At the Council meeting on April 21st, 2021 Council received a report titled Prom Coast Regional Tourism (PCRT)-update April 2021. 

Administrator Zahra spoke to the motion as follows:

“Madam Chair, what we are dealing with today is the …conclusion of the cancellation process associated with the Prom Coast Tourism. Madam chair this completes a task which the Council has taken on following a decision which was made by the members of the committee of the prom country regional tourism organisation itself. Madam chair it was distributed in the papers a notice of the special meeting which was on the 20th Nov 2019 to consider the special resolution to wind up prom coast regional tourism and other related business. 

Madam Chair, as it turned out that did not take place that meeting…subsequently because of resignations from the committee of prom country regional tourism. The responsibility for winding up the organisation for completing this task the committee has set for themselves fell to the council and we have followed a set of processes which are set out in the papers to complete that process on their behalf.”

The Chair, Administrator Eisenbise thanked Administrator Zahra for leading that process before Administrator Brown chose to make no comment on the agenda item himself.

Council recently established another similar committee and selected the new members themselves with the majority of members not from South Gippsland.

At the time PCRT members resigned en-masse they issued the following media statement.

“Prom Country Regional Tourism Inc is an independent incorporated association. It was formed in 2003 and is funded by member subscriptions and a dollar for dollar matching agreement with SG Council. (i.e., for every dollar of membership revenue, Council contributes a dollar).

It is run by a committee, comprising 6 elected industry members, two members appointed by local Council and one appointed by Parks Victoria. The Council members are an Administrator (formerly an elected Councillor) and a senior member of Council’s Tourism staff. In 2008 PCRT has contracted services of an Executive Officer and has delivered various services and products to promote SG Tourism.

During late 2018 and 2019 the committee was undertaking a strategic review of the association’s operations, objectives and funding arrangements. In July 2019, the Executive Officer terminated the contract with PCRT effective immediately and did not provide an adequate handover. No passwords or access to PCRT emails, websites or social media were provided, nor were any ongoing activities, such as production of brochures. Committee was unable to access to our membership database and could not communicate with members. Numerous requests for cooperation were ignored. PCRT’s ability to operate was severely disrupted. Committee worked diligently and actively to resolve matters and establish communications with members. Council staff were uncooperative.

The ongoing review of PCRT and strategic arrangements with key stakeholders continued. Further important changes were made, including transferring brochure production and web site management to Council’s Tourism department. Significant external marketing activities were negotiated with Destination Gippsland. These marketing arrangements will deliver significant benefits in 2020. PCRT members will continue to receive selected services (e.g., Brochures and Websites) at no direct cost. Council employees unlawfully attempted to derail the marketing initiative with Destination Gippsland. Immediate intervention by Committee resolved the matter without the need to seek legal recourse.

Since this unfortunate lack of support from Council, PCRT Committee has been operated solely by industry volunteers. Lack of cooperation from Council and demands on volunteers have become unreasonable. Parallel to these events, committee determined that the Tourism industry had changed significantly, and that the current structure and funding arrangements for PCRT were no longer appropriate. A wind-up resolution was being put to members at the AGM on 27 November 2019.

On the day of the AGM, PCRT received a financial claim on the association from a former contractor. The matter related to an unsubstantiated claim for unpaid superannuation (in the tens of thousands of dollars) over an eleven-year period. Committee sought immediate legal advice and deferred the AGM.

Following preliminary legal advice, Committee sought an urgent meeting with Administrators and senior staff. Council was unresponsive. Following these ongoing and regrettable events, including a lack of support from Council, five industry members resigned from the committee on 8th December 2019. These decisions were not taken lightly.

Since our local Council was sacked, Administrator Mr Christian Zahra was appointed as the Council representative to sit on PCRT Committee. Mr Zahra has not attended a single committee meeting or participated in any PCRT activities. This statement has been issued by former PCRT Chair and Secretary.”

At the December meeting of Council 2019 Council began this long process to wind up PCRT. At that meeting Administrator Zahra made the following comments:

“….the committee of PCRT have arrived at their decision that they want to wind up the organisation.

It falls to us to wind up the organisation …..a few things that are important to say in dealing with this matter. Whilst this resolution deals with PCRT, its important to say that tourism will continue to be important focus of the Council into the future.

…I will have some more to say in terms of the direction that tourism within the Shire and the way in which Council will support tourism into the future at our February meeting next year.

Editorial Comment: It seems that at the time the committee of PCRT was complaining of lack of support from Council in late 2019, that Council was already working on plans for their replacement group which Administrator Zahra hinted at in his comments above.