An investigation into the continued use of a valuation
company which may have led to Christchurch City Council's
assets being woefully underinsured has been put on the back
A report into why the city council continued to use valuers
Good Earth Matters despite a damning review by Audit New
Zealand in 2008 was ordered in September.
But city council staff told The Star the report had
not been completed.
A spokeswoman said: "The new council has other priorities
they are focusing on''.
Councillor Yani Johanson, who highlighted the the Audit New
Zealand 2008 report, said he was unaware of the development
until told by The Star this week.
"It is an important piece of work. Just because there is now
a new council it does not mean work from the previous city
council is stopped.''
Many of the city's assets have been underinsured, including
the Sumner Community Centre, which was only insured for $1.4
million when it was estimated to cost $10.3 million to
The 2008 Audit New Zealand report said Good Earth Matters did
a "poor job'' and said they had a numbers of areas of
concerns associated with the valuation completed by the
It highlighted an example that stormwater and artwork
valuations were incomplete and did not include $9.2 million
of council's addition since a previous valuation.
The city council's finance committee chairman, Raf Manji,
said the city council's investigation into why staff
continued to use Good Earth Matters was not urgent.
But he would likely give it more consideration before the
city council's insurance policy coming up for annual review