Fears more TAFE sites to be sold off as Renewal SA to take control of more than 24 campuses

THERE are fears more TAFE sites could be sold off after the State Government announced that control of more than two dozen campuses will be shifted to its land sales arm, Renewal SA.

Treasurer Tom Koutsantonis insists “there are no new plans to sell any TAFE SA assets”. Picture: Tom Huntley

THERE are fears more TAFE sites could be sold off after the State Government announced that control of more than two dozen campuses will be shifted to its land sales arm, Renewal SA.

Documents seen by The Advertiser state the move will occur on July 1 this year. It will be accompanied by a major cash injection for Renewal SA, in a Budget strategy that shores up the struggling agency’s finances.

While it is understood the details of the transfer are yet to be finalised, the documents indicate it will deliver a hit to Treasurer Tom Koutsantonis’ projected surpluses but reduce recorded state debt.

Campuses to be moved from the Department of State Development to Renewal SA control include sites in the CBD, Elizabeth and Noarlunga as well as a host of major regional centres.

Mr Koutsantonis confirmed the transfer would go ahead, but insisted “there are no new plans to sell any TAFE SA assets”.

He said Renewal SA, which is overseeing the controversial Gillman land deal, is “the agency that has the best commercial property management experience and expertise” to run the sites and they will remain under TAFE control.

The move will also prevent a blowout in Renewal SA’s own financial position. There are projections in the documents showing its debts would soon outstrip assets without a major overhaul.

Opposition Deputy Leader Vickie Chapman said the Government was preparing for a “continued fire sale” and seeking to build up “another fund they can raid ahead of the election”.

“It’s just a way of the Government getting a whole lot of money in a hurry and there is absolutely no other reason for it to be changing the way these properties are managed,” she said.

The Australian Education Union said it had no current concerns about the transfer, as long as the Government kept its promise that giving control to Renewal SA would not lead to campus sales.

Mr Koutsantonis said: “TAFE SA will retain control over how properties are used and will continue to manage day-to-day operations, so there will be no impact on staff and students.

“Renewal SA owns and leases a range of assets on behalf of the State Government and has significant expertise in commercial property management.

“This measure will further consolidate the management of assets to the agency that has the best experience in managing leasing and other commercial property arrangements on behalf of the Government.”

The Panorama, O’Halloran Hill and Marleston TAFEs closed in 2013 as services were consolidated in the former Mitsubishi factory at Tonsley Park.

AEU SA President Howard Spreadbury said the transfer of management was unlikely to have a major effect on the sector as long as TAFE maintained occupancies and sites stayed open.

“If there are no further sales or closures and TAFE maintains control of what goes on in those campuses then I think we’d feel reasonably assured there’ll be no adverse impact,” he said.