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With a Dunedin City Council Review revealing Forsyth Barr Stadium budgets were, and continue to be, "too optimistic", Dunedin ratepayers will be required to pay a further $1.81 million per year for the next decade on top of what they already pay in rates to keep the venue operating.

Council Chief Executive Dr Sue Bidrose's Review looked into the operation and ownership of the Stadium, and even considered an option of closing and dismantling the venue.

Accepting the Review's recommendations, the Council has agreed a revised ratepayer contribution towards the Stadium of $11.65 million, up $1.81 million per annum over the next 10 years.

Major issues for the landmark Stadium include a lack of funding for renewals, the level of rent, and level of debt.

Commenting on the Review, Dunedin Mayor Dave Cull stated "this review was carried out because of uncertainty over ongoing funding requirements for the Stadium.

"This has made it difficult for the Council to plan properly and difficult for Dunedin Venues Management Limited (DVML) to operate."

Owned by Dunedin Venues Limited (DVL) and managed by DVML, both owned directly by the Council, the Review also outlined a proposed change for the ownership of the Stadium companies and recommends they become part of the Dunedin City Holdings Limited group.

The report also recommends separating the boards of DVL and DVML (which currently have the same directors) so they have different membership.

Following the Review, DVML and DVL Chairman Sir John Hansen has announced his resignation.

Sir John, who will continue in the role until early next year, told the Otago Daily Times that DVML would be in a much better position once the review's recommendations were in place, stating "it gives it more scope to be flexible (with) more scope to take a little bit of risk."

Mayor Cull congratulated Sir John for the work he had done in what were "very challenging circumstances."

For a copy of the full report visit www.dunedin.govt.nz/stadiumreviewreport.

8th October 2014 - DUNEDIN VENUES MANAGEMENT LTD RESULTS SHOW INCREASED OPERATING PROFIT

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