Employers question city council’s control of its CCO businesses

Press Release – Wellington Employers’ Chamber of Commerce
The Wellington City Council should consider looking at governance around its council controlled organisation (CCO) model, Wellington Employers’ Chamber of Commerce CEO Raewyn Bleakley says.

She is commenting after councillors expressed surprise at learning that Positively Wellington Venues, the company that runs the council’s main events venues, is likely to post a bigger loss for the financial year than councillors had earlier understood.

“It would appear councillors may misunderstand the reporting and governance aspects of the CCO model and this needs looking at” Ms Bleakley says.

“Council needs to ensure that where ratepayers’ money is involved, all reporting lines are crystal clear and transparent but that business operations aren’t interfered with inappropriately

“It does not seem to be an issue with the business model. The reasons for the shortfall have been reported as the result of a tough business environment, several events being cancelled or deferred, and uncertainty around a suitable venue while the Town Hall is being strengthened.

“Those things are a reality of everyday business and we have to get on and make the best of it.

“Reporting lines and clarity around oversight seem to be the issue here, and the council must look at them to ensure everyone understands their roles clearly.” Ms. Bleakley concluded

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1 comment:

  1. Hel, 12. April 2013, 21:34

    Thought the issue was the council not being advised there was an issue and finding out by reading the front page of the DomPost. Would have thought the council should be able to rely on highly paid CEOs and experienced boards to inform them of events before they appear on the front page. Is the new CEO a member of the chamber of commerce, as it looks crystal clear where the failings lie.

     

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