Assistant Treasure Bill Shorten in his survey of one has conformed what we all know to be true. Retail and service providers have failed to pass on the win fall of Australia's high dollar to consumers. Prices of goods and services have not come down down down as the cost of purchase and profits from overseas services become cheaper.
A decade ago when the Australian dollar was low in value businesses were quick to pass on the costs of petrol and overseas manufactured goods to the public. Petrol broke though the one dollar a liter barrier and the costs of goods increased in compassion to the the Australian Dollar. Overseas travel became that much more expensive as the Australian dollar had to work twice as hard.
Today the opposite is the case. The Australian Dollar is twice as much in value yet the prices of goods and services has not gone down. Petrol remains high.
The extent of profit taking and opportunism is shown clearly in the English Language testing system. The cost of sitting an IELTS test in Australia is twice that of charged in the United States, UK and Ireland. The profits being paid to the the overseas licencing coping Seek Learning have doubled in value at Australia's expense. Instead of going up $20 from $310 to $330 the costs of sitting the IELTS test should have gone down.
It is this pocketing of the win fall and the failure to pass on some of the benefits of having a high dollar that has contributed to the decline in retail in Australia. With an in crease in the value of the dollar the cost of buying on line overseas sourced goods and shipping them to Australia has become much much more competitive and consumers are voting with their keyboards boycotting Australian retail outlets.
Add to that the cost of rent in shopping centers or the cost of parking within the City of Melbourne and extended hours parking restrictions apply and the landlords and City Council are also contributing to the economic inflationary pressure impacting retail in Melbourne. Instead of passing on the benefits oif a high dollar small retail outlets have the opportunity to use the win fall profits to off set other high costs associated with running a business in the city. Sure the City Council has discouraged shopping in the CBD. The CBD is no longer the place to shop. Services can be sourced on line and the consumer has to some extent greater choices. But this only applies where there is real competition but in prices and services offered.
organisations like Seek learning's IELTS have a legislative monopoly. Even though the Department of Immigration and Citizenship have began to recognise other accredited service providers the Skills assessment authorities such as the CPA and others continue to only acept IETLS as the only means of assessing English language requirements. If level of English is the aim of the skills assessment then why are they only prepared to accept IELTS as the only means of assessment. If alternative language assessments are available and accredited then why are not not being recognise.
Bill Shorten like that of many in Australia know all too well the price ripp offs we see day to day.
It is only by exposing the profit takers and subjecting them to real competition that the benefits of a high dollar will be passed on to residents.
Showing posts with label Retail. Show all posts
Showing posts with label Retail. Show all posts
Saturday, July 30, 2011
Monday, May 10, 2010
Grab for cash: City Council suck the life blood from Melbourne nightlife
Melbourne City Council has opted for the cash and in doing so is sucking out the life blood from late night city traders. Lord Mayor Robert Doyle in announcing that City Commuters will be forced to pay for late night on-street parking tried to claim that the additional 2 million dollars that is expected to be generated will be used to pay for Melbourne's Trees. I guess he could suggest that money will pay for Hospital care or some other emotional cause in need of funding to justify the cash grab.The benefit is that the Council will need to ensure that Grey ghost Traffic offers are available to enforce the on street parking fees, but this comes at a further cost and risk to officer security. Many car parking spaces are in low security poor lighting areas.
The fees certainly do nothing to assist Melbourne's declining retail trade sector with more and more businesses leaving the CDB for the suburban shopping center.
In the meantime Melbourne's bonus congestion Tax is still being spent on non commuter projects such as the free tourist bus. The City Council would be better off freeing up night time and weekend parking and providing a commuter bus service connecting South Yarra with East Melbourne Carlton, Parkville and North Melbourne communities.
Wednesday, March 14, 2007
City retail in decline Myers scales down Lonsdale Street retail outlet
Myers Melbourne to scale down City outlet amidst concern that City retail is in serious decline.
News realised today indicates that Myers, Melbourne's iconic retail outlet has decided to close down its Lonsdale Street outlet with hundreds of jobs set to vacate the city center. Myers decision comes as no surprised as suburb outlets and problems associated with traffic access and parking in the city centre undermining the viability of Myers premier store.
Questions are being asked as to what action plan the City Council has to fill the void that will be left standing as yet another major city site faces the prospect of remianing vacant.
teh scaling down of Myers will also have a flow on effect to other city business who rely on passing trade and custom from Myers workers.
We can soon expect more announcements of City retail outlets calling it a day and vacating the City Center.
News realised today indicates that Myers, Melbourne's iconic retail outlet has decided to close down its Lonsdale Street outlet with hundreds of jobs set to vacate the city center. Myers decision comes as no surprised as suburb outlets and problems associated with traffic access and parking in the city centre undermining the viability of Myers premier store.
Questions are being asked as to what action plan the City Council has to fill the void that will be left standing as yet another major city site faces the prospect of remianing vacant.
teh scaling down of Myers will also have a flow on effect to other city business who rely on passing trade and custom from Myers workers.
We can soon expect more announcements of City retail outlets calling it a day and vacating the City Center.
Saturday, January 06, 2007
Costs up equals visitors down It all depends on how you look at it
The City of Melbourne tries to put a "positive" spin on it.
Less and less Melburnians are travelling into the city but the council points out they are spending more. To anyone else but the City Council this would be ringing alarm bells. It becoming expensive to visit the city centre and costs in transport and parking in particular adds to the overall bill .
The Council tells us that there is less people coming into the city. The State Government has just upped the City coffers and introduced a consumption tax, this will mean more costs and less people visiting the city in 2007.
We can expect that Melbourne's retailers will soon call it a day or demand a reduction in the rent as more and more Melburnians seek to do their shopping outside the CDB. No doubts the City Council administration will argue that they need to travel abroad to find solutions to the problem. I can see another shopping tour on the Councillors on their schedule.
Tourists help lift CBD spending by $1.5 billion
Less and less Melburnians are travelling into the city but the council points out they are spending more. To anyone else but the City Council this would be ringing alarm bells. It becoming expensive to visit the city centre and costs in transport and parking in particular adds to the overall bill .
The Council tells us that there is less people coming into the city. The State Government has just upped the City coffers and introduced a consumption tax, this will mean more costs and less people visiting the city in 2007.
We can expect that Melbourne's retailers will soon call it a day or demand a reduction in the rent as more and more Melburnians seek to do their shopping outside the CDB. No doubts the City Council administration will argue that they need to travel abroad to find solutions to the problem. I can see another shopping tour on the Councillors on their schedule.
Tourists help lift CBD spending by $1.5 billion
Source: The Age
ONE-IN-FIVE Melburnians are coming to the city centre less often but spending in the city is growing nonetheless, according to Melbourne City Council research.
City visitors spent an average of $41 every time they came to the CBD last year, compared with $34 two years ago, according to the Central City Users Survey, a biennial snapshot of city trends.
The report found that city visitors spent almost $1.5 billion more than they did in 2004 when the survey was last taken.
Last year, CBD visitors spent an average of $22.5 million every weekday and $24.5 million on weekends.
While the average amount spent every day by city visitors was $15 — presumably by city workers — an average spend of $145 a day by interstate and international visitors pushed up the average daily spend to $41.
The survey found that just under half of the city's 543,000 daily weekday visitors were aged under 30. It also found that 18 per cent of those surveyed said they visited the city centre less often.
There were 72,000 tourists in the city each day; half from interstate, and 31,000 from overseas.
Tuesday, May 23, 2006
City Council goes shopping Ratepayers foot the bill of extravagance unchecked
Melbourne's Herald Sun exposes and extra-ordinary tale of City Council Staff spending ratepayers money on a world shopping tour.
This information was only made available following the publication of the Councils travel register which records the costs of staff and councillor's interstate and overseas travel.
We are just beginning to know why the City Council was prepared to go all out - no expenses spared - to avoid publication of this public document.
What's worst is that the Staff tried to compromise one councillor by inviting then to join them on this shopping tour.
Enough is enough. If John So and his team are unwilling or unable to bring the administration in line and keep their hands out of the cookie jar then there is need for more restrictions and control to avoid ratepayers money being wasted on this sort of junkets, misuse and abuse.
The City administration are out of control and and show no remorse.
Its time for the restoration of open and transparent governance open the administration held more accountable. John So and our elected Council sadly have failed us in this respect.
Corruption begins to flourish when information is denied and were accountability stops.
Glitz blitz on the public purse
Jen Kelly
city editor
23may06
A LAVISH shopping junket to New York, Paris and London's ritziest stores for two bureaucrats emptied the public purse of at least $33,000.
The pair enjoyed a shopaholic's dream with stops in posh Saks Fifth Ave, Louis Vuitton and glamorous Madison Ave boutiques in New York. In London, they visited expensive Harrods and Selfridges, and in Paris, the palatial Galeries Lafayette and famous Le Bon Marche.
Itinerary notes for London included "look at how Harrods has stayed so popular" and "walk down Oxford St visiting and discussing different retail concepts".
Ratepayers are furious at the waste of money.
Cr Fiona Snedden had been expected to join the world shopping tour, but took a $9369 seven-day ratepayer-funded trip to China instead.
Melbourne City Council ratepayers footed a $17,441 bill to send marketing officer Kristy Taylor on the 10-day whirlwind junket to compare overseas and local shops.
It cost ratepayers $3169 -- almost $800 a night -- for Ms Taylor's four nights at the stylish Hudson Hotel in New York, including meals.
Her bill included another $3248 for seven nights at the upmarket London Green Park Hilton Hotel in Mayfair.
Ms Taylor, the council's program manager, destination marketing, also swiped her council-funded credit card for costly restaurant meals.
And taxpayers paid about $16,000 to send a State Government bureaucrat to join Ms Taylor on the "global retail mission" in October.
Ratepayers also effectively funded the estimated $16,000 bill of a third member of the tour, a delegate from retail trend forecaster the Future Laboratory.
The council and State Government paid $50,000 each to the Future Laboratory to help develop a retail strategy for Melbourne, and the world tour was a central component of that project.
The third delegate's costs raised the bill to the public to almost $50,000.
Small Business Minister Andre Haermeyer spokeswoman, Claire Miller, at first declined to disclose the cost of the state bureaucrat's trip, but confirmed last night it was $16,200.
The city council also confirmed the cost of each delegate's trip was about $16,000.
Ms Miller refused to name the official, a non-executive officer from the Office of Manufacturing and Service Industries in the Department of Innovation, Industry and Regional Development.
A fourth and final tour delegate, from the GPT Group, the owner of shopping mecca Melbourne Central, did not receive public funding.
Council documents show Ms Taylor enjoyed an extra one to two nights in New York and an extra three to four nights in London beyond the time required for the shopping tour.
Southbank Residents Group president Joe Bagnara has slammed the junket.
"They go on these junkets, but it's not the city council that are running shops. They're not selling anything," he said.
"They'd be better off subsidising retailers to do the trip if they feel it's to their advantage.
"The retailers are better qualified to make comments on the retail market than the council."
The retail strategy, supposed to be released last month, is yet to surface. The council said it would now be released by July.
The council said the strategy aimed to position Melbourne as Australia's leading retail city.
Ms Miller said it was important to assess other leading retail centres to understand emerging trends and opportunities.
This information was only made available following the publication of the Councils travel register which records the costs of staff and councillor's interstate and overseas travel.
We are just beginning to know why the City Council was prepared to go all out - no expenses spared - to avoid publication of this public document.
What's worst is that the Staff tried to compromise one councillor by inviting then to join them on this shopping tour.
Enough is enough. If John So and his team are unwilling or unable to bring the administration in line and keep their hands out of the cookie jar then there is need for more restrictions and control to avoid ratepayers money being wasted on this sort of junkets, misuse and abuse.
The City administration are out of control and and show no remorse.
Its time for the restoration of open and transparent governance open the administration held more accountable. John So and our elected Council sadly have failed us in this respect.
Corruption begins to flourish when information is denied and were accountability stops.
Glitz blitz on the public purse
Jen Kelly
city editor
23may06
A LAVISH shopping junket to New York, Paris and London's ritziest stores for two bureaucrats emptied the public purse of at least $33,000.
The pair enjoyed a shopaholic's dream with stops in posh Saks Fifth Ave, Louis Vuitton and glamorous Madison Ave boutiques in New York. In London, they visited expensive Harrods and Selfridges, and in Paris, the palatial Galeries Lafayette and famous Le Bon Marche.
Itinerary notes for London included "look at how Harrods has stayed so popular" and "walk down Oxford St visiting and discussing different retail concepts".
Ratepayers are furious at the waste of money.
Cr Fiona Snedden had been expected to join the world shopping tour, but took a $9369 seven-day ratepayer-funded trip to China instead.
Melbourne City Council ratepayers footed a $17,441 bill to send marketing officer Kristy Taylor on the 10-day whirlwind junket to compare overseas and local shops.
It cost ratepayers $3169 -- almost $800 a night -- for Ms Taylor's four nights at the stylish Hudson Hotel in New York, including meals.
Her bill included another $3248 for seven nights at the upmarket London Green Park Hilton Hotel in Mayfair.
Ms Taylor, the council's program manager, destination marketing, also swiped her council-funded credit card for costly restaurant meals.
And taxpayers paid about $16,000 to send a State Government bureaucrat to join Ms Taylor on the "global retail mission" in October.
Ratepayers also effectively funded the estimated $16,000 bill of a third member of the tour, a delegate from retail trend forecaster the Future Laboratory.
The council and State Government paid $50,000 each to the Future Laboratory to help develop a retail strategy for Melbourne, and the world tour was a central component of that project.
The third delegate's costs raised the bill to the public to almost $50,000.
Small Business Minister Andre Haermeyer spokeswoman, Claire Miller, at first declined to disclose the cost of the state bureaucrat's trip, but confirmed last night it was $16,200.
The city council also confirmed the cost of each delegate's trip was about $16,000.
Ms Miller refused to name the official, a non-executive officer from the Office of Manufacturing and Service Industries in the Department of Innovation, Industry and Regional Development.
A fourth and final tour delegate, from the GPT Group, the owner of shopping mecca Melbourne Central, did not receive public funding.
Council documents show Ms Taylor enjoyed an extra one to two nights in New York and an extra three to four nights in London beyond the time required for the shopping tour.
Southbank Residents Group president Joe Bagnara has slammed the junket.
"They go on these junkets, but it's not the city council that are running shops. They're not selling anything," he said.
"They'd be better off subsidising retailers to do the trip if they feel it's to their advantage.
"The retailers are better qualified to make comments on the retail market than the council."
The retail strategy, supposed to be released last month, is yet to surface. The council said it would now be released by July.
The council said the strategy aimed to position Melbourne as Australia's leading retail city.
Ms Miller said it was important to assess other leading retail centres to understand emerging trends and opportunities.
Wednesday, February 15, 2006
City in Crises City Council to pay subsidies for businesses to set-up shop as City retailers relocate to aviod Council's 'War on Cars'
Melbourne City Council in recognition that the City is facing a crises of confidence and a decline in reading will soon be paying selective businesses to set-up shop in the City Centre.
The Age Business report 15 February.
Whilst the City Council looks to advice form overseas consultants to tell them what everyone else has known for the last decade. (See the article by Arnold Zable on Melbourne's Museum development and associated planning issues written in 1996 reprinted below)
The report which will be released in April recommends that Melbourne promote it boutique lane shops and that the City Council pay a bounty in the form of a subsidies to attract the "right type" of business for the City.
We look forward to this report to see if it has identified the true reason why Melbourne retail is in decline.
What the report does not address is that the a serious of bad strategic planning decisions by successive Melbourne City Council and State and Governments are slowly killing off retail trade in the City Centre.
Bourke Street is no longer the center of family entertainment, the museum is no longer in the City center, the city no longer caters for the family day out and adult-sex-shops and peep show venues dominate our main Street.
To add to the City's woes the Council's war on cars is beginning to have a serious effect on retail trade with traders reporting they have had enough with the cost of doing business in the City outstripping the profits with customers giving the City a miss in favour of the suburban shopping complex.
As business begin to vacate the city centre property values will begin to decline.
Eventually Myers will have to do more then just offer up free-space to innovative designers with the City store sales and profoits continue to drop-off. How long will it be before Myers down sizes and goes the way of the other big retail outlets that once dominated our City retail precinct?
The City Council, oblivious to reality, spends more time wining dinning and living the good life then trying to reduce operating costs.
The Age Business report 15 February.
Whilst the City Council looks to advice form overseas consultants to tell them what everyone else has known for the last decade. (See the article by Arnold Zable on Melbourne's Museum development and associated planning issues written in 1996 reprinted below)
The report which will be released in April recommends that Melbourne promote it boutique lane shops and that the City Council pay a bounty in the form of a subsidies to attract the "right type" of business for the City.
We look forward to this report to see if it has identified the true reason why Melbourne retail is in decline.
What the report does not address is that the a serious of bad strategic planning decisions by successive Melbourne City Council and State and Governments are slowly killing off retail trade in the City Centre.
Bourke Street is no longer the center of family entertainment, the museum is no longer in the City center, the city no longer caters for the family day out and adult-sex-shops and peep show venues dominate our main Street.
To add to the City's woes the Council's war on cars is beginning to have a serious effect on retail trade with traders reporting they have had enough with the cost of doing business in the City outstripping the profits with customers giving the City a miss in favour of the suburban shopping complex.
As business begin to vacate the city centre property values will begin to decline.
Eventually Myers will have to do more then just offer up free-space to innovative designers with the City store sales and profoits continue to drop-off. How long will it be before Myers down sizes and goes the way of the other big retail outlets that once dominated our City retail precinct?
The City Council, oblivious to reality, spends more time wining dinning and living the good life then trying to reduce operating costs.
Friday, February 10, 2006
City under siege John So loses support as State Government considers its position and begins to distance itself from the City Council
Melbourne City Council continues to come under attack as Melbourne's business community begin to loose confidence in the Lord Mayor and the administration of the City Council. John So extraordinary long honeymoon has come to an end as he faces the reality of running a city.
Herald-Sun 9Feb2006
More and more City business leaders are beginning to question the Lord Mayor's policy and directions. John So's hypocritical and ill considered 'war on cars' is seriously undermining public confidence in his ability to manage Melbourne's future development amidst concern that the City Council unjust tax on inner-city car-parks and increases in the cost of on-street car-parking is beginning to bite as city consumers begin to give the city the miss.
How long can they keep milking the cash cow before it stops giving milk
The selective taxation on Melbourne businesses and city commuters and associated increased cost to the consumers seriously undermine the viability of Melbourne's retail sector with suburban shopping complexes being the main beneficiary.
The Herald-Sun reports that business are already planning to shut up and move shop to another location.
John So is quick to reclaim the title of Lord Clown as the City Council is fast becoming beyond a joke.
Lord Clown and his Deputy hold on to their cars as the Council refuse to disclose cost to ratepayers - Claims of hypocrisy as the Lord Mayor advocates other to abandon their cars.
Whilst John So advocates a tax on City commuters to ease congestion the Lord Mayor and Deputy Lord Mayor continue to zealously hold on to their Council funded Limousines, with the City Council last Tuesday refusing to disclose or make public the full cost for the Lord Mayor and Deputy Lord Mayor's cars which include free petrol, free inner city car-park and the Lord Mayor's Diver (estimated to be worth over $250,000 per year)
What are the benefits from the Council's unjust double-taxation
Although Melbourne is still yet to finalise its transport policy the City Council has already allocated the spoils of the new tax which is a bit like pulling the horse before the car.
The car-parking tax, supposedly designed to ween Melbourne off cars and help ease inner City congestion is being used to establish a free tourist bus in direct competition to the free tourist-tram and existing 'private' service providers. The Tourist bus along with other proposed transport solutions are ill-considered. As the Herald-Sun editorial correctly points out Melbourne needs to first improve its public transport before providing a free ride for 1/2 day tourists. Tourists also use public transport.
Melbourne's transport policy was developed in isolation with the needs of Motorcycle Riders and other transport users not consulted. The fact that the Council's policy ignores the needs of Motorcycle riders altogether is an indictment against the Council administration along with the our City Councillors who are ultimately responsible for the management of the City.
The longer the City Council continue down this road the more the State Government will distance themselves from the Lord Mayor and Town Hall and Melbourne begin to face the problems associated with having a directly elected Lord Mayor and a City Council that is unaccountable and oblivious to reality and living in fools paradise.
Herald-Sun 9Feb2006
More and more City business leaders are beginning to question the Lord Mayor's policy and directions. John So's hypocritical and ill considered 'war on cars' is seriously undermining public confidence in his ability to manage Melbourne's future development amidst concern that the City Council unjust tax on inner-city car-parks and increases in the cost of on-street car-parking is beginning to bite as city consumers begin to give the city the miss.
How long can they keep milking the cash cow before it stops giving milk
The selective taxation on Melbourne businesses and city commuters and associated increased cost to the consumers seriously undermine the viability of Melbourne's retail sector with suburban shopping complexes being the main beneficiary.
The Herald-Sun reports that business are already planning to shut up and move shop to another location.
John So is quick to reclaim the title of Lord Clown as the City Council is fast becoming beyond a joke.
Lord Clown and his Deputy hold on to their cars as the Council refuse to disclose cost to ratepayers - Claims of hypocrisy as the Lord Mayor advocates other to abandon their cars.
Whilst John So advocates a tax on City commuters to ease congestion the Lord Mayor and Deputy Lord Mayor continue to zealously hold on to their Council funded Limousines, with the City Council last Tuesday refusing to disclose or make public the full cost for the Lord Mayor and Deputy Lord Mayor's cars which include free petrol, free inner city car-park and the Lord Mayor's Diver (estimated to be worth over $250,000 per year)
What are the benefits from the Council's unjust double-taxation
Although Melbourne is still yet to finalise its transport policy the City Council has already allocated the spoils of the new tax which is a bit like pulling the horse before the car.
The car-parking tax, supposedly designed to ween Melbourne off cars and help ease inner City congestion is being used to establish a free tourist bus in direct competition to the free tourist-tram and existing 'private' service providers. The Tourist bus along with other proposed transport solutions are ill-considered. As the Herald-Sun editorial correctly points out Melbourne needs to first improve its public transport before providing a free ride for 1/2 day tourists. Tourists also use public transport.
Melbourne's transport policy was developed in isolation with the needs of Motorcycle Riders and other transport users not consulted. The fact that the Council's policy ignores the needs of Motorcycle riders altogether is an indictment against the Council administration along with the our City Councillors who are ultimately responsible for the management of the City.
The longer the City Council continue down this road the more the State Government will distance themselves from the Lord Mayor and Town Hall and Melbourne begin to face the problems associated with having a directly elected Lord Mayor and a City Council that is unaccountable and oblivious to reality and living in fools paradise.
Friday, February 03, 2006
Death of a city City Melbourne reports a five milion dollar deficit in fees and fines as retail trade continues to suffer
Melbourne City Council has reported an unbudgeted short fall in income as the amount collect in fees and fines declines.
The Herald Sun today reports that there is a Deficit of fees, fines
Financial Management under John So is one of the worst on record as John So continues to embark on a spending frenzy with extravagant overseas trips and a seriously diminishing working capital ratio.
COULD THE CITY OF MELBOURNE BE THE NEXT ENRON
Judging by the quality of data and reporting in the Council's Travel Register (published yesterday) there is reason for concern.
The Travel Register is an electronic whiteboard and review of the Travel Register highlights serious problems with the governance and accounting departments. Review of Travel Register data shows double counting entries, incorrect dates, no sequential number preventing effective effective audits, poor managemnt reporting and control as data recorded is readily changed and deleted whilst management's eyes are off the ball (More on the Travel Register later).
Deline in City Revenue
The decline in revenue as reported in the Herald Sun could also indicate that the City Council's and Stet Governments policies are driving people away from the City, as consumers they seek better and cheaper locations to shop.
The City Council having taxed the City to Death.
Recent increases in parking over 50% over the last 12 months, far exceeding inflation, poor strategic planning and opportunities lost in Major Projects development over the last 10 years all contibute to the City's decline.
The City of Melbourne is no longer a place to visit of for the big "family" day out.
The Bourke Street entertainment precinct is non-family friendly and other venues such as the Crown Casino designed for adult entertainment only. Children are no longer catered for with the relocation of the Museum to the outskirts of the City provides further reasons not to visit Melbourne on a family day out.
Why would you take the kids to the City when it costs so much, transport is difficult, parking expensive and there is not much to do apart from visiting Polly Woodside or the Aquarium and walk the Banks of the Yarra past expensive shops and crown casino.
As to going shopping forget it.
It is much easier to find a car park and shop in the suburban mega shopping centres dotted throughout greater Melbourne.
The logistics of supporting major shopping complexes such as Myers in the City Centre are an increasing burden. Myers will soon close or scale down its inner city activities and then what? Its all down hill from there as Melbourne continues its commercial retail decline.
We have already seen the demise of Diamaru and the Queen Victoria development in Lonsdale Street is already reporting difficulty in sustaining business.
Melbourne is not immune to economic pressures.
If consumers find it easier, cheaper and more enjoyable to shop elsewhere then they will. Our City Council and successive State Governments continue to kill off the Central business district with over-restrictive, excessive tax proposals. The congestion tax is another disaster waiting in the wings.
Next stop property values in the City will collapse
Council's rate revenue will take a nose dive adding further to the City Council's problems. Melbourne City Council needs to trim back and reduce the costs of doing business in Melbourne so as to make it a viable and economically sustainable in addition to address peoples transport needs.
When was the last time you heard of the City of Melbourne undertaking a review of expenditure and costing cutting? Anyone?
Instead it is tax tax tax and spend spend spend. The City Council is oblivious to reality, it keeps empire building and coming up with extravagant schemes to spend more money whilst unaware of financial impact it is having on business. It was not for the paper value of property investments that help underpin and prop up the banks and financial institutions Melbourne would have shut its doors long ago.
The City Council must begin to show fiscal responsibility and reduce costs first before it seeks to expand and improve on services not just spend more.
The Herald Sun today reports that there is a Deficit of fees, fines
Financial Management under John So is one of the worst on record as John So continues to embark on a spending frenzy with extravagant overseas trips and a seriously diminishing working capital ratio.
COULD THE CITY OF MELBOURNE BE THE NEXT ENRON
Judging by the quality of data and reporting in the Council's Travel Register (published yesterday) there is reason for concern.
The Travel Register is an electronic whiteboard and review of the Travel Register highlights serious problems with the governance and accounting departments. Review of Travel Register data shows double counting entries, incorrect dates, no sequential number preventing effective effective audits, poor managemnt reporting and control as data recorded is readily changed and deleted whilst management's eyes are off the ball (More on the Travel Register later).
Deline in City Revenue
The decline in revenue as reported in the Herald Sun could also indicate that the City Council's and Stet Governments policies are driving people away from the City, as consumers they seek better and cheaper locations to shop.
The City Council having taxed the City to Death.
Recent increases in parking over 50% over the last 12 months, far exceeding inflation, poor strategic planning and opportunities lost in Major Projects development over the last 10 years all contibute to the City's decline.
The City of Melbourne is no longer a place to visit of for the big "family" day out.
The Bourke Street entertainment precinct is non-family friendly and other venues such as the Crown Casino designed for adult entertainment only. Children are no longer catered for with the relocation of the Museum to the outskirts of the City provides further reasons not to visit Melbourne on a family day out.
Why would you take the kids to the City when it costs so much, transport is difficult, parking expensive and there is not much to do apart from visiting Polly Woodside or the Aquarium and walk the Banks of the Yarra past expensive shops and crown casino.
As to going shopping forget it.
It is much easier to find a car park and shop in the suburban mega shopping centres dotted throughout greater Melbourne.
The logistics of supporting major shopping complexes such as Myers in the City Centre are an increasing burden. Myers will soon close or scale down its inner city activities and then what? Its all down hill from there as Melbourne continues its commercial retail decline.
We have already seen the demise of Diamaru and the Queen Victoria development in Lonsdale Street is already reporting difficulty in sustaining business.
Melbourne is not immune to economic pressures.
If consumers find it easier, cheaper and more enjoyable to shop elsewhere then they will. Our City Council and successive State Governments continue to kill off the Central business district with over-restrictive, excessive tax proposals. The congestion tax is another disaster waiting in the wings.
Next stop property values in the City will collapse
Council's rate revenue will take a nose dive adding further to the City Council's problems. Melbourne City Council needs to trim back and reduce the costs of doing business in Melbourne so as to make it a viable and economically sustainable in addition to address peoples transport needs.
When was the last time you heard of the City of Melbourne undertaking a review of expenditure and costing cutting? Anyone?
Instead it is tax tax tax and spend spend spend. The City Council is oblivious to reality, it keeps empire building and coming up with extravagant schemes to spend more money whilst unaware of financial impact it is having on business. It was not for the paper value of property investments that help underpin and prop up the banks and financial institutions Melbourne would have shut its doors long ago.
The City Council must begin to show fiscal responsibility and reduce costs first before it seeks to expand and improve on services not just spend more.
Tuesday, January 31, 2006
Empire Building City Council propose free tourist bus service to support fleeting Museum attendance. Residents' needs left wanting
City of Melbourne will today decide what appears to be a given with the proposed establishment of a free Tourist bus service. The Council is being asked to fund a 40 seat bus shuttle service between Southbank/Crown Casino and Carlton.
The City of Melbourne have already spent/allocated $500,000.00 and plans to provide a further $750,000.00 ratepayer subsidy at the average cost of $85.00 per trip. (four trips per hour 6 hours a day 365 days a year)
Problems exist in that the free-shuttle service has a limited route and directly undercuts private tour operators who already service this sector and have invested a considerable amount of money in their business. Other cities around the world provide similar services but most are subsidised by the commercial sector. Establishments such as Crown Casino stand to benefit from such a service. The Museum, which was poorly located on the outskirts of the City (An issue that was identified when Jeff Kennett ignored community and professional advice and shifted the location of the Museum from Southbank to Carlton), are hopeful the free tourist service will revive its patronage - which is well below expectations. The proposed route is already serviced by the tram network although it is not direct and not free.
Insufficient information has been provided by the City Council as to the assessment of alternative proposals and we wonder if they were given due weight and consideration.
The City administration report recommending the establishment of the free bus service lists dubious statistical information based on the number of responses they received for and against the proposed project. On what basis the Council can give weight to the numeric analysis of the number of submission and respondents is beyond me, other then it gives an impression that the service has wide support and is worthwhile and viable, but is it?. Reliance on the statistical information of submissions would be foolish and adds little to the merits of the project. Issues of economics, viability and assessment of alternatives outweigh the self interests statistics of those who made a submission.
The City Council is not a good or efficient provider of services. In most cases they are empire building, expanding the management job market within the Council.
Let's not forget the proposal, supported by former Councillor Kate Redwood, to establish mobility support/hire services for the disabled. The Redwood proposal was 3-4 times the cost of providing a similar service utilising infrastructure and services provided by existing community organisations such as Travellers Aid. Council should have considered more the submission made by former Lord Mayor Trevor Huggard. The council could have approached the Car Hire companies based in the City to asked for their support and assistance in providing this service to the public. Chances are hire companies would have offered their services free of charge as good corporate citizens, after all the provision electric wheel chairs is complementary the service they already provide. where they consulted?
The City Council should think twice before establishing a free tourist bus service.
Prediction: We expect that Council will soon find it need to put in significantly more funds and additional managerial services to oversee the provision of this service. The size of the buses will need to be reviewed with consideration given to the use of smaller buses that are better suited to manoeuvring though city traffic less city congestion. Operators will soon ask for more money. The proposed service in two to three years time will be closed down as it will be found to be economically unviable. The true cost of the project will not be disclosed as hidden costs will be allocated to other budgets and areas of expenditure. More money and limited resources wasted on ill-considered ideas designed to keep management busy.
Further consideration needs to be given, in preference to the proposed tourist shuttle, to the establishment of a mini-bus service linking East Melbourne, Carlton, Parkville and North Melbourne complementing and adding to the existing public transport connections currently available. This service could be run by private operators with a nominal fee per trip. It would significantly benefit residents of the East Melbourne, Carlton, Parkville and North Melbourne who currently have no access to cheap efficient public transport linking these areas, other then having to travel into the city centre and out again. Parkville in particular has limited public transport options available providing access to Carlton and North Melbourne shopping precincts.
The City of Melbourne have already spent/allocated $500,000.00 and plans to provide a further $750,000.00 ratepayer subsidy at the average cost of $85.00 per trip. (four trips per hour 6 hours a day 365 days a year)
Problems exist in that the free-shuttle service has a limited route and directly undercuts private tour operators who already service this sector and have invested a considerable amount of money in their business. Other cities around the world provide similar services but most are subsidised by the commercial sector. Establishments such as Crown Casino stand to benefit from such a service. The Museum, which was poorly located on the outskirts of the City (An issue that was identified when Jeff Kennett ignored community and professional advice and shifted the location of the Museum from Southbank to Carlton), are hopeful the free tourist service will revive its patronage - which is well below expectations. The proposed route is already serviced by the tram network although it is not direct and not free.
Insufficient information has been provided by the City Council as to the assessment of alternative proposals and we wonder if they were given due weight and consideration.
The City administration report recommending the establishment of the free bus service lists dubious statistical information based on the number of responses they received for and against the proposed project. On what basis the Council can give weight to the numeric analysis of the number of submission and respondents is beyond me, other then it gives an impression that the service has wide support and is worthwhile and viable, but is it?. Reliance on the statistical information of submissions would be foolish and adds little to the merits of the project. Issues of economics, viability and assessment of alternatives outweigh the self interests statistics of those who made a submission.
The City Council is not a good or efficient provider of services. In most cases they are empire building, expanding the management job market within the Council.
Let's not forget the proposal, supported by former Councillor Kate Redwood, to establish mobility support/hire services for the disabled. The Redwood proposal was 3-4 times the cost of providing a similar service utilising infrastructure and services provided by existing community organisations such as Travellers Aid. Council should have considered more the submission made by former Lord Mayor Trevor Huggard. The council could have approached the Car Hire companies based in the City to asked for their support and assistance in providing this service to the public. Chances are hire companies would have offered their services free of charge as good corporate citizens, after all the provision electric wheel chairs is complementary the service they already provide. where they consulted?
The City Council should think twice before establishing a free tourist bus service.
Prediction: We expect that Council will soon find it need to put in significantly more funds and additional managerial services to oversee the provision of this service. The size of the buses will need to be reviewed with consideration given to the use of smaller buses that are better suited to manoeuvring though city traffic less city congestion. Operators will soon ask for more money. The proposed service in two to three years time will be closed down as it will be found to be economically unviable. The true cost of the project will not be disclosed as hidden costs will be allocated to other budgets and areas of expenditure. More money and limited resources wasted on ill-considered ideas designed to keep management busy.
Further consideration needs to be given, in preference to the proposed tourist shuttle, to the establishment of a mini-bus service linking East Melbourne, Carlton, Parkville and North Melbourne complementing and adding to the existing public transport connections currently available. This service could be run by private operators with a nominal fee per trip. It would significantly benefit residents of the East Melbourne, Carlton, Parkville and North Melbourne who currently have no access to cheap efficient public transport linking these areas, other then having to travel into the city centre and out again. Parkville in particular has limited public transport options available providing access to Carlton and North Melbourne shopping precincts.
Saturday, December 03, 2005
ANZ quits Melbourne - City Council blamed for exit
The ANZ bank has indicated that it is planning a shift of its head quarters in Melbourne to Sydney.
Link to original story
The ANZ bank is a major employer in the heart of the city and its exit from Melbourne would deliver a big blow.
The main reason stated for the ANZ's planned move is intransigence from the Melbourne City Council which in its view has shown little to no care to its concerns about planning and services.
Join the queue.
The ANZ bank is not the only corporation that is getting the raw end of the deal. The ANZ occupies one of Melbourne most historic buildings in Collins Street. It really is a gem dating back to Melbourne hey day in the gold rush. It would be a real blow to see the bank vacate these premises.
Whilst it is difficult to make a full assessment of the ANZ banks concerns without have access to its exact requirements and the reasons why the City of Melbourne could not accommodate their concerns. The departure of the bank will reduce the City Council's bank balance and unless a new tenant of standing can be found a huge hole in Melbourne financially sector with added concern that other financial sector business will follow..
We do not think the State Government would be happy in hearing the news. "John Brumby is most likely calling for crises talks in the cabinet as we speak. The sand has not yet run out of the hour glass and hopefully the City of Melbourne can demonstrate is desire and find a solution to the Banks problems.
The onus is now on Rob Adams, City Director of planning and Design - Innovative City, to come up with a compromise. Rob Adams is well known for his ability to capitulate when the going gets tough (remember his quick back-down and loss of integrity on the issue of the relocation of the Museum to the Carlton Gardens - he knew it was wrong for Melbourne and wrong for the Museum but he couldn't have back-down faster if he was driving a porche under pressure from the then Premier Jeff Kennett and his cohorts.)
Well Rob this is one of those monuments we wait with interest to see what you can come up with, that is unless it is way too late.
.
Link to original story
The ANZ bank is a major employer in the heart of the city and its exit from Melbourne would deliver a big blow.
The main reason stated for the ANZ's planned move is intransigence from the Melbourne City Council which in its view has shown little to no care to its concerns about planning and services.
Join the queue.
The ANZ bank is not the only corporation that is getting the raw end of the deal. The ANZ occupies one of Melbourne most historic buildings in Collins Street. It really is a gem dating back to Melbourne hey day in the gold rush. It would be a real blow to see the bank vacate these premises.
Whilst it is difficult to make a full assessment of the ANZ banks concerns without have access to its exact requirements and the reasons why the City of Melbourne could not accommodate their concerns. The departure of the bank will reduce the City Council's bank balance and unless a new tenant of standing can be found a huge hole in Melbourne financially sector with added concern that other financial sector business will follow..
We do not think the State Government would be happy in hearing the news. "John Brumby is most likely calling for crises talks in the cabinet as we speak. The sand has not yet run out of the hour glass and hopefully the City of Melbourne can demonstrate is desire and find a solution to the Banks problems.
The onus is now on Rob Adams, City Director of planning and Design - Innovative City, to come up with a compromise. Rob Adams is well known for his ability to capitulate when the going gets tough (remember his quick back-down and loss of integrity on the issue of the relocation of the Museum to the Carlton Gardens - he knew it was wrong for Melbourne and wrong for the Museum but he couldn't have back-down faster if he was driving a porche under pressure from the then Premier Jeff Kennett and his cohorts.)
Well Rob this is one of those monuments we wait with interest to see what you can come up with, that is unless it is way too late.
.
Thursday, December 01, 2005
Melbourne City Council ups the meter
The Melbourne City Council this week upped the meter costs of on-street parking in a bid to raise extra revenue.
Whilst this might provide some benefit to off street car-park holders who are planning, on December 12, a shut down protest against the State Government's congestion tax the question that has not been answered is why and what will the economic impact be on city retailers who are already struggling to compete with the likes of Chadstone and Northlands.
Link to original story in the Herald-Sun
Retail and recreational visits to the City of Melbourne are in decline creating a social imbalance in the make-up of the city.
Families on a tight budget can no longer afford a night out in the City centre. Bourke Street is no longer the place for family entertainment.
The Casino has dominated the non-sex adult-entertainment market leaving a small alternative bar culture mix to fill in the void of city life. Adult sex shops still dominate some sections of Melbourne's main shopping Streets.
No wonder our City small-business retailers are complaining, they have just cause to complain, and the City Council is not listening to them or satisfying their concerns. The Melbourne City Council are no-longer the solution but the problem.
Why has the City of Melbourne had to sneak in this increase in parking fees as part of its mid-year budget review? Could it not have held back to the full budget in June next year? Is the City Council's budget in that bad shape that it has to over-tax the short stay motorist at short noice?
The City Council is fast expanding, it is constructing the cities most expensive office block to house yet more Council Staff and there appears to be no end to the expansion. If the budget is so tight why could the city not review its outgoings and redeploy existing staff to meet its requirements? Why does it need to expand and to what benefit to city stakeholders?
Anyone that spends time in the Town Hall will soon realise the extent of waste and inefficiency that exists in the City Council today. Blind Freddy can see that.
The Council administration are removed from reality, having no idea of the needs or impacts of their own ideological policies.
Yes we all want a cleaner and more environmentally friendly city, we would like to see better alternative means of transport, better services to support bicycles and motor cycles, pedestrian and the like but trying to force a reduction in the number of cars by taxing access to the city is not the solution.
On street Car Parking should be free at night to help lower the costs of the family night-out and regenerate interest in the city as the place of focus and destination of choice for entertainment.
The social problems we see in Bourke street are a direct result of the social imbalance that currently exist with the absence of family patrons.
We need to rework and adequately fund public transport by increasing the frequency and various modes of transport that service the city. Private mini-buses that apply routes not serviced by trams, trains or the less frequent larger bus services.
Taxing the on-street meter parking is not the solution and the Council should not be allowed to sneak in an increase in fees in the mid-year review in the lead-up to the Christmas period.
Any increase in Council revenue should only be decided during the Annual Budget process and considered in association with the overall cost and expenditure of the City Council and not in isolation in a half year review.
Increases in revenue can be staggered to ease the burden but they must be planned well in advance and not at a moments determination. The mid-year review should concentrate in adjusting expenditure to meet budget outcomes.
Time for a rethink.
Whilst this might provide some benefit to off street car-park holders who are planning, on December 12, a shut down protest against the State Government's congestion tax the question that has not been answered is why and what will the economic impact be on city retailers who are already struggling to compete with the likes of Chadstone and Northlands.
Link to original story in the Herald-Sun
Retail and recreational visits to the City of Melbourne are in decline creating a social imbalance in the make-up of the city.
Families on a tight budget can no longer afford a night out in the City centre. Bourke Street is no longer the place for family entertainment.
The Casino has dominated the non-sex adult-entertainment market leaving a small alternative bar culture mix to fill in the void of city life. Adult sex shops still dominate some sections of Melbourne's main shopping Streets.
No wonder our City small-business retailers are complaining, they have just cause to complain, and the City Council is not listening to them or satisfying their concerns. The Melbourne City Council are no-longer the solution but the problem.
Why has the City of Melbourne had to sneak in this increase in parking fees as part of its mid-year budget review? Could it not have held back to the full budget in June next year? Is the City Council's budget in that bad shape that it has to over-tax the short stay motorist at short noice?
The City Council is fast expanding, it is constructing the cities most expensive office block to house yet more Council Staff and there appears to be no end to the expansion. If the budget is so tight why could the city not review its outgoings and redeploy existing staff to meet its requirements? Why does it need to expand and to what benefit to city stakeholders?
Anyone that spends time in the Town Hall will soon realise the extent of waste and inefficiency that exists in the City Council today. Blind Freddy can see that.
The Council administration are removed from reality, having no idea of the needs or impacts of their own ideological policies.
Yes we all want a cleaner and more environmentally friendly city, we would like to see better alternative means of transport, better services to support bicycles and motor cycles, pedestrian and the like but trying to force a reduction in the number of cars by taxing access to the city is not the solution.
On street Car Parking should be free at night to help lower the costs of the family night-out and regenerate interest in the city as the place of focus and destination of choice for entertainment.
The social problems we see in Bourke street are a direct result of the social imbalance that currently exist with the absence of family patrons.
We need to rework and adequately fund public transport by increasing the frequency and various modes of transport that service the city. Private mini-buses that apply routes not serviced by trams, trains or the less frequent larger bus services.
Taxing the on-street meter parking is not the solution and the Council should not be allowed to sneak in an increase in fees in the mid-year review in the lead-up to the Christmas period.
Any increase in Council revenue should only be decided during the Annual Budget process and considered in association with the overall cost and expenditure of the City Council and not in isolation in a half year review.
Increases in revenue can be staggered to ease the burden but they must be planned well in advance and not at a moments determination. The mid-year review should concentrate in adjusting expenditure to meet budget outcomes.
Time for a rethink.
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