8.1.4. Public Questions on Notice - Ray Norman - QVMAG Operations and Strategic
Direction, and Birchalls Building - 21 May 2025
FILE NO: SF6381
AUTHOR: Kelsey Hartland (Team Leader Governance)
APPROVER: Sam Johnson OAM (Chief Executive Officer)
QUESTIONS AND RESPONSES:
The following questions as submitted to Council on 21 May 2025 by Ray Norman, have
been answered by the Executive Leader of Delivery and Performance, the Leader
Business Support (QVMAG), and the Chief Executive Officer.
CONTEXT NOTE: Albeit that previously the City of Launceston CEO has asserted that:
The QVMAG is not governed by the elected representatives; and that
- The elected representatives are not the QVMAG's default Trustees; and that
- As a consequence, it falls to the CEO to determine policy and program priorities; and by extension
- The CEO ultimately has responsibility for the QVMAG’s budget; and therefore
- Relies upon the QVMAG’s Advisory Committee for guidance in regard to cultural issues; and
- The end of the financial year is but weeks away, and consequently a number of financial questions arise that seemingly fall to the CEO to answer.
This circumstance backgrounds the Councils need to explain to its constituency just what is the QVMAG’s financial status is and its viability as the 12024/25 financial year draws to a close. [PROVIDED AS CONTEXT FOR THE QUESTION BUT NOT REPRODUCED IN THE AGENDA]
Question 1:
Will the City of Launceston’s CEO please provide ratepayers, donors and sponsors with a financial summary of the QVMAG operation that includes:
• The estimated total operating for the QVMAG for 2024/25;
• The equivalent full-time staff employed by the QVMAG; and
• The number of grants the QVMAG received, and the total amounts of grant monies received; and
• The cost to ratepayers et al of providing the QVMAG as cultural destination and research entity … the metrics … the total cost divided by attendees; and
• The total amount of earned income, donations and cash sponsorships received in the 2024/25 financial year.
Response:
• The estimated total operating for the QVMAG for 2024/25
The Queen Victoria Museum and Art Gallery has a total net operating budget for the year of $6,746,305, and is on track to meet this budget by 30th June 2025.
• The equivalent full time staff employed at the QVMAG
FTE 50.37
• The number of grants the QVMAG received, and the total amounts of grant monies received To 30th April 2025 the Queen Victoria Museum and Art Gallery has received operational grant funds totalling $1,870,143 from 2 funding sources.
• The cost to ratepayers et al of providing the QVMAG as cultural destination and research entity … the metrics … the total cost divided by attendees Budget of $6,746,305 / Visitation of 137475 = $49.07 per visitor
City of Launceston
Council Meeting Agenda Thursday 29 May 2025 Page 24
• The total amount of earned income, donations and cash sponsorships received in the 2024/25 financial year
To 30th April 2025 the Queen Victoria Museum and Art Gallery has received the following revenue exclusive of grants already mentioned above: Fees Revenue (includes bookshop, planetarium & other) $632,769
- Cash Contributions(includes Other Donations) $112,175
- Admission related Donations only $18,357
- Bequest funds received $134,777
- Interest $2,102
- Interest - Bequests $164,143
- Other Revenue $4,513
- Total $1,068,836
CONTEXT NOTE:
Remembering QVMAG strategic plan for another 'paradigm shift' for cultural institutions reported on y Joe Colbrook inn the Examiner
July 18 2024 - a question arises.
“Councillors heralded another "paradigm shift" for the city's cultural institutions, after formally endorsing a long-term strategic plan for the Queen Victoria Museum and Art Gallery (QVMAG) … The QVMAG Strategic Plan 2023-2028 builds on the previous QVMAG Future Directions Plan endorsed by the City of Launceston council, and lays out eight goals to be achieved over the coming years. … Councillor Danny Gibson said the older document represented a "paradigm shift" for the museum, with the subsequent strategic plan being the culmination a years-long process. … "This has been an iterative process that has and should celebrate all of the people that have gone before at QVMAG to get us to where we are," Cr Gibson said. … "In looking back, it's only in doing that that we can look forward. … "There are lots of people out there who are working so hard in order for us to achieve the goals set out the eight goals set out in the strategy.” … Cr Gibson said there was still more work to be done, and he looked forward to the council publishing its tourism strategy. … He said this would allow a more unified approach to promoting the city's cultural institutions along with its culinary bona fides as demonstrated by its certification as a UNESCO City of Gastronomy. … QVMAG had a record-breaking year over 2022-23, when 158,263 people attended exhibitions and other events held at Royal Park and Inveresk. … The museum's collections contain 1.5 million items. … Specific actions listed in the new strategic plan include creating a futures fund to allow the museum to be self-sufficient, and establishing a new governance board. … The exact makeup of the board is still to be determined, however elected and non-elected representatives from the council are likely inclusions, as the City of Launceston will retain ownership of the collections and buildings…. The full list of eight goals is as follows:
Fit-for-Purpose Governance
- Sustainable Funding
- An Accessible and Well-Managed Collection
- Engaging with Audiences, Community and Partners
- Engaging with Aboriginal and First Nations Peoples
- A Powerful Brand
- Priority Capital Projects
- A Strong Organisational Culture"
Question 2:
Given the authority Councillors has apparently delegated to the CEO will the City of Launceston’s CEO please provide ratepayers, donors and sponsors with:
• The details of Council managements determination that the QVMAG become a Company Limited by Guarantee;
• A report on the steps that are actively in place to impliment the transition; and
• The timeline and KPIs for the achievement of Council’s determination; and
• The expected cost to ratepayers in transforming the QVMAG into Company Limited by Guarantee; and
• The current expected short-term and long-term benefits that are being discussed as a part of the transformation; and
• The plans in place to garner external expert advice, plus who’s recommendation and the point when community experts will become part of the transition given their investment in the institution.
Response:
The Council is the owner and operator of QVMAG. The QVMAG has an advisory board, which meets regularly to discuss matters primarily pertaining to proposed acquisitions of the collection.
Council has adopted a range of strategic instruments relating to QMAG, and these are publicly available. In adopting such strategies Council sought to continue the future management options of the QVMAG. One of these options, includes an entity company limited by guarantee. Council has done some preliminary works regarding this proposed transition, however, it is evident that the identified timeframes as listed within the strategic instruments will not be achieved. There will be continued discussions with Councilregarding the QVMAG operating model, ensuring that Councillors are across the details.
Particular details relating to a future governance models, such as costs, are not fully known at this time, and will form part of Council's priorities in the coming months.
City of Launceston Council Meeting Agenda Thursday 29 May 2025 Page 25
It is envisaged that as the work continues at QVMAG, not only at workshop sessions to be held with Councillors, but also public facing reports via the Council agenda to ensure transparency.
CONTEXT NOTE:
Remembering the report in the Examiner … "Council expects to have Birchalls preferred option identified by March 30 … Nick Clark
By Nick Clark ...After years of sitting idle, the City of Launceston council is looking to turbocharge the development of the former Birchalls building in the Brisbane Mall. … An expression of interest process began in December after the council considered the site's future. … Chief executive officer Sam Johnson said he expects to have a viable expression of interest before the council for consideration within the next two months. ..."We need to get something to the market and get a decision to say to the community 'here it is at long last this is what we are proposing'," he said. …. https://www.examiner.com.au/story/8867989/launcestons-birchalls-site-redevelopment-plans/ ….. it is concerning that ratepayers are still carrying the financial burden of Council’s ill-advised and arguably inept decision, apparently on Council management’s ‘expert advice’.
The burden grows and its real costs are by-and-large hidden and presumably under the provisions provided in SECTION 62/‘2 of the Local Govt. Act. Serially and surreally commitments are made and broken and the loss of opportunity over the time Council acquired this property with ratepayer funds. Given what ratepayers have invested inn this property, the failure of the elected12 to find an equitable way forward and managements inability to contain costs it is time for ‘Council as a whole’ to provide the people whose money they have used, and have subsequently denied them a voice, with transparent accountability.
Question 3:
Will Council now do two things in regard to the Burchalls Building:
• Firstly, put on the public record a full disclosure of all the costs that ratepayers have had to carry as a consequence of Council and Councillors imagining that they had the wherewithal, the business acumen, to be property developers that includes all legal costs, an estimate of the loss of rates and an estimate of the loses to do with
the loss of opportunity; and
• Secondly, initiate a meaningful community consultation process facilitated by an external facilitator in order to mitigate against unwarranted Machiavellian manoeuvring from within Town Hall?
Response:
Current discussions and negotiations regarding the Birchalls site are subject to commercial in confidence. Council will continue to work through the current adopted process, with a
view to achieving the best possible community outcome.
Council has provided a full disclosure of monies expended at both 118 –122 and 124 Brisbane Street, (also known as the Birchalls and Katies buildings), on several occasions
in response to questions from members of the public and the media. Most recently, this was in response to Ray Norman in the Council Meeting Agenda of 22 August 2024 Item 8.1.3. A query from the Honourable Rosemary Armitage MLC, asked during Council's public consultation process regarding the 2024/2025 Annual Plan and
Budget was published in the Council meeting Agenda of 13 June 2024 at Item 19.3 Current costs to date can be summarised as:
- Revenue foregone in rates since the purchase equated to $227,675 at the end of April 2025,
- utilities costs of $36,155; legal fees of $35,999; consultancy and projectmanagement costs of $336,641 including the creation and running of an expression of interest process for future site use and development,
- architectural fees of $2,500; security, safety and maintenance works of $38,987 and $6,984 on promotional and advertising activities relating the buildings. However, these costs have been effectively more than offset by approximately $650,000 in interest earned from loan funds which have not beenable to be drawn down on.
ATTACHMENTS:
1. Questions on Notice - QVMAG related - Norman, Ray Redacted [8.1.4.1 - 5 pages]
City of Launceston Council Meeting Agenda Thursday 29 May 202 5 Page
No comments:
Post a Comment