$3 million grant for Club that can't keep its Head above Water
STEPHEN JONES MP, SHADOW MINISTER FOR REGIONAL SERVICES, TERRITORIES AND LOCAL GOVERNMENT
MATT KEOGH MP, FEDERAL MEMBER FOR BURT, WASTE WATCH SPOKESPERSON
The Morrison Government has been caught out not doing it’s due diligence as a struggling Perth Football club has this week begged members for $75,000 to stave off closure.
Labor initially raised concerns about a $3 million grant to revamp the Floreat Athena Football club in August following an announcement by One Nation Senator Peter Georgiou - story here.
Now the club has sent a letter to its membership begging for donations to make up $75,000 before close of business today to keep the doors open.
This is a clear example of how the Government has given up on any semblance of proper process. It shows woeful lack of probity to be promising grant funding of millions of dollars for a club that clearly can’t keep its head above water.
The Government needs to explain what due diligence it thinks it did in announcing this grant to a club in financial distress.
Departmental officials previous admitted no formal assessment of the clubs finances were done prior to the announcement – story here – but now it seems the club has been working to pull the wool over their eyes, telling members;
“It is important to note that our club has recently been announced as the recipient of a very sizeable Federal Government grant which demands we demonstrate viability, good governance and strong plans for maintenance and ongoing financial and community sustainability. We will not be able to receive a cent of the grant if our finances are not in order.”
Despite having the full resources of government available to them, Liberal Ministers are prepared to bypass proper process and give the green light to announce random funding without any formal assessment and in this case, without even ensuring the financial viability of the recipient.
This reckless use of taxpayer funds for a political purpose is not good governance or good economic management.