Glen Eira faces sports centre inquiry
Jason Dowling
November 12, 2011
GLEN EIRA Council is facing a possible third probe by the Ombudsman’s office in 12 months, this time over access to basketball facilities at the nearly completed $41 million Glen Eira Sports and Aquatic Centre.
In May, after an expression-of-interest process, the Warriors Basketball Association was officially offered use of the centre.
But since then, several councillors have tried to overturn the decision in favour of the losing bidder, the McKinnon Basketball Association. The council is believed to have received legal advice that the Warriors won the process fairly and the council could be exposed to legal challenge should it overturn the original decision.
Documents obtained under freedom-of-information laws by the Warriors show that councillors have been actively lobbied by the McKinnon Basketball Association.
In one email sent to councillors from the McKinnon Basketball Association’s treasurer, James Cody, last month, councillors are told that should the association gain shared access, ”I guarantee those stakeholders will reward your fortitude with votes”.
Emails between councillors Jim Magee, Neil Pilling and Frank Penhalluriack from June show them trying to overturn the council’s decision and appoint the McKinnon Basketball Association as the tenant, with a lower hourly court rate than that offered by the Warriors.
The Ombudsman’s office is believed to be investigating the involvement of councillors in the attempt to overturn the decision.
An Ombudsman’s report into Glen Eira Council is expected to be tabled in state parliament next month.
Cr Magee said he supported both associations having access to the facility.
He said that for many families that paid rates in Glen Eira, the only way they would be able to use the new sports facility would be if their team left the McKinnon Basketball Association and joined Oakleigh, ”which, for the life of me, I just can’t see that’s fair”.
Cr Penhalluriack said he could not recall the emails, but he supported a compromise.
”I think the people who live and play in Glen Eira and who have paid for the stadium itself should be given priority,” he said.
A spokesman for the Warriors Basketball Program said they were disappointed the process had ”gone as it has”, but added: ”As the general application of the expression-of-interests process is honoured, we’re more than happy to work in a combined front with the McKinnon association to make sure all kids in Glen Eira get access to that facility.”
Glen Eira Debates 
November 12, 2011 at 8:05 AM
The Councillors obviously voted on the advice of the staff. Such a contract was always going to be a political decision and councillors should have been aware of what would end up happening. Councillors should be in touch with the community. They have put themselves between two competing groups and didn’t even see it coming. The individuals that run the associations could offer to give some of the councillors some political training. Local Government is bare knuckle, much more intriging than the Federal or State. In the end one would have to ask why Glen Eira has had so many investigations. The reason is pretty obvious and it is up to the current councillors to fix it up for the future. This is by far the greatest legacy that any of them could leave our City. Probably worth a plaque.
November 12, 2011 at 8:21 AM
I agree wholeheartedly with your comments – except for the opening sentence. Councillors did not “vote” for the decision to award the contract to the Warriors. It was all left in the incapable hands of Paul Burke – admittedly by delegation. Yes, councillors are responsible and they should have been more on top of things. That’s now history and with some luck a very valuable lesson that they must learn – take charge and don’t allow the Newton’s and Burke’s to have unfettered and unsupervised power.
The other standout feature of this article by Dowling is its timing and the targets – Magee, Penhalluriack and Pilling. I don’t think it’s coincidence that Dowling has now written at least 3 articles which are critical of councillors as opposed to administration. They might deserve such criticism, but as with the previous Municipal Inspectors’ reports, Newton remains untouched by all this negative publicity. I suspect that if we were to look harder at the sources of all these articles then they would derive from those with most to gain – such as a contract renewal perhaps ably assisted by his supporter councillors.
The ombudsman surely must be getting thoroughly sick of Glen Eira. It is high time that the whole story was revealed and that the place got a thorough clean out – starting at the top.
November 12, 2011 at 1:06 PM
The Ombudsman is not political. Whelan was the lap dog of the Bracks Government. he did what they wanted. Why wouldn’t he they probably paid him very well.Dowling would be running on information coming directly from the town hall. No doubt about that one.
November 13, 2011 at 9:53 AM
Whelan was also mates with Walsh. Wolfe probably knows them too. No wonder the reports keep coming out as they do – all very incestuous.
November 12, 2011 at 8:34 AM
Lets just hope that the Ombudsman’s Report extends beyond the Basketball Fiasco and includes a recommendation for the dismissal of Council and Senior Administrators.
If it doesn’t perhaps the five Councillors, not part of the gang of four, will get some fortitude and actually represent the ratepayers by bringing in some much needed reforms.
November 12, 2011 at 9:07 AM
One doesn’t have to be an Einstein to realise that Newton and Burke are very bad news for residents. Their autocratic style of management belongs in the dark ages and I for one am thoroughly sick of paying out more and more money to cover up their mistakes and bruised egos – the latest example being this basketball furore. If councillors are stupid enough to extend his contract then nothing is surer than more conflict and more allegations of bullying over the next two years. It’s time to get a long overdue divorce and start afresh.
November 12, 2011 at 10:47 AM
Tough being a Councillor! There is nothing to hide here. I personally spoke with a member of Council BEFORE allocations were announced in May and was told that McKinnon were the obvious choice to fill GESAC because of all the right reasons. I have since lobbied hard to help get McKinnon access to GESAC. Make as many excuses as you like but MONEY was the only reason Oakleigh Warriors (since changed their Domestic name to Glen Eira Warriors) won the court space. Since that the ‘better’ marketing campaign will not guarentee Warriors ability to survive even a few months.
McKinnon, being the only local Association, has grown rather than died as many would have hoped for. Let’s both get together and compromise so that the Glen Eira Club and McKinnon Association can grow further and basketball is the winner!
GESAC basketball is certainly a fiasco and we can only hope a solution is near.
November 12, 2011 at 10:57 AM
Heads should roll over this and it ain’t councillors alone. Burke’s got heaps to answer for. Next time he thinks of contacting Dowling he should remember that residents are still living in a free society and that they are fully entitled to lobby councillors and councillors are fully entitled to lobby on the behalf of their residents. His stuff up has cost heaps. Make him pay out of his own pocket.
November 13, 2011 at 10:03 PM
Brendan,
Do you teach your kids at McKinnon to accept the umpires decision?
Seems to me this is all about sour grapes. Whether this was about money or not McKinnon had as much chance if not more as the next group to lodge a proper application and lost. Since then they have engaged in a lobby campaign to sabotage that process to the point it now seems they have resorted to the act of bribery according to the age.
It’s one thing to lobby councillors with the promise of votes during an election campaign. However it is another thing altogether to try and usurp a proper process with this sort of collusive behaviour.
I fail to see how an association, individual or group that behaves in this way is deserving of any sympathy whatsoever. The only people I am sorry for are the junior members who are managed by such a group.
Maybe those same members should be asking some very serious questions of their own executive committee and administration as to why they lost this process and their resulting behaviour since.
Lets hope for those members sake this is resolved in a proper manner.
November 12, 2011 at 12:37 PM
Anyone notice the names picked out – Pilling, Magee, and Penhalluriack. All those bods that have in recent weeks at least publically questioned Newton and his lap dogs. Funny about that, isn’t it. The oldest game in the book I’m afraid. Put pressure on others to shut up and be good little boys and girls otherwise look what could happen to you – your name dragged through the mud in the media. And just in case you’ve forgottern, you had better renew my contract as well otherwise I’ll keep doing this kind of stuff. You’d better believe me too because I’ve got unlimited ratepayers funds to play with.
November 12, 2011 at 2:56 PM
Burke, you’re a total dunce! Haven’t you figured out yet that all publicity is good publicity and that this Dowling stuff will do great things for Penhalluriack, Pilling and Magee at the next elections. They’re the only ones who are sticking their necks out in support of the community. Same can’t be said for the gang. Seems like our wonderful Mr Burke and Mr Newton have shot themselves in the foot again – good and proper this time.
November 12, 2011 at 3:08 PM
We’ve been hearing reports that a “survey” is being undertaken on behalf of council as part of the “Community Plan”. Sad thing about this survey is that the people who were rung up didn’t qualify to contribute since the “quote” for their age group had already been filled. Given that these things usually feature only 500 people and there are five age categories, then we assume that only 100 people in each category will be asked to answer some pre-set (and loaded?) questions.
What also strikes us as rather odd is the timing of such a survey. We strongly suspect that this expenditure is tied in with the CEO appointment process. How wonderful it would look if Mr Newton could produce results which state that he is the best CEO in the world and every single citizen has given Glen Eira the thumbs up. Also strange that it has probably been years and years since any such “independent” study has been undertaken by this council. We would simply like to know how much this latest endeavour is costing and whether councillors approved, or in fact know anything about it.
If council was really serious about gauging community perceptions then a questionnaire would be up on the website, plus the use of ‘Have Your Say’. Also telling is the fact that prospective community reps who are to sit on the Steering Committee for the Community Plan have to ring council to ask for the selection criteria and the application forms. When every other council places these things on their website, this just shows again and again the machination that is part of the Glen Eira method of doing things. A bit like membership to GESAC – first ring up and then we’ll tell you all you want to know!
November 12, 2011 at 7:18 PM
Just because Newtons KPi’s are tied to a survey that shouldn’t stop them from advertising the CEO’s position. If he has the councillors thinking they are obliged to re-appoint him without advertising just because the survey results are Ok then things are pretty bad. They simply take a vote and do it, Nothing complicated about it at all. If his contract is worded so it allows him to contest there wishes then they are idiots for signing the contract in the first place. Lawyers make their living from complicating things I suppose it follows that they end up fooling themselves. Shame.
November 12, 2011 at 3:51 PM
A Case of Basket Ball or just a Basket Case?
The whole sordid mess of GESAC has been a stuff up from the day Newton started pushing it. Remember, guys? It all started with a simple leaky swimming pool. Now we even have a leaky Town Hall. We have leak after leak after leak. Most recently (today’s Age) selective leaks of councillors emails, supposedly under FOI. Leaks have been a feature of our Clown Hall for over a decade or so. Councillors emails to and from residents and other councillors have even been published in council agendas, without councillors permission.
Worse, the GESAC project itself is leaking like a seive. Doesn’t matter how many tens of millions are poured into the quagmire, many more millions are needed. Our councillors are only now understanding the bureaucratic process. But they can’t say they didn’t know, they have been told repeatedly by residents and even former councillors. There were angry public meetings in Elsternwick delving into the morass of ever-changing, ever-increasing cost estimates of GESAC. One councillor (Lipshutz) even told a council meeting there would be no effect on the rates. How would he know? There has been no Financial Plan, no Management Plan. Only some fine print buried deep within the 10 year Community Plan, indicates It could be decades before council finances recover from the GESAC disaster. Just the costs of principal and interest repayments on the GESAC loan are horrendous.
We all know Glen Eira is the Sick Man of local government. If the Ombudsman can’t get to the bottom of this cesspool, and clean it up, then it is time the Ombudsman was given greater resources, or himself faced an inquiry. We are getting sick of inquiry after inquiry, of intimidation upon intimidation, of secret councillor business, of the sly pretense of confidential meetings, and never-ending succession of trumped up charges of bullying, of repeated, but always secret, Investigations by Government Inspectors, of revelation after revelation by the Auditor General. The Sick Man of local government needs urgent treatment, and the poisonous canker removed from the body.
Clearly, there must be a high-power Government Inquiry into the conduct of affairs at Glen Eira.City Hall. The quicker the better, before the patient dies..
November 12, 2011 at 5:00 PM
Beautifully said!
November 12, 2011 at 9:58 PM
Glen Eira the simple fact is that there was an open Tender for the use of GESAC courts and the delegated staff awarded the Tender to the highest bidder. That is the group that would give us the highest rate of return on the huge cost of this Asset. Everyone knows except Frank that many Glen Eira teams have been using the Oakleigh facility for years and now will be able to play in their City.. Further Mr Burke now is the time to rise up and sue the person known as Smart Aleck. He has directly made a serious claim that you leaked to the newspaper without a shred of evidence. Mr Newton you have a responsibility to protect your staff.Also have a look who is heading the Warriors. He.is a former full time employee of Mc Kinnon. Finally note who the Mayor was in 2005 and now . Hopeless. Also 3 Lawyers on Council failed to determine what constitutes a Contract. Law 1a.
November 13, 2011 at 1:31 PM
Noel, you should know the difference between an EOI and a tender. Who is writing your material?
November 13, 2011 at 9:50 PM
Curious as to what importance it has wether the head of the Warriors is a former employee of McKinnon. He was also the founder of the Association and four of its current clubs and I believe a life member. He has served the sport, these two associations and the ratepayers of this city for over 20 years!!!
However it seems to me he has well and truly moved on and good on him for doing so!
Why this keeps being raised is bizarre as it’s utterly irrelevant. If he is no longer an employee of the Association he has every right to find work where he can.
McKinnon certainly seem more than small minded and petty about this as from all accounts they have taken the extraordinary decision to not invite him to the 20th anniversary of the founding of the club. How you can leave out the founder of the club when celebrating the foundation of it, is rather pathetic is it not.
November 14, 2011 at 10:37 AM
Right back at you. Petty and small minded.
If ‘he who must not be named’ wants to attend a function of this kind he has every right to, as do you. What relevance this has to this forum I do not know. I think it is clear that all everyone wants is for the kids to play in a good facility that has been built for this purpose. In stead of everyone sulking and protecting their pride, sort it out!
There are a lot more important things in life.
November 14, 2011 at 11:42 AM
Adrienne,
I am quite happy to name him. Have McKinnon invited Bob Mann to this event or consulted him in any way?
Considering his service to the Association it would be a no-brainer in my book. I know a person who has volunteered to assist on the committee managing this event. They have told me that he has not been talked to or invited to this event. They also told me last week a decision was made to not invite him due to current circumstances surrounding GESAC..
I would suggest considering his treatment from this management group over the past 3 to 4 years he would not bother and who could blame him.
How is this relevant to this story? Well the Age newspaper has revealed a document from the MBA’s treasurer James Cody soliciting votes at the next election for a return favour of overturning a proper EOI process.
Both events demonstrate in my opinion and that of many others the unethical, unprofessional and spiteful manner that this management group manage the MBA for a number of years now. Little wonder they lost the EOI process!
November 14, 2011 at 1:06 PM
Oh seriously. I am not here for a slagging match, like I mentioned before that is not what this is about and there is a lot more important things in life.
Think of the situation in reverse. If Oakleigh Council were to have an open tender for the Oakleigh Rec Centre and the McKinnon Association won the right to run the stadium etc, would you and the Oakleigh Warriors (or is it the Glen Eira Warriors or Garden State Warriors? confusing) ask why? or would you be happy to move on out and agree with the decision?
Everyone has the right to question a decision, we all do it everyday.
The council needs now to actually make a decision and hopefully its one were everyone can use the stadium together and this bickering can stop.
November 14, 2011 at 12:35 PM
Well said and if you want to come along Bob, kindly ring the office and organise to personally pick up your free ticket….they should at least do that for you!
Like Adrienne rightly says…..’sort it out’
November 14, 2011 at 1:09 PM
Mate I am not Bob, and maybe you should contact the management group or your office ot have them make that gesture personally to him. Or do you think as a life member he should have to organise his own tickets? The more you guys post the more you prove my points above.
November 12, 2011 at 10:43 PM
FYI: we’ve copied these definitions from the Commonwealth’s Department of Finance and Deregulation –
Expression of interest – a response to an open approach to the market requesting submissions from businesses interested in participating in a procurement. The list of potential suppliers who have submitted expressions of interest may be used as the basis for conducting a select tender process.
Request for tender – a published notice inviting businesses who satisfy the conditions for participation to submit a tender in accordance with requirements of the request for tender and other request documentation.
Select tender process – a procurement procedure in which the procuring agency invites specific potential suppliers to submit tenders. For procurements with a value greater than the relevant specified threshold, a select tender process may only be conducted in accordance with certain procedures and circumstances set out in Division 2 of
the Guidelines
Council did not call for tenders – they called for expressions of interest – a vastly different thing. Next, who decided that cost was the premium criterion; who knew the weighting to be given to this criterion?
Next we must ponder the accuracy of the business plan and how reallistic and accurate its prognostications. Comments posted suggest that the Warriors bid has already run into trouble, so how thoroughly was their proposal vetted, analysed, and researched by council?
November 14, 2011 at 10:00 AM
Actually I doubt “councillors are fully entitled to lobby on the behalf of their residents”, as a consequence of the Local Government Act. It depends on how you choose to interpret it. Both s.76D Misuse Of Position and s.76E Improper Direction And Improper Influence have strong [and ambiguous] words about what a Councillor must not do.
(1) A Councillor must not improperly direct or
improperly influence, or seek to improperly direct
or improperly influence, a member of Council
staff in the exercise of any power or in the
performance of any duty or function by the
member.
(2) A Councillor must not direct, or seek to direct, a
member of Council staff–
(a) in the exercise of a delegated power, or the
performance of a delegated duty or function
of the Council; or
This could mean that once Council has delegated a power or function, they can’t lobby the officer. When evaluating a tender it raises a question about the weights that should be used to assess various criteria, particularly if highly political, and how that has been communicated as part of a delegation.
Delegations at Glen Eira are badly managed, because councillors don’t provide oversight that the delegations are being used to make the decisions that they themselves would make. Except in this one extraordinary instance.
November 14, 2011 at 10:45 AM
In a properly run council, delegations are always accompanied by detailed guidelines and policy directions. This is because staff are, technically speaking, not competent to administer affairs with a political content. Staff are perfectly competent to administer and evaluate according to specific policy objectives determined and laid down by their political masters, the council (ie. elected councillors). This is called separation of function and powers, in the Westminster system.
The dozens of pages of delegated powers regularly approved by Glen Eira council breach this separation of function and powers, by failing to incorporate detailed specific and appropriate guidelines for the administration and exercise of the delegated powers. Consequently we have disasters and fiasco’s like the GESAC basketball facilities, and even GESAC itself, which is the biggest financial white elephant in the combined histories of Glen Eira, Moorabbin, and Caulfield Councils. Indeed, the show is supposed to be officially opened in the next few weeks, but still our councillors don’t know what it has cost, or will cost in the future.
Reminds me of the fiasco of the Caulfield Park pavilion, approved without a single councillor inspecting the site, and without full costings being known. Remember the supposedly unexpected extra costs, car parking, loss of parkland, the need to spend millions on relocation all the ovals (under the guise of using ‘sustainable’ grasses)? Tang was a bubbly greenie enthusing over that one, He actually believed Paul’s brilliant spin pretending the millions were to help save the planet.