Te Kapu o Waitaha Annual Report 2015 by Te Kapu o Waitaha

ANNUAL REPORT 2015

TEK

WA ITAHA /

ANN UAL REPO RT 2 015

Ki a hora te marino Ki a whakapapa pounamu te moana Hei huarahi mā tātou i te rangi nei Aroha atu, aroha mai Tātou i ā tātou katōa Hui e! Tāiki e!

contents

Part 1 Chairmanâ&#x20AC;&#x2122;s Report Nga Kupu o te Tiamana - Strategic Overview - Strategy 2015 -2025 - Te Kapu O Waitaha by numbers - Highlights 2014-2015 - Waitaha Group Structure - Revised changes 2014 - 2015 - Governance Part 2: General Managerâ&#x20AC;&#x2122;s Report Part 3: Our Performance 2014 - 2015 - Te Ao Turoa (Environmental) - Communications - Tribal register - Iwi capacity and capability - Education, culture, heritage and social - Investment and Asset Management Part 4: Our Performance - Waitaha Charitable Trust Financial summary - Hakaraia Endowment - Social Endowment - History Endowment - History Project

5 - 15-

16 17 - 30

30 - 32

Part 5: Financial Audited Accounts 33 - 52 - Te Kapu O Waitaha Statement of Audited Accounts - Waitaha Charitable Trust Statement of Audited Accounts Part 6: Annual General Meeting Minutes 07.12.2014

53 - 63

TEK

WA ITAHA /

ANN UAL REPO RT 2 015

The purposes for which the Trust is established are to receive, manage and administer the trustâ&#x20AC;&#x2122;s assets on behalf of the beneficiaries in accordance with section 2.4 of the Trust Charter. As a result of negotiations and agreement with the Crown and Waitaha iwi, the Trust is the mandated recipient, on behalf of Waitaha, of Settlement assets under the Waitaha Settlement Claims Act 2013.

Vision

Ruia he kākano ka tupu, ā konei nga hua. Āpopo he ngāherere ora!

Values

Mā muri kā tika ā mua, mā mua kā tika ā muri.

chairman’s report

NGA KUPU ō te Tiamana Maringiringi tonu ngā roimata ki ō tātou mate kua wehe atu ki te pō. Tokomaha ō ratou i tū tahi me Te Kapu O Waitaha hei tūtuki ī nga whāinga, kia ea ake ngā wawata ō te iwi. Kei te mihi maioha atu ki ngā koeke, na koutou te tūapapa i whakatakoto hei anga whakamua ki te ao hōu. Ōtira, huri noa, tena kōutou.

From the Chairman Te Kapu O Waitaha Board is committed to transparency and reporting annually on how well we performed against our vision and deliverables outlined in the ten year Waitaha Strategy 2015 - 2025. On behalf of the Board, I am pleased to present the annual report for the second year since the establishment of the Trust. Our work over the past year is inspired by the essence and meaning of Te Kapu O Waitaha and our inter-connectedness – as an iwi.

The Board and staff acknowledge our koeke, and those who represent iwi interests, as having all contributed significantly to supporting the strategic activities of the Trusts’ ten year plan. It is through these relationships that we have been able to achieve more, a lot more quickly, make better use of resources, and more importantly begin to build a stronger platform moving forward.

Strategy Mission To deliver on Trust strategic commitments in a manner that successfully benefits Waitaha whanau, iwi.

Core Values Protect, preserve, and promote the health, wealth, and wellbeing of Waitaha.

The strategic directions outlined in the Te Kapu O Waitaha 2015 - 2025 ten year strategy are reviewed annually. In 2014, management prepared a one year operations plan with a five year range in deliberation of evolving change over the lifespan of the ten year strategic framework. Last financial year the Board set out five key priorities for operations; Education, culture, heritage, social • establish and align Waitaha Charitable Trust Statement of Intent to the socioeconomic goals of Te Kapu O Waitaha 2015 - 2025 strategic direction Environment • strengthen our political position for the protection of cultural and environmental values

Investment and asset management • further develop a sustainable economic base for Waitaha Communications and iwi register • provide a communication model consistent for two-way and one way communication Iwi capacity and capability • formalise a program for succession planning

Overview Purpose, Priorities and Outcomes 2014-2015 PURPOSE Deliver social, environmental, and economic benefits to Waitaha through the effective management of Treaty Settlement assets and taonga

PRIORITY OUTCOME

Socio and economic development

Access to and protection of cultural and environmental values

RESULT INDICATORS • Generation of new or increased income

• Protection of and restoration of environmental heritage values

• The revitalisation of Waitaha culture

• Access to and protection of culturally significant sites

• Access to, engagement and participation in iwi affairs, and related services

• Participation in environmental activities

• Strategic and distribution development for Education and training

• Increased recognition of Waitaha cultural estate

TKOW by numbers 2015

$7M

$6.4M

$13.6M

MANAGED INVESTMENT

PROPERTY VALUES

EQUITY

Investments are managed by Craigs investment Partners.

Commercial redress properties were settled at $ 4.8 million in 2013

TKOW $ 3.2M investment WCT $ 3.2M investment

Despite rateable values used for 2015, property values have increased by $ 2.2 million

2013 we started with $ 11.4 million in Treaty Settlement Assets. Net equity has increased by $2.2 million for period 2014-2015

$2.2M - COMMERCIAL PROPERTIES

$2.2M - INCREASED EQUITY

Highlights Cadetship Programme

Waitaha Iwi Management Plan 2014

Waitaha register waahi tapu sites - Papamoa Hills

Koeke role has assisted greatly in the elevation of Waitaha visibility and mana

Revitalisation of Waitaha Hui - A - Iwi

Commencement of Waitaha History Project March 2015

Waitaha input to Otawa Sanctuary

Waitaha Group Structure Functions & Relationships

Revised Changes

In 2014, the iwi endorsed the direction for the establishment of the Waitaha Charitable Trust. The Board proposes a further sub-entity in the form of a company to progress and strengthen the economic base for Waitaha in 2016. A constant theme with the evolvement of sub entities, has been the redesign of our business models,

and Trust accountabilities. These aspects have triggered a review of corporate structure enabling better alignment that take into account the sub-entity, Iwi Management plan, and future operating environment. In addition, the need for a result orient focus that is strongly prescriptive is important in order for iwi to identify how the Trust contributes to iwi aspirations. These are

accommodated particularly through the review of the Statement of Intent 2015 - 2020. The decision to abandon the traditional hierarchical structure, and therefore flattening out effects will better represent the relationship of roles within and outside of the organisation while minimizing risk for ambiguity, and confusion.

Defining our purposes and accountabilities from our Corporate Structure

Te Kapu O Waitaha will become the Aministration hub for all the Waitaha sub entities and remain the link between the Trust and Waitaha

Waitaha Charitable Trust primary purpose is to distrubute allocations from Trust profits as stated in the Deed of Settlement and Trust Deed

A proposed Holdings Company will be responsible for generating and growing Waitaha economic wealth

Governance

Trustee Joshua Grant

Chairman Frank Grant

Trustee Carol Whare

Vice Chairman Tapua Te Amo

Trustee Wehi Clarke

Cost of Training

$3.2K Model of Governance The board governs by a “governance policy” model, whereby it exists to form the accountability link between beneficiaries/iwi and Trust operations. As such the Board must exercise the authority of their role, to ensure beneficiaries/iwi has a voice. The governance policy model requires that the Board must control results in an affirmative and prescriptive way, including performance expectations expressed to the General Manager with respect to the board’s judgment in relation to appropriate benchmarks of corporate success from the beneficiary/iwi perspective 12

Governance Capability Development Each year the Board assigns a cyclic agenda, of which includes an allocation for the ongoing development of its members. Training is specifically targeted at improving governance capability that is relevant to our work, and what is required for the future. The Board underwent a series of Governance training last year, both formal and informal.

Institute of Directors Risk and Audit Finance essentials Investment training Craigs Investment team Grant distributons Internal Digital Transformation Tangatawhenua.com

Governance Portfolio Powers have been delegated to sub committee, who remain accountable to the full Board through reporting recommendations for decision.

Grant Sub Committee The grant sub-committee consists of 4 Board members also belonging to Te Kapu O Waitaha. Their role

takes on the responsibility for future grant and funding applications. The committee has completed high level distribution policy, undertaken training for grant business standards and familiarity with the full process for grant administration and audit requirements. Education programmes will be supported through the returns generated from the Hakaraia

Education Endowment fund. The establishment of Waitaha Charitable Trust operations combined with return on investment, will enable an education allocation for December 2016.

Proportionality Grant proportionality exists in Policy to accommodate flexibility against a set of priorities. Considerations are given to areas determined as high priority balanced with individual needs, and choice, with consideration also given to the more broader effects of socioeconomic and cultural change. It is for this reason that the Board will confirm what education purposes it will fund later in 2016.

Hakaraia Education Development

$3.1M

$15,000

Hei marae distribution

$3M

Managed Funds Craigs Investment Parnters

Property Sub Committee The role of the property sub-committee is to investigate and make recommendations to the full Board concerning the use and opportunities that may exist for the commercial properties. The analysis will influence the type of economic structure in the future as a new and separate sub-entity.

Commercial Property Investment Portfolio Transferred sites by the Crown: • Hinepoto, Lenihan Drive, Te Puke 2.8 ha • Ohineangaanga corner of Jellicoe Street and Dunlop Road, Te Puke 0.514 ha

Te Houhou - Papamoa uban development zone

Commercial redress properties - 5 education properties (lands)

Te Houhou Te Houhou land is situated in both Papamoa East and Wairakei development areas. The property is currently leased to Baileys Farms and generates an income of $8,726 p.a. Outgoings are the responsibility of the lessee releasing the Trust from land and water rates expense. The current lease is by way of licence to occupy and is purposefully reviewed on an annual basis enabling efficient response to a future economic direction by the Board. As part of the plan to help combat New Zealand’s housing crisis, the Tauranga City Council Housing Accord aims to accelerate delivery of housing across the Papamoa East, Wairakei, and Te Tumu land blocks. Through the accord, Special Housing Areas (SHAs) were identified for fast-track development. Te Houhou is situated in the (SHA) area, and while we have not specifically signed up to the accord, Te Houhou lands registered in the accord affords a level of flexibility to be included. The Housing Accords and Special Housing Areas (HASHA) legislation provides for reduced compliances within the Council consenting process.

Commercial Feasibility Study

In August 2015, The Property Group was commissioned to undertake a feasibility study for the northern proportion being 10.5 ha on Te Houhou land. The scope of the feasibility focused on best economic return with possibilities of land retention. The study highlighted that while land retention was a priority, long term lease options were

isolated to a specific target sector impacting on marketability, slowing economic gains, and would not compete favourably in a market where home ownership remains sought after by average kiwi families. The study further highlighted the cost involved in development, however provided low profit returns by Board expectations therefore did not appear a strong enough case to pursue at that time. The sub-committee continues to seek out economic opportunities as a high priority on the 2016 agenda.

Hinepoto - Lenihan Drive The sub-committee has received interest from two developers in the course of the year. Discussions included a mix of sale and or joint venture propositioning for residential development. The Board did not make any decisions around either until such time as a more “wholesale” approach can be established in the planning for all commercial property assets. The property is a Grade 2 listing. This has limitations in terms of development, and furthermore high insurance costs without ever achieving full replacement value.

consultations where the programme for social housing reform was explained. Our own analysis concluded that; • Compliance and regulatory matters were the responsibility of multi-agencies • Housing stock were to be sold at market prices, no figures could be provided • No guarantees of tenant referral due to a matching system of tenant and type of accommodation • Limitations in on-selling property • State of properties and on-going maintenance not cost effective against income revenue over the long term The Board concluded that registering as a community housing provider and participating in the social housing sector presented more negatives than positives. Our long term view is better served by enhancing capability toward home ownership.

Koeke relationship with Board

The Ohineanaanga property is home to the Te Kapu O Waitaha Offices. Last year the Board allocated a capital budget of $ 300,000 for ensuring asset protection.

The Board highly regards the role of the koeke in relation to cultural and historical knowledge sharing across a range of Trust business. Our relationship with koeke is an important extension in our ability to ensure the way in which we approach significant decisions upholds the cultural integrity. This year the Board invited and includes koeke as standing agenda item. The Board will continue and maintain this critical relationship.

Response to Social Housing

Future outlook

Ohineangaanga – Dunlop Road

On 6 May 2015, Ministers announced Tauranga and Invercargill as the preferred regions for an initial set of social housing transfers. Iwi leaders were invited to a round of

• investing in our people and their futures through Education and training • investment and risk review • increase our capacity and iwi capability • formalize succession planning across operations • centralizing Waitaha services • development of a digital strategy • report regularly to the iwi The year is marked by the continued unity and cohesion of Trust work complimentary to the efforts of our selected and elected iwi representations. Such importance recognizes whole heartedly that everyone has a role to play in the future of Waitaha, our people, and not least of all keeps our past present as we continue to build our futures.

Board and staff I thank fellow board members and staff for their considered deliberations and commitment throughout the year. Our focus is uncompromisingly on achieving positive outcomes over the long term. Nā

Frank Grant Board Chairman

As we enter into the third year of 2016, the Trust makes it a priority in the following areas; • establishment of a holdings company 15

General Managerâ&#x20AC;&#x2122;s report There are two things I look forward to at the end of the year. One is that we get to reflect and report on our years efforts to the iwi, and secondly the audit on how well we performed against the background of our strategic objectives. This year I am reporting to you on the first year of a ten year strategy. This means that with each year, similar to whakapapa we must plan and deliver layer by layer in order to reach the sum of whole parts. The Board set a number of key priorities last year. One of which was to establish the Waitaha Charitable Trust so that it is fully operational by 2015. The achievement of this marks an important milestone, enabling the Trust to now execute the long awaited grant distributions planned for 2016. Complimentary to this was the accounting of the endowment funds, as originating within the Deed of Settlement, the Charities Commission regulations, and finally the development of policy and business standards to ensure compliance. Further to this, we undertook a review of the Statement of Intent adding a more prescriptive plan taking into consideration key themes from the Waitaha Iwi Management Plan, in particular the cultural and education elements contained therein. We are conscientious in our responsibility to provide benefit to our registered members and iwi as a whole. While we ordinarily default our thinking that benefit is for the most part measured in the level of financial contribution, it also includes concepts such as a thriving culture, a healthy environment, accessibility to services and information to lead healthy lifestyles of choice, to the level of iwi engagement and participation in the 16

local government and central government space, including the private sector. Such outcomes are not achieved by working in isolation to everything and everyone else. If that were the case we would be emphasising a daily prayer â&#x20AC;&#x153;e te Atua me torona tou ringa, hei pou mo matou, kororia tou ingoa tapu Amine!â&#x20AC;?. Instead, our success is attributed to the consistent support of nga koeke, the history project team, and Waitaha iwi representations who all work for the common cause in matters affecting Waitaha. Their input and guidance reinforces the need for knowledge transfer, and succession planning in order to avoid a state of cultural suspension and vulnerability in the future. The opportunities to address that matter are supported by a future Te Reo wananga, the continuance of bi-monthly hui-a-iwi, regular hui with nga koeke, the future completion of our written history, but more importantly an appetite for cultural interest and leadership.

Looking ahead We must remain true to those things so that we do not lose sight of why we are here, how we must conduct our work, and what it is that we must achieve over the next ten years.

Dedicated resourcing In the short term we will concentrate on dedicating resource to the education strategy toward strengthening the future of nga tamariki mokopuna.

Shifting the political paradigm We will continue to solidify our iwi agenda by ensuring our visibility and iwi position is well represented within the political arena, and that we are invited to do so by cultural and legislated right.

Challenges The establishment of the commercial entity in 2016 will challenge the balancing of commerce with cultural views. Despite this, it is necessary, and not insurmountable if we implement a framework that suggests better opportunities lie elsewhere with under-performing assets and where costs outweigh benefit. Key to this will be the challenge of opportunistic timing, a solid investment framework, and the specialisation in Director capability.

Futures focus We continue to look forward, and are motivated by the challenges that lie ahead, because success no matter how big or small it is for the people of Waitaha and that is what surely matters to us all. A final note, on behalf of management and staff we thank the Board, our koeke and whanau for their continued support throughout the year. No reira, merikirihimete me te tau hou ki a koutou katoa.

Vivienne Robinson General Manager

our performance 2015

Te Ao Turoa “We want to protect all of our waahi tapu sites, protect our flora, fauna, endangered species, and protect our lands from threats and challenges” Waitaha Iwi Management Plan 2014

Our aim is.. To strenghten our political position for the protection of culutral and environmental values

Waahi tapu registered by Waitaha. Heritage New Zealand has approved the application by Waitaha for registrering the ancient pa sites located on the Papamoa hills. This formalises a written extension of our cultural estate re-inforcing our commitment to ensuring the history and cultural associations of Waitaha to their ancestral lands remain an everlasting record within the public domain. This year we have gained momentum from strengthening our relationship with Doc. We initiated quarterly meetings with the Regional Director and senior staff with a keen focus on promoting the Treaty Settlement obligation for Waitaha input to the DOC annual regional management plan. Since then we have been asked to provide information for public signage to be established with regards to our cultural association to Otawa and the ancient corridor connecting our ancestral mountain. We will work with the History team, and

koeke to realise public signage for Otawa. This is another demonstration of protecting our significant sites promoted thorough public awareness and appreciation of our connections to our ancestral lands and all natural and spiritual residents within it.

Waitaha names “Otawa Forest Sanctuary” The upper catchment of Otawa is home to the ancient and endangered Otawa frog scientifically named the Hotchstetter frog. As part of a restoration programme for Pakis quarry site, Waitaha endorsed the re-designation of the area from conservation to a formal Sanctuary status. The name given by nga koeke is “Otawa Forest Sanctuary”. If approved, the Act will prevent any future mining that might otherwise have been considered.

“We want to maintain the quality of the natural world…”. Waitaha Iwi Management Plan 2014

We have determined a stronger position on cultural earthworks monitoring. The Trust has stated our position to ALL developers who seek Te Kapu O Waitaha endorsement to resource consents. We have stated that Craig Watson is to be included in their documentation as the mandated iwi representative for cultural earth works montioring for Waitaha. This motivation is to ensure that Waitaha history and connection to the land is recognized, and therefore the natural kaitiaki responsive to cultural earthworks monitoring in the Wairakei and Papamoa urban development areas. We have agreement by Council for Craig to do the cultural monitoring for phase two of the Okuroa Drive development.

We continue to push for environmental accountability and exercise our Statutory Recognition in the political space. This year we were notified by Council and DOC; a total of 109 resource consent and 5 permit applications. We said NO to consent renewals for further water take from the Ohineanaanga following reports of existing over water allocation and the disastrous effects from a cultural perspective. We said NO to beehives being placed in the vicinity of Otawa. This is due to problematic issues of cross pollination between native and non-native plants. We said NO to Asian researchers seeking a permit to undertake a whale study in Tauranga Moana waters. We said NO to resource consent renewals where storm water discharge managemant did not meet the requirements of previous consents with no remedial actions. We said EXCLUSION of blue nose dolphins for marine viewing permit for tourist company, due to the decline of bluenose in our region.

At a glance we have responded to...

109

Resource consent notifications

Permit applications

Cultural impact assessment reports

Environmental mediations

We said YES to a study of Toutouwai in the Otanewainuku area. Waitaha sought agreement to become involved in the study. Permit has been granted for 2016.

Our environmental relationships Management Plan, provided a cultural assessment for the Comprehensive Papamoa Storm water management plan and Resource Consent variation.

“We want Waitaha matauranga values including whakairinga korero to be applied in the care and protection of our lands and waterways” Waitaha Iwi Management Plan 2014

Whakairinga kõrero wãnanga Dept. of Conservation took up the opportunity to learn and understand their role in relation to “Te Whakairinga korero” as a result of the Treaty Settlement Claim. In May 2015, koeke volunteered their time to 16 Regional staff members and their Director supporting the “whakairinga korero” wananga. As a result, Te Kapu O Waitaha sat on the interview panel for the appointment of a new Iwi relationship Manager who will be working in our region. In addition, all permits are consulted on, and iwi consultation with Waitaha has been added to their approval process for any environmental projects within our area of interest. Waitaha will also receive copies of research, and an

annual brief on the health of our environment. We continue to have input to regional plans. We have improved our political position significantly in the last two years. Examples of this is demonstrated clearly in the number of resource consent notifications by council to Te Kapu O Waitaha. We have also been invited to provide feedback on some of the bigger issues around water management, and allocations. We have been appointed by council to represent Waitaha on water issues as a member of the Kaituna/Maketu community water group. We have also, presented to the Regional Council the Waitaha Iwi

The establishment of an iwi environmental komiti has allowed us to work more cohesively with Waitaha environmental representatives. This has added a powerful potency of consistent political positioning by Waitaha as a unified whole.

Communication “Our fundamental aspiration is to maintain our intrinsic relationships with each other” Waitaha Iwi Management Plan 2014

Aim To provide a communication model consistent for two way and one way communication

Waitaha hui-ã-iwi Waitaha hui-a-iwi is held once every two months. This has been an important avenue for the Trust to provide progress reports back to the the iwi. In addition we have been able to connect with what each sector representing Waitaha interests is doing. In this way we have been able to identify a more collective approach to common agenda, and appreciate the collective efforts by all within the iwi. Te Kapu O Waitaha has now included all Waitaha report information in the monthly panui, website and facebook communications. It is evident that despite poor attendance at the monthly hui, the website Panui page, and posts to Face Book have the highest rate of views and

engagement. The stats are encouraging, and demonstrate that we are reaching our people in a whole new way.

8,372

People engaged on Waitaha Facebook Highest engagement – iwi panui

840

Panui delivered locally door to door

15,570

People viewed pages on our website Most popular page – iwi panui 21

Most

People visited our Facebook between the hours of 9.00pm and midnight

6,000

Highest reach of people recorded was in December 2014 on our Facebook page

Wider

We worked together with iwi reps and koeke to keep whanau informed no matter where they live

895

People visited the website panui page

534 people reached

Iwi Register

2,038

Total Iwi data registration records 2015

Ko Te Arangi Anasta toku ingoa, ko Te Arawa me Ngai Tuhoe oku iwi. I have the ultimate responsibility for the management of the iwi data base records. This involves the administering of the database, policy development, securities, and systems engineering. I manage two sets of database; being adult registrations and mokopuna under the age of 18 years. The Board approved a new policy this year whereby mokopuna turning the age of 18 years automatically graduate to the adult register without the need to duplicate information that was already provided on their parents registration record. Those registered in this way have 10 days grace to indicate whether or not they wish to remain on the iwi database. To date 94 mokopuna who have turned 18 in the past 12 months, 100% remained on the adult register.

A huge 91% of our adult registered members were born in the techno age. Evidence shows that 85% of New Zealand population by the age of 10 either have a cell phone or want one for Christmas. Societal preferences are changing to “lighter , faster and mobile” as the norm. It is for this reason that we have introduced online registrations through the website. In addition I am also investigating a Te Kapu O Waitaha mobile APP as part of our digital strategy.

This year the current registration form was reviewed to focus on easing burden on our registered members. The revised registration form now includes a consent section enabling us to share an approved record with Te Arawa Fisheries. This means that people will not have to provide information twice if they wish to apply for tertiary grants through the Te Arawa Fisheries, which Waitaha whanau are entitled to apply for.

I take this opportunity to thank pãpa Tame for his help with validations concerning whakapapa over the year. I also thank Nan - our Te Arawa Fisheries delegate and Shane Heremia General Manager for Te Arawa Fisheries, in supporting a more seamless process for Waitaha to access Te Arawa Fisheries scholarships.

Keeping current records is like “keeping up with the Kardashians” It is a constant challenge. We urge whanau to update your record if you have moved, or changed contact details, and or circumstance. This can be done on www.waitaha-iwi.org.nz , email or phone.

Ki nga koeke katoa, ka nui te mihi.

1,354

Registered adults 2015

524

People visited the website registration page in the last 12 months 23

Iwi capacity and capability â&#x20AC;&#x153;The education ambitions of Waitaha whanau require investment in programmes that are future orientatedâ&#x20AC;?. Waitaha Iwi Management Plan 2014 The Board allocated funds toward supporting the capability development of Waitaha youth. The cadetship is offered every two years, and is a paid work based learning programme .

Supportive learning environment included having a relationship with nga koeke and attending koeke hui

Skye Whareaorere was the first recipient of the programme which commenced in October 2014. The success of the programme is demonstrated by the fact that Skye was able to skip a level due to her learning with Te Kapu O Waitaha when she enrolled for business administration study in Waikato commencing next year. We wish her well in the future and look forward to supporting more young people in the next intake for 2017.

The iwi appointed Skye to the role of secretary for Waitaha-hui-a-iwi. This exposed her to experience working at a governance level

AIM: To formalise a programme for succession planning

Education culture heritage “Education is the key that unlocks many of those opportunities that our people want to access” Waitaha Iwi Management Plan 2014

Aim To establish and align Waitaha Charitable Trust SOI to the socioeconomic goals of Te Kapu O Waitaha

Revised SOI to align to TKOW and Waitaha Iwi Management Plan 2014.

The Trust accounts for one Endowment and two funds all of which are administered separately. Each of the endowments is assigned a specific purpose according to the DOS. The SOI Education Plan will be supported through the Hakaraia Education Endowment, with a future dedicated resource to leading the strategy. This appointment will occur in 2016.

The Statement of Intent was reviewed in 2015, making additional amendments that recognized the views in the Waitaha Iwi Management Plan. A more prescriptive focus was on the “what” and “how” taking into consideration the objectives set out in the Te Kapu O Waitaha Strategic Plan 2015 -2025. The revised SOI was approved by the Board for implementation in the next fiscal year.

Held on Trust is also the Waitaha History Endowment. Current contracts are administered through Waitaha Charitable Trust. The History project kaupapa exists in both the Te Kapu O Waitaha Strategy, and the Waitaha Charitable Trust SOI.

Establishing the Waitaha Charitable Trust It has taken a solid 12 months to establish the Charitable Trust. The complexities involved compliances with multiple ACTS, and constitutions. Those legislations dictated the financial structures, administration and accountabilities.

Support to programmes and distributions will be the main function of the Charitable Trust over the next five years.

1. Education

6.Cultural

Statement of Intent: Key Priorities 2015 - 2020

To ensure educational development maintains a holistic and integrated approach.

2. Environment

To support the role of cultural revitalisation and promote cooperation among public institutions, academic organisations, service providers, and others.

To support environmental preservation of our cultural heritage, values, customary practices and knowledge

5. Economic

3. Social

To improve the Trust’s capacity for innovation, teamwork and risk taking - to be successful in a 21st century economy.

4. Communications

To contribute to the exchange of information, and experiences relative to Waitaha

To support initiatives/partnerships which demonstrate contributions to postive development and social inclusion.

Investment and asset management Ko Veroni Leota ahau. Kō Waitaha me Ngai Tūhoe ōku iwi. My role within the Trust is to administer the fiscal activities of both Te Kapu O Waitaha, Waitaha Charitable Trust and future trust subsidiaries.

At a glance...

$2.2M Increased Equity (Consolidated)

$3.2M

$28,000

TKOW Investments TKOW Net surplus 26

Overview 2014 - 2015 Investment Portfolio 20.4%

Te Kapu O Waitaha Trust Assets 2014 -2015 Loan - CT 19.4%

Intangibles - web 0.0%

Cash at Bank 1.7% Fixed Assets 0.0%

Other Current Assets 0.6%

Property 58.0%

Structure and finance With the establishment of the Waitaha Charitable Trust, came a new financial structure for Te Kapu O Waitaha. The financial mixed model arrangement of shared services and fees, was introduced last year between TKOW and the Waitaha Charitable Trust (WCT). This was an effort to promote the allocation of resources for the establishment and ongoing administration for the Charitable Trust by TKOW. The underlying principle of the related party arrangement is that TKOW will bear overhead costs however recover costs for services where it is efficient and effective to do so, and where those services are necessary for the achievement of regulated compliance and Trust objectives. In the short to medium term the aim is to reduce the burden of service recoveries to a zero $ fee.

Reserves The Board approved $ 300,000 capital reserves for the forecasted 2

Dunlop Road property renovations and refurbishments in 2014. This allocation came from an accrued net surplus and investments from operations the year prior. To manage financial risks, the Board set its reserve Policy based on three months of operating expenses. Trust reserves are managed through the investment portfolio, with liquidity value well in excess of the minimum reserve threshold as at 30.06.2015

Loan to Waitaha Charitable Trust Accounting standards require that the Hakaraia Education Endowment fund be settled into the WCT as a loan from Te Kapu O Waitaha.

Income Overview Income Streams The Trust income is derived primarily through interest on investments as they fall due, and rental income. Charges against the Charitable Trust were serviced through accumulated interest at the time of re-settlement

for Endowment fund(s) and not the principle. Investment Investment performance exceeded the 4.6-5% forecasted target with a 6.51% return since inception in September 2014. Cost recoveries by the trust relate to outgoings recovered from leased properties. Trust Policy requires that no payables should be outstanding more than 90 days. Compliance was consistently achieved on a monthly basis. Performance Overall income was up by $ 71, 671 from the previous year.

$71,000 income up on last year

6.5% return on investment 27

Expenditure Overview

Capital Works Budget allocation $ 300,000

The Trust approves an annual budget each year. 19% All approved allocations are subject to Governance Policy and financial policy.

Asset management A Capital works budget was approved in August 2014 specifically to address the issue of asset protection â&#x20AC;&#x201C; deteriorating buildings. By year end 19% of the total budget remained unspent and will accrue into the following year.

Unspent Expenditure 81%

HR - Salary Budget Allocation Breakdown

Human Resource Of the total HR salary budget 17% included allocation for the cadetship programme. Policy requires that salaries not exceed 55% of the total operational budget. Salary spend is compliant at 42% of total expenditure. Compliance is maintained with the inclusion of the cadetship programme at a further 17% cost to budget.

17%

Employees Cadetship programme

Governance Last year the AGM approved an increase for Trustee fees of $40 per meeting. The Trustee fees and Travel is extremely minimal at 4% of the total expenditure. Efficiencies were gained from cost savings where TKOW and WCT meetings were held back to back on the same day. Trustee fees are to be reviewed annually at the AGM of itsâ&#x20AC;&#x2122; members.

83%

Cost of Governance Budget Against Total Operations Expeniture 4%

Performance

Cost of Governance

Internal controls on expenditure, resulted in a year end of less spend than forecasted.

All other expenditure 96%

Summary The closing market value of the portfolio as at 30th June 2015 was $3,276,669.69. The estimated gross income for the next 12 months is $163,823.92, which equates to an annual yield of 5.06 %.

SIPO Summary The SIPO is designed to operate consistently with the strategic goals of the Trust. It provides the governance structure to assess, manage and protect the investment requirements of the Trust and to achieve the greatest level of commercial return so as to improve the cultural, environmental, and economic potential for Waitaha.

Economic Drivers Markets are becoming more volatile, largely due to China’s slowdown. China has recently provided stimulus and markets have recovered somewhat. US growths remain on track and looks like a market to add exposure to the portfolio. $NZD has slowed due to lower commodity prices, although the low $NZD will assist exporters. It is expected that the dairy prices to recover to average levels over the next 2-3 years, food remains in demand globally.

Good quality equities are attractive, and interest rates are expected to reduce and remain low for 2 years.

Strategic Priorities/Future Investment Priorities Where applicable the trust will promote self-management, self –sufficiency and economic independence for Waitaha. We will do this by building a substantial portfolio of sustainable investments by 2025, diversified by industry and geography, which collectively provide Waitaha with meaningful opportunities.

Investment Targets

• Preserve and grow wealth over the long term • Professional management and monitoring of investment performance • Manage cash flow as required, to provide income to the Trust • Provide level of diversification to meet Trust objectives • Consider economic, cultural, social and environmental impacts when making investments

Investment Portfolio The portfolio is to provide a moderate level of growth over the long term, with the aim being to protect the capital value from being eroded by inflation and provide growth. The risk return profile for this portfolio is indicative of a balanced portfolio. The primary objective of the portfolio is typically to maximise the total return subject to the balanced risk profile over the medium to long term, and to the risk limitations and asset allocation put in place by the Trust. The target portfolio contains 50% high quality equities and 50% fixed interest and cash. The fixed interest 29

component is designed to provide the Trust with security of capital and a stable fixed income. The equity portion of the portfolio is designed to provide the trust with income as well as capital growth. The investment time-frame is medium to long term (5 years plus).

Investment Performance Currently there is 59% in liquid funds. Craig Investments Partners in-line with our SIPO will invest the liquid funds to meet the Balanced Portfolio over time. The primary objective of the portfolio is to maximise the total return in line with the balanced risk portfolio over the medium to long term (5 years) and to the risk limitations and asset allocation put in place. Purpose of the rolling out over-time Craig Investments Partners take time to carefully research the market and this all takes time to ensure that they are making sound financial decisions in-line with the balanced portfolio in place. Factors considered against the portfolio objectives; liquidity and price, dividend yields and growth prospects.

Summary The Waitaha Charitable Trust was set up as the Main operating account for three funds. â&#x20AC;˘ Social Endowment â&#x20AC;˘ Hakaraia Endowment â&#x20AC;˘ History Endowment The Social and History funds were transferred into the Charitable Trust in 2015. This is noted in the audited statements as Resettled Funds. The Hakaraia Endowment was held in Trust by Te Kapu O Waitaha and transferred to the Charitable Trust in September 2015. This is noted as a loan to the Charitable Trust and is standard accounting practise. In accordance with the Deed of Settlement, the Endowments are accounted for separately, and have their own unique chart of accounts. The reporting of the Statement of annual accounts is not as straight forward as we would have liked. To

explain, the resettled funds do not differentiate from principle of the endowments with interest accumulated through the Trustee decisions to invest those funds prior to transfer. It is important that we highlight this to explain clearly that the decision by the Board to approve establishment costs, and administration services was based on the principle that, where possible those expenses were covered by interest absorbed in re-settled funds. Additionally, the resettlement funds also absorbed funds that would have otherwise belonged to the Waitaha Trust Mains Account, being the residual amount $74,701.31 OTS fund. We report with confidence therefore that the deficit $12, 322 is sufficiently covered through the balance sheet, where the OTS funds are accounted for (resettled fund).

Hakaraia Endowment Return on Investment (not a full year) The portfolio has had a return of 1.56% as at 30.06.2015. The closing market value of the portfolio as at 30th June 2015 was $3,046,272.68. The estimated gross income for the next 12 months is $144,210.55, which equates to an annual yield of 4.78 %.

CONTRIBUTION SUMMARY Reporting Currency: NZ Dollar From 06/03/2015 To 30/06/2015

Porfolio Value on 06/03/2015 3,000,000.00 Contributions 0.00 Withdrawals 0.00 Transfers in 0.00 Transfers out 0.00 Net Contributions 3,000,000.00 PORTFOLIO VALUE ON 30/06/2015 3,046,272.68

$3.1M

Interest $ 77,950 Resettled $ 95,455 as at 30.06.15

Net Surplus $ 48,047 ASB - Held in trust

$ 120,092

Social Endowment Return on Investment (not a full year) The portfolio has had a return of 1.16% as at 30.06.2015. The closing market value of the portfolio as at 30th June 2015 was $202,289.45. The estimated gross income for the next 12 months is $6,871.88, which equates to an annual yield of 3.40 %.

CONTRIBUTION SUMMARY Reporting Currency: NZ Dollar From 06/03/2015 To 30/06/2015

Porfolio Value on 06/03/2015 200,000.00 Contributions 0.00 Withdrawals 0.00 Transfers in 0.00 Transfers out 0.00 Net Contributions 200,000.00 PORTFOLIO VALUE ON 30/06/2015 202,289.455

$366,156

Interest $ 55,931 Resettled $ 5,276 as at 30.06.15

Net Surplus - break even ASB - Held in trust

$ 163,867

History Endowment The History Endowment was part of the Deed of Settlement to document the written History of Waitaha and Hakaraia. The total fund received from the Crown was $ 300,000.

Expenditure Ended 30.06.2015 Establishment

Administration

Contracted services and costs

18%

In March of 2015, the Trust contracted the services of Tame McCausland, Punohu McCausland and Whareoteriri Rahiri to write and deliver drafts of a publishable standard regarding the history for Waitaha and Hakaraia. The oversight for this project is by Maranga Waitaha Trust. Waitaha Charitable Trust maintains the administration and budget allocations for the Endowment fund.

66%

16%

History Project The graph shows the status of completion for each wahanga. Collations of images, photographs, critiquing, and interviews in some cases are yet to be undertaken to complete the expected outcomes. It is to be noted that the project did not commence until February â&#x20AC;&#x201C; March of 2015, in addition the contracts are for two writers, a reduction from the initial proposal of four. A review of set deliverables will be undertaken between Maranga Waitaha Trust, Waitaha Charitable Trust by 30 November 2015.

Nga Wahanga by % completed 70 60 50 40 30 20 10 0 Hawiki Te Taunga Ka U a A Hei me He iwi ke Te Hakaraia Tawhiti Are o Te Waka Te Arawa Waitaha kua tau Raupatu Are ai a ki Maketu ki Maketu mai o te Raiatea whenua Series 1 Series 2

financial audited accounts

Contents Te Kapu Ĺ? Waitaha Trust Financial Statements

Trust Directory

Auditors' Report

Statement of Financial Performance

Statement of Movements in Equity

Statement of Financial Position

Notes to the Financial Statements

Waitaha Charitable Trust Financial Statements

Trust Directory

Auditors Report

Statements of Financial Performance

Statements of Financial Performance - Other Contracts

Statement of Movements in Equity

Statement of Financial Position

Notes to the Financial Statements

Trust Directory

As at 30 June 2015 Trust Purposes

The purposes for which the trust is established are to receive, manage and administer the trustâ&#x20AC;&#x2122;s assets on behalf of the beneficiaries in accordance with paragraph 2.4 of the trust charter.

As a result of negotiations and agreement with the crown and Waitaha Iwi, the trust is the mandated recipient, on behalf of Waitaha, of settlement assets under the Waitaha Settlement Claims Act 2013.

Trustees Frank Grant Carol Whare George Clarke Te Tapua Te Amo Joshua Grant Accountants GHA Ltd Chartered Accountants PO Box 1712 Rotorua Bankers ASB Bank Limited Tauranga Solicitors East Brewster PO Box 1742 Rotorua Auditors Cookson Forbes & Associates Chartered Accountants PO Box 541 Opotiki

COOKSON FORBES & ASSOCIATES CHARTERED ACCOUNTANTS

INDEPENDENT AUDITOR’S REPORT To the Trustees of Te Kapu O Waitaha Trust Report on the Financial Statements We have audited the financial statements of Te Kapu o Waitaha Trust on pages 4 to 12. The financial statements comprise the statement of financial position as at 30 June 2015 and the statements of financial performance and movements in equity for the year then ended, and a summary of significant accounting policies and other explanatory information. Trustees’ Responsibility for the Financial Statements The trustees are responsible for the preparation of these financial statements in accordance with generally accepted accounting practice in New Zealand and that give a true and fair view of the matters to which they relate, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing (New Zealand). Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation of the financial statements that give a true and fair view of the matters to which they relate in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. We have no other relationship with or interest in the Trust. Independence We have complied with the independence requirements of the New Zealand Institute of Chartered Accountants in conducting the Audit. We have no other relationship with or interest in Te Kapu o Waitaha Trust. Opinion In our opinion the financial statements of Te Kapu o Waitaha on pages 4 to 12: • Comply with generally accepted accounting practice in New Zealand; • Give a true and fair view of the financial position of the trust as at 30 June 2015 and of its financial performance for the year ended on that date. • Comply with the reporting and audit requirements as set out in paragraph 9 of the Trust Charter. Other Matter – Basis of Valuation for Commercial Redress Properties We refer to note 10 page 12 confirming that the commercial redress properties were settled on the Trust at an agreed transfer value of $4,885,000. In the 2014 year, the first year of reporting, all properties, with the exception of the “schools”, were valued by registered valuer Telfer Young. In the current 2015 financial year all properties including the schools have been valued at quotable value. The effect is an increase in the commercial redress property revaluation reserve as reported at note 9 on page 12. We agree with this basis of valuation for reporting purposes.

Chartered Accountants 96 Waioweka Road, OPOTIKI 23rd October 2015 36

Te Kapu o Waitaha Trust Statement of Financial Performance For the Year ended 30 June 2015

2015 2014 $ $ Income Costs Recovered 8,680 11,690 Interest Received 133,082 176,031 Ministry of Social Development 1,043 4,174 Rental Income - Commercial 187,848 202,245 Rental Income - Residential 33,332 13,327 TPK Funding - 5,000 Fruition Hort 1,870 Tauranga City Council 2,100 Sundry Income 202 Dividends Received 12,474 Overseas Income 806 PIE and Excluded income 20 Waitaha Charitable Trust Establishment Cost 50,000 Waitaha Charitable Trust Administration 50,000 FIF non-assessable income 2,681 Total Income 484,138 412,467 Less Expenses Accident Compensation Levy Accountancy Fees Administration Advertising Audit Fees Amortisation Bank Charges Beneficiaries Roll Board Meeting Expenses Board Development & Training Catering Cleaning Communications Computer Expenses Contracted Services Election Expenses Foreign Exchange losses General Expenses Hui A Iwi Expenses Insurance Freight & Courier Interest Iwi Management Plan Koha Leased Equipment

53 7,214 1,198 342 197 833 179 3,055 3,050 3,444 1,813 473 119 - 2,834 1,015 815 3,261 661 125 586 3,447 745 2,561 1,689 2,151 5,507 70,337 33,331 439 3,497 798 180 2,854 1,225 15,131 14,830 84 6 1,270 793 500 7,264 2,218

NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report. 37

Te Kapu o Waitaha Trust Statement of Financial Performance For the Year ended 30 June 2015

2015 2014 $ $ Legal Expenses 200 25,381 Light Power & Heating 6,479 8,250 Management Fees 2,940 Meeting Expenses - Whakapapa Committee 1,902 623 Motor Vehicle Expenses 1,524 Motor Vehicle Leases 870 Office Expenses 970 3,362 Photocopying Costs 1,727 Printing, Stamps & Stationery 1,499 3,985 Property and Building Management 3,770 11,724 Property Valuation 10,417 4,570 Rates 14,494 9,982 Rates - water 2,605 713 Recruitment 714 Repairs & Maintenance 9,431 Special Projects 2,100 Staff Expenses 2,486 Staff Training 5,389 800 Telephone and Internet 4,676 3,318 TPK - Matariki Expenses 1,491 3,500 Travel Expenses 1,315 1,030 Trustee Fees 11,320 4,706 Trustee Travel 4,919 3,280 Wages & Salaries 229,401 47,341 Website Expenses 613 1,600 Total Expenses 450,382 209,159 Net Surplus Before Depreciation 33,756 203,308 Less Depreciation Depreciation Depreciation - Loss on Sale Net depreciation adjustment

2,635 1,179 520 3,155 1,179

Non-taxable items Non-deductible IRD Penalties 171 Net Surplus Before Taxation 30,430 202,129 Less Taxation provision NET SURPLUS AFTER TAXATION

2,145

35,906

$28,285

$166,223

NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report.

Te Kapu o Waitaha Trust Statement of Movements in Equity For the Year ended 30 June 2015 Note 2015 $ EQUITY AT START OF YEAR

11,216,979

2014 $ -

Net Surplus After Tax 28,285 166,223 Movements in Reserves 9 2,425,864 11,050,756 Total recognised movements 2,454,149 11,216,979 EQUITY AT END OF YEAR $13,671,128 $11,216,979 NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report.

Te Kapu o Waitaha Trust Statement of Financial Position For the Year ended 30 June 2015 Note 2015 $ CURRENT ASSETS Kiwibank Cheque Account 26,545 BNZ Operating Account - ASB On Call Account 227,523 ASB Cheque Account 12,981 Petty Cash 110 Taxation 6 41,445 Accounts Receivable 9,698 Accrued Interest 38,994 Accrued Income 1,015 Waitaha Charitable Trust 3,080,607 Total Current Assets 3,438,918 NON-CURRENT ASSETS Fixed Assets

71,882 11,117 74 11,530 32,597 127,200

4,278

5,829

Investments BNZ Term Deposits Craigs Investment Partners Investment Properties 8

- 3,238,244 7,037,000

6,650,000 4,465,000

Intangibles Website 3,444 6,888 Total Non-Current Assets 10,282,966 11,127,717 TOTAL ASSETS

2014 $

13,721,884 11,254,917

CURRENT LIABILITIES Visa GST Payable Taxation Payable 6 Accounts Payable Accrued Expenses Provision for Annual Leave Rent in advance TOTAL LIABILITIES NET ASSETS

258 5,117 6,903 - 10,805 9,100 16,810 10,437 8,480 3,420 17,364 50,756 37,938 $13,671,128 $11,216,979

NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report.

Te Kapu o Waitaha Trust Statement of Financial Position For the Year ended 30 June 2015 Note

2015 $

2014 $

Represented by: TRUSTEES FUNDS Reserves 9 13,476,620 11,050,756 Retained Earnings 194,508 166,223 TOTAL TRUSTEES FUNDS $13,671,128 $11,216,979 For and on behalf of the Trustees:

Trustee: _____________________________ Date:

Trustee: ______________________________

23 October 2015

NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report.

Te Kapu o Waitaha Trust Notes to the Financial Statements For the Year ended 30 June 2015 1. STATEMENT OF ACCOUNTING POLICIES Reporting Entity These are the financial statements of the Te Kapu o Waitaha Trust and have been prepared in accordance with the trust charter for the sole purpose of the trustees and beneficiaries. The trust was established under the Waitaha Settlement Claims Act 2013 and is domiciled in New Zealand. The trust qualifies for differential reporting exemptions based on the following criteria: - It is not publicly accountable, and - The trust is ‘not large’ as defined by the Chartered Accountants Australia and New Zealand. The trust has adopted all available differential reporting exemptions. Measurement Base These financial statements of Te Kapu o Waitaha Trust have been prepared in accordance with generally accepted accounting practice in New Zealand. The financial statements of Te Kapu o Waitaha Trust have been prepared on an historical cost basis, except as noted otherwise below. Changes in Accounting Policies There have been changes in accounting policies. Commercial redress properties have been revalued based on 1 July 2014 Ratings Valuations in the current year. During the 2014 year, the properties were revalued to market valuation based on independent registered valuations. All other policies have been applied on bases consistent with those used in previous years. Specific Accounting Policies In the preparation of these financial statements, the specific accounting policies are as follows: (a) Fixed Assets and Properties The entity has the following classes of Fixed Assets and Properties: Investment Properties Nil Office Equipment 16-67% DV All property, plant & equipment except for land is stated at cost less depreciation. 42

Depreciation has been calculated in accordance with rates permitted under the Income Tax Act 2007. (b) Goods & Services Tax These financial statements have been prepared on a GST exclusive basis with the exception of accounts receivable and accounts payable which are shown inclusive of GST. (c) Taxation Income tax is accounted for using the taxes payable method. The income tax expense charged to the Statement of Financial Performance is the estimated tax payable in the current year, adjusted for any differences between the estimated and actual tax payable in prior years. (d) Revenue Interest income is recognised using the effective interest method. Dividend revenue is recognised when the shareholders’ right to receive the payment is established. (e) Government Grants Government grants are reported at their fair value where there is reasonable certainty that the grant will be received and all attaching conditions will be met. (f) Receivables Receivables are stated at their estimated realisable value. Bad debts are written off in the year in which they are identified. 2. AUDIT These financial statements have been subject to audit, please refer to Auditor’s Report. 3. CONTINGENT LIABILITIES At balance date there are no known contingent liabilities (2014:$0). Te Kapu o Waitaha Trust has not granted any securities in respect of liabilities payable by any other party whatsoever. 4. RELATED PARTIES During the year Te Kapu o Waitaha Trust and Waitaha Charitable Trust entered into transactions within the group. Waitaha Charitable Trust paid Te Kapu o Waitaha Trust administration and establishment fees of $100,000 during the year. These transactions were entered into on normal commercial terms and are at market value. Settlement funds have been advanced to Waitaha Charitable Trust from Te Kapu o Waitaha Trust of $3,080,607 during the year. The loan is interest free and repayable on demand.

Te Kapu o Waitaha Trust Notes to the Financial Statements For the Year ended 30 June 2015 5. SECURITIES AND GUARANTEES There was no overdraft as at balance date nor was any facility arranged. 6. TAXATION 2015 2014 $ $ Taxable Surplus 30,430 202,129 Plus Non-Deductible Expenses 5,231 Plus Imputation Credits 4,392 Less Non-Taxable Income 2,701 Total taxable income 37,352 202,129 Income Tax at 17.5% 6,537 35,906 Less Imputation Credits 4,392 Income Tax Expense 2,145 35,906 The Taxation Charge is Represented by Current year tax 2,145 2,145 Tax Payable Less RWT credits 23,656 Provisional tax paid 18,908 Outstanding from prior years 1,026 Total Tax to be Refunded (41,445)

35,906 35,906 25,101 10,805

7. MAORI AUTHORITY CREDIT ACCOUNT At balance date Maori authority credits available to the trust were: Opening Balance 15,134 RWT paid 30,516 15,134 Imputation Credits 1,867 Tax paid 7,563 Closing Balance 55,080 15,134 8. PROPERTY, PLANT & EQUIPMENT Investment Properties At market value (refer Note 10) 7,037,000 4,465,000 7,037,000 4,465,000 Office Equipment At cost 7,892 7,008 Less accumulated depreciation (3,614) (1,179) 4,278 5,829 Current year depreciation Total Property, Plant & Equipment Total Depreciation for the year

2,635 2,635

1,179 1,179

$7,041,278

$4,470,829

$2,635

$1,179 43

Te Kapu o Waitaha Trust Notes to the Financial Statements For the Year ended 30 June 2015 9. RESERVES 2015 $ Investments Unrealised Gains/(Losses) 90,096

Commercial Redress Settled Opening balance for the year Financial & Commercial Redress Closing balance for the year

Commercial Redress Property Revaluation Reserve Opening balance for the year Commercial Redress Property Revaluation Reserve Closing balance for the year Total Reserves

11,497,860 - 11,497,860 (447,104) 2,335,768 1,888,664 13,476,620

2014 $ 11,497,860 11,497,860 (447,104) (447,104) 11,050,756

10. SETTLEMENT ASSETS

FINANCIAL & COMMERCIAL REDRESS During the 2014 year, financial and commercial redress was settled by the crown. Commercial Redress properties were settled and transferred to the Trust at a value of $4,885,000. Settlement funds were also received of $6,612,860. The total financial & commercial redress was $11,497,860. At balance date the properties have been re-valued to $7,037,000 (2014:$4,465,000) as per 1 July 2014 Ratings Valuations. Last year the properties were revalued to Market Value based on registered valuations by Telfer Young, registered valuers of Tauranga.

11. TRUSTEE FEES Attendance 2015 Trustee Fees - F Grant 11 Trustee Fees - C Whare 11 Trustee Fees - G Clarke 10 Trustee Fees - T Te Amo 9 Trustee Fees - J Grant 11

Attendance 2014 5 5 5 4 5

Gross Fees 2015 2,400 2,400 2,160 1,960 2,400

Gross Fees 2014 968 968 968 834 968

Total $11,320 $4,706

Trust Directory

As at 30 June 2015 Trust Purposes

The purposes for which the trust is established are to receive, manage and administer the trustâ&#x20AC;&#x2122;s assets for social, cultural and economic welfare purposes in accordance with paragraph 4.1 of the trust charter.

COOKSON FORBES & ASSOCIATES CHARTERED ACCOUNTANTS

INDEPENDENT AUDITOR’S REPORT To the Trustees of Waitaha Charitable Trust Report on the Financial Statements We have audited the financial statements of Waitaha Charitable Trust on pages 4 to 10. The financial statements comprise the statement of financial position as at 30 June 2015 and the statement of financial performance, statements of financial performance – other contracts and statement of movements in equity for the year then ended, and a summary of significant accounting policies and other explanatory information. Trustees’ Responsibility for the Financial Statements The trustees are responsible for the preparation of these financial statements which comply with generally accepted accounting practice in New Zealand and that give a true and fair view of the matters to which they relate, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing (New Zealand). Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation of the financial statements that give a true and fair view of the matters to which they relate in order to design audit procedures that are appropriate in th e circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Independence We have complied with the independence requirements of the New Zealand Institute of Chartered Accountants in conducting the audit. Other than in our capacity as auditor we have no relationship with, or interests in, Waitaha Charitable Trust. Opinion In our opinion the financial statements of Waitaha Charitable Trust on pages 4 to 10: • Comply with generally accepted accounting practice in New Zealand; • Give a true and fair view of the financial position of the Trust as at 30 June 2015 and of its financial performance for the year ended on that date. • Have been audited in accordance with the clause 11.7.2 (d) of the trust deed. Other Matter – First Financial Statements The financial statements are for the year ended 30 June 2015 are the first financial statements of the Trust. Accordingly, there are no comparative figures.

Chartered Accountants 96 Waioweka Road OPOTIKI 23 October 2015

Waitaha Charitable Trust Statement of Financial Performance For the Year ended 30 June 2015

2015 $ REVENUE Endowment Funds 114,325 NZ Dividends Received 77 FIF Income 354 Interest Received 105,550 PIE Income 378 PIE Excluded Income 287 Total Revenue 220,970 Less Expenses Accountancy Fees 5,061 Administration 50,000 Advertising 261 Audit Fees 1,395 Bank Charges 15 Communications 23 Computer Expenses 43 Contracted Services 57,272 Establishment Fee 50,000 Foreign Exchange Loss 315 General Expenses 52 Hui Expense 750 Koha 980 Legal Expense 250 Light, Power and Heating 522 Management Fees 159 Meeting Expenses 22 Office Equipment 548 Printing, Stamps and Stationery 718 Project Management - MWT 322 Telephone, Tolls and Internet 205 Travel Expense 765 Trustee Fees 161 Trustee Travel Expense 152 Grants - Other 14,797 Total Expenses 184,788 Net Surplus

$36,182

NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report.

Waitaha Charitable Trust Statement of Financial Performance For the Year ended 30 June 2015 2015 $ Main Account

REVENUE Interest Received Total Revenue

18 18

Less Expenses Accountancy Fees 5,061 Administration 5,000 Audit Fees 1,395 Bank Charges 15 Legal Expense 250 Printing, Stamps and Stationery 529 Travel Expense 15 Trustee Travel Expense 75 Total Expenses 12,340 Main Account Net Deficit

($12,322)

Hakaraia Endowment REVENUE NZ Dividends Received 77 FIF Income 354 Interest Received 95,455 PIE Income 378 PIE Excluded Income 287 Total Revenue 96,551 Less Expenses Administration Advertising Establishment Fees Foreign Exchange Loss Hui Expense Koha Management Fees Grants - Other Total Expenses Hakaraia Endowment Net Surplus

15,000 261 16,667 315 750 130 127 14,797 48,047

$48,504

NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report. 48

Waitaha Charitable Trust Statement of Financial Performance For the Year ended 30 June 2015 2015 $ History Endowment REVENUE Endowment Funds 87,229 Interest Received 4,801 Total Revenue 92,029 Less Expenses Administration 15,000 Computer Expenses 43 Contracted Services 57,272 Establishment Fees 16,667 General Expenses 52 Koha 200 Light, Power and Heating 522 Meeting Expenses 22 Office Equipment 548 Printing, Stamps and Stationery 189 Project Management - MWT 322 Telephone, Tolls and Internet 205 Travel Expense 749 Trustee Fees 161 Trustee Travel Expenses 77 Total Expenses 92,029 History Endowment Net Surplus

$ -

Social Endowment REVENUE Endowment Funds 27,096 Interest Received 5,276 Total Revenue 32,372 Less Expenses Administration 15,000 Communications 23 Establishment Fees 16,667 Koha 650 Management Fees 32 Total Expenses 32,372 Social Endowment Net Surplus

$ -

NOTE: This Statement is to be read in conjunction with the Notes to the Financial Statements, and the accompanying Audit Report. 49

Waitaha Charitable Trust Statement of Movements in Equity For the Year ended 30 June 2015 2015 $ EQUITY AT START OF YEAR Recognised Revenues & Expenses Net Deficit Main Account (12,322) Net Surplus Hakaraia Endowment 48,504 Total Recognised Revenues & Expenses 36,182

Other Movements Movement in Revaluation Reserves

8,032

EQUITY AT END OF YEAR

44,214

Waitaha Charitable Trust Statement of Financial Position As at 30 June 2015 Note CURRENT ASSETS ASB Cheque Account ASB History Endowment Account ASB Social Endowment Account ASB Hakaraia Endowment Account GST Refund Due Taxation Accrued Interest Total Current Assets

2015 $ 15,488 282,614 163,867 120,092 13,034 20,300 27,837 643,232

NON-CURRENT ASSETS Investments Craigs Investment Partners - Social Endowment 202,289 Craigs Investment Partners - Hakaraia Endowment 3,018,436 Total Investments 3,220,725 TOTAL ASSETS 3,863,957

CURRENT LIABILITIES Accounts Payable Accrued Expenses Total Current Liabilities

NON-CURRENT LIABILITIES Funds Resettled - Waitaha Raupatu Trust 727,183 Funds Resettled - Te Kapu o Waitaha Trust 3,080,607 Total Non-Current Liabilities 3,807,790 TOTAL LIABILITIES NET ASSETS

9,433 2,520 11,953

3,819,743 $44,214

Represented by: EQUITY Reserves 8,032 Retained Earnings 36,182 TOTAL EQUITY $44,214 For and on behalf of the Trustees:

Trustee _____________________________ Trustee ______________________________ Date: 23 October 2015

Waitaha Charitable Trust Notes to the Financial Statements For the Year Ended 30 June 2015 1. STATEMENT OF ACCOUNTING POLICIES Reporting entity Waitaha Charitable Trust is a Trust incorporated under the Charitable Trusts Act 1957. Waitaha Charitable Trust registered with the Charities Commission on 3 April 2014. These Financial Statements are general purpose financial statements and have been prepared in accordance with generally accepted accounting practice. Measurement Base The financial statements of Waitaha Charitable Trust have been prepared on an historical cost basis, except as noted otherwise below. Changes in Accounting Policies As these are the first financial statements prepared for this client, there are no comparatives for the previous year and no accounting policies previously employed which could have changed. Differential Reporting Waitaha Charitable Trust is a qualifying entity in that it qualifies for Differential Reporting as it is not publicly accountable and there is no separation between the owners and the governing body (or, is not large as defined under the Framework for differential reporting). All differential reporting exemptions have been applied. Specific Accounting Policies In the preparation of these financial statements, the specific accounting policies are as follows: (a) Goods & Services Tax These financial statements have been prepared on a GST exclusive basis with the exception of accounts receivable and accounts payable which are shown inclusive of GST. (b) Taxation The Trust is incorporated under the Charitable Trusts Act 1957 and is exempt from income tax on income other than business income derived by the trustees in trust for charitable purposes under Section CW42 of the Income Tax Act 2007. (c) Investments Share investments in listed companies are stated at their fair value. Initially they are recorded at cost, 52

and are then valued at market bid price at the Statement of Financial Position date in subsequent periods. Any gains or losses generated as a result of revaluation is recognised in the State ment of Movements in Equity. (d) Revenue Interest income is recognised using the effective interest method. (e) Going Concern These financial statements have been prepared on the basis that the trust is a going concern 2. AUDIT These financial statements have been subject to audit, please refer to Auditorâ&#x20AC;&#x2122;s Report. 3. CONTINGENT LIABILITIES At balance date there are no known contingent liabilities. Waitaha Charitable Trust has not granted any securities in respect of liabilities payable by any other party whatsoever. 4. RELATED PARTIES During the year Waitaha Charitable Trust and Te Kapu o Waitaha Trust entered into transactions within the group. Waitaha Charitable Trust paid Te Kapu o Waitaha Trust administration and establishment fees of $100,000 during the year. These transactions were entered into on normal commercial terms and are at market value. Settlement funds have been received from Te Kapu o Waitaha Trust to Waitaha Charitable Trust of $3,080,607 during the year. The loan is interest free and repayable on demand. 5. SECURITIES AND GUARANTEES There was no overdraft as at balance date nor was any facility arranged. 6. CAPITAL EXPENDITURE COMMITMENTS Waitaha Charitable Trust has committed $Nil towards capital expenditure. 7. TRADE AND OTHER RECEIVABLES 2015 $ Accrued Interest 27,837 27,837

previous minutes

ANNUAL GENERAL MEETING 2014 Sunday 7th December 2014 Hei Marae, Manoeka Road, Te Puke Trustees:

Frank Puroku Grant Joshua Grant Tapua Tonty Te Amo George Wehi Clarke Carol Whare

Accountant:

GHA 1135 Arawa St, Rotorua

Auditor:

Fred Cookson and Associates, 96 Waioweka Rd, Opotiki

Bankers:

ASB, Papamoa, BNZ, Kiwibank

Registered Office: 2 Dunlop Rd, Te Puke PO Box 220, Te Puke 3153 P: 07 573 5314 E: info@waitaha-iwi.org.nz W: www.waitaha-iwi.org.nz

Agenda 1. Karakia/Mihi 2. Apologies 3. Previous Minutes 4. Matters Arising 5. Receive and approve Trust Annual Report 6. Receive and approve the Trust Financial Report 7. Approve Trust Accountant 8. Approve Trust Auditor 9. Receive and approve Hakaraia education Endowment Policies 10. Receive and approve Hakaraia Statement of Investment Policies 11. Receive Te Kapu o Waitaha Election Results 12. General Business â&#x20AC;&#x201C; TKOW koha aroha kit e marae (anake) 13. Trust Acknowledgements 54

Attendence Recorded

Te Kapu O Waitaha Beneficiaries: (Quorum required 20, registered beneficiaries) BR# 0887 BR# 0241 BR# 0250 BR# 1027 BR# 0146 BR# 0136 BR# 1153 BR# 145 BR# 1048 BR# 518 BR# 517 BR# 1146 BR# 1008 BR# 0631 BR# 0384

Tapua Te Amo (Trustee) Frank Grant (Trustee) Joshua Grant (Trustee) Carol Whare (Trustee) Wehi Clarke (Trustee) Veroni Leota (Board Sec/CSM) Craig Watson Polly Clarke Bernard Whare Vervice Punohu McCausland Tame McCausland Heeni Potene Dorothy Watson Maru Tapsell Hekenui Karaka

BR# 0259 BR# 0229 BR# 0915 BR# 0389 BR# 1038 BR# 0393 BR# 1014 BR# 0945 BR# 1166 BR# 0363

Paul Grant Archie Grant Wharekonehu TeMoni Matewai Karaka-Clarke Ngarohaere Ted Whare Petipeti October Mackie Watson Hinemoa Thompson Rota Tamihana (Roddy) Raymond Kapene

Roy Mangu – Not Registered Te Arangi Anasta – Not Registered (Staff) Skye Whareaorere – Not Registered (Staff) Vivienne Robinson – Not Registered (GM)

Item 1 Karakia/Mihi BR# 1014 Mackie Watson BR# 0241 Frank Grant Meeting declared open: 9:45 am

Item 2 Apologies: BR# 0638 BR# 0642 BR# 0374 BR# 1401 BR# 0375 BR# 0079 BR# 0647 BR# 0649 BR# 0650 BR# 0648 BR# 1267 BR# 1008 BR# 0894 BR# 0240 BR# 0231 BR# 0239

Mohi Potaka Sandra Potaka Mokai Karaka-Clarke June Clarke Pikowai Karaka-Clarke Marshall Clarke Hirini Potene Te Araroa Potene Te Poari Kiritapu Potene Te Ririwhakahoki Potene Nathan Thompson Ratu Watson Paruhi TeMoni Frank Grant Snr Caleb Grant Elias Grant

BR# 0249 BR# 0508 BR# 0341 BR# 1023 BR# 1044 BR# 1031 Not Reg BR# 0967 Not Reg BR# 1006 BR# 1261 BR# 0225 BR# 0118 BR# 0127 BR# 0371 BR# 0381

Wihau Grant Maringi Matehaere Hinetai Johnson Alexis Poto Whare Wairaka Tracy Whare Frederick Ngarohaere Whare Taongamuka Payton Whareaorere Teira Toia Roy Thompson Kuini TeAmo Chiquita Mumby Krystal Geretzen Cilla Clarke Hine Clarke Hori Karaka Hami Karaka

Resolution: Moved apologies be received Moved: Petipeti October [0393] Seconded: Matewai Karaka-Clarke [0389] Against: 0 Carried

Item 3 Previous Minutes 15.12. 2013: Read by Board Sec. Veroni Leota [0136] V.P McCausland [518]: Highlighted that a matter recorded in the WRT AGM of 15.12.2013 be raised for discussion in this meeting due to itsâ&#x20AC;&#x2122; relevance to TKOW, and given the WRT is being wound up. The Chair [0241]; deferred the matter for General Business. No further discussion Resolution: Moved minutes dated Sunday 15th December 2013 accepted and approved as true and correct Moved: V.P McCausland [518] Seconded: P. October [0393] Against: 0 Carried

Item 5 Chairman’s Statement: The Chair [0241]; reads the Chairman’s Statement {page 9 of the Annual Report}. V.P McCausland [518]; highlighted the words “Strive” referred to as Leadership Values are inconsistent with a sentence appearing in the Chairman’s Statement. The Chair [0241]; noted the following amendment; that the word “strive” be deleted under the heading “Tikanga” referenced on page 6 of the Annual Report. Resolution: Moved Chairman’s Statement be received and accepted, subject to the amendment noted Moved: W.Clarke [0146] Seconded: V.P McCausland [518] Against: 0 Carried GM Annual Performance Report: Vivienne[TKOW GM] illustrated the Post Treaty Settlement working environment through the assimilation of “Te Wao Nui A Tane”. She reported that in this environment there is no hierarchical structure instead everyone has a role; each of the roles are necessary and does not need a diagram as with Pakeha structures, it is unspoken yet well understood.

Vivienne continued to present a summarised overview of Trust performance against the 6 Key areas of Priority (Pg 16-26)

Key points; • Waitaha Raupatu; against all adversity achieved the legacy we have today • Nga koeke are the organisations’ Tohu – they have been proactive throughout the year in their advisory role that has helped manage the integrity for Waitaha tikanga and reo. The Koeke meet with TKOW management every 2 months • The Boards’ advisors have been instrumental in their advice toward managing the resources efficiently • The Board governs by a Policy Governance model that is accountable to the iwi where results are monitored and evidenced against policy each month • The iwi had planted the seed for the Board to set the direction for Trust strategic objectives

Discussion points raised • Good presentation, suggestion made to Video tape the AGM for upload to Website for the benefit of whanau [0229] • Te Puke stats from the database be identified as such [518] • Council looking for a literature review on the Papmoa Hills; key is understanding the claim and history. Waitaha to seek advice on a legal position if Nga Potiki seeks external partnerships to developments on Te Houhou Block given (a) they do not yet have title (b) Waitaha has first right for refusal [0631]

1. 2. 3. 4. 5.

Building the Entity Education Cultural Social Fabric Political

Amendment noted: • Typo page 23, 26 “Waiataha” to be amended [518] 57

Resolution: Moved Annual Report be received and approved subject to the amendments noted: Moved: V.P McCausland [518] Seconded: Archie Grant [0229] Against: 0 Carried

Item 6 Financial Audit: Director Mere George of GHA presented TKOW Audit ended 30.06.2014. Mere reported; The Trust Audit achieved an “unqualified opinion” – which is a good result (without issue)

Key points - Strong balance sheet as at 30.06.2014 $ 11 million - Potential for significant growth - Properties were re-valued as at 30.03.2014 • Total income for the year: $412,467 - Assets are from the settlement – cultural/ • Total expenses for the year $209,159 commercial redress (much of which were asset maintenance - Owe IRD 10k due to bank deductions through costs) the year - HR identified in response to “q” from the floor • Current Assets $ 127,200 (cash on hand in listed separately as (i) Salaries and the bank) • Fixed Assets $ 5,829 (office assets) (ii) Contracted Services - Trustee Payments listed for transparency - TKOW Board may donate any Tax Credits that Investments: - BNZ Term deposits $6,650,000 it may accumulate to the Charitable Trust - Investment properties $4,465,000 Liabilities - Minor at $37k of which $18 is IRD - Provision for staff annual leave owed Resolution: Moved Financial Audit be received and approved as true and correct Moved: Maru Tapsell [0631] Seconded: Matewai Karaka-Clarke [0389] Against: 0 Carried

Item 7 Appoint Trust Accountant The GM explained that the Trust Accountant and Auditor appointed at the AGM of 2013 had declined to act for the Trust due to capacity issues. (could not take on the extra workload). Recommended replacement - GHA Chartered Accountant as Trust Accountant (Mere George) - Fred Cookson of Cookson & Forbes Opotiki as Trust Auditor

Resolution: Moved GHA as the accountant for Te Kapu o Waitaha Trust and Waitaha Charitable Trust Moved: Maru Tapsell [0631] Seconded: Archie Grant [0229] Against: 0 Carried

Item 8 Appoint Trust Auditor: Resolution: Moved Cookson Forbes and Associates Chartered Accountants as the auditor for Te Kapu o Waitaha Trust and Waitaha Charitable Trust Moved: V.P. McCausland [518] Seconded: N.T.Whare [1038] Against: 0 Carried

WRT

The hui agreed to continue with the final report for WRT. GHA Mere George reported that the Audit ended 30 June 2014 was included in TKOW annual report to be received and accepted at this hui and explained that she would present the most up to date financials for November 2014 as the final set of accounts prior to winding up the trust. • No income as trust is winding up • Operational costs of around $70,000 for this period, no further operational costs will occur for this trust • Money is owed from IRD to the trust, wind up will occur following receipt by IRD. • Accounts will be audited, this is just an up to date financial report. • $41,822 remains in the account which is money made up of funds owed to the Trust • The deficit recorded as at 27 November 2014 is ($882,594) is due to transfer of funds to the Charitable Trust in preparation for the winding up. Resolution: Financial Audit be received and approved Moved: V.P McCausland [518] Seconded: Matewai Karaka-Clarke [0389] Against: 0 Carried

November Accounts for WRT Resolution: Waitaha Rapatu Trust financial statements ended 27 November be received and approved Moved: Wehi Clarke [0146] Seconded: Matewai Karaka-Clarke [0389] Against: 0 Carried

Item 9 Hakaraia Endowment Policies : Resolution: Moved Hakaraia Endowment Policies be received and approved Moved: Wharekonehu TeMoni [0915] Seconded: Rota Tamihana (Roddy) [1166] Against: 0 Carried

Item 10 Hakaraia Education Endowment Investment Policies : Resolution: Moved Hakaraia Education Endowment Investment Policies be received and approved Moved: Wharekonehu TeMoni [0915] Seconded: Rota Tamihana (Roddy) [1166] Against: 0 Carried

Item 11 Waitaha Trustee Elections Announcement: The GM explains the positions occupied by George Wehi Clarke and Tonty Tapua Te Amo were the 2 vacant positions for election by Dec 2014. The Chief returning Officer 窶田onfirmed there were 2 qualifying nominations; (a) George Wehi Clarke (b) Tonty Tapua Te Amo According to the Charter where the number of qualifying nominations equal the number of vacancies there was no requirement for an election. Clarification provided by the GM to a question raised by the floor that the Chief Returning Officer was Celia Soloman from Te Puni Kokiri [Rotorua].

Item 12 General Business : The GM explained that due to the increased volume of material governing the 2 entities (TKOW & WCT), that the beneficiaries approve an increase of Board meeting fee from $200 to $240 Vervice Punohu McCausland [518]: “What I wanted to raise in General Business may affect this topic. It is about the various organisation committees that Waitaha had. WRT that has moved on. Now Waitaha, Formalising it as an iwi authority, we are an authority with a clear job to do. It is still called Te Kapu o Waitaha and still referred to as the PSGE. What we are interested in and we have been thinking about long and hard, is that there are iwi, and then you have TKOW. So we want to do is raise the status of TKOW currently and formalise it and iwi mandate it as that. However, we are not going to do that today, but I do want to move a motion that we consider that for another time”. “The name Te Kapu O Waitaha was to whakakotahi a Waitaha. What needs to be considered, you heard Vivienne giving a GM

report, and she has managed to do all that since they have become TKOW, she operates with a lean staff, they cannot get to every hui, the work is increasing and there is opportunity everyday for commercial investment. The only part that has not been developed, is our commercial investment arm, that’s the side our trust must really consider. It is telling us we have to move in that direction. Social economic is the whanau and iwi stuff and then the political that takes time, you will have meetings and no outcomes. We need special people to look at this. We need to seriously consider that from this meeting. It will be a change in the trust deed possibly we need to review that, like Frank said we have to find other ways. Charitable and Social arms are getting started however, much of what we have heard today is about the Charitable Trust. The commercial arm needs to be looked at. This may even increase your work and therefore this may increase your fee to more then $40 extra. We need a timeframe and a schedule that you can consider. So that’s my take and what I would like to leave on the table”.

Resolution: Move to revisit the consideration toward mandating Te Kapu O Waitaha as an Iwi Authority. Moved: V.P McCausland [518] Second: Maru Tapsell [0631] Against: 0 Carried

No further discussion from the floor Resolution: Trustee remuneration approved at $240 per meeting Moved: V.P McCausland [518] Second: Maru Tapsell [0631] Against: 0 Carried

Item 13 Marae Insurance: The Chair [024]; opened the floor for discussion. The GM announced the resolution approved in principle by the Board; to provide a perpetual grant (koha aroha contribution)of $10k toward the Marae Insurance in the context of the marae being the source of learning and education. In addition the Board would like the marae Trustees to consider using the Fisheries fund to support the remaining balance. The GM adds, that a single education grant benefits the individual, however a grant to preserve the education provided through the Marae benefits 100% Waitaha. The Chair [024]; advised that the Board is open to the iwi views on this matter. Maru Tapsell [0631]: If you are taking money out of education and giving it as koha, that would mean to validate why your giving it. The reason is: pays tribute to the dead and others coming. It is your museum and also is your parliament so all these contributions could be tax exempted. Itâ&#x20AC;&#x2122;s lining all those things up and saying this is the kaupapa of the marae. You are contributing to the community.

N.Ted Whare [1038]: Suggested that the Board provide a grant to satisfy the full Insurance cost of the marae each year eliminating this particular burden from the Trustees Mackie Watson [1014]: Reported that the Fisheries funds was used to support the on-going maintenance of the marae. Raising funds, and running raffles is challenging and no longer suffice in meeting the high costs to run the marae. TKOW hui provides money that we could use for the insurance, we were once behind 3 months and had to get it paid. Tame McCausland [517]: Emphasizes that fundraising is impossible, the people remain poor, it is the Boards role to provide benefit, in his view he does not see any reason as to why the Board cannot provide for the Insurance and therefore benefit the people Board leaves hui for in committee dicsussion Board re-convenes the hui: The Chair [024]; announces the Board decision by way of the following resolution

Resolution: The Board agrees to: (a) approve Hei Marae Trust a grant (recognizing that Hei Marae is Waitaha education), (b) and the grant will be equivalent to the full amount of the A Hei Marae insurance (c) and that any subsequent grant of same is to be reviewed at each AGM following. Moved: Frank Grant [0241] Second: Hekenui Karaka [0384] Against: 0 Carried

V.P McCausland [518] acknowledges the Board decision and states that the committee are looking at a whole Te Arawa approach to Marae Insurance in the hope of leveraging lower cost in the future No further discussion on this matter In closing the Chair thanks the following and acknowledges that he may have missed many more that were involved over the past year; Nga koeke, Maru Tapsell, Marae Committee for hosting all Trust meetings, Trust Advisors Mere George, Helen Nathan, Tom Davies of Craigs Investment Partners , to the whanau that helped with all hui, mentioned were Matewai Karaka, Doug Tamiana, Sandra Potaka, and others. The Board members who have done a sterling job over the last year also to the staff on the work you have produced. Draw winners:

Bernard, Matewai, Mackie, Tame McCausland, Archie Grant, Frank Grant, Dorothy Watson, Roddy Tamihana, Tapua Te Amo, Paul Grant.

Closing Karakia: 12.00pm Mackie Watson [1014] These minutes are to be approved at the Annual General Meeting of 13.12.2015