Page 4413 - Week 15 - Tuesday, 19 November 1991
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deemed to have been handed over on 1 January 1990 prior to renovations at $13,432,000, and the estimated value of capital improvements to the stadium, funded by the ACT Government during that period, was $1,850,000, bringing the written down value at 30 June 1990 to $14,900,000.
As well, the trust controlled eight hectares of land within the Bruce complex, mostly for parking, valued by the Auditor-General at $2,080,000. At the same time, the total spent on upgrading the stadium during the period was $3.7m. I seek an extension of time, Mr Speaker.
Leave not granted.
Motion (by Mr Jensen) agreed to:
That so much of the standing and temporary orders be suspended as would prevent Mr Collaery from being granted an extension of time.
MR COLLAERY: I thank members on this side of the house. Of this sum, approximately half was estimated by the Auditor-General to have been spent on repairing the existing facility when it was handed over. This 50-50 split was agreed by both trust management and the Australian Valuation Office to be a realistic assessment of the actual expenditure.
An aspect of the agreement reached with the Raiders was that the Raiders would contribute $1m towards the $3.7m cost of renovating and establishing the stadium. In other words, the Bruce trust owes a notional sum of $2.7m, which was originally made available on an interest free basis, and subsidies of $200,000 in 1990-91 and $100,000 in 1991-92 were to be made available to the trust to assist in the payment of interest commitments.
Despite Mr Whalan's confident advice 18 months earlier, the Alliance Government was advised in December 1990 that the trust would be unable to meet all future liabilities without assistance. Accordingly, the Alliance Cabinet agreed to the deferral and capitalisation of the interest payments due on the $2.7m loan in 1990-91 and 1991-92, but only after the application of interest subsidies to meet outstanding operating liabilities. No interest was payable in respect of the earlier 1989-90 financial period.
The Auditor-General has also observed that since $1m was paid out by the ACT Government during the period to upgrade Bruce, over and above the $2.7m loan, this had the effect of providing the trust with a $1m loan free of charge. The $1m sum was, to quote from the terms of the agreement negotiated between the parties, to be paid by the Canberra District Rugby League Club under the following terms:
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