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Over the weekend we revealed more Upper City Council corporate welfare 'economic development' grants amounting to $375,000 of ratepayers’ money. Joining Burger Fuel, grant recipients include Subway, Vogue (a clothing store), Bed Bath and Beyond, and even a hairdresser!
Stuff.co.nz covered our comments here:
"It is economic trickery benefiting only the favoured businesses.
"Take the example of Prodigy Hair. There are at least 29 hairdressing firms in Upper Hutt, but the council picks this one out for a handout."
Previously, the council defended its corporate welfare scheme on the basis that it was creating jobs, Williams said.
"Of course the politicians and officials ignore that every cent is drained from the very community they are claiming to help. It is intellectually dishonest.
"Upper Hutt ratepayers are smart enough to see that this isn't economic development, it's robbing the poor to pay the rich."
To respond, Mayor Wayne Guppy spoke to Newstalk ZB's Larry Williams tonight just prior to the political Huddle with our Executive Director Jordan Williams and Vernon Tava.
Porky, the Taxpayers’ Union government waste mascot, this morning visited the Ministry of Business, Innovation and Employment to award a Government Waste Certificate of Achievement to David Smol, the Ministry's Chief Executive, for the Ministry’s extraordinary lavish office fit out.
After some waiting, Mr Smol failed to front, but an MBIE official accepted the award on his behalf (high quality versions of the images below video of the award ceremony are available on request).
This spending is an absolute disgrace and not the first time MBIE has given the middle finger to taxpayers. First there was the $67,339 sign, now the $140,474 television, but they also spent $5,480 on a consultant just to advise what art was best for the office.
This is a Government department behaving like a Madison Avenue advertising agency. The award is to recognise the achievement of wasting so much of other people's money.
Why is there no accountability for these repeated mistakes? Who below the Chief Executive could possibly have authority to sign off on a $140,000 TV screen?
The decision maker should be sacked, or Mr Smol should do the honourable thing and fall on his own sword.
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Despite the Council cutting services and library hours, the council seemingly has money for make-up and fashion advice for back-office accounting staff.
Material we’ve just released us show that the Council accountancy team hired image consultants Fox & Mae to run “Brand Me” sessions for the back office team to learn about grooming at work, what to wear and smart-casual Fridays.
Most employers expect their employees to be tidy and well presented, even if they are a back-office worker. Image consultants are normally employed by celebrities, the very wealthy, and front-facing staff who are acting in a front-facing role.
It is sadly ironic that the accountancy team, the very people whose job it is to keep Council spending under control, have been wasting money on what looks to be ratepayer-funded fashion and make-up advice.
Today we released documents which detail the cost and focus group feedback on the ridiculous “Not Beersies” campaign by the Health Promotion Agency.
The documents show that:
The Taxpayers’ Union had feedback that the ‘Not Beersies' ads were making people thirsty for beer. Some participants in the Agency’s own focus groups said the same - that the ads encouraged drinking or were confusing.
The Health Promotion Agency acknowledge that the campaign probably won’t reduce alcohol consumption and won't affect the most at-risk of alcohol harm - but they spent the money anyway.
The HPA spent over $1.2 million of taxpayers’ money in order to promote a ‘culture change’. No wonder no one bothered to do a cost benefit analysis.
It’s a creative campaign, but it’s using taxpayers’ money for social engineering rather than for the purpose of reducing harm or promoting health. The documents show that the HPA knew that they were woefully off the mark. They pushed ahead and spent the money anyway.
In December the Advertising Standards Authority received a complaint from an individual who incorrectly thought the ads were promoting beer. The campaign has also been publicly labelled "sexist and offensive" and with claims they miss the point as beer consumption continues to fall. Cleary the campaign message has become confused and contorted.
We think the campaign is an own goal. What do you think? Does the HPA and its ad agency have more money than they know what to do with? Should the Government be requiring the HPA to justifiy its budget and force it to invest in measures that actually reduce harm? Let us know on our Facebook page.
New Zealand taxpayers have forked out $9 million to pay for a four-day UN conference in Samoa that included hiring the luxury P&O Pacific Jewel cruise liner. New Zealand covered the accommodation and operating costs, of September’s Small Island Developing States.
We not aware of New Zealand taxpayers having ever chartered such a luxury cruise-liner. The ship is marketed as 'the world's largest adventure park at sea’ and includes a zip-line across the top deck, an outdoor circus performance arena and numerous movie theatres. Conference attendees had nine bars, pubs and nightclubs to choose from and seven restaurants and cafes to dine in.
It seems inconceivable that the Ministry of Foreign Affairs and Trade would think it a good use of taxpayers’ money to fund the chartering of a luxury cruise-liner for a conference in another country. It appears that MFAT brought in the liner so conference attendees could avoid the mainland.
$9 million is nearly half New Zealand’s annual aid budget to Samoa and amounts to $4,500 per attendee. The amount does not include the cost of attendees’ flights or travel (and presumably cocktails) which makes the $9 million amount all the more remarkable.
If the $9 million had been used for genuine economic development or investment, no one would complain. Instead taxpayers forked out for a conference which ‘achieved’ a document that ‘reaffirmed’, ‘acknowledged’, ‘recognised' and ‘recommitted’ to various bureaucratic platitudes.
Little of the money is likely to have gone into the local Samoan economy. The British-American owned company, P&O Cruises, appears to have been the main beneficiary.
Earlier in the year press releases were issued by Foreign Affairs Minister, Murray McCully and the Ministry which pumped the value of the talk-fest. They failed to mention the fact that taxpayers were footing the bill at a cost of more than $2 million per day. It it a shameful misuse of public money and officials are no doubt praying that the Christmas rush allows them to avoid public vilification.
This morning's lead story in the NZ Herald will no doubt leave a bad taste in taxpayers' mouths, with reports that the Whakatane-based Te Whare Wananga o Awanuiarangi has received $6 million in payments it wasn't entitled to.
The Warriors are caught up in an investigation into a Maori tourism qualification involving alleged overpayments of $6 million of taxpayers' money.
Nearly 100 players and staff "completed" an 18-week course in just one day and a member of the club board - who also worked for the wananga that ran the tertiary course - has been referred to the Serious Fraud Office.
So 100 staff and players left left to do an 18 week course, came back with a certificate and no one asked questions?
Donna Grant has resigned from the Whakatane-based Te Whare Wananga o Awanuiarangi and offered to assist with any potential SFO inquiry, according to her lawyer.
"She is absolutely confident she has done nothing wrong and is happy to co-operate," said Richard McIlraith of law firm Russell McVeagh.
A prominent figure in kapa haka and Maori performing arts, Mrs Grant is the daughter of Sir Howard Morrison and Sir Owen Glenn's sole representative on the five-person Warriors board. She was also the driving force behind the Warriors Foundation, the club's now defunct charity arm, which delivered the Hei Manaaki course to 94 players and staff from the league team.
Her husband, Anaru Grant, is the chairman of Te Arawa Kapa Charitable Trust which also delivered the course twice in Rotorua.
Forensic accounting firm Deloitte referred those three courses to the SFO, while the wananga cancelled the certificates of 217 students and refunded an additional $1.3 million in taxpayers' money. The Herald revealed last month that players and staff from the Warriors received certificates last year, which are among those now recalled.
Chief executive Wayne Scurrah said it was "disappointing to be caught up in all of this" but the club did not know the course was supposed to be 18 weeks long, not one day.
He declined to comment further because a board member was involved and referred questions to chairman Bill Wavish, who did not return messages.
This seems very strange. When you're looking to book a cause, the length is usually the key piece of information. Was it the Warrior's board member who arranged the training?
Mrs Grant's resignation and the referral to the SFO come in the wake of a review released yesterday that found the Hei Manaaki programme was "overfunded", according to the Tertiary Education Commission and the NZ Qualifications Authority.
An independent report by Deloitte, which formed part of the inquiry, found the monitoring of Hei Manaaki - levels 3 and 4 of the National Certificate in Maori Tourism - was poor and highlighted some "internal inadequacies in the academic oversight processes".
Students spent an average of 183 hours with tutors but the wananga was given taxpayer funding for 388 hours. Poor monitoring of attendance "may have resulted in the award of these national qualifications to students who have engaged in only a small proportion of the course", said the report.
This has the potential to seriously undermine the viability of the Wananga. It shows a severe failing of governance.
The "substantially compressed delivery" led to students participating in a programme that fell "well short" of its approved credit value.
Graham Smith, chief executive of Te Whare Wananga o Awanuiarangi, said 217 certificates were cancelled.
One employee was dismissed for misconduct and disciplinary action for other staff has not been ruled out.
Porky loves identifying troughing MPs and bureaucrats. The crème de la crème, he surprises with an awards ceremony. After all, when you’ve turned troughing on the taxpayer into an art, it would be rude to get no recognition!
This morning Porky issues his first award having read the Dominion Post's coverage of Pauline Winter, the Chief Executive of the Ministry of Pacific Island Affairs and her $30,000 expense bill , including weekend trips for her and an assistant to fly to Auckland most weekends.
Taxpayers are stumping up for Pacific Island Affairs boss Pauline Winter to travel between Wellington and Auckland most weekends.
Winter has a home in Westmere, but her $240,000-a-year job is based in the capital.
Her expense records show that over the last year she flew between the two cities almost every weekend. Between July 2013 and 2014, her expenditure totalled more than $30,000, most of which went on airfares, taxis and rental car hire in Wellington and Auckland.
Taxpayers fork out $270,000 per year for this Chief Executive and she is refusing to take calls from the media. The Taxpayers' Union called on Ms Winter to front up, or resign.
This afternoon Porky visited the Ministry of Pacific Island Affairs, hoping to present Ms Winter with a “Troughing Award” to acknowledge her endeavours with taxpayers’ money.
Unfortunately Ms Winter's didn’t front. Porky was devastated. Executive Director Jordan Williams recounts:
"For Ms Winter's gallant efforts to rip off New Zealand taxpayers with publicly funded weekend trips to the exotic capital of the South Pacific known as Auckland, Porky and I visited the Ministry’s offices to present her with the first of our 'Troughing Awards’."
“Ms Winters was in the office but refused to front-up or speak to media."
"Despite Ms Winter's expenses being more than $30,000 she chose to hide in her office and send a spin doctor to accept the award on her behalf."
“Ms Winter's refusal to justify her expense bill is the epitome of arrogance. She should front up, justify her extravagance on the taxpayer purse, or resign.”
Porky’s quest will continue - in fact you can expect to see him out and about where ever wasteful bureaucrats, politicians and taxpayer funded groups are wasting hard earned tax dollars.
The Taxpayers’ Union is questioning the merits and costs of the “No car? No problem! Getting around your community without a car” brochure, released by the Office for Senior Citizens. The brochure’s purpose is to explain to senior citizens transport options when they can no longer drive.
The primary purpose of the taxpayer funded brochure is to make suggestions such as:
It has cost taxpayers over $37,000 to produce the brochures since 2005 (excluding the cost of staff time).
Instead of addressing pressing issues such as fraudsters preying on our seniors and elder-abuse, the Government is throwing money away at brochures that parrot what is surely common sense. When the brochure launched, the Minister for Senior Citizens even put out a press release to welcome it!
We think that publishing a brochure explaining that people can walk places is a waste of taxpayers’ money and public servants’ time. Take a read and tell us what you think via our Facebook page.
We know that politicians like to be seen to be doing something, but surely New Zealanders don’t need to be told by the Government that taking a bus is an option, when you can no longer drive.
To view the responses to our information requests lodged with the Minister and Office for Senior citizens, click the links below.
A few months ago a Ministry of Health official contacted us regarding the use of taxi charge cards within the Ministry, and suggested we look at the number of 'micro-trips' taken by managers, often between the Ministry's Wellington offices and Parliament.
Details of the Ministry's taxi charges show its Wellington staff are making more than 1,000 taxi trips a year costing less than $10.
In the 2012/2013 financial year, Ministry staff based in Wellington charged taxpayers for 8,645 taxi trips with 1,076 of those for journeys costing less than $10.
It is sadly ironic that while the Ministry of Health spends taxpayer money to promote active living, officials are getting taxis a few hundred metres down the road.
A taxi trip for the sake of a five minute walk is simply not justifiable when it’s someone else's money. The documents show that these short trips make up more than ten percent of all taxi charges by Wellington based staff.
Taxpayers will not be impressed that Wellington health bureaucrats are the in habit of getting them to pay for micro-trips when it is probably faster to walk.
Political parties often engage musicians to drum up support during the election season. It’s the time of year when party hacks attempt to swell their numbers by using musicians as Trojan Horses for their political ideals. We all remember The Feelers’ song used in National Party adverts last election.
But what happens when taxpayer funds are propping up these artists?
The Party, Party put on by the Internet Party features numerous bands that have recently received significant grants of taxpayers’ money courtesy of NZ On Air.
Sons of Zion, State of Mind and PNC all received subsidies from NZ On Air as recently as late last year. The sums involved are not insignificant. A quick glance at the list of subsidies suggests that in the past few years these acts have received well over $200,000 of taxpayer funds.
Laughton Kora of L.A.B was also part of a group that received $245,000 NZ On Air funding to visit prisons for a Maori TV programme.
While we can all appreciate that bands are comprised of individuals with their own political beliefs, it seems wrong for bands to be enabled to support a political cause by being propped up by the taxpayer.
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