Concern Port Motueka fund may be spent elsewhere

April 18th, 2014
[by David Armstrong]

Some of Motueka's leaders and community groups are concerned that money in what was the Port Motueka Endowment Fund is being considered for funding projects in other parts of the Tasman district.

What was a generalised fear has recently come into focus with reports that a new retail development at the old aquarium site on Mapua's wharf, listed in TDC's draft annual plan, may be funded by up to $1.2 million from the fund, now called the Motueka Harbour and Coastal Works Account.

Motueka Community Board member David Ogilvie raised the issue with board members in March, saying that an unknown sum well in excess of $1m and possibly around $3m, which made up the fund when Motueka was its own Borough, is being considered for Council projects district-wide, including the Mapua wharf development.

Tasman Leader editor and Motueka resident Alastair Paulin also referred to this apparent unfairness in his regular newspaper column this week.

David Ogilvie wrote a report for the community board in February in which he spoke of this new development and suggested many other Motueka projects, mostly around Port Motueka, would benefit from access to those funds.

Among his suggestions were: repair to the East Quay areas, parking space and boat ramp arising from the Jackett Island work and logging operations; construction and dredging of a direct channel from the port to Tasman Bay; further development of the Marine area west of Ward Street; repair of Riwaka wharf and jetties; and projects for the Motueka Power Club and the Motueka Yacht and Cruising Club.

"The Motueka port, marina and environs are quite significant for Motueka and its potential for growth, both commercially and recreationally," David said.

The Yacht and Cruising Club is already interested in pursuing this issue further, asking Council to ensure it is consulted before any decisions are made on use of the old Endowment fund.

Keep Motueka Beautiful is also ready to start work on a significant, multi-year project to restore and beautify the whole of the area between the saltwater baths and the Talley's fishing platform, but has been told that the rate of progress will depend on future Council funding.

At KMB's meeting last Tuesday it was noted that the Motueka Harbour and Coastal Works Account had more than enough money in it to complete such a project and produce a wonderful recreational asset for the community, but that the account may be used elsewhere in the district.

A High Court ruling in 2009 said that the endowment fund was no longer valid and therefore the funds could be put to general use by TDC beyond the original mandate.

However, in a press release dated August 16th 2012, TDC said its Corporate Services Committee would "ring fence" the Port Motueka Endowment fund and "use it to benefit the Motueka harbour and Motueka Coastal area".

In the press release Mayor Richard Kempthorne said "this resolution should give the users of the area and local ratepayers confidence particularly after the 2009 High Court decision that said the endowment fund was no longer valid and therefore the funds could be put to general use beyond the original mandate".

"In making our decision [to ring fence] we took into account the history and original purpose of the 95-year-old account and believed, despite various amalgamations and changes in local governance, the funds were generated in Motueka using Motueka property for the specific purpose of maintaining the assets for the benefit of the whole District.

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