Frankston basketball officials accuse council of ‘cash grab’ as ugly dispute derails multi-million dollar stadium expansion project
A CRISIS meeting will be held tonight after a debacle derailed the multi-million dollar Frankston Basketball Stadium expansion project.
South East
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A CRISIS meeting will be held tonight after a debacle derailed the multi-million dollar Frankston Basketball Stadium expansion project.
Frankston and District Basketball Association board members and Frankston councillors will meet to try to thrash out a deal after work was suspended amid angry accusations.
FDBA officials have accused the council of seeking a 250 per cent increase on what the association paid as part of its rental of the stadium.
In a statement posted online, FDBA president Steve Ashley described the hike as a “cash grab” that would impact on the association’s viability.
“I have advised council that the proposed lease terms cannot be met due to their unsustainable nature,” he said.
“The delay in works are regrettable but are out of the FDBA’s control.”
Mr Ashley said the FDBA board felt in good conscience it could not “sign a lease which prohibits us from meeting our charter of growing the sport of basketball in our region”.
In the online statement, FDBA treasurer Ian Watt said the association had been working with council officers since early 2015 to finalise the future lease terms.
“What the FDBA believed it was entering into at the commencement of this project is not what has been offered by council, which is disappointing,” he said.
“Considering the FDBA has, in-principle, agreed to contribute $1 million dollars to the project and then being handed a lease with three days to sign that restricts the association from generating a return on this investment is not smart business.”
Leader understands senior council officials argue the fee hike is justified because it represents what other councils charge similar basketball associations.
Frankston Cr Glenn Aitken, who has championed the project, told the Leader that it was imperative council was aware of the FDBA’s concerns.
Cr Aitken did not dispute the FDBA’s claims council was seeking a huge increase on rent paid at the stadium.
He said it was distressing that works had been suspended due to the dispute.
“In front of my eyes I am seeing it unravelling and it’s heartbreaking,” he said.
But he added the fallout would be massive if the project did not get back on track.
“At the end of the day if this falls through, the damage will be widespread. It will reverberate at senior levels of government.”
Frankston state Labor MP Paul Edbrooke said the council should “pull their finger out and get on with it”.
“How Frankston Council expects that any level of government or investor will have confidence in them with this kind of conduct occurring is a huge issue,” he said
Carrum state Labor MP Sonya Kilkenny said the council should lift its game.
“The stadium upgrade is an awesome community project in my electorate. Local families have been fighting for this for years,” she said in a statement.
“It’s for our kids and young people in our local area. It’s about youth engagement, female participation and social inclusion.
“The priority now must be the local community — not a cash grab by Frankston Council.”
Stage one of the project is funded by the Federal Government ($5.2 million), Victorian Government ($2.5m), council ($4m) and the association ($1m).
It is slated to include four new courts including a new ‘‘show court’’ with about 600 seats, new entry and reception, a new cafe with commercial kitchen and new change rooms.
Council voted late last year to award the contract for the stadium works to Devco Project and Construction Management Pty Ltd.
Comment has been sought from senior council officials.