Senate Rural and Regional Affairs and Transport Legislation Committee, , 8:43:10 to 8:48:10
Discussion regarding the $45 million commitment to the Nunawading indoor sports center and concerns over a $30 million funding shortfall as total costs escalate to $110 million.
Topics: Infrastructure, Government spending
Speakers: Hon Bridget McKenzie, Lisa Rauter, Jacinta McDonald, Unknown Speaker
I will have to get some work done on um Um okay I want to go to the Nanawading indoor sports center $45 million. Um the commitment was announced on the 12th of April 2025. White horse City Council had already committed $35 million and its June 2025 minutes identify the redevelopment as an advocacy priority. In May 2026, the C council [clears throat] began community consultation and more recent council material indicates an estimated total project cost of approximately 100 to $110 million subject to design and funding confirmation. Who first proposed the $45 million Commonwealth commitment? I couldn't tell
you that. Senator,
>> did the Labour candidate for Deacon
I couldn't tell you that.
>> What involvement did Minister Katherine King have in securing the commitment?
>> Couldn't tell you that either.
>> Who determined the $45 million figure for a project? >> Sorry. Say, sorry.
>> We don't have any insight into who determined the costings for each.
>> Was a complete business case available before the 12th of April 2025 announcement?
>> I don't have any insight. What is the
status of the program project?
>> It's under negotiation.
>> It's under negotiation. Was the total redevelopment cost inadvertedly independently verified? Apologies. Before or after the election?
>> I don't know what happens before the
election. So after the election application, >> has it been independently verified the cost of the project?
uh we've undertaken the assessment against the criteria as we are required under the guidelines um but we haven't independently verified.
What is the project's latest estimated
>> $110 million.
Well, if the election commitment was 45 and the White City Council's put 35 on the table, we're still a bit short, >> Yes. Um, has the Victorian government committed any funding? And is that funding necessary for delivery?
>> I would have to take on notice that, Senator. I don't I I can't answer that
So if that remaining, so I've say we've got 80 million between White City Council and the Australian government commitment and uh cost an updated cost of 110. So we're $30 million short. Um as it stands now, if the remaining funding isn't secured, can the project proceed within its approved scope?
It would have to be rescoped, you would think, in order to come within the funding envelope.
>> Yeah. And is that discussion about rescoping this project being undertaken
>> Uh because it's under negotiation at the moment. There discussions are ongoing >> I would imagine that is part of those discussions. Yes.
>> So what protections prevent the Commonwealth's $45 million election commitment from escalating?
So the commitment is
>> to become a $75 million.
>> So the right now the commitment is capped under that program. Um so it's really up to then negotiations between um the council and the government the Victorian government as to how whether that project can be funded at its current cost or whether it has to be
So there's an absolute commitment that um the [clears throat] the election commitment is there a provision within the department to find additional funding for projects that have where the costs have blown out such as
>> not under this program. No. If I can't speak for whatever they might approach the government for in the future but right now we have no further funding
capacity, usage, forecast, and economic benefits independently tested?
>> That would be detailed in their application, which I don't have.
>> Okay. Maybe on notice. Um, Senator McDonald, did you have questions?