The future of the Millicent Saleyards is again in jeopardy with Wattle Range Council now seeking expressions of interest in their purchase.
The decision to test the market was made at last week’s monthly council meeting after closed-door discussions were held on a confidential 25-page staff report.
The minutes and confidential staff report were published on the council website on Friday.
Councillors were told that an unsolicited written offer to purchase the 46-year-old saleyards had come in August from adjoining landowner Tom Earl.
His family company had purchased the former Viterra silos in 2020.
Although the saleyards are on the market, council wants any would-be purchasers to indicate their long-term intentions with respect to regular livestock markets as well as continuing the lease with Ridersafe SA which conducts on-site motorbike training.
Another vital aspect of the confidential staff report was the damning saleyards infrastructure assessment by Safework SA.
The State Government compliance agency conducted an audit in July and subsequently issued five mandatory notices with respect to the safety of iron rails and ramps and the truck wash area.
Council staff noted their efforts to find contractors who were willing to tender for the repair work with the exception of one contractor prepared to act on a cost plus extras basis.
Council staff estimate $180,000 is needed and council authorised this budget variation outlay in order for the urgent repairs to commence in line with Safework SA orders and to allow the cattle markets to continue.
Safework SA also directed council to undertake an on-site hazard identification assessment with stock agents, farmers and other stakeholders and this was done yesterday (Monday).
A further meeting will be held later in the week.
Subsequent to the Safework SA report, council staff conducted their own assessment of the condition of the two-storied administration complex and other buildings at the saleyards.
Council staff estimate the upgrade costs to be $680,000 with most of this sum devoted to the administration complex which incorporates toilets, offices and a non-operational canteen.
After many loss-making years and two external reports, council decided in 2020 that it would continue to underwrite the saleyards with one condition being a minimum annual throughput of 8500 head of cattle
According to the confidential staff report, the current annual throughput is slightly higher at 8700.
One “technical” complication about the sale of the saleyards is that council’s resource recovery station is located on the same allotment and so a land sub-division would be necessary.
Aspects of the confidential staff report and subsequent council decisions were discussed by council staff with stakeholders following the fortnightly cattle market on Wednesday.
This was a strong market with the 331 head selling for an average of $2316.
Wattle Range Council chief executive Ben Gower said the $180,000 outlay was in addition to the $173,000 that was allocated earlier in the year in the 2021/22 budget.
“This is to upgrade lighting, replace timber railings and begin urgent first year repairs to building infrastructure in response to an independent report that was commissioned into the ageing assets’ short to medium term renewal requirements,” Mr Gower said.
“In the meantime, council has also received an unsolicited written expression of interest in purchasing part or whole of the Millicent Saleyards site.
“It was therefore determined by council to ‘test the market’ and make a wider call for formal expressions of interest in the site.”
