Stadium needs more ratepayer cash: review

Forsyth Barr Stadium needs another $1.8 million a year from ratepayers if its financial position is to be secured, a Dunedin City Council review has found.

The review, released this morning, has found the stadium's original budget was ''optimistic'' when it came to renewals funding, rent, and stadium-related debt.

A report accompanying its findings, by council chief executive Dr Sue Bidrose, recommended the council continue to operate the stadium, but with significant changes.

That included a review of the existing requirement for Dunedin Venues Management Ltd (DVML) - which runs the stadium - to pay $4 million in rent each year to help service stadium debt.

It was expected that reevaluation, which was yet to happen, would conclude the rent was ''too high'', but any reduction would create a shortfall ''that will need to be addressed'', Dr Bidrose's report said.

Her report also recommended $30 million of stadium-related debt - held by Dunedin Venues Ltd (DVL) - be transferred to the council, and that both DVML and DVL become subsidiary companies of the council.

The council should also fund $10.464 million of stadium renewals over the next decade, her report recommended.

As a result of the changes, it was forecast ratepayers would need to fund an extra $1.810 million each year - for at least the next decade - to put the stadium on a ''sustainable basis'', Dr Bidrose's report said.

The proposals will be considered by councillors at an extraordinary council meeting on Monday, and, if approved, lead to public consultation through next year's budget hearings.

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