NEW PLYMOUTH DISTRICT COUNCIL (WAITARA LANDS) BILL

NEW PLYMOUTH
DISTRICT COUNCIL
(WAITARA LANDS) BILL
Initial briefing to the
Māori Affairs Committee
3 October 2016
Contents
He Mihi .................................................................................................................................................... 3
Background to the Bill ............................................................................................................................. 4
About Waitara ................................................................................................................................. 4
The history of Waitara land ............................................................................................................ 4
Leasehold properties in Waitara ..................................................................................................... 5
Existing legislation ........................................................................................................................... 5
Previous reform attempts have not succeeded.............................................................................. 6
Process followed in development of this Bill .................................................................................. 8
The Bill’s key proposals ........................................................................................................................... 9
1. Land in Waitara will be vested in Te Atiawa ............................................................................... 9
2. Leaseholders have a right to freehold ...................................................................................... 10
3. Rents and sale proceeds will be used to benefit the Waitara community ............................... 11
Key issues that you will need to consider ............................................................................................. 13
Relationship with the Te Atiawa Claims Settlement Bill ............................................................... 13
The price to freehold .................................................................................................................... 14
The potential for the Council to sell the freehold estate of leasehold land to a third party........ 16
Local authorities cost recovery ..................................................................................................... 17
Taranaki Regional Council’s share................................................................................................. 17
Rents ............................................................................................................................................. 18
Returning of all endowment land to Te Atiawa or hapū .............................................................. 19
Overall community views.............................................................................................................. 19
Issues outside of the Bill ............................................................................................................... 20
Greater opportunities for the Waitara community .............................................................................. 21
Front cover: Maunga
Taranaki over Waitara
2
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
He Mihi
Korōria ki te Atua i runga rawa
Maungarongo ki te whenua
Whakaaro pai ki ngā tāngata katoa.
Tēnā koutou e te iwi whānui
He mihi tēnei ki a koutou katoa.
He mihi hoki ki a rātou kua mene ki tua o te ārai.
E ngā mātua i te pō haere haere.
Hoki atu ra ki paerau ki te kainga tūturu o te tāngata.
Kei reira e noho noa atu. Kāti.
The New Plymouth District Council (Waitara Lands) Bill provides significant reform, and an enduring
solution, for the Waitara endowment land. The Council has been attempting to find resolution to the
Waitara endowment land issues since it was amalgamated in 1989. This is the third attempt at reform.
The endowment land has always been contentious because it was
confiscated from the hapū of Te Atiawa and some time later was vested
into the Council’s predecessors. Much of the endowment land is now
leasehold residential land and comprises approximately one quarter of all
residential land in Waitara. This Bill has significant implications on the
future of the township of Waitara. The Bill will, if enacted, provide multiple
benefits for the Waitara community through transferring almost half the
endowment land to the mana whenua iwi, normalising its property market,
and creating significant community development funds. Broadly, the Bill
will provide a brighter future for Waitara. The Bill reflects a compromise
between competing interests in the land and all three of the policy
proposals are required to provide some form of resolution to the Waitara
lands.
We would like to make an oral submission to the Committee with additional information, and we will be
available throughout the Committee’s consideration of the Bill to answer any questions or queries you
may have.
We have consulted with our community, receiving 141 submissions, and we made substantial changes to
the Bill. We will work with you to consider the submissions you receive to assess whether any further
changes to the Bill are required. We therefore intend to provide commentary on submissions as
appropriate when they are released. To that end, we would be appreciative if the Committee would
instruct that submissions be released as they are received.
Andrew Judd
Mayor, New Plymouth District
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
3
Background to the Bill
About Waitara
Waitara is a north Taranaki town of approximately 6,800
people. Waitara is the second largest population centre in
the New Plymouth District (after New Plymouth City), and
the third largest in the Taranaki region.
The town is approximately 500 hectares, and is located at
the mouth of the Waitara River on the Tasman Sea on the
North Taranaki Blight approximately 15 kilometres northeast of New Plymouth on State Highway 3. It has two
substantial surf beaches. The Waitara River is seen as the
spiritual centre of the town and its tributaries come from
both Maunga Taranaki and the north Taranaki hill
country. Waitara is naturally flood prone due to these
substantial tributaries and its low-lying coastal location.
Waitara is a diverse community, with a strong Māori population (37 per cent) – of whom about 40 per
cent affiliate to Te Atiawa (or 15 per cent of the total population). Te Atiawa are the iwi with mana
whenua, with Manukorihi and Otaraua hapū as the mana whenua hapū over Waitara. Waitara has a high
proportion of both retirees (19 per cent) and children under 15 (22 per cent).
Waitara is a low socio-economic town, with the New Zealand
Deprivation Index placing Waitara East as decile 9 and Waitara
West as decile 10 (where 1 indicates low deprivation and 10
indicates high deprivation). Other than the freezing works and
some industrial sites there are limited places of employment in
the township itself. There are two substantial methanol plants
nearby as well as substantial oil and gas operations (both onand off-shore). The growth of the nearby Bell Block industrial
area (the fastest growing employment centre in Taranaki) and
recent (and future planned) improvements to the state
highway between Waitara and New Plymouth have provided
increased employment prospects for Waitara residents in
recent years.
The history of Waitara land
As you will be aware, before European settlement, the area of
modern Waitara was a prominent Te Atiawa settlement. The
initial European settlors of Taranaki saw Waitara as an
attractive harbour and site for a new township. Tensions began
as early as 1842. In the 1850s the Pekapeka Block (on the
western side of the Waitara River) became a source of
contention, and eventually in 1860 war broke out in Waitara
following the Crown’s attempted purchase of the Pekapeka
Block. This began the First Taranaki War, which started the
main period of fighting in the New Zealand Wars.
Plan of the Pekapeka Block, Waitara, with an insert of
Te Kohia Pā (where the first shots of the First Taranaki
War were fired at). The Council has recently
purchased on the open market the property Te Kohia
Pā is located on. We intend to work with Te Atiawa
and hapū on developing this site into an appropriate
memorial and centre for learning.
In 1865 (following the Second Taranaki War) the Crown confiscated the Pekapeka Block and other lands
from Te Atiawa. In 1876 the Crown began vesting land in the Waitara Harbour Board and the Raleigh
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Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
Town Board (which later became the Waitara Borough Council). Over the next 70 years further land was
vested in the Council’s predecessors for various purposes, mostly relating to harbour improvements and
municipal development. This was a common method of funding local bodies and other public bodies in
those times, when central Government had little money available. An endowment gave a town, harbour
board, hospital authority, charity or university a steady income from rentals.
Leasehold properties in Waitara
There are approximately 780 leasehold properties in Waitara. To our knowledge, this is the largest local
authority-owned leasehold portfolio remaining in New Zealand. Around 700 of these leasehold properties
are residential leases, the rest are commercial, industrial and farm leasehold properties. Approximately
one quarter of all residential properties in Waitara are leasehold properties. There is also endowment
land used for municipal purposes, and a small portion is vacant.
Leaseholders have a perpetual right to renew their lease, with rents set every 21 years for most
properties (although there are some on 7 and 10 year renewal cycles). Rents are set in accordance with
the Public Bodies Leases Act 1969. Rents are set at a market rate at the start of the cycle but, as they are
fixed for the cycle, rents are substantially below market rates by the end of the cycle. This means that
rents can jump considerably when renewed. Leaseholders renewing today are often moving from paying
a few hundred dollars per annum to $4,000 to $5,000 per annum. Leaseholders are also responsible for
paying rates. This places some leaseholders under considerable financial stress upon renewal. Although
they have had a substantial discount for a number of years, some leaseholders do not adequately provide
for future increases. Using census data, we estimate that approximately 40 per cent of leasehold
properties are sub-leased as residential tenancies at market rates (the average rent of a house in Waitara
is approximately $290 per week). Also, of course, it is cheaper to purchase a leasehold property because
the purchase price does not include the price or value of the underlying land.
Existing legislation
Most of the endowment land in Waitara is governed by the Waitara Harbour Act 1940 (the WH Act), with
the Waitara Borough Reserves Vesting Act 1909 also applying to some of the land. Some land even
continues to be held under the original 1876 Gazette notice.
The WH Act governs the majority of endowment land
(shaded red and purple in the map on the next page). The
WH Act dissolved the Waitara Harbour Board as the
Waitara River was no longer being used as a harbour. It
provides that the Council can use the funds derived from
the endowment land for river erosion control,
maintenance or reconstruction of the Waitara River Bridge,
harbour lights, retirement allowances and administration.
These purposes are out-dated and the Council no longer
requires a substantial endowment to support these limited
activities. The New Plymouth Harbour Board (now Taranaki
Regional Council) can use “surplus moneys” for general
harbour purposes following either agreement with the
Council or a Commission of Inquiry.
Waitara Port and Freezing Works, year unknown
The Waitara Borough Reserves Vesting Act 1909 (the 1909
Act) meanwhile governs a small number of leases (shaded brown in the map). The 1909 Act provides for
the land to be leased and rents used for the Waitara Library. It does not address the sale of property.
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
5
The 1876 Gazette notice that still governs a small proportion of land was made under regulations under
the New Zealand Settlements Act 1863 and the New Zealand Settlements Amendment and Continuance
Act 1865. The income from these properties (shaded orange in the map) can be used for “town
improvement”. There is a small proportion of leasehold land that is owned by the Council with no
restrictions (shaded yellow). There are also a significant number of properties that have two or more
statuses applying to them – creating legal confusion about the use of income from those properties
(shaded blue).
This myriad of endowment statutes and out-dated legislation provides significant barriers to the Council
in administering the estate, and requires further legislation to alter.
A map of endowment land in Waitara.
Land vested by the Waitara
Harbour Act 1940
Land subsequently made subject to
the WHA 1940
Land subject to the Waitara
Borough Reserves Vesting Act 1909
Town improvement land under the
1876 Gazette notice
Land with no statutory restrictions
Mixed statuses
Previous reform attempts have not succeeded
In 1989 the Council, upon amalgamation, resolved to adopt a policy of permitting Waitara leasehold
owners to purchase the freehold estate, subject to further investigation. This resulted in a 1991 decision
to promote local legislation to Parliament to facilitate freeholding and enable all funds derived from sales
to be credited to the Council’s general account. In 1992 the New Plymouth District Council (Land Vesting)
Bill was introduced to Parliament. This six clause Bill would have removed the trusts, endowments and
restrictions, with all rents and sales proceeds (if the Council decided to sell) being put into the Council’s
general account.
The 1992 Bill stalled at the select committee stage because of concerns by the Government of the day
around Treaty of Waitangi claim issues with Te Atiawa. The Crown asked the Council to work with the iwi
to find an appropriate position to address the iwi concerns. However, the Council and the Te Atiawa
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Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
Tribal Council could not find a position that both parties could agree to. The Crown reiterated to the
Council on a number of occasions that the land was ‘private land’ (from the Crown’s perspective) and
therefore fell outside of scope for Te Atiawa’s Treaty settlement.
In 2002 the Council began to review its position on the Waitara endowment lands. The Council
commissioned reports to investigate and document the history of the Waitara lands. The Council also
assessed a wide range of options.
After three rounds of consultation over two years, the Council resolved to withdraw the 1992 Bill from
Parliament and to sell the leasehold land to the Crown for fair market value for inclusion in a Treaty of
Waitangi claims settlement for Te Atiawa if the Crown and Te Atiawa so wished. The resolution also
required the rights of leaseholders be preserved.
The Waitara Leaseholders Association Inc. challenged this decision. The High Court ruled largely in favour
of the leaseholders in two decisions in 2004 and 2005. The Council appealed this decision. The Court of
Appeal decided in favour of the Council in 2006. The Waitara Leaseholders Association sought leave to
appeal to the Supreme Court, but leave was denied in 2007. Further litigation by over 100 individual
leaseholders was ultimately dismissed in 2010. The Council expended considerable resource and cost in
fighting these legal battles to enable the Crown to purchase the leasehold estate to include in Te Atiawa’s
Treaty settlement. The depth of feeling of the leaseholders is also very evidence from the length they
went to challenge the decision.
In 2010 the Council entered into a conditional sale and purchase agreement with the Crown that
provided for the transfer of the leasehold land to the Crown if Te Atiawa decided to uptake the Waitara
endowment land as part of its Treaty settlement. In accordance with the Council’s 2004 resolution and its
fiduciary and legal obligations under the Local Government Act 2002, the agreement provided for the
purchase price that the Crown paid to be a fair market value.
New Plymouth District Council and Taranaki Regional Council also came to an agreement in relation to
the use of sales proceeds for the Waitara harbour land that reflected Taranaki Regional Council’s
contingent interest under the WH Act in 2010. We understand that the Crown and Te Atiawa agreed that
the Waitara endowment land would become part of the commercial redress rather than cultural redress.
The Council and Crown agreed in October 2013, through an independent valuation process, to a
provisional purchase price of $23m for these properties. Following this, the Crown engaged in
negotiations with Te Atiawa to determine if Te Atiawa wished to proceed with the acquisition at the price
of $23m. We note that it was the Crown’s decision that the $23m would be the value of the leasehold
land in the settlement.
Meanwhile, Te Atiawa approached the Council directly with an alternative offer to purchase the land for
$16.3m, which the Council was unable to accept as it fell outside of the Council’s 2004 resolution and
legal obligations and the terms of the agreement with the Crown, as the price offered did not represent a
fair market value.
In 2014, the Council was notified that the Waitara endowment land would not be included as part of the
Treaty settlement, and the agreement between the Crown and the Council was terminated. We
understand there were a variety of reasons. These include that the leaseholders have a perpetual right to
lease meaning Te Atiawa could not use the land for its own purposes, and that the $23m price was
considered too high for leased land. Te Atiawa instead received financial redress of $23m.
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
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Process followed in development of this Bill
The Council has sought a new way forward following the Crown and Te Atiawa decision to not include the
Waitara endowment land in the Te Atiawa Treaty settlement.
In August 2014 the Council resolved to enter into a Heads of
Agreement with Te Kotahitanga o Te Atiawa Trust on the future of
the Waitara endowment land. The Minister for Treaty of Waitangi
Negotiations was involved in this initial negotiation period. The Heads
of Agreement was signed on the eve of the Te Atiawa Deed of
Settlement being signed between the Crown and Te Atiawa. The
Heads of Agreement sees the Council promoting new legislation to
govern the Waitara endowment land. We attach a copy of this Heads
of Agreement for your information. There are some changes from the
Heads of Agreement to this Bill that benefit Te Atiawa, such as
doubling the land for Te Kotahitanga to develop.
Following almost two years of detailed due diligence, discussions and
decisions, the Council agreed in April 2016 to consult the public over
a draft version of the New Plymouth District Council (Waitara Lands)
Bill that implements the Heads of Agreement. The statement of
proposal was sent to all leaseholders, and Te Kotahitanga provided
Our community consultation document
copies to hapū and those who whakapaka to Te Atiawa. During the
one-month consultation period, Council staff ran ‘drop-in’ sessions at the Waitara Library and Service
Centre as well as a public question and answer session at the Waitara War Memorial Hall. The Council
received 141 submissions on the draft Bill, predominately from leaseholders. The Council considered
these submissions, and made a number of changes to the Bill. The Council then notified the Bill as
required by Standing Orders from 8 to 31 August 2016.
We have attached a copy of the Bill as consulted upon under the Local Government Act 2002 provisions,
and a version showing changes made to it prior to introduction.
Waitara’s West Beach, looking towards the Waitara River. This land is vested in Te Kotahitanga o Te Atiawa Trust by
the Bill, with co-governance with the Council as a recreation reserve (with Council undertaking day-to-day
administration and therefore covering all costs).
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Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
The Bill’s key proposals
There are a number of competing and legitimate interests in the Waitara endowment and leasehold
lands. The Bill proposes an approach that accommodates and takes into account, as much as possible,
these competing interests. However, there are always going to be parties who are not fully satisfied. It is
a difficult balancing act. There are three main aspects to the Bill. All three aspects of the Bill are key to its
success. The history of attempted resolutions shows that each part is critical to the success of the others
and favouring one interest over others will not work.
1. Land in Waitara will be vested in Te Atiawa
The Bill proposes to vest land in Te Kotahitanga o Te Atiawa Trust. This will significantly increase the
amount of Te Atiawa collectively-owned land in Waitara. Returning confiscated land to Te Atiawa has
been the aim of the Council since 2004, and we are pleased to be able to vest this land in Te Atiawa as
part of a wider resolution. In total, the Bill will vest in Te Atiawa, or provide a right of first refusal over,
approximately 45 per cent of the Waitara endowment land, and about 20 per cent of the Pekapeka Block.
This is on top of other Te Atiawa land holdings in Waitara.1
The vesting includes approximately
13ha of prime vacant coastal
residential-zoned land (in purple)
that Te Kotahitanga can develop in
the future as it sees fit (within the
District Plan framework). There is
strong development potential for
this site. This land could, for
instance, be developed into over
130 standard residential sections,
or could have other iwi/hapū uses.
We understand that Te Kotahitanga
intend to work with the hapū to
determine the best future use of
this opportunity.
Land to be transferred to Te Atiawa, including right of first refusal land.
Te Kotahitanga will also have vested in it the underlying ownership of three areas of reserve land with
joint strategic decision-making and Council day-to-day administration, including bearing all costs (in
yellow). This includes the beach front areas owned by the Council, as well as Clifton Park (where a major
new multi-purpose sporting complex is being developed). The East Beach borders the Rohutu Block, a
significant Māori-owned block of coastal land. The West Beach currently comprises Marine Park (with a
playground, open space and walkways), the Waitara Motor Camp, open space and some grazing areas.
Te Kotahitanga will also have the right of first refusal to purchase two significant blocks of land in Waitara
from the Council should the Council decide to sell them in the future (shaded orange). This includes the
Council-owned 16ha of Ranfurly Park (a further 8ha of Ranfurly Park is Crown-derived reserve), and part
of the Waitara Golf Club land. Ranfurly Park is currently used by the Waitara Pony Club (lease expiring
2022, with a right of renewal for a further 10 years); however it is suitable for development in the future
(subject to re-zoning in the District Plan). The Waitara Golf Course land (lease expiring 2024) is suited to
recreation or farming purposes.
Te Atiawa also recieve land in Waitara from the Crown as part of their Treaty of Waitangi settlement,
including approximately 5ha of vacant residential zoned land.
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Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
9
The removal of statutory restrictions on endowment land also means that some other minor parcels of
land within Waitara may become available for Te Kotahitanga or the hapū to purchase in the future.
There is approximately 7 hectares of such endowment land. Some of this land is vacant. Some of this land
is used for municipal purposes, including playgrounds, parks, the Waitara swimming pool, pensioner
housing, a former Council depot and the waste transfer station. The Bill requires the Council to seek and
have particularly regard to the views of Te Kotahitanga in considering selling this land thus providing an
ability for Te Kotahitanga to indicate its desire to purchase. This complements the Council’s existing land
sales policy to offer land to iwi and hapū first (unless good reason exists). We also intend to enter into a
memorandum of understanding with Te Kotahitanga on land transfers (throughout Te Atiawa’s rohe)
once their settlement legislation is enacted.
None of this transfer land is residential leasehold land, although there are non-registered leases in place
over parts of the land vested for reserves, as well as the land subject to rights of first refusal (including a
registered but non-perpetual lease for the Waitara Golf Club that will not have a right to freehold). There
are also two perpetual leases inside the West Beach transfer land that cannot be vested with Te
Kotahitanga because the Council does not own all estates in the properties and the leaseholders will
receive the right to freehold. However, there is provision in the Bill to include these properties in the
reserve land in the future if the Council ever owns these properties outright.
This policy objective is contained in subparts 2 and 3 of Part 2 of the Bill, as well as much of Part 5. Parts
1, 3 and 4 of Schedule 3 contain the relevant land descriptions.
2. Leaseholders have a right to freehold
Secondly, the Bill provides that the Waitara leaseholders have a right to purchase the freehold title to
their properties. The opportunity to freehold has long been sought after by leaseholders. The Council has
previously attempted to enable freeholding through the 1992 local Bill and has been taken to court by
leaseholders seeking to freehold. The Council now believes it is time to give leaseholders not only the
ability to freehold, but a permanent statutory right to do so.
Leaseholders who wish to purchase the freehold title can do so by paying the unimproved land value at
the time of the purchase. There will be no obligation or time constraints on leaseholders. This right
applies to all perpetually renewable registered leases of the Council land in Waitara (the Waitara Golf
Club lease is not perpetual and does not gain that right).
Providing a right to freehold will mean that even leaseholders who cannot necessarily afford to freehold
will benefit. The leasehold status of one-quarter of the town has significant impacts on the property
market, with many leasehold properties being difficult to sell. We have already noticed an upturn in the
leasehold market as a result of this proposal being made
2013 Rateable land values of leasehold properties
public; and we expect that (should the Bill be enacted)
600
leasehold properties will be more marketable in the
500
future with faster sale time and potentially higher prices 400
being obtained. We are also aware that some
300
leaseholders have not invested in their property in fear
200
100
of over-capitalising a leasehold property; so a provision
0
of a right to freehold should provide more confidence to
invest in the property.
This policy objective is contained in Part 3 of the Bill,
and Part 2 of Schedule 3 contains the relevant land
descriptions.
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Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
3. Rents and sale proceeds will be used to benefit the Waitara community
Thirdly, Te Atiawa and hapū will have co-governance of the proceeds of the leasehold estate (both rent
and sales proceeds). The Bill splits accumulated and future funds from ongoing rents and sales proceeds
between New Plymouth District Council and Taranaki Regional Council. New Plymouth District Council
and Taranaki Regional Council will equally split proceeds for land currently subject to the WH Act (this
land is approximately 80 per cent of all of the Waitara endowment land). All proceeds from other
endowment and leasehold lands will go solely to New Plymouth District Council. Iwi and hapū are
involved in the distribution of these funds from each local
authority, albeit in different ways.
New Plymouth District Council’s share
New Plymouth District Council share of the proceeds will be
invested into a perpetual fund. This means the fund can grow or
hold its value each year, although it can lose value as a result of
market conditions or if earnings are not retained to match
inflation.
A statutory Board will be established to distribute an ‘Annual
Release’ from the Fund. The Board will have three members
Schedule 1 defines the area of Waitara as including
appointed by each of the Council and Te Kotahitanga o Te
the current urban area, identified future urban
Atiawa Trust. This creates a forward-looking and enduring
areas, the Pekapeka Block and all endowment land.
partnership between Waitara’s territorial authority and mana
whenua iwi. It provides iwi and hapū with co-governance on the proceeds of the endowment land for the
land that is not returned to them.
The Bill requires that the Board must attempt to make its decisions unanimously. However, the Council
will appoint a chair with a casting vote that can be used for split decisions if required. The Chair can be
selected from any of the 6 members (i.e. not just the Council’s appointees). Furthermore, the Chair must
rotate annually unless all members agree otherwise to ensure there is no long-standing Chair. The
appointment of the Chair by the Council is not supported by Te Kotahitanga. Its inclusion by the Council
reflects that the Council has wider community responsibilities and obligations.
The amount of money available for the Annual Release will be determined by the Council following
consultation with the Board. Furthermore, the Board will recommend a policy to the Council on how the
Council will set this amount, and the policy must be included in the Council’s Long-Term Plan. The policy
must take into account the desirability of maintaining or increasing the real value of the capital of the
fund. These provisions reflect the Council’s role as guardian of public monies and our responsibilities to
account for money in our long-term and annual plans under the Local Government Act 2002.
The statutory Board will determine the distribution of the Annual Release. The Annual Release must be
used to benefit the Waitara community, or a part of the Waitara community. The Bill provides two
guiding mechanisms for the Board. Firstly, the Bill sets out a list of examples on the use of the Annual
Release. These examples are similar to the provisions that govern lottery grant distributions in the
Gambling Act 2003 (s277). Secondly, the Bill requires the Board to consider the social, economic, cultural
and environmental issues of importance to the Waitara community to provide a strategic framework in
deciding the distribution of the Annual Release. The issues of importance will be assessed by the Board
on a 3-yearly basis after consultation with the Waitara community.
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
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These provisions are designed to allow the Annual Releases’ uses to change over time to suit the
changing needs of the Waitara community rather than having a defined list of uses that may become outdated as has happened with the current statutory framework.
Taranaki Regional Council’s share
Taranaki Regional Council will have priorities for how it uses it share of proceeds for the performance of
its responsibilities. Taranaki Regional Council will first and foremost have to spend the proceeds within
Waitara or for the benefit of the Waitara community. As part of this, Taranaki Regional Council can use
the funds to recover the costs associated with its recent flood protection scheme work (as that is the
most substantial investment in Waitara by Taranaki Regional Council in recent years, is funded by internal
borrowing repaid by a targeted rate, and could have been funded from the Waitara Harbour Act
endowment if funds were then available). The proceeds can accumulate over time, rather than having to
be spent as they come in. Taranaki Regional Council can also use its funds outside of Waitara if it cannot
identify projects within its mandate in Waitara and chooses not to accumulate them until a suitable
matter arises. Taranaki Regional Council can only do so if such a proposal is included in its Long-Term Plan
or Annual Plan that is subject to public scrutiny and input.
Te Atiawa (and the other iwi of Taranaki) will have an opportunity to be represented on Taranaki
Regional Council’s standing committees under the Te Atiawa Claims Settlement Bill (and other settlement
legislation) currently before the House.2
The Bill represents a significant shift for Taranaki Regional Council in applying its share of funds for the
benefit of the Waitara community. At present, Taranaki Regional Council can use any proceeds for
‘general harbour purposes’ within Taranaki.
Amount of funding available
The leasehold properties provide about $1.3 million per annum in rent currently. The current rateable
land value of the leasehold properties is over $60 million. However, the income from sales proceeds will
take time as leaseholders will not all freehold immediately. This means there is a high degree of
uncertainty in how much funds will be available immediately.
$2.0
NPDC Annual Release forecast
Millions
$1.5
$1.0
$0.5
$-
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
2036
2037
Our modelling indicates that, in a few
years’ time, over $500,000 could be
available to Waitara annually from New
Plymouth District Council’s Annual Release,
rising steadily to around $2 million per
annum in the next 20 years. Taranaki
Regional Council could have over $25
million accumulate over the next 20 years
to invest in projects as they arise. This
modelling is based on a range of
assumptions.
Such a substantial amount of money for investment into a community of fewer than 7000 residents
should enable the community to prosper, develop and grow in the future.
This policy objective is contained in Part 4 of the Bill, as well as Schedules 1 and 2.
The eight iwi of Taranaki will jointly have three representatives on the Policy & Planning Committee and the
Consents and Regulatory Committee.
2
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Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
Key issues that you will need to consider
The Council has consulted with our community on an earlier draft of this Bill. We received 141
submissions, with the majority of submissions coming from leaseholders. While we addressed some
concerns, a number of key issues arose from those submissions that are likely to be raised with you also.
Relationship with the Te Atiawa Claims Settlement Bill
The Bill and the Te Atiawa Claims Settlement Bill (the TACS Bill) are inter-related. Clause 117 of the TACS
Bill addresses the Waitara endowment land, following Te Atiawa negotiators’ decision not to uptake the
Waitara endowment land as part of their settlement. The Council was informed this clause would be
included in the TACS Bill but was given limited opportunity to comment on its inclusion.
Clause 117 of the TACS Bill provides that, if
the Council sells any part of the Waitara
endowment land to Te Kotahitanga, the
existing statutory restrictions on the use of
funds removed. The provision is designed to
incentivise the Council to sell the Waitara
endowment land to Te Kotahitanga. There is
no obligation on the Council to sell, nor an
obligation for Te Kotahitanga to purchase.
The provision does not, in our view,
represent a successful path forward for the
Waitara endowment land. As there is a
monopsony (single buyer) situation, it is
unlikely that Te Kotahitanga would agree to
a price that the Council could accept under
Owae Marae, Waitara
its wider fiduciary obligations. Te Atiawa
negotiators previously rejected a fair market value for the land. Clause 117 does not address ongoing
rents, take into account the contingent pecuniary interests of Taranaki Regional Council, nor the interests
and expectations of leaseholders. It is unlikely that clause 117 of the TACS Bill would be invoked by the
Council. When this Committee considered the Te Atiawa Claims Settlement Bill, it inserted a provision
that clause 117 is repealed if the statutory restrictions are uplifted (which this Bill provides for).
This local Bill gives Te Kotahitanga outright ownership of some land, a right of first refusal over more
land, and the underlying title to some reserve land – totalling approximately 45 per cent of the
endowment land. Te Kotahitanga are also included in a new co-governance model for the proceeds from
the remaining 55 per cent. Individual Te Atiawa leaseholders also gain the right to freehold their
leasehold properties. The Bill also enables the Council to sell the leased and non-leased endowment land,
and in doing so the Council must seek and give particular regards to the views of Te Kotahitanga. This
gives an opportunity for Te Kotahitanga to purchase more land from the Council, should it so wish.
The Heads of Agreement was developed in the weeks between the announcement of the leasehold not
being included in the Treaty settlement and when the Deed of Settlement was signed between the Crown
and Te Atiawa. The Heads of Agreement was, at that time, seen as complementing the Deed of
Settlement in that it provided a resolution of the Waitara endowment lands issues that the Deed of
Settlement did not provide. When the Council and Te Kotahitanga entered into the Heads of Agreement
both parties were aware of clause 117 of the TACS Bill.
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
13
It is important to note that this Bill is not a part of the Te Atiawa Treaty of Waitangi settlement. While
some in Te Atiawa see it as a continuation of the settlement process and it has many facets in common
with Treaty settlements, such as an RFR process and shared governance of reserves, it has significant and
wider implications for the whole community of Waitara. Te Atiawa have entered into a full and final
settlement with the Crown being implemented by settlement legislation. However, the Council
acknowledges the traditional owner and mana whenua of Waitara in seeking a lasting resolution to the
competing interests in the Waitara lands that sits outside the final version of the settlement process
negotiated by Te Atiawa with the Crown.
The price to freehold
The most common issue raised by submitters to the Council was on the price to freehold. The Bill we took
to our community, and the Bill in front of you, requires leaseholders pay the unimproved land value for
the property. Leaseholders will also need to meet any costs associated with any required resource
consents (subdivision) and building consents – this does not affect many properties. Leaseholders will
also pay for the reasonable costs of the Council in the transactions (such as valuation and legal costs).
This is set out in clauses 20 and 21.
The unimproved land value is a well-tested valuation mechanism to assess the value of land for
freeholding. It is effectively a market value in that it assesses what the property would sell for on the
open market without any improvements on, or to, the land. It is as though the Council were selling a
vacant section in the existing neighbourhood. The unimproved land value is used as a component to work
out rents in Waitara. It is a common methodology for calculating the price to freehold and has been used
in Taranaki, including the Council’s recent sale of Junction Road endowment farm leases, Taranaki
Regional Council’s New Plymouth leases, and the church-owned Whiteley leases in New Plymouth.
While it may seem unfair that leaseholders
have to pay Council costs in the freeholding
transaction, this is because freeholding is
an entirely private benefit. It is not fair that
other ratepayers (who do not benefit from
freeholding) should pay the Council’s costs.
In most cases these costs will not be
significant, comprising valuation costs and
the legal costs of transferring a title. As so
many properties are involved, the relevant
professionals will likely work out fairly
priced packages.
Leaseholders sought in their submissions
Residential leasehold properties in Waitara
to the Council various types of lower prices
and discounts. Submitters said that many
leaseholders are elderly and that Waitara is a low socio-economic town so the unimproved land value
may be unaffordable. Another common point was that there have been previous promises or attempts to
allow leaseholders to freehold, including the 1992 Bill introduced to Parliament (and eventually
withdrawn by the Council) and the price now should be tied to a historic price. Another frequent point
was that the Council’s provisional sale and purchase agreement to sell the leasehold land to the Crown
(for Te Atiawa’s Treaty settlement) was for the price of $23m (fixed valuation date of 15 April 2013),
which is substantially lower than the current approximately $60m value of the portfolio.
14
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
Freeholding involves the unimproved land value. The average land value of the leasehold properties is
$90,000 as of the 2013 rating valuations. There is, however, a range within that depending on the size
and location of the property. The Council will be able to provide the Committee with an updated value
once the 2016 rating valuations have been released later this year (we expect, based on recent sales
data, approximately a 25 per cent increase in rateable land values). It should be noted that rateable land
values include some improvements to the land (retaining walls, drains etc., not buildings), whereas the
proposed valuation mechanism in the Bill excludes such improvements – there is usually a 3-5 per cent
difference in these valuations, but they can be much larger (one recently assessed leasehold property in
Waitara had a difference of nearly 25 per cent).
The conditional (and now terminated) sale and purchase agreement with the Crown had a provisional
price of $23m for the lessor’s interest in the leasehold estate. This reflected the substantially different
nature of that agreement. The Crown was purchasing, to transfer to Te Atiawa, the underlying title of the
leasehold properties. Te Atiawa would have been bound by the perpetual leases, so would not have been
able to use or do anything to the land. The price was therefore set on the basis of future rent proceeds
from the leases rather than on the value of the land. Under this Bill, leaseholders who purchase the
freehold title will, in contrast, own the land outright and will have full legal rights to do as they wish with
the entire property.
We note that while many of the submissions were concerned about reducing costs for poorer
leaseholders, in fact about 40 per cent of leasehold properties are sub-leased as residential tenancies.
This means that they are investment properties.
The current interest rate market makes freeholding an
affordable alternative to continuing to leasing,
particularly for leaseholders who have recently
renewed their lease. For instance, one leaseholder
recently renewed the lease on their property, with an
unimproved land value of $85,000, and now pays $78
per week in rent. If that leaseholder purchased the
freehold estate with a 20 per cent deposit ($17,000),
their mortgage repayments would be $77 per week
(4.25% interest, 30 year term). An interest only loan of
$85,000 at 4.25% would cost $74 per week. Long-term
interest only loans are not common from institutions
but could feature in intra-family loans or could even
be seen as an appropriate investment by Te Atiawa for
the estimated 100 leaseholders of Te Atiawa.
Waitara River walkway
Providing leaseholders with a right to freehold enables leaseholders to determine when they would like
to freehold themselves. Leaseholders will be in control of the process to freehold. This means the Council
cannot maximise the returns from the leasehold estate for the wider community. For instance, if the
property market collapses (for whatever reason), then leaseholders will be able to take advantage of this
by freeholding as the Council cannot decline an application. Similarly, the current low interest rate
environment means rents from recently renewed properties are likely to be higher yields than returns
from the Council’s investing the freehold sales proceeds.
The Council does not believe it is appropriate, prudent, or consistent with legal obligations to offer a
discounted price for leaseholders to freehold. Any discount will create private pecuniary gain for
leaseholders with no corresponding gain for the community (indeed, the community will see less funding
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
15
available for the future). Having a perpetual statutory right to freehold places leaseholders in a strong
position to maximise their financial position.
Discounting the freeholding price would also lead, logically, to calls by leaseholders who are not
freeholding to reduce their rents. For reasons explained later, that is not appropriate either.
Fixed price introduction offer
The Bill has an ‘introductory offer’ fixing the price for one year upon enactment, with some costs coming
from proceeds rather than as an additional cost on leaseholders. This provides time for leaseholders to
obtain finance and consider financial advice in the first year without being concerned about land price
inflation in that year as well as providing some incentive to freehold in the first year. This could fairly be
called a ‘kick start’ incentive, to be met from the fund, not ratepayers as a whole. We are also developing
an administrative package, outside of the Bill, to support leaseholders, such as facilitating finance from
the private sector.
The potential for the Council to sell the freehold estate of leasehold land to a third party
The Bill includes provision for the Council to be able to sell the freehold estate of leasehold land to third
parties (clause 23). While the Council has no plans to do so now or in the near future, when creating
legislation it is prudent to provide opportunities for the future. There has been no substantive changes to
the legislation surrounding the Waitara endowment land for over 75 years, since 1940, and the Council
seeks future flexibility without having to seek amendments in the future.
Leaseholders have expressed concern about what protects them if the Council sold the freehold estate of
their property to a third party. There is protection for leaseholders from increasing rents as their lease
specifies that the Public Bodies Leases Act 1969 (or its predecessor) applies in setting rents. This cannot
be altered without the leaseholder’s approval. Furthermore, the right to freehold will attach to the title
of the property and cannot be removed or denied by a future landlord.
Many of the concerns around this provision
were about investors buying and seeking a
profit by increasing rents. However, there are
many different bodies that may want to
purchase the freehold title of a leasehold
property. These could include social housing
providers, family members of elderly
leaseholders and family trusts. It is also
possible that because of changes of
relationships, and deaths, the names on leases
are not completely the same as the name of
the leaseholders who would want to freehold.
Te Kotahitanga sought (as part of their
submission to the Council) a right of first
Waitara town centre. A number of the shops are leasehold properties.
refusal if the Council ever seeks to sell any
leasehold land to a third party. This is despite
agreeing, as part of the Heads of Agreement, that the Bill would include the “unrestricted ability of the
Council to sell the freehold interest in the balance in the Waitara land (excluding the Transfer Land and
the RFR land)”. The Council does not wish to provide an express statutory right of first refusal in the
leasehold land because (as noted above) there will be a variety of people who may wish to purchase the
freehold estate to a leasehold property, including family members of elderly leaseholders and family
16
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
trusts. While we are generally supportive of the concept Te Kotahitanga seek, we do not wish to block an
adult child of an elderly leaseholder purchasing the freehold estate to help their parents out.
The Bill now includes, at clause 23, a requirement that the Council seek and have particular regard to the
views of affected leaseholders, Te Kotahitanga o Te Atiawa Trust and Taranaki Regional Council before
selling the freehold title to a third party. The drafting used here is deliberately stronger than a standard
consultation requirement in legislation and places an active obligation on the Council to seek and
properly consider views.
We believe that this provision creates a compromise between the competing parties claiming interest in
this land. It allows leaseholders to have their views taken into account and also exercise the option to
freehold if they wish. Te Kotahitanga has an opportunity to put their hand up if they wish to purchase
leasehold land in Waitara, and Taranaki Regional Council has an opportunity to consider and comment on
the financial implications for them. While it is not a right of first refusal for Te Kotahitanga, it places
considerable onus on the Council to consider whether or not Te Kotahitanga desire to purchase the
freehold estate to the leasehold land. It enshrines in legislation a long established and effective Council
policy of involving iwi and/or hapū whenever Council has land for sale anywhere in its district.
Local authorities cost recovery
The Bill includes a provision for the Council to recover its
costs in administering the endowment and leasehold land.
This includes historic costs for both New Plymouth District
Council and Taranaki Regional Council. This is set out in
clause 24.
There were concerns about the Council recovering costs. It
is a basic principle of endowment funds that they pay for
their costs first and foremost, as they are designed to
provide additional income to local authorities for specific
purposes or localities. It would be unfair for all ratepayers
of New Plymouth District Council and Taranaki Regional
Council to pay costs when the benefits fall to one
township only.
Rangi Bailey carving, West Quay Waitara
The inclusion of historic costs may appear to be unusual. This is not an attempt to retrospectively
legitimise or validate costs, or to retrospectively change who pays these costs. The need to include this
provision arises from the unique nature of the WH Act endowment land, whereby two local authorities
have incurred legal and other costs as a result of litigation and previous attempts to resolve the issues at
hand, but only one of those (NPDC) is able to recover its costs under the current legislation.
Taranaki Regional Council’s share
Taranaki Regional Council receives, under the Bill, half the proceeds from the ongoing rents and sales
proceeds from land currently governed by the WH Act. The Regional Council can use its funds to
undertake projects within its mandate that benefit the Waitara community, as well as recovering its costs
from its recent flood protection scheme work.3 If the Regional Council cannot identify projects within its
This scheme raises the flood protection control to protect the town up to a one-in-a-hundred year flood. It
represents a significant investment in protecting the Waitara community given the flood-prone nature of the
town. The scheme is being funded from internal borrowing and repaid by a special targeted rate that would be
reduced or eliminated if Taranaki Regional Council allocated its funds to that purpose.
3
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
17
mandate in Waitara, it can, through its consulted upon long-term or annual plan, use those funds outside
of Waitara. This is set out in clauses 24 and 25.
A number of submissions to the Council’s
process did not support the inclusion of funds
for the Taranaki Regional Council, the ability of
Taranaki Regional Council to use funds outside
of Waitara, or the ability to recover the costs of
the recent flood protection scheme. The
submissions against the proposed provisions for
Taranaki Regional Council did not take into
account the existing provisions under the WH
Act. Taranaki Regional Council is the successor
of the Taranaki Harbour Board (itself the
successor to the Waitara Harbour Board). The
WH Act includes ability for the Taranaki
Harbour Board to receive any ‘surplus’ funds for
Waitara Wharf by the Waitara River, restored in 2009
general harbour purposes (for all of Taranaki, it
is not limited to the Waitara harbour). It also includes provisions for New Plymouth District Council (as
successor to the Waitara Borough Council) to use funds for the prevention of erosion along the Waitara
River – a responsibility that now lies with Taranaki Regional Council not New Plymouth District Council.
The Regional Council therefore has a contingent pecuniary interest in WH Act endowment land.
An equal split of the funds arising from the WH Act endowment land is the simplest and fairest solution
to reflect that both local authorities have interest in the proceeds at present. This split was initially
agreed to by the two local authorities when the Crown was going to purchase the land for Te Atiawa’s
Treaty of Waitangi settlement, and both local authorities have agreed to continue this approach in this
Bill. While Taranaki Regional Council have a contingent interest in the WH Act land, they have not
received any proceeds from the land to date.
Taranaki Regional Council has a different mandate than New Plymouth District Council under the WH Act.
Indeed, Taranaki Regional Council could use funds today if such funds were available to them. The two
local authorities have different starting points in applying future proceeds from the WH Act endowment
land. Taranaki Regional Council has therefore made a substantial commitment to use its funds within
Waitara first and foremost given its region-wide mandate and the existing statutory provisions.
Rents
You may receive submissions on the rent paid by leaseholders. The Bill does not address how rents are
set or any other term of the lease (other than introducing a new right to freehold). Changes to the way
rents are set would likely be outside of the scope of the Bill.
Rents are generally set on 21 year cycles, although there are some on shorter terms (7 or 10 years).
Renewing leaseholders are currently generally shifting from paying a few hundred dollars per annum to
$4000-$5000. However, most leaseholders are paying less than $1000 per annum for the use of the land.
Rents are set in accordance with the Public Bodies Leases Act 1969, as set out in the lease that
leaseholders have signed. We acknowledge that there are some leaseholders who find paying the rent
difficult, particularly following a rent renewal. However, the 21 year rent renewal cycle (that most
leaseholders are on) means that for much of the term leaseholders are paying below market rates.
Whatever the rents, there is limited scope to address rent issues under current legislation.
18
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
<$200
$200-$400
$400-600
$600-$800
$800-$1000
$1000-$1200
$1200-$1400
$1400-$1600
$1600-$1800
$1800-$2000
$2000-$2200
$2200-2400
$2400-$2600
$2600-$2800
$2800-$3000
$3000-$3200
$3200-$3400
$3400-$3600
$3600-$3800
$3800-$4000
$4000-$4200
$4200-$4400
$4400-$4600
$4600-$4800
$4800-$5000
$5000-$6000
$6000+
Lease renewals are an
Current annual rents paid by leaseholders
200
opportune time for
175
leaseholders to consider
150
whether or not to
125
purchase the freehold title
to their property. A
100
leaseholder midway
75
through their rent renewal
50
cycle is likely to face a
25
significant increase
0
replacing rent with a
mortgage payment. A
leaseholder with a recently
renewed rental (or a
renewal on the near
horizon) is likely to find rent and mortgage payments are similar. Reducing rents would unjustifiably
increases the value of the lessee’s interest; which the leaseholder can sell to another party at any time.
Returning of all endowment land to Te Atiawa or hapū
While this Bill provides for approximately 45 per cent of the endowment land to Te Atiawa, either
through direct vesting or by rights of first refusal, and co-governance of the proceeds of the remaining
lands, and that Te Atiawa negotiators declined the uptake of the leasehold lands in their Treaty
settlement, some in the community have called for the return of all endowment land to Te Atiawa and, in
particular, the hapū. This reflects that it was confiscated land and should therefore be returned.
To do this would be inconsistent with the Council’s wider statutory obligations regarding prudent
financial conduct. Irrespective of how the Crown acquired the Pekapeka Block, endowing it on the
predecessors of the Council was a legal act and the land is an asset in the Council’s books.
The logic behind statements that the Council is the receiver of stolen goods and should give them back
could apply to endowments granted to local authorities, universities, health boards, and various other
public bodies all over New Zealand. Similar land will now likely be held by and in the books of other
related entities such as port companies (some of which are privatised and even listed, but still Council
controlled).
If the concept is valid, it should apply to all endowments, or indeed even sales for value, by the Crown of
land taken or purchased unfairly from Māori by the Crown, but to require forfeiture of what is now
regarded as private (i.e. non-Crown) assets would cut across one of the key principles of Treaty
settlements. Further, the bona fide receiver of the land (which did not even exist when the Crown took
the land) would be entitled to look to the Crown for compensation.
These are weighty issues going to the heart of Māori/Crown/public body relationships, private land
owners and society generally. Council submits they are well outside the scope, and certainly not
appropriately addressed, in a local Bill.
Overall community views
In general, the community was supportive of the Bill in our consultation, albeit with various objections to
various aspects. Leaseholders have long sought to freehold, and this is generally strongly supported
within the community. There is also general acknowledgement of Te Atiawa’s history and grievances
(albeit with the Crown not the Council) and the fairness of the restoration of land to them. Some in the
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
19
community did disagree on the basis that Te Atiawa have entered into a full and final settlement and
refused to purchase the freeholds as part of that settlement.
There are two hapū with mana whenua in
Waitara – Manukorihi and Otaraua. These hapū
did not support the Te Atiawa negotiators
declining to uptake the Waitara leasehold land as
part of the Te Atiawa Treaty of Waitangi
settlement. The hapū wish to see the return of all
of the confiscated land to the hapū. This Bill, in
providing a right for leaseholders to freehold, will
remove a considerable portion of land from
public ownership and therefore the best chance
of hapū to see some of the land returned. As
such, the hapū did not support the Bill in their
submissions to Council.
Te Kotahitanga o Te Atiawa Trust are a significant
beneficiary under the Bill. They are supportive of
the general principles of the Bill, as they are
based on the Heads of Agreement entered into by
the Council and Te Kotahitanga. However, there
are some aspects of the Bill that Te Kotahitanga
are not in agreement with the Council over. The
Council has had a balancing task in drafting this
Bill, and some of Te Kotahitanga’s requests are
unfeasible given other obligations.
The Brown Road land. Te Kotahitanga will have this land vested in
it to develop as it sees fit.
Issues outside of the Bill
You may hear complaints about other issues in Waitara. While these sit outside of the Bill, some in the
community may take this as an opportunity to raise these issues at a national level.
The state of infrastructure is one of the Waitara community’s biggest issues. When the Waitara Borough
Council was amalgamated into New Plymouth District Council, much of Waitara was lacking kerbs and
channels on roads, stormwater pipes and footpaths. New Plymouth District Council has invested in
Waitara’s infrastructure since then – most recently in a new pipeline to take Waitara sewerage to the
New Plymouth Waste Water Treatment Plant. However, the investment in stormwater infrastructure has
been stalled for a number of years due the impact this investment has on the District’s ratepayers. Some
properties have surface flooding issues and the lack of stormwater infrastructure is often cited by the
property owners as a contributing factor. We are currently undertaking stormwater catchment
management plans to better understand the stormwater issues in Waitara. Submitters identified
improvements to infrastructure as one of the potential uses of the Council’s Annual Release in our
community consultation. Others do not believe that the Fund should be used as a substitute for rates.
You may also receive comments around the Council’s relationship with iwi, hapū and Māori given that
the Bill provides land and representation for Te Atiawa. For instance, there was substantial community
disagreement in naming two roads in Waitara earlier this year, with the Council deciding to use the
names put forward by the developers rather than names put forward by the hapū. The wider community
has also been debating the role of tangata whenua in the Council’s decision-making processes, most
notably through a binding poll on establishing a Māori ward.
20
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
Greater opportunities for the Waitara community
The New Plymouth District Council (Waitara Lands) Bill provides a substantial opportunity to enhance the
Waitara community. Waitara is a beautiful town, with much potential to develop a brighter future. The
Bill’s three policy platforms mean:



The right to freehold will result in the Waitara market beginning to function as a normal property
market, no longer held back by the blight of the substantial leasehold portfolio,
The proceeds from the leasehold land being invested into Waitara through co-governance
arrangements to grow the Waitara community, and
The transfer of almost half of the endowment land to Te Kotahitanga o Te Atiawa Trust will allow
Te Atiawa to develop and grow its Waitara base.
Combined, we hope that this Bill will change Waitara’s future for the better. We expect that the impact
of this Bill will be to provide real opportunities to improve Waitara. While there is a compromise, and no
party receives all that it wants, there is also substantial benefit to all parties into the future.
This Bill cannot succeed in providing some form of resolution to the Waitara endowment land without all
three policy objectives being fulfilled. We thank all parties for their willingness to engage in finding a
lasting resolution.
We cannot continue to have one of our most important towns held back by out-dated legislation that
blights the township.
We implore you to support this Bill.
Nau te rourou, naku te rourou, ka makona te iwi
Leasehold properties in Waitara
Back cover: The Waitara
River heading towards
the Tasman Sea
Initial briefing on the New Plymouth District Council (Waitara Lands) Bill
21
The name Whaitara (commonly spelled as Waitara) is said to
come from the story of Whare Matangi, the estranged son of
local Ariki (chief) Ngārue, and his quest to be reunited with his
father. Whare Matangi was given a dart (tara) imbued with
magic that his mother foretold would lead him to his father. His
first four throws landed elsewhere but on the fifth throw, the tara
struck Ngārue’s house at the mouth of a river, thereafter known
as Te Whai-tara-nui-a-Ngārue (follow the dart of Ngārue).