Consultation on Governance Entity Proposal

August 2008

G Powell/A E Hansen
Powell Webber & Associates
Solicitors, Auckland

Background

• To date South Kaipara claims brought by the named claimants on behalf of the five Marae
• In 2007 recognised need for an entity to be established to enable South Kaipara:
  • To conduct negotiations
  • To receive settlement assets
  • To investigate possible commercial opportunities
  • To reconfirm mandate to act on behalf of South Kaipara claimants
• Terms of Negotiations with Crown require establishment of post-settlement governance entity by February 2009

Steps Undertaken to Date

• Between June and August 2007 Claim Komiti undertook initial consultation on governance entity issues
• Feedback sought from OTS
• Claimant Feedback incorporated into developed proposal

What is the Process?

• Claim Komiti developed Governance Entity Discussion Booklet
• Presently consulting with Ngati Whatua o Kaipara
• After feedback will finalise proposal and put to Ngati Whatua o Kaipara for ratification
• If ratified will set up Governance Entity

Purpose of Consultation Hui

• To present developed Governance Entity Proposal to Ngati Whatua o Kaipara
• To seek feedback

Requirements for Governance Entity

• Any Governance Entity needs to be able to:
• Meet key leadership roles for Ngati Whatua o Kaipara
• Meet Crown requirements to receive settlement assets
• Undertake commercial activities
• Be accountable to South Kaipara claimants

Key Leadership Roles

• Oversight of Treaty negotiations after Agreement in Principle
• Receipt and management of assets received on settlement
• The ongoing governance of Ngati Whatua o Kaipara post settlement
• Distribution of benefits received by Ngati Whatua o Kaipara as a result of the Treaty claims
• Commercial negotiations (for example in relation to any future proposal for wind farms on the coast)
• Representing Ngati Whatua o Kaipara in discussions or negotiations with Government departments and/or local authorities as necessary
• Representing Ngati Whatua o Kaipara in discussions with other iwi and hapu

Crown Criteria

• Adequately represent and be fully accountable to all claimants within Ngati Whatua o Kaipara
• Have transparent decision-making and dispute resolution procedures
• Ensure the beneficiaries of the settlement and the beneficiaries of the governance entity are identical
• Be ratified by the claimant community
• Be efficient.

Key Considerations

• Simplicity
• Representation and Accountability
• Affordability
• Need to generate income
• Consistency with tikanga

Proposed Structure

Key Issues

• Structure
• Representation
• Definition of Ngati Whatua o Kaipara

Structure

General

• Separation of governance and operations
• Separation of assets and risk
• Most practical of structures available
• Used by other iwi

Double Trust

• Double trust structure proposed to keep the holding of wahi tapu separate from any commercial activities – safety mechanism
• The original proposal utilised a single trust with subsidiary companies.

General Features of Proposal

• Same trustees on both trusts.
• All Nga Uri o Nga Maunga Whakahii o Kaipara (previously ‘beneficiaries’) over 18 can vote for trustees.
  • Nga Uri o Nga Maunga Whakahii o Kaipara therefore retain control of settlement through elected representatives.
• Decisions made by trustees, except where special resolution required (75% of Nga Uri required here).

Proposed Names

Trusts be named:

Nga Maunga Whakahii o Kaipara Development Trust for the development (commercial and social) functions

• • Nga Maunga Whakahii o Kaipara Tari Pupuritaonga Trust to hold wahi tapu

Subsidiary Companies
Commercial

Ngati Whatua o Kaipara Commercial Development Limited

Commercial/trading arm.

• • Borrow against assets of Nga Maunga o Whakahii o Kaipara Development Trust.
• Develop commercial ventures.
• No asset ownership.

Subsidiary Companies
Social

Ngati Whatua o Kaipara Social Development Limited

Social arm. Manage social needs (eg, contract social service delivery activities such as health and education).

• • Apply funds received from Nga Maunga Whakahii o Kaipara Development Trust to social purposes.

Not for profit.

Other Features

• Quorum at AGM and SGM = 25 adult Nga Uri o Nga Maunga Whakahii o Kaipara (previously 30)
• Threshold for Special Resolution = 85% of adult Nga Uri o Nga Maunga Whakahii o Kaipara (previously 75%)

Representation

Representation

Proposal is that ten elected representatives will be the trustees, apart from the first term where there will be:

five elected representatives; and

• • five current members of the Claim Komiti

Trustees elected for the terms of four years, with the exception of the first term

Claim Komiti

• When GE established negotiations will be in progress.
• In order to maintain institutional memory, it is proposed that the claim komiti members whose mandate has been recognised by the Crown will serve as initial Trustees for a fixed term of two years.
• At expiry of the two-year term they will all be entitled to stand for re-election.
• Results in five trustees coming up for election every two years

Claimant Definition

Current Claimant Definition

• Ngati Whatua o Kaipara will be defined as Every individual who can trace Descent from one or more ancestors who exercised Customary Rights arising from Descent from:
  • Haumoewaarangi; and/or
  • The tribal groups of Ngati Whatua Tuturu, Te Taou, Ngati Rango, Ngati Hine and Te Uri o Hau; and
  • Predominantly within the Area of Interest from 1840.
• Need for ongoing refinement of definition for AIP and Governance Entity
• Claimant Definition Wananga will be held to refine definition

Area of Interest

[GRAPHIC TO PLACE HERE]

Next Steps

Consultation on proposal:

• 17 August 2008 Orakei Marae24 August 2008 Araparera Marae
• 6 September 2008 Reweti Marae
• Incorporation of Feedback from consultation hui
• Finalise Proposal (September 2008)
• Hui to confirm key components (September/October 2008)
• Postal ballot to ratify proposal (November 2008)
• Establishment of governance entity (February 2009)

Feedback

Contact Grant Powell or Anthony Ruakere

Phone 09-377 7774

email grant@pwalawyers.co.nz or anthony@pwalawyers.co.nz