m for ratepayers. This still does not reflect the true cost to ratepayers as for example the Baywave car park cost is buried somewhere else in TCC accounts.
Five years ago TCC predicted that Baywave would make a profit of $23,372 by now after depreciation and financing costs (reference: business case presented to TECT) how could it be so wrong!
The most important point I raised in my previous letter was that 'Councillors voted that the CEO was to disclose… by Oct-2009”, the information I requested so as to confirm that TCC / TCAL were complying with TCC Aquatics Policy. The only reason for holding out on this promise or undertaking for so long is that the financial information for the peripheral activities (not the pools) does not show a profit and that means: - TCAL are in breach of the TCC Aquatics Policy, not commercially viable, subsidising gym activities and unfair competition all at great cost to ratepayers. Why?
If the financial information is available to show the correct position then why is it being withheld? If not then the TCC CEO has not fulfilled Councillors undertaking nor meet his obligations and failed to comply with the Companies Act and more.
Would the council officer responsible for the 08/10/2010 response care to provide an explanation and evidence that TCC Aquatics policy is being complied with?
If it is necessary to provide pools then what is the reason for hiding the real costs to ratepayers?
I Stevenson, Tauranga.