14/6/01
Culture and the Arts Minister Sheila McHale confirmed that low attendance numbers at Swan Bells has resulted in a projected operational deficit of $84,000 for the 12-week period from April 10 to June 30, 2001.
"The Court Government estimated the belltower would earn $280,000 in its first year of operation and approximately $387,000 per annum in subsequent years. In reality it is projected to lose almost that much money during its first year of operation based on current attendance rates," Ms McHale said.
"This is yet another example of poor financial management by the previous government."
Attendance at the controversial tourist attraction is far below the 4,200 visitors required each week to break even.
Between 1,200 and 1,700 people have visited the belltower on a weekly basis since the free entry period ended, generating an operational deficit of about $1000 per day.
During the 17-week free access period, a total of 254,266 people visited the belltower.
During the first seven weeks after the free access period ended, from April 10 through May 27, a total of 15,573 visitors had attended the facility.
"The Court Government's income estimates for the belltower were based on the site having an entry fee from its inception," Ms McHale said.
"However, the then Premier Richard Court insisted on having the free access period without subsequently adjusting the income projections or planning a marketing program to offset the loss of income.
"The previous government had not developed an operating model for the belltower. There was no marketing plan, no attempts at building tourism partnerships, no forward planning.
"The main aim of the Court Government was to build the belltower and then, when it proved so unpopular, to appease the dissatisfied public by giving them free entry.
"This made a farce of their own planning and budgeting process.
"WA taxpayers have already paid $535,000 to supplement the belltower's operational budget during the free access period from December 11 to April 10.
"I have taken action to appoint a commercial manager to operate the venue to its maximum potential and this is in the tendering stage.
"My task is to determine the best way forward to protect taxpayer dollars and ensure the venue is marketed well so it does not become a white elephant.
"This will include forging tourism partnerships to increase regional, interstate and international attendance figures as well as working to enhance the venue's cultural interest."
Media contact: Priscilla Fouracres, 9213 6900
