Dalton talks to RNZYS as deadline looms

Team New Zealand (TNZ) head Grant Dalton met with members of the Royal New Zealand Yacht Squadron (RNZYS) last night ahead of a key date in deciding whether the America’s Cup defence will be in Auckland.

No hosting deal has yet been struck between the team, the government and Auckland Council, with the exclusive negotiating period for an Auckland defence running out tomorrow.

Dalton’s appearance before the members of the squadron, which TNZ represents, is not believed to signal any development in the weighing-up of a home defence versus one held offshore.

Tomorrow’s deadline is also not decisive for the chances of a home defence, but the failure to have struck a deal in that time would be a bad sign. Stuff understands the government’s offer includes a similar level of cash to the 2020-21 contribution of $40 million towards the event only, with a larger component ‘‘in kind’’.

TNZ sought global interest in hosting the 37th Cup to gauge whether more lucrative hosting deals could help fund its next defence, in a tough climate for commercial sponsorships.

However, its hosting agreement for the 2021 defence requires it to negotiate for three months with the government before seriously considering offshore deals.

The team would not comment ahead of the meeting with yacht squadron members, amid overseas reports that some in the squadron may seek to use legal avenues to keep the defence in Auckland.

Sailing Illustrated, run by Cup aficionado and former Oracle Racing executive Tom Ehman of San Francisco, has been pushing the line of a mutiny among the ranks of the Royal New Zealand Yacht Squadron. Ehman contends that some squadron members are unhappy at the prospect of the Auld Mug being defended at an overseas destination.

There have been suggestions of some influential squadron members looking at a legal challenge, testing the theory that the club has more claims than the team over the site of any defence.

‘‘We are aware of a RNZYS member, [America’s Cup lawyer] Mr Hamish Ross, who acts for the New York Yacht Club (NYYC) and recently delivered a wildcard challenge as well as their proposed protocol to the commodore of the RNZYS on behalf of the NYCC,’’ TNZ said. ‘‘Mr Ross appears to be leading the agenda of the NYYC who he represents by seeking to impose their agenda on the RNZYS and the 37th America’s Cup.’’