Council to save millions on stadium as state funding demand fails

GEELONG’S council will save millions of dollars after staring down a State Government demand to fund its takeover of Simonds Stadium.
Council voted this week against paying a Government-appointed trust $1.5 million a year to manage and maintain the stadium.
The Government rejected a similar decision last week when council refused to fund the trust or to provide $6 million for the stadium’s stage four redevelopment before the end of 2017/2018.
The Government and the Cats warned the delayed payment could prevent work starting on the $89 million project.
But council accompanied this week’s trust-funding rejection with a compromise to instead pay the $6 million when stage four was complete, breaking the standoff.
Mayor Darryn Lyons said council developed the new arrangement “in partnership” with the Cats and the Government.
Council would fund its $6 million contribution with savings from relinquishing operations of the stadium to the trust, he said.
“Those savings will equate to an average of $1.5 million over each and every coming year.
“The City’s contribution to this development will ensure that our community can benefit from the development for years to come.”
The Cats welcomed the deal but the Government has yet to formally announce its acceptance. A council source expected the Government give its blessing soon.
“This is a significant and positive decision by the council that will bring a significant economic and social benefit to the region,“ said Cats chief Brian Cook.
“The councillors have shown great leadership in working to ensure that this redevelopment can go ahead without delay. It’s an exciting day for the club and for the city.“
The project also has $75 million from the Government and $4 million each from the Cats and the AFL.
Stage four will increase the stadium’s capacity to 36,000 patrons and redevelop various internal facilities.