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Playford Council CEO has a $120,000 car, worth as much as a local two-bedroom house

AN Adelaide council has used $120,000 of ratepayers’ money to buy a luxury four-wheel-drive for its chief executive, who is already the highest paid in the city.

Adelaide council boss with a car worth a house
Adelaide council boss with a car worth a house

PLAYFORD Council has used $120,000 of ratepayers’ money to buy a luxury four-wheel-drive for its chief executive, who is already the highest paid in Adelaide.

The cost of Dr Mal Hemmerling’s 2016 Toyota LandCruiser Wagon Sahara vehicle is equivalent to six Holden Cruzes made within the municipality at the Elizabeth plant, or would buy a two-bedroom home in nearby Elizabeth South.

The council will retain ownership of the vehicle and Dr Hemmerling, who is on $300,000 a year, will reimburse it $25,000 a year for fuel, insurance and maintenance.

Playford’s former CEO Tim Jackson, who was replaced by Mr Hemmerling in September, did not have a company car but received a fuel allowance.

A survey of Adelaide councils found most CEOs had a company car valued at about $40,000.

Residents and suburban mayors have questioned Playford’s decision to splash out on the luxury Landcruiser.

Dr Mal Hemmerling, Playford Council’s CEO.
Dr Mal Hemmerling, Playford Council’s CEO.

Munno Para West resident Stacey Bannear-Cleverly, 30, said the council should have spent the money upgrading roads.

“Curtis Rd is a log jam because of all the new infrastructure around — it just can’t cope with the traffic,” she said.

Fellow resident Kylee Gosneld, 31, said it was a “ridiculous amount of money” to spend on a council car.

“A $20,000 car would do the exact same job and $100,000 could be spent on the community,” she said.

Craigmore resident Aaron Ross, 30, agreed the money could have been better spent.

“It would be nice if they spent $120,000 on the maintenance of my street,” he said.

“The reserve behind my house and the footpaths are shocking.

“Perhaps upgrading some of the kids’ play equipment in my local reserves would be nice too.”

Dr Hemmerling said as the council’s CEO he was required to have a vehicle.

“I cover capital depreciation and operating costs,” he said.

“In two years, the vehicle will be sold as a council asset, with income from the sale retained by (the) council.”

What else could you buy for $120,000?
What else could you buy for $120,000?

Playford Mayor Glenn Docherty did not respond to requests for comment.

Tea Tree Gully Mayor Kevin Knight said a council boss driving around in a $120,000 car “might look bad” to some residents.

“I wouldn’t feel comfortable with my CEO driving a $120,000 car,” he said. “I wouldn’t want our residents to fund it.”

Onkaparinga Mayor Lorraine Rosenberg said the price was high.

“It’s important to weigh up why a car is used and I doubt a four-wheel-drive is needed in the city,” Ms Rosenberg said.

“But part of a CEO’s contract is that they do get personal use of the vehicle, so if they do a lot of camping or want to go away a lot they need to make sure the vehicle is appropriate for their own use as well.”

Norwood, Payneham and St Peters Mayor Robert Bria said it was up to Playford to decide how much it spent on company cars but he could understand if residents were unhappy.

“Councils always have to be very conscious of how they spend ratepayers’ money,” Mr Bria said.

“I think residents would feel, and have the right to feel, a little aggrieved if a CEO was driving around in a luxury car.”

Playford increased its rates by an average of 4.4 per cent this year, taking the average household rates bill to $1226.

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Original URL: https://www.adelaidenow.com.au/messenger/north-northeast/playford-council-ceo-has-a-12000-car-worth-as-much-as-a-local-twobedroom-house/news-story/a9f572a6137591553a2f335bbf0ef40c