AGM 2015 ANNUAL REPORT MASTER V1 2 (1)

TARANAKI MAORI
TRUST BOARD
Annual Report to 30 June 2015
TABLE OF CONTENTS
TABLE OF CONTENTS ............................................................................................................2
ORGANISATIONAL INFORMATION........................................................................................3
AGENDA ..................................................................................................................................4
MINUTES FROM HUI A TAU 2014 ...........................................................................................5
CHAIRPERSON’S REPORT .......................................................................................................9
TARANAKI MAORI TRUST BOARD GROUP FINANCIAL STATEMENTS ...............................13
TRUSTEE INTERESTS .............................................................................................................21
C over Ima ge: Taranaki Māori Trust Board 1930’s, Whakarongotai Marae- Waikanae at the tangi of Natanahira Wi
Parata- from left Back rows: Unknown, Tupito Maruera, Rima Wakarua, Wi Kupe Raungaiti, Unknown, Takarangi,
Unknown,
Edwin, Kaho Heremia, In front, Nohomairangi Te Whiti, Wi Hape Pakau Love
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ORGANISATIONAL INFORMATION
BO ARD M EM BERS
Tokatūmoana Walden (Taranaki)
Allie Hemara- Wahanui (Ngā Ruahine)
Rodney Baker (Ngāti Mutunga)
Frances White (Ngāti Tama)
Wharehoka Wano (Te Ati Awa)
Ngāpari Nui (Ngāti Ruanui)
Darryn Rātana (Ngā Rauru)
Maioha Tokotaua (Ngāti Maru)
Chairperson
Secretary
REGISTERED O FFICE
PO Box 8136
New Plymouth
Taranaki
Ph:
06 758 4685
Email:
tmtb1931@gmail.com
ACCO UNTANTS:
Vanburwray Accountants
7 Liardet St, New Plymouth 4310
AUDITO RS
BDO, New Plymouth
BANKERS
BNZ Bank, New Plymouth
SOLICITORS
Shaun Gifford, NEW PLYMOUTH
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AGENDA
TARANAKI MAORI TRUST BOARD 2014 ANNUAL
GENERAL MEETING
URENUI MARAE
10am 15 NOVEMBER 2014
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KARAKIA/ MIHIMIHI
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APOLOGIES
MINUTES OF ANNUAL GENERAL MEETING 2014
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CHAIRPERSON’S REPORT
RECEIVE AND ADOPT ANNUAL ACCOUNTS
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GENERAL BUSINESS
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MINUTES FROM HUI A TAU 2014
Taranaki Maori Trust Board 2014 Annual General
Meeting
9th November 2014
Normanby Hall, Normanby
Those Present
Wharehoka Wano, Allie Hemara-Wahanui, Darryn Ratana, Rodney Baker, Frances White, Ngāpari
Nui, Tokatūmoana Walden, Te Rawanake Hemara-Wahanui, Hemi Sundgren, Wiremu Edwards,
Cassandra Crowley, Haimoana Maruera Snr, Daisy Noble
Mihi/ Karakia
10:21pm Haimoana Maruera Snr (Karakia) Wharehoka Wano (mihi)
Apologies
Pam Wharepapa, Bonita and Josie Bigham, Dion Tuuta, Betty Anderson, Roberta Walden, Liana
Poutu, Puna Wano- Bryant, Debbie Packer, Ruakere Hond, Aroaro Hond, Howie Tamati, Jamie
Tuuta, Hēmi Ngārewa, Paulette Ngātai, Ngāraina Brooks, Ngāwai Walden, Thelma Mcleod, Wendy
Eynon
Resolved that “the apologies be received and accepted”.
Rodney Baker/ Allie Hemara-Wahanui
CARRIED
Minutes of the Previous Annual General Meeting
It was resolved;
“THAT the minutes for the Annual General Meeting for the Taranaki Maori Trust Board held 23
November 2013 be accepted as a true and correct record “.
There were no matters arising
Ngapari Nui / Frances White
CARRIED
Chairperson’s Report
MANAGEMENT SERVICES
With the resignation of long serving Secretary Gillian Thorpe the Board engaged the Taranaki
Iwi Trust, specifically Hemi Sundgren to provide administration services. This contract was
managed by the Secretary Allie Hemara-Wahanui and Deputy Chair (Wharehoka) with
support from the remaining Board members. Since engaging this service the Board’s
administrative capability has increased significantly and the efficiencies we have gained can
be attributed to the quality of support provided the Board throughout the year.
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DISESTABLISHING THE EDUCATION TRUST
At last year’s meeting the Board reported the intention to disestablish the Education Trust.
This has not happened. Following legal advice it was not as simple as first thought. For
example, the charitable purposes of the Trust were still current and given that the Deed does
not make any provision to wind up, the process required approval from the Attorney General
and then the High Court. A very costly exercise. It was advised that there were other
possibilities to windup and disestablish through a settlement process and legisation.
Needless to say, the Education Trust still exists but with little activity while the negotiation
process continues. The Board had also resolved not to make Education Grants during the
year until a clear decision was made as to the Trusts future. The majority of the Trust Board's
$3.6m assets lie with the Education Trust.
NEGOTIATING AN ANNUITY
The Board had undertaken initial meetings with the Attorney General to discuss the Boards
annual annuity. This is the annual administration grant the Crown gives to the Trust Board as
compensation for the confiscations of the 1860's. It was discussed that the annuity payment
had never been protected against inflation, and periods during the depression when it was
not fully paid. The TMTB’s annuity was seriously out of step with the annuity payments of
other Trust Boards and its real value never protected.
As a result of these meetings both the Crown and the Board agreed that a formula was
needed to calculate the short fall, from there the Board expected a series of negotiations to
follow. It was the position of the Board that any anuuity redress remain with the Trust Board
to support the Boards purpose.
FUTURE ROLE OF THE TRUST BOARD – A Single Regional Entity
It was discussed that the majority of iwi had agreed to consider a new reconstituted body.
The role, purpose and function of any future Board was another piece of work moving
forward. This piece of work was being progressed by members of the Board. Question's
critical to this work are around ‘what does the purpose of a reconstituted entity look like’?
Therefore the team has developed a survey asking Taranaki whanui to give their views on this
very question.
The findings from this survey will help to identify priorities a single regional entity could take
on behalf of Taranaki whanui. The Board intends to engage in this work during next year as it
was critically important to have clarity of what the future role of the Board might be.
It was resolved;
“THAT the Chairperson’s report for the Taranaki Maori Trust Board Group for year ended
30 June 2014 be received and adopted“.
Tokatūmoana Walden / Darryn Ratana
CARRIED
Financial Reports
Financial Overview
The statement of comprehensive income shows an operating deficit of ($92,262). While
expenses tracked at a similar position to last year, the deficit is largely due to the amount that
the Board distributed. The statement of financial position also shows a small decrease in
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equity for the Trust Board Group for the year ending June 2014 by 2.4%. The ‘iwi
distributions putea’ has again, decreased the Boards term investments by $135,000, in turn
limiting the Boards ability for higher interest revenue from its term deposits. Revenue from
our deposits this year is also down by 1.25%. The net profit before distributions for the year
was $42,438 with the significant expenses being;
• members sitting fees and management fees although these are comparable to the
previous year;
• the payment of an invoice ($18,570) associated with work carried out for the Transition
Project in 2012/13
• releasing a $120k distribution to Ngati Maru, the last iwi to receive this grant, and
• a one-off grant of $15k to Te Reo o Taranaki, who became an umbrella organisation
tasked with the responsibility of developing a Taranaki Māori Education Strategy. This, I
will also report on shortly.
The Board’s income and expenses were comparable with the previous year prior to
distributions and plan to maintain this level of spending.
It was resolved;
“THAT the Audited Financial Statements for the Taranaki Maori Trust Board Group for year
ended June 2014 be received and adopted“.
Haimoana Maruera / Rodney Baker
CARRIED
General Business
Future Role and Function of the Trust Board
Further discussion took place on the future role of the Trust Board and members stated that
the Board would continue to consult with iwi moving forward. The Board has appointed a
working party of members who continue to assess the options open to the board and a
survey was being developed to gather more feedback.
An outline of the survey was also given and feedback on some of the survey questions
sought. Key matters were;
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•
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•
•
•
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Questions associated with the function and purpose might need some background and
context, maybe consider producing a preamble
Importance should be placed on cultural elements
Importance of alignment with Iwi- wider collective issues, coastal, water, oil and gas,
cultural, commercial?
Wiremu Edwards offered assistance with further drafting of questions and members
would look to have these ready within the next month.
These would go out as a link to networks, Facebook, iwi links, distributions.
Question to be added- participant is involved with iwi as this will influence the decision,
aspirational- what does success look like?, confidentiality clauses- names to be
anonymous
How long should the survey be open. Should be left open for a week. 10 days is optimal.
Members were thanked for their support and feedback/ input.
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Future Distributions
It was explained that given the Boards key priorities to complete the annuity negotiation,
consider the disestablishment of the Trust and reconstitution, that there would not likely be
grants and distributions for the next year. The Board has also run at a deficit and that also
has a bearing on the Boards ability to make grants. This would be assessed annually.
The Board also has a triennial election within the next year so that also carries a major a cost.
Taranaki Tumai
That Taranaki Tumai is being held in Ngati Mutunga in November 2015.
The hui was concluded by Toka Walden with Karakia 11:39pm
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CHAIRPERSON’S REPORT
Kei rite matou ki nga manu o te moana
Noho ki runga I te kowhatu
Ka pari te tai
Ka ngaromia te kowhatu i te moana
Ka rere nga manu no te mea
Kahore he nohonga maa raatou
(Rangitaake 1859)
Tena koutou katoa
The above whakatauaki talks about our resilence as a people and how we have been challenged by
past and current governments, legislation, policies to forego our rights under the Treaty and
integrate and adjust into Western white middle class society. We all know that is not going to
happen. Our rangatira and our tupuna have taught us to hold firm to our customs and protocols
and not to be consumed by a dominant majority. The proverb by our Rangatira states that no
matter what we endure as a result of our resistance to conform we will always stand proud and true
to the learnings and teachings of our ancestors no matter what.
On behalf of the Board I am proud to present the Taranaki Maori Trust Board’s annual report on
performance for the year 1 July 2014 to 30 June 2015.
A Year in Review
FINANCIAL OVERVIEW
The statement of comprehensive income shows an operating surplus of $93,151. This represents
an 120% ($50,713) increase from the 2014 financial year.
Revenue from Interest in deposits this year shows an increase of 12.9% due to the higher interest
rates on offer earlier on in 2014. The Board's dividend on it's PKW shares also increased during the
year in review. The $13,860 represented in the Other Income field is due to a contract entered into
with Te Puni Kokiri to assist the Board with professional costs associated with the Annuity work.
Expenses for the 2015 financial year have been retained at a similar level as 2014 except for legal
costs and professional fees which were significantly larger in 2014. The profit this year is purely due
to the fact that the Board did not make any grants or iwi distributions this financial year.
Significant expenses for the Board continue to be associated with compliance, Trustee Fees and
Administration Costs.
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This year, the statement of financial position shows an increase in equity of the Trust Board
Group for the year of 2.5% from last year.
The Board has no contingent liabilities and
advances are maintained within the Group structure.
ADMINISTRATION SERVICES
Administrational Services continue to be provided by Hemi Sundgren to the Board. Since
engaging Hemi
the Board’s administrative capability has increased significantly and the
efficiencies we have gained can be attributed to the quality of support provided the Board
throughout this financial year. Due to increased workloads for Hemi, he has indicated that he
is unable to continue to provide secretariat and administrational duties for the board after
January 2016.
NEGOTIATING AN ANNUITY
The Board has continued to meet with the Minister of Maori Development Hon Te Ururoa
Flavell and his TPK Advisers to confirm a process for the negotiation of an annuity settlement.
This is the annual grant the Crown provides to the Trust Board of $15,000.
By way of
background the annuity payment began following the Sim Commission recommendations of
1927/ 28, that Taranaki Māori be compensated for past wrongs associated with the
confiscation, and that compensation be made in perpetuity, of an annual payment of $10,000
(5000 pounds). The Taranaki Māori Trust Board was constituted to administer the annuities
soon after and in 1931 the first payments were made to the Board. In 1977, after various
petitions the Annuity payment was increased to $15,000.
Since its establishment, the Board has had to discharge a diverse range of responsibilities
towards cultural, social and educational outcomes across Taranaki. Given the size of this
responsibility, successive Board members have asserted that the material value of the Annuity
has diminished over time through inflation, and that it is no longer able to give effect to the
affairs of the Board. Consequently, the non-inflation adjustment has led it to be inequitable.
Last year we reported that the Board had formally sought to address the matter.
Subsequently, it was agreed by Ministers that Te Puni Kokiri ('TPK') work directly with the
Board to undertake specific research to get a robust understanding of the issues associated
with the annuity payments and in particular the shortfall of payments given the non-inflation
proofing and indexation of the annuity. In November 2014 the Board signed an investment
agreement with Te Puni Kokiri that allowed the Board to seek professional analysis and advice
from KPMG.
Initial indications from this work are that the true value lost through the annuity not being
indexed to inflation is in the vicinity of over $20 million and that the Annuity payment if
indexed to inflation should be approximately $500,000 per year. There is still a lot of work to
be undertaken but the Board is committed to exploring in greater detail, options to address
the matter with both Ministers’ Flavel and Finlayson.
It is the position of the Board that any redress associated with the Annuity remains with the
Trust Board to support the future purpose, role and function of the Board. Darryn Ratana and
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myself are leading these negotiations with support from the secretariat as well as Jamie Tuuta
our technical Adviser.
In recent discussions with TPK the Crown we were informed that the Crown is struggling to
put up various options for consideration to the Ministers, as other settlements with Trust
Boards have not included indexation as redress. In their minds, this will set a precedence and
potentially relitigate other Trust Board settlements. As Chair, I have requested that TPK
officials and the TMTB negotiators meet as soon as practically possible to discuss the various
options before they are put to Cabinet. A cabinet paper is due to Ministers late November
2015 for consideration. A meeting has been agreed to mid November 2015.
FUTURE STRUCTURE FOR THE TARANAKI MAORI TRUST BOARD- A SINGLE
REGIONAL ENTITY?
Many of you will recall the Transition project that was undertaken between 2009-2013. The
outcomes of this project reported a number of issues for the Board to consider, most
importantly the future structure of the Taranaki Māori Trust Board. It was clear from the
engagement undertaken with iwi that the status quo is untenable and that there are
significant limitations with its current structure; in particular that it does not meet the current
and future needs and expectations of its eight-member iwi. Secondly, that given the Boards
limited capital base from which to both cover operating costs and also provide benefits to its
beneficiaries that there is a need to explore how its capital base and cash flow might be
increased in order for the Board to make a meaningful contribution in the future.
Subsequently, this continues to be the basis of debate and discussion amongst the Board and
many beneficiary iwi. While no definite resolution has been reached the Board continues to
recognise that there are advantages of a regional forum but is undecided if that forum should
be the Trust Board, as a statutory body with changes to better fit Iwi, or something entirely
new.
Despite this, it is clear that the success or failure of any future entity will require robust
engagement and discussion with the eight-member iwi. This would include first and foremost
an agreement that there is merit in all eight iwi jointly pursuing a program of action that seeks
to provide clarity on the ‘purpose’, ‘role’ and ‘function’ of any new or re-constituted entity
moving forward.
Despite the resource constraints the Board also recognise that there is an opportunity to look
at strategic options moving forward and to have these considered. Taranaki iwi groups are
now entering a phase of development where they have established an iwi chairs forum to
focus on particular regional matters of common interest and importance, but what is an
exciting prospect is that there may be opportunities for the eight member iwi to formalise a
potential relationship to progress matters of common interest to all iwi. This however, would
of course need to be coupled with a strong desire to have clarity about the role and function
of the board to ensure the role of the individual iwi entities and any collective body is
understood.
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The Board has contracted Liana Poutu to begin this programme of work in the new 2015-2016
year.
CONCLUSION
On behalf of the Board we remain united in our commitment to ensure that the Taranaki Maori
Trust Board is relevant to Iwi and uses its position as a regional body for the benefit of
Taranaki.
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TARANAKI MAORI TRUST BOARD
GROUP FINANCIAL STATEMENTS
For the year ended 30 June 2015
Statement of Comprehensive Income
Statement of Change in Equity
Statement of Financial Position
Notes to the Financial Statements
Audit Report
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TRUSTEE INTERESTS
General Disclosures
Tokatūm oana W alden (Taranaki)
Taranaki Iwi Trust
Te Kāhui o Taranaki Trust
Taranaki Iwi Claims Management Team
Horo Estate
Te Korimako Trust
Trans Tasman Resource (TTR)
Chairperson
Chairperson
Chairperson
Negotiator
Director
Trustee
Employee
Allie Hem ara- W ahanui (Ngā Ruahine)
PKW
Taranaki/Whanganui Conservation Board
Waiokura Marae and Pā Trustees
Western Institute of Technology
Secretary
Community Development Manager
Member (retired 2015)
Trustee
Council member
Rodney Baker (Ngāti M utunga)
Te Rūnanga o Ngati Mutunga
Ngāti Mutunga Investment Charitable Trust
Maruehi Fisheries
Bruskaz Ltd t/a Moana Cottages
National Solid Wood Training Sector
Ngāti Tama
Port Nicholson Trust
Ngati Mutunga Wharekauri
M ember
Chairman
Trustee
Director
Director
Committee Member
Registered Member
Registered member
Registered member
Frances W hite (Ngāti Tam a)
Te Rūnanga o Ngāti Mutunga
Te Rūnanga o Ngāti Tama
M ember
Iwi Member
Iwi Member
W harehoka W ano (Te Ati Awa)
Te Ati Awa (Taranaki) Settlements Trust
Te Kotahitanga o Te Atiawa Trust
M ember
Chair
Trustee
Ngāpari Nui (Ngāti Ruanui)
Te Rūnanga o Ngāti Ruanui Trust
M ember
Deputy Chair
Darryn Rātana (Ngā Rauru)
Department of Conservation
PKW Trust Shareholder
M ember
Employee
Representative
M aioha Tokotaua (Ngāti M aru)
M ember
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