Bill for ocean race will fall to ratepayers

By BERNARD ORSMAN

Auckland City ratepayers are staring at a bill of up to $4.87 million to host the Volvo Ocean Race.

The bill includes paying for 30 yachting officials to stay at a luxury hotel for a month in January.

The Volvo project team has been unable to secure a cent in sponsorship for the Auckland stopover, leaving ratepayers exposed to paying for everything from glamorous cocktail parties to overseas trips for council staff to visit other stopover ports.

The events management team for the Volvo Ocean Race - formerly the Whitbread Round the World Race - has been booked into the Somerset Grand Metropolis all-suite hotel while it is in Auckland. Helicopters and planes are being laid on for visiting journalists.

Auckland City chief executive Bryan Taylor has refused to divulge the hotel accommodation budget, except to say ratepayers will not be picking up any meals, mini bar or entertainment costs.

Auckland ratepayers are already ploughing $1.5 million into the 24-day stopover and the council has contributed the full $600,000 it received from Team New Zealand to promote the Viaduct Harbour and help run the next America's Cup.

That leaves a funding gap of $2.77 million.

Volvo project manager Virginia Terpstra told the city attractions committee yesterday that the cost to ratepayers would not exceed $1.5 million but provided no revised figures to back it up.

The project team has secured "in kind" or free services worth $120,500 towards the media centre and security costs. Other in kind opportunities, for items "such as stationery", are being explored.

A budget prepared in February shows the council plans to recover $725,000 in hospitality costs.

Competition for sponsorship dollars from the America's Cup and the New Zealand Golf Open and the dominance of the Volvo brand have been blamed for the failure to secure any money.

Auckland Mayor Christine Fletcher and city attractions chairwoman Victoria Carter remained upbeat about containing the Volvo costs.

They said a free entertainment programme during the 24-day stopover at the Viaduct Harbour was not threatened.

"I don't believe there will be a shortfall," said Mrs Fletcher.

"We have capped the amount we are contributing to this event.

"It is important we are having this event, that we continue to market Auckland as the City of Sails and the premium sailing destination in the world."

A fleet of seven yachts is due to start the race from Cowes, off the Isle of Wight, on Monday (New Zealand time).