The following two stories appear in today’s Caulfield Glen Eira Leader. Both are by Jenny Ling –
An unusual exercise: Gym joiners jumping mad at price mystery
GLEN Eira Council has been accused of ‘‘cloak and dagger’’ tactics after refusing to publicly reveal gym and swim membership prices for the $41.2 million Glen Eira Sports and Aquatic Centre. Residents got their lycra in a twist over specials advertised before the membership launch on Wednesday.
The centre’s Facebook page and website exclaimed that discounted memberships were on sale at ‘‘never-to-be-repeated prices’’ for the first 500 people, with a saving of more than $350. But those trying to sign up had to phone to secure an appointment with a
consultant to find out what they could expect to pay.
Paul Wilson wrote: ‘‘Not good enough GESAC folks. You’ve been building this one up for months and . . . drumroll . . . I now have the wonderful opportunity to call up and make an appointment to see a salesguy. If you have a product you wish to sell, get back to me. But enough of this cloak and dagger rubbish.’’
The council received 500 inquiries in the 24 hours before 3pm on June 1 about the modern aquatic, fitness, sports and rehabilitation facility in Bentleigh East, expected to open in time for summer. And 20 people have joined.
Centre manager Mark Collins said there were 12 different membership types, depending on age, type of facility and times of use. He would not reveal the price range. Everyone who inquired was phoned back and told what prices would be for them, he said.
‘‘We want to speak to people individually because one rate doesn’t suit all,’’ Mr Collins said.
‘‘People see a price and go ‘OK, it’s too expensive’ or some people say ‘it’s too cheap’, but they’ve got no idea of what that price entitles them to.’’ He said the prices were ‘‘ more than competitive’’ and would be publicised by the time it opened.
Clubs crying foul: Aquatic centre court fees too expensive for local hoops
LOCAL basketball clubs are disappointed they can’t afford l ofty Glen Eira Sports and Aquatic Centre costs.
McKinnon Basketball Association, which represents six clubs with 1400 members, applied to Glen Eira Council to use the courts at GESAC, expected to open later this year. But the association’s expression of interest was rejected.
Vice-president John Humble said he was disappointed. ‘ ‘ The initial expression of interest requested by council stressed the importance of the community aspects of the applications but when all was said and done . . . it all boiled down to money first, second and third,’’ Mr Humble said.
Ormond Jets Basketball Club vice-president Robyn Whitelaw said at $50 an hour, the club could not afford it. The club pays Brighton, Bentleigh and McKinnon secondary colleges between $ 25-$ 30 an hour on weekends to use their courts.
‘‘We started to appeal (to the council) to the fact we were a local community group and they said others are willing to pay, so back luck essentially,’’ Mrs Whitelaw said. ‘‘We thought it was a little unfair.’’
Council spokesman Paul Burke s ai d e ach s ubmission was assessed on community benefit, price and capacity.
The s uccessful applicant, Oakleigh Warriors, offered more hours of community basketball and a greater range of programs as well as ‘‘payment at the level already in place in many similar centres around Melbourne’’.
‘‘GESAC is a major community facility and council wishes to see maximum community use,’’ Mr Burke said.
Glen Eira Debates 
June 7, 2011 at 12:05 PM
Again you have no clear idea of what is going on in the real world out there. Many Glen Eira teams regularily use the Oakleigh Basketball Centre and have for many years and will continue to do so as there is a shortage of such facilities is the South Eastern suburbs. The Council has a responsibility to all ratepayers to ensure an adequate Rate of Return on this Asset which is geared requiring hefty interest repayments.
June 7, 2011 at 12:27 PM
Shucks Anon – you and council have absolutely no idea of the real world out there and how much background work should have been done before the decision was made to put us into hock for the next decade and to keep paying for this cos it won’t ever make any money. According to your argument, stuff is built to make money not cater for locals. Great, Glen Eira is now in the speculation market.
Just to enlighten you this is what is happening out in the real world. In the first place council has no idea what the market will bear – that’s why they won’t announce a price for membership. They’re testing the waters as it were. This tells us exactly how not to run a 45 million dollar enterprise. The homework should have been done right at the start not after you’ve borrowed to the hilt on a pipe dream. Then there’s the stuff about knowing what local teams can afford or can’t afford. Again, why wasn’t the homework done at the start – and I’m not even talking about the ethical duty to support local clubs.
This administration has never succeeded in running a business so why should GESAC be any different. And those councillors who saddled us with this monstrosity will now have to face the fact that all the incidentals will start coming in that haven’t been budgeted for. Their problem is that they’ve said yes, so they can’t now turn around and wring their hands and claim oh woe is me. The cover ups, deceit and the happy family syndrome will be played to the hilt. And betyas there’s more to come about transport, car parking and so on. In the end this will be a disaster and cost ratepayers at least 60 million. Just wait and watch. But chances are we’ll never know the real truth cos there’ll be a major cover.
June 7, 2011 at 5:23 PM
The logic you seem to be applying is faulty. Aleck’s points are entirely correct. All businesses aim for “adequate rates of return” but only after they’ve done the basic maths. You would have to work out what something will cost you in terms of staff, running costs, infrastructure, loan repayments and the whole lot. Then you’d need to have some pretty good local analysis of who is interested in offering expressions of interest and how much are they willing to pay. You would then work out whether all these costs together will cover the expenses. Only then do you proceed to borrow, design and build. Whether or not any of these preliminary plans have been done now seems debatable – or if they were done, how accurate and informative they actually were. I seem to remember something like over $2 being spent on design. How much was spent on exhaustive business plans to begin with?
We’re also in the dark about current progress. We can take Lipshutz’s word that the building is only 3 or so weeks behind schedule – but, would you trust this man? I certainly don’t, especially when we’re not provided any figures on budgets and up-to-date expenditures. The whole project is teetering on disaster I think and the hope that it will be an economic windfall down the track is to live in neverland. Glen Eira will be paying this off for the next 30 years.
June 8, 2011 at 9:06 AM
I can see both arguments of this Council but there is one thing that l am glad and that is that this Council has never been on the verge of bankruptcy nor has the state government had to bail them out like other Councils within Victoria. So obviously they do know how to run the Council.
June 8, 2011 at 3:29 PM
From Online Leader:
Glenn A writes:
Posted on 7 Jun 11 at 05:46pm
Hmmmm. Interested to know if Oakleigh falls under the Glen Eira controlled wards? If not, you can understand why the local ratepayers (Ormond Jets Basketball Club and McKinnon Basketball Association) are crying foul – money first, second and third
June 15, 2011 at 9:46 AM
Opinions published in the Moorabbin Glen Eira Leader, 15th June 2011 re: GESAC.
==================================================
No discounts for under-18s
GESCAC is advertising savings of $350 on membership.
Having gone to their offices to get membership formy daughter, who is a 17-year-old student, I was told the discounted membership is applicable only to those over 18 years of age.
This is not stipulated anywhere in any of their advertising. I asked and was advised that access to facilities for those over 18 and those under 18 years is exactly the same. I was told student memberships will be released later in the year, albeit without the $350 discount.
I won’t be going back later in the year to buy membership for my daughter. If membership discounts aren’t applicable for those under 18, they should advise people via their advertising and on their website!
– Susan, East Bentleigh
==================================================
Pool hype just for show
I WAS surprised to read in the recent Leader (‘‘Council coy on sports centre fees’’, June 8) about GESAC manager Mark Collins stating that there are 12 membership types on offer, and that everyone who inquired was called back and told what the price would be.
I know this because I was one of them. I waited with great anticipation for a good opening special. I called, made the appointment, arrived, and was out of there within five minutes and was very disappointed.
The sales lady showed me amap of the complex, told me that the special was $15.95 aweek and that was it.
I asked about alternatives and just swimming, etc, and she said those prices would be coming out later and that was it. I stated that her prices were 60 per cent more than their competition up the road and she said it is what it is, and it’s a newer and larger facility.
I left feeling that all the hype was a waste of time. So it is no real wonder that they have only signed up 20 people in the first week.
– Barry, via website
==================================================
No savings for me
RE ‘‘Council coy on sports centre fees’’, June 8), yes, I have been on their email list for some time.
When I inquired about membership prices, they told me if I signed up I could save $350 on the normal annual membership price. The price I was quoted was $15 aweek, which is about $700 a year. With the additional $350, that means that normal annual membership would be about $1050.
When I asked about concession rates for seniors or aged pensioners, they said it would be more expensive than the ‘‘special offer’’ currently being made. I expressed concern that this was too expensive and said that I would contact my local government councillors, which I have.
If they are wanting to use such techniques to sign up a group of 500 first-time members, they have a moral obligation to release their actual proposed membership prices, so a person like myself can make a balanced judgment of the value of what’s on offer.
– Julian, Bentleigh
==================================================
August 31, 2011 at 11:07 PM
McKinnon Basketball Association is again let down by a council who only cares about money and not the 1400 members that its affecting.