TE TUMU KAITUNA 14

TRUST

OWNERS REPORTS

3 DECEMBER 2016

DIRECTORY

TRUSTEES Malcolm SHORT (Chairman) Anaru BIDOIS Keita EMERY Uenuku FAIRHALL Pirihira FENWICK Waldo HOUIA Emily ROTA-BIDOIS

SECRETARY Murray Patchell

BANKERS Bank of New Zealand, Rotorua

SOLICITOR Graeme Dennett, Rotorua

OFFICE Deloitte Chartered Accountants 2/1176 Amohau Street PO Box 12003 ROTORUA

Phone:

(07) 343 1050

Fax: (07) 343 1051 Website: www.rotorua.deloitte.co.nz

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CONTENTS

1. Directory 2. Contents 3. Agenda 4. Minutes AGM 17.12.11 7. Chairman’s report 9. Finance Report 13. Aerial Views 15. Draft Concept Plan 16. Audited financial statements 30 MLC Successions

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TE TUMU KAITUNA 14 TRUST

General Meeting of Owners

held in the Whakaue Boardroom Level 1, Pukeroa Oruawhata House, 1176 Amohau St, Rotorua

on Saturday 3rd December 2016, at 10.00 a.m. 

AGENDA

1. Apologies

2. Minutes and Matters Arising

3. Chairman’s Report

4. Financial Report

5. Land Development Plan Update

6. Variation of Trust Order

7. Review of Trustees Remuneration

8. General Business

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TE TUMU KAITUNA 14 TRUST MINUTES OF A GENERAL MEETING OF OWNERS HELD AT TE

AOMARAMA, OHINEMUTU, ROTORUA, ON SATURDAY 17 DECEMBER 2011 AT 10.00AM.

PRESENT: Mr Malcolm Short chaired the meeting of 94 shareholders. The meeting

was opened with mihi and karakia. APOLOGIES: Were received for 43 owners. MINUTES: Of the general meeting of owners held on 20 September 2008 were read

and confirmed. (M. Short/J. Scott) Carried MATTERS ARISING: 1. Mr Short commented that the Tauranga City Council Plan Change 44

process has taken at least 3 years. 2. Mr Short said that Jeff Fletcher of Ford Land Holdings, the project

manager representing Te Tumu landowners, has kept a very close watch on the actions of neighbouring developers and of the Tauranga City Council. He keeps in close communication with the trustees. Progress on the iwi land remains a priority for the Trust but it is reliant on sewerage power and extension to water supply to the block.

3. Blanche Kiriona said she had written to the Trust advising of her

whanau’s intentions of partitioning and asked if there is a plan showing where individual families have derived their interests. Uenuku Fairhall provided background history to the establishment of the Te Tumu Kaituna 14 block which had been derived originally from 3 separate blocks belonging to the hapu of Uenukukopako, Ngati Rangiteaorere and Ngati Rangiwewehi. He said those blocks were not broken down to individual whanau and consequently there were no specific blocks associated with individuals. He said this was all previous to the amalgamation of these blocks and it would be an issue for Blanche and her whanau to take up with the Maori Land Court. Colleen Skerrett also provided background history based on research she had carried out and confirmed that there is no individual ownership associated with those blocks.

4. Ruihi Bidois asked for further information on reference in the minutes

to the Trust providing land for roads and other infrastructure instead of paying a development contribution fee. The Chairman replied that Councils require a development fee to be paid on consenting of developments but in lieu of paying the fee, the Trust would propose instead that the land contributed for roading and other infrastructure be applied to that purpose.

CHAIRMAN’S REPORT: Malcolm noted with sadness the passing of Frank Maika. The key points

from his report were: 1. The comprehensive storm water consent issued for the whole of

Papamoa.

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2. Work has started on the Tauranga Eastern arterial route, and the remaining issues to be resolved for the Trust are the entry and egress facility to service the Te Tumu Kaituna 14 Block. He added that the construction precinct planned to be sited on the Te Tumu Kaituna 14 Block is now on hold until this has been sorted.

3. Sand mining volumes have recently increased in activity, the sand

being required for the pre loading for the hew highway. He advised that the Trust is paid a royalty for the sand and after it is used some of it may be returned to the block.

4. A reggae rock concert is being planned for New Years eve on the

block. This has the approval of the police, Tauranga City Council, EBOP and the trustees. It will be a first trial and if successful there could be more in the future. This would be a further source of revenue for the Trust. When asked if there would be free tickets for owners he said none had been offered by the promoter but the enquirer could check with the Secretary’s office during the week.

5. Rena oil spill. In response to questions on the oil spill on the beach

Colleen Skerrett replied that the beach is currently closed while the clean up continues. She said there have been several government departments and lots of volunteers involved in the clean up and that includes the Te Arawa Forum which has co-ordinated efforts between the iwi and the agencies.

Moved that the Chairman’s report be approved. (M. Short/W. Kopae) Carried FINANCIAL REPORT: The Secretary presented the summarised financial results for the 3 years

ending 31 March 2009, 2010 and 2011. The full audited annual accounts for the year ended 31 March 2011 were also available. Trust income during those 3 years has continued to be from grazing or other lease rentals for use of the land, sand royalties, and interest received. The net profit after tax for the 3 years were:

2009 $25,676 2010 $17,187 2011 $27,548 The statement of financial position showed that the Trust’s equity at 31

March 2011 was $17,575,509. This is mainly represented by the value of the land and improvements, having a ratings valuation of $16,945,000.

Maureen Waaka enquired about the large drop in the value of the land

between 2009 and 2010. The Secretary responded that this was mainly due to the overall decline in property values as a result of the global economic crisis, particularly premium land values such as beachfront properties. Consequently there has also been a reduction in the rates that the Trust pays. Maureen asked if the drop had been questioned by the trustees. The Secretary said that the trustees were not concerned at the drop because of the consequent reduction in rates. The trustees had previously objected to the earlier increase in the land value which had previously increased to $33 million in 2006. Kiri Mitchell also asked about the status of the land title. Secretary confirmed that it is Maori land. Kiri asked if the Trust had asked for it to be treated as non occupational in order to avoid rates. The Chairman replied that as the land is used for

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grazing stock and growing crops occasionally that it will still be subject to rates and is currently rated as rural land.

RESOLVED: “That the financial report be approved.” (A. Rangiheuea/G. Park) Carried DEVELOPMENT UPDATE: 1. The Chairman said that the new item of interest for possible

development is a cultural centre which has been proposed by a cruise ship company wanting to establish such a development close to the Tauranga port. The New Zealand representatives for the cruise company are Ash Puriri and Tamati Reedy.

2. Malcolm reported that nothing much has changed to the general

concept plan that was previously presented to the owners. Work on the arterial route has started in recent months. There will be a bridge crossing across the Kaituna River at the end of Te Tumu Road, connecting to the Ford property. This will allow improved traffic flow and in the event of a tsunami would provide better evacuation.

Malcolm said the Trust land will always remain in our ownership and the

first developments will be leasing for commercial uses, and perhaps also the cultural and entertainment centre. Affordable housing will be a priority for the Trust as well as the iwi holiday park. He said the biggest move in the next 3 years is to complete the current projects with Council.

Trustees have been working with Peter Ellery on an inunga breeding pond

in the Kaituna River. The Trust keeps in touch with Te Tumu Kaituna 8B1 and 7B1 trustees on

the developments. Eventually however, it will be their own decision as to whether they want to be part of any developments that take place.

Veronica Butterworth asked if there could be a tour of the block and

Malcolm confirmed that that could be arranged early in 2012. Josie Scott commented that the development of a cultural centre on the

block would impact on the Rotorua industry and the local people involved in that industry.

An owner asked the Chairman what is the term of office for trustees. He

replied that the Court has appointed trustees for life. Anaru complimented the Chairman and trustees on their report and said he wants them to stay with the Trust and to see it through. He noted that there are developments taking place around the Trust land and the Trust strategy has been the right one. He said the future will be good for the Trust and he supported the trustees’ work.

At the conclusion of the discussions the Chairman closed the meeting and

invited Anaru Rangiheuea to close it with a karakia at 11.55am. Signed as a correct record CHAIRMAN

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Te Tumu Kaituna 14 – Chairman’s Report

Kia ora Tatou

I am delighted to present to you my report on the Trust activities. It has been 5 years since the last owners meeting and much has happened in that time. We have delayed reporting to you so that we can update on the latest developments and seek your support for the developments going forward.

We have two changes in Trustees with the passing of Arthur Warren last year and also the resignation of Andrew Rolleston who resigned as he was unable to contribute due to other commitments. We extend our deepest sympathy to Arthurs’ Whanau. His commercial abilities are sadly missed by all.

We also had the retirement of Secretary Ian Hulton in 2013 and the merger of Hulton Patchell with Deloitte. The Secretarial role has been taken up by Murray Patchell who is also heavily involved with the land development strategy, and accounting role is now handled by Alexander Wilson.

Pending future development of the land it has been used for stock grazing and cropping managed by Kiri Tapsell and the Fulton Hogan sand mining operation. The Trust receives royalties for sand extracted and these details will be covered in the financial report. The current Resource Consent for sand mining expires in 2019 and we are currently looking at a request from Fulton Hogan to extend this. Sand extraction is an important part of the long term process to prepare the land for future development as well as provided some much needed cashflow.

Recently, harvesting of the pine trees held in joint venture with John Miller has commenced. These trees were planted in 1992 and will be harvested progressively over the next 3 years.

You will all be aware of the new Health and Safety legislation introduced this year. This places huge responsibilities on the Trustees for people accessing the Trust land and for this reason access is restricted for essential purposes only.

Many of you will be aware of the recent publicity that the Tauranga City Council completed the Te Tumu Strategic Planning Study. This important study determined that Smartgrowth and the Council can proceed with future planning for Te Tumu with a view to opening the growth area in 2021. This decision means that the Council and Smartgrowth are prepared to commit resources to support the wishes of the land owners to develop their lands by progressing planning consents and infrastructure (roading, water, sewerage) to our lands to enable development to occur. Without this support we can do nothing with our land other than current uses.

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We have been engaging with the Council and adjoining neighbours to discuss the shape of future developments and agreements necessary between the land owners. The total development area comprises over 740ha of which our Trust represents about one third. This is a very large scale development and we are excited that Te Tumu Kaituna 14 Trust can finally look to realise the long held vision to develop our lands and generate economic and social benefits for our owners.

There is much that needs to be done to achieve our objectives and we will be making various presentations on what lies ahead and what we need to do to reach our goals.

We do not make light of the challenges that lay ahead. Our belief is that the Trust should be the developer of our own lands and that we should own as much of the developments on the land as we possibly can. We do not want to give value away to other parties. We want to maximise value for our owners and our descendants. However we do not have cash for development funding and therefore we need to plan carefully and make some trade’offs to secure our goals. We have developed a plan we believe will provide an acceptable balance between retaining as much of our land as we can, be the full owner of our developments, provide meaningful economic benefits and create an environment where our owners can live, work and play and be proud of their asset and environment.

We are very well served by our very capable project manager Jeff Fletcher and Jeff will be assisting us outlining where planning is at and what the future can look like. I would also mention that the Tauranga City Council through their planning officer Campbell Larking have been very supportive of the Trust and our objectives and have gone a long way to help us in any way they can.

This is an exciting time and along with myself and my fellow Trustees we welcome your support of the plans that we are sharing with you today.

Nga mihi mahana.

Malcolm T Short, ONZM

CHAIRMAN

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urbanism + urbanism + urbanism + urbanism +

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MAORI LAND COURT SUCCESSIONS

Q. How do I apply for succession?

A. You need to file an application for succession at the Maori Land Court. You will need to provide the following:

Original death certificate or a certified copy Original will (or grant of administration) if there is one Fully completed application papers Application fee of $60.00 Details of the deceased's whanau, that is parents, brothers, sisters and

children.

When obtaining Court land records you must tell them if the deceased person is in an Incorporation as the Court does not maintain registers for Incorporations. They will then ask the Incorporation Secretary for details of that shareholding.

Q. How much does it cost?

A. The application fee is $60.00. That is the only cost payable to the Maori Land Court. You may incur other costs obtaining copies of death certificates and if you have to consult a lawyer. You should discuss this with Court staff.

Q. What happens when I lodge my application?

A. The application is searched by Maori Land Court staff to obtain full details of the deceased's land interests. You will receive a copy of that search and will be advised by letter when you have to go to court. A court hearing will be arranged at the court venue closest to where the land is located or, if you prefer, closest to where you live. When you arrive at court, you will firstly speak to a Court officer who will confirm the details of your application. The Judge of the Court will then re-confirm those details in court. Following the court sitting, you will receive a copy of the court minutes, which is a record of the hearing. This is confirmation of what happened at the hearing.

Q. Do I have to get a lawyer?

A. In most cases, you can complete succession yourself. You should discuss whether or not you need a lawyer with Court staff.

Q. What is probate?

A. When the High Court confirms the appointment of an executor to look after the affairs of a deceased person, the court's authority for that person to act is given in a grant of probate.

If you would like assistance with this process you are welcome to contact Mrs Tai Taitoko in the Rotorua Deloitte office for guidance.

(07 343 1050)

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