Ring fencing of $346m fund moves a step closer
A bill to protect New Plymouth’s $346 million Perpetual Investment Fund from future local body amalgamations will head to Parliament.
In its last meeting of their three-year term on Tuesday, the New Plymouth District Council voted to continue progressing the bill, which will now go through the parliamentary process of readings and select committees, before commencement.
The bill limits the use of the PIF to the benefit the New Plymouth District, provides principles and requirements for the management and clarifies a range of technical matters relating to the fund.
The PIF was created in 2004 when New Plymouth District Council sold its shares in Powerco for $259m. It is now worth $346m.
Councillors took considerable time to question senior policy adviser Greg Stephens and Simpson Grierson legal counsel Jonathan Salter about the legal implications and definitions of the bill and any potential changes that could be made to the deed in the future.
Gordon Brown urged fellow councillors to vote for its progress, while Dinnie Moeahu questioned the need to rush it through given there were no definitive council amalgamations on the horizon.
Meanwhile, the four councillors not seeking re-election – Richard Handley, Stacey Hitchcock, Colin Johnston and deputy mayor Richard Jordan – were afforded the opportunity for valedictory speeches.
Handley, chaired a number of committees during his tenure while being outspoken on recycling and waste minimisation, earning the moniker of ‘‘zero waste hero’’ and ‘‘a champion of the environment’’.
He was proud of a number of achievements in his time on council, including the development of the new terminal at New Plymouth Airport, the sale of the Tasman Farms, the establishment of a Māori ward, regional collaboration, the Tapuae Roa energy strategy and the significant investment in infrastructure over the next