General News
4 December, 2024
No ratepayer funds for rodeo: Mayor responds to administrator's strong-arm tactics
Mount Isa City Council won't use ratepayer funds or economic development funds to bail out Isa Rodeo Ltd.
The administrator for Isa Rodeo Ltd says it now needs $2 million to save the iconic event and has issued an ultimatum to the state government and Mount Isa City Council to come up with the funds.
North West Weekly understands that SV Partners has its eye on the $2 million that was touted for an all-electric laundry under the Mount Isa Transition Fund.
The proponents of the laundry pulled its successful funding application after public criticism that its taxpayer-funded venture would be competing with established businesses in the region.
Mount Isa City Council has been in talks with the new LNP government about a financial package for Isa Rodeo Ltd.
In a statement, SV Partners director Michael Brennan said a proposed funding package had been put forward to the council and state government, but “no commitment has been made”.
“If the council provides anything less than $2 million, the creditors will not be paid what they are owed and there will not be money to operate the 2025 rodeo,” he said.
“Creditors need certainty and our aim is to ensure creditors are paid as much, and as soon as possible.”
Mayor Peta MacRae hit back, saying it wasn’t up to the ratepayers of Mount Isa to bail out the company, which started with more than $1.5 million in the bank when it broke away from being a Rotary-run organisation in 2019.
She said that under no circumstances would ratepayer funds be used to provide a financial support package for Isa Rodeo Ltd.
“I can categorically say that funds allocated for the economic development of Mount Isa and ratepayer funds will not be spent on saving the rodeo,” Cr MacRae said.
“I understand the importance of the rodeo to the economy and social fabric of Mount Isa and I’m confident it will go ahead in 2025 but only under the right conditions.”
A creditors meeting is set down for next Tuesday, however, it will likely be adjourned again, according to Mr Brennan.
“Our priority is to maximise payments to creditors by saving the Mount Isa Rodeo and delivering a community-driven event,” he said in a statement.
“The next meeting on 10 December will be reopened and then subsequently adjourned to a date and time to be fixed, but no later than Wednesday, January 29.
“Subject to the advanced state of negotiations, all parties are hopeful of being in a position to reconvene the decision on the company much earlier than January 29.”
After telling creditors at the last meeting that a new chair would be appointed by November 29, Mr Brennan backflipped on his promise when questioned by North West Weekly.
“While the financial position of the company is still uncertain, we can’t ask community members to take on board positions,” he said.
“The Mount Isa council and state government are key to creditors being paid.
“Following this, we can set the foundation for the 2025 rodeo.”