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Posted: 2024-12-01 19:45:03

A government report has secretly examined if the state can run Queensland's crown jewel of stadiums, Lang Park, as successfully as a private company with intimate political connections.

ASM Global, which legally gifted concert and sporting tickets to powerful politicians, has been paid by taxpayers to manage the state-owned venue, also known as Suncorp Stadium, for more than 20 years.

But state-hired consultants from KPMG found repeated examples of where a government organisation might manage operations as successfully as the private company.

KPMG also cited instances where big events would gravitate to Lang Park regardless of the venue manager. 

A statue of a sportsman at the front of Suncorp Stadium.

Lang Park is considered a "premium venue".  (ABC News: Chris Gillette)

After the KPMG report was delivered in 2022, ASM again successfully tendered for the management contract.

Stadiums Queensland, the state authority that owns nine venues including Lang Park, defended its decision to proceed with the tender following KPMG's review.

It said venue arrangements were routinely assessed, and "business critical, financial, and non-financial factors" were considered before proceeding with the tender, which had a probity advisor.

Matildas players cheer reacting to a penalty shoot out in a large stadium

Lang Park hosted the FIFA Women's World Cup 2023 quarter final between Australia and France.  (AAP: Darren England)

Stadiums Queensland maintained relationships between politicians and ASM did not influence its board's tender decision and there was "no ministerial instruction in the board's consideration of this matter".

Its shareholding minister was "kept abreast of organisational business as it relates to the wider industry or portfolio", Stadiums Queensland said.

The ABC is not suggesting ASM's tender win was not based on merit.

'Can I meet Ed Sheeran?'

ASM's regional chief Harvey Lister is an accomplished entertainment industry veteran with deep relationships with Queensland's media, business and political circles.

He swaps text messages with top politicians – Steven Miles, when deputy premier, once asked Mr Lister about personally meeting UK singer Ed Sheeran at a Lang Park concert. 

(Sheeran's team rejected Mr Miles, who then texted Mr Lister: "I'd kick myself if I didn't check with you if it was possible".)

Pop star Ed Sheeran stands smiling at pitchside in front of an empty stand before a Premier League game.

When he was deputy premier Steven Miles asked Harvey Lister if he could meet singer Ed Sheeran.  (AP: PA/Bradley Collyer)

Politicians on both sides have also declared tickets from ASM and its predecessor entities, to concerts from P!nk to U2 and Celine Dion. 

Mr Lister has previously said venue operators can be contractually obliged to provide seats for venue owners.

California-based ASM's impressive worldwide portfolio includes 38 stadiums such as Las Vegas' 65,000-seat Allegiant Stadium and developing entertainment areas like LA Live.

Its Queensland presence is formidable: running Lang Park and the Brisbane Entertainment Centre and proposing the $2.5 billion Brisbane Live/Arena concept.

Pink stands on stage holding a mic stand as she glitters in a pink bodysuit and studded black leather jacket.

Politicians from both sides have declared tickets from ASM, including to P!nk, who performed at Lang Park earlier this year.  (Rob Grabowski/Invision/AP)

Mr Lister told the ABC that his organisation was part of "the world's leading venue management and services company" and "extremely proud" to have successfully operated Lang Park. 

When asked whether ASM's political relations may have been a factor in it being chosen to operate Lang Park he said: "Absolutely not". 

man in a suit looking into the camera

ASM Global regional chief Harvey Lister is an entertainment industry veteran.  (Supplied)

Stadiums Queensland outsources management of some venues and runs others itself, including the Gabba. 

Lang Park is a co-sourced model, involving using state back-office infrastructure and paying a fixed management fee to ASM Global, according to a previous government report.

KPMG's 2022 review crowned the 52,500-seat Lang Park as Stadium Queensland's "most commercially successful venue".

The Cauldron

Nicknamed the Cauldron, Lang Park hosts rugby league's Brisbane Broncos, rugby union's Queensland Reds, soccer's Brisbane Roar, and musicians from US rapper Travis Scott to metal band Metallica.

ASM's Lang Park management contract was expiring in December 2022, and Stadiums Queensland asked KPMG to review management options.

KPMG's review was obtained by the ABC under right to information laws.

A rugby game at Brisbane's suncorp stadium

The NRL is held at Lang Park every week.  (Supplied: AAP)

Large chunks remain heavily censored because Stadiums Queensland cited the information having touched on Cabinet considerations or being commercially sensitive.

Stadiums Queensland told the ABC the report did not make any recommendations for continuing outsourced management or a state takeover, but the document shows KPMG considered in-house management.

The unredacted parts of the report outline areas where KPMG considered that Stadiums Queensland could match the incumbent contractor's expertise, including being "equally well placed" in attracting events.

Venue manager - SQ tear

It noted Stadiums Queensland had a "demonstrated ability in working with anchor tenants".

"There is little risk of Suncorp Stadium losing anchor tenant content," KPMG concluded.

With managing membership programs — another revenue stream — both ASM Global and the state's Stadiums Queensland had "strong experience and skills", KPMG said.

ASM - State stadium tear

For concerts, Lang Park was "considered to be the premium venue" for anyone coming to Queensland and factors other than venue operator influenced concert numbers, KPMG said.

State government cash was critical for attracting big sporting events, while Lang Park was regarded as Australia's top rectangular stadium for several football codes, KPMG noted.

"The role of the venue manager is considered to be very limited [in attracting] major sporting events," it said.

Attracting events - SQ tear

It highlighted potential savings in moving in-house, noting duplication in areas including staff intranets and training.

Naming rights

Strains emerged in 2021 when Suncorp, whose logo is emblazoned across the stadium, extended naming rights that have now run for 30 years.

The KPMG report said that when ASM was re-negotiating the sponsorship, Stadiums Queensland believed the state "was unnecessarily exposed to revenue risk" and had to "intervene".

Naming rights in general can have performance measures – annual increases in naming-right fees can include hitting annual patronage targets, for instance. 

A stadium with a pink sunset and soccer players on the field

Lang Park hosts rugby league’s Brisbane Broncos, rugby union’s Queensland Reds and soccer’s Brisbane Roar. (Supplied: AAP)

Suncorp's baseline was not clarified, but KPMG wrote Stadiums Queensland thought the initial number was "set too high, making it challenging for performance to be met".

Among potential criticisms facing an in-house manager was whether bureaucrats could match private operators' response speed. 

But KPMG said Stadiums Queensland had shown agility working with the AFL and Queensland Health during the pandemic.

Still, another potential hurdle lay with the 2032 Olympics: "It is anticipated that significant effort and attention will be required … placing capacity pressure on [Stadiums Queensland]".

The consultants issued the report in July 2022, months after Stadiums Queensland started a tender but before the winner was announced on September 29, 2022.

Stadiums Queensland told the ABC the board determined business decisions about its venue portfolio and did not require "ministerial approval" for tenders.

KPMG's report noted discussing review findings with departments including sport, premier and cabinet, and state development. 

Texting times

Steven Miles, now Opposition Leader, was state development minister and deputy premier when the management review was done.

His relationship with ASM and its predecessor entities has come under the spotlight before: he's declared accepting hospitality ranging from five tickets to the Wiggles to a Taylor Swift show, and text messages showed Mr Miles last year asked Mr Lister for "ideas or recommendations" about "what sport or events are on" before taking a private family US trip.

Steven Miles at Suncorp

Steven Miles was state development minister and deputy premier when the review was done.  (Supplied: AAP)

Mr Lister's response to that query, obtained by RTI laws, shows that he had his office assemble a list of potential ideas and recommended Mr Miles book early himself.

Mr Miles declined interview requests but told the ABC that former ministers had met required gift declarations, and the ALP had a "long history of not revealing Cabinet discussions".

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