Tauranga Ratepayers on the Hook for $30M in Questionable Deal—Public Meeting Wednesday

Tauranga, New Zealand?– Concerned Tauranga residents are raising alarms over a controversial deal that has left ratepayers responsible for?over $30 million?in upgrades to the Marine Precinct, benefitting a private owner who purchased the asset for a mere?$14 million. The public is invited to join an open forum at?Tauranga City Council’s meeting?on?Wednesday at 2pm?(2:30pm start) to demand answers and transparency.This isn’t the first time Tauranga’s residents have been left scratching their heads over council deals that simply don’t add up. The Marine Precinct was?downgraded from a strategic asset?to allow it to be sold privately with minimal public oversight, and now Tauranga’s ratepayers are left paying over $30 million in infrastructure upgrades. Essentially, ratepayers are?paying a private buyer millions to take a public asset?off the city’s hands.This just doesn’t add up,” said Erika Harvey, a local advocate for transparency and fair governance. “Tauranga’s ratepayers are being forced to foot the bill for $30M in upgrades, while a private buyer walks away with the Marine Precinct for far less than it’s worth. The public deserves to know how this happened, and we need answers.”

Not the Only Questionable Deal: Unfortunately, the Marine Precinct deal is just the latest in a long line of?questionable decisions?that have left residents and ratepayers wondering where their money is going and who’s really benefitting.

• The?Harington Street transport hub, originally projected to cost?$27 million, ended up costing?ratepayers $19 million?when the project was scrapped due to seismic design flaws. The incomplete site was later sold back to the original construction company for just?$1, leaving the community with massive losses.
• The?Mount Maunganui waterfront sale, which many believe prioritised private developers over the public interest, sparked concerns about how public assets were being used and who benefitted.
• Controversies surrounding?Sulphur Point?have further fuelled public discontent. In 2022, the Council reclassified parts of?Marine Park?at Sulphur Point to allow for a?marine research facility?led by the?University of Waikato. Many residents felt this decision was made without proper consultation, raising concerns about losing public green spaces to commercial interests

This follows earlier attempts in?2018?to revoke the park's reserve status, which was blocked by the then Conservation Minister.

"This isn’t just about the Marine Precinct,” Harvey continued. “It’s about the way our city is being managed. We deserve to know why these deals keep happening behind closed doors and why the public’s best interests don’t seem to be the priority. The fact that ratepayers are expected to?pay more than $30 million?for upgrades to a private buyer who profits from it, should concern every single person in this town.”

A Larger Pattern of Mismanagement: Over the past decade or more, Tauranga City Council has seen?elected members, commissioners, and staff?come and go, yet?the same troubling pattern of decisions?continues to emerge. From public asset sales to failed infrastructure projects, each new leadership team seems to follow a path that prioritises?developers and private interests?over the public good.

The question is: who is making these decisions, and why? “Despite changes over the years, we continue to see the same pattern of?poor financial management and lack of transparency,” said Erika Harvey “This is not just about one bad deal, it’s about a?culture of governance?that has allowed these deals to happen again and again, leaving the community in significant financial risk.”

Call for an Independent Investigation: Given Tauranga City Council’s?ongoing financial struggles, the public must demand more than just answers. It’s time for a?full independent investigation?into the?decision-making structure?of the Council. Importantly, the scope of this investigation should be?set by the public, focusing on why these deals keep occurring despite different leadership teams.

“This isn’t just about the Marine Precinct,” Harvey continued. “It’s about the structure within our council that allows decisions like this to keep happening. We need to ask who is really in charge, who is benefitting from these deals, and how we can ensure future decisions are made in the public interest.?An independent investigation, with the scope set by the public, is the only way we can get to the bottom of this.”

Members of the community are encouraged to attend the meeting at?Tauranga City Council’s current building, located at 306 Cameron Road, to support Mrs. Harvey to demand transparency, ask questions, and call for this investigation to be launched.

Public Meeting Details:

Date: Wednesday 23rd?October 2024

Time: 2:00 pm (for a 2:30 start)

Location: Tauranga City Council, 306 Cameron Road (which is councils temporary office)

If you wish to read the agenda you can view it here: https://www.tauranga.govt.nz/council/about-your-council/council-meetings-agendas-and-minutes