Legislative Council Wednesday 22 May, 2019

Ms FORREST question to LEADER of the GOVERNMENT in the LEGISLATIVE COUNCIL, Mrs HISCUTT

QUESTION:

With regard to the Expression of Interest due to close in January 2019 for the State Growth North-West Premises at currently located at Marine Terrace in Burnie and due to renewal of the current lease, has been advertised under an expression of interest process:

1. Has the Expression of Interest closed; and

a. If so, has a decision regarding the location of the premises been made;

i. If a decision has been made, where will the premises be located and when is this location or re-location expected to be finalised?

2. If not, when will a decision made?

ANSWER:

The Department of State Growth currently has three sites in Burnie. Two of these sites are used by the Transport Services Group of the department for traffic signals maintenance, vehicle inspections and broader office accommodation for staff. The site at Marine Terrace is leased from a local family and under the current lease, an option to renew exists that alls due in October 2019. The other site is leased from the Burnie City Council on a month by month lease. Both of these sites require improvements to meet required access standards (including disability access and WHS considerations) and to support the effective delivery of these functions.

The department issued an expression of interest to a number of real estate agents along with the owners at its existing site in Marine Terrace with the intention to co-locate these functions at an existing upgraded or an alternative site.

The expression of interest closed in January 2019.  The department has evaluated the responses and has commenced negotiations with the preferred owner, which is not the current owner of the Marine Terrace site. Negotiations have been protracted due the significant capital works proposed by the owner and valuation of the proposed rent, along with the possible co-location of another government department into this site. In addition, the lead officer for this project was seconded to the Bushfire Recovery Taskforce for three months which contributed to delays in this project.

The department is still in negotiations and are not in a position to formally advise respondents of the outcome and provide notice.  It should be noted that the lease in place at Marine Terrace does not require the Crown to provide notice if it intends to vacate the site and provide three months’ notice if it intends to extend its current lease. A final decision is expected to be made by the end of the May 2019 which all respondents will be formally advised of the outcome.