He cited several reasons for doing so, including the board’s failure to formalize tangata whenua representation for Ngāti Tūwharetoa despite a request from council to do so in November 2022.

Other reasons given were difficulty justifying continued investment during the cost of living crisis taxpayers were experiencing and declining service levels and an uncertain strategy.

Mayor Faylene Tunui reiterated the assurances that were sought over the spending of the presenters of their recent consultation on the annual plan. One sender asked: “is it necessary? Is it necessary now? What does this return bring to Kawerau?

“Those were the main points that emerged from the annual plan presentations. From the discussion we had with ToiEDA governance and other peer councils, it was difficult to articulate what the benefits were.”

Tunui pointed to a report from the Mayors’ Employment Task Force received earlier in the meeting, which showed 84 job placements had been made in the last year and said it was much easier to see what the benefits were.

Chief executive Morgan Godfery said feedback he received during a meeting with the board of industry advocacy organization Industrial Symbiosis Kawerau was a desire to keep local economic development relationships local.

Godfery said the council would remain a settlor of the trust deed, which would preserve the council’s option to redirect funds to the agency in the future.

The council would continue to be involved in the consultation and development of the Eastern Bay of Plenty Economic Development Strategy, “on the principle that Kawerau ratepayers have already paid for that strategy”.

He said Ōpōtiki District Council had also indicated in its Long Term Plan 2024-2034 that it would not fund the trust.

– LDR is local body journalism co-funded by RNZ and NZ On Air.