Tourism body told to explain

BY ALICE COWDREY

Nelson Tasman Tourism (NTT) was criticised during a lengthy debate by Tasman district councillors yesterday, with its request for extra money being labelled by one councillor as "throwing money down a proverbial rat hole".

Councillors expressed frustration that the regional tourism organisation hadn't told them where an extra $100,000 it was requesting would be spent.

However, NTT says it is not the job of councillors to know the details.

During yesterday's meeting, councillors asked NTT to prepare advice on how any extra money would be used, so ratepayers would be better informed.

They also passed the draft annual plan, which outlines a potential overall total rate rise of between 3.97 and 5.96 per cent. The general rate rise is predicted to be 3.97 per cent.

A resolution passed by seven votes to four will give ratepayers the opportunity to decide whether they want the targeted tourism rate to be $125 or $193.

Last month councillors decided to expand the rating base of the targeted rate to include holiday home owners, which means 1000 people will have to fork out.

This bigger net of people, plus a rate increase of $193, would add up to $100,000 – the amount requested by NTT.

NTT has asked the Nelson City Council for the same amount, and plans to use this $200,000 plus another $50,000 it plans to raise to apply for a dollar-for-dollar government subsidy. NTT missed out on the subsidy this year.

NTT is owned by both councils.

This week the Nelson council agreed to include up to $100,000 in its draft annual plan, subject to the Tasman District Council contributing the same amount.

Councillor Jack Inglis said the tourism rate was an "unfair tax".

"It's throwing money down a proverbial rat hole, and I have a real question mark over NTT, and I vote against it."

Councillor Glenys Glover was also against the resolution. She recalled that a one-off lump sum was granted to NTT several years ago.

"This amount has become a staple and a base to build on. It's rates by stealth," she said.

Ms Glover said councillors hadn't heard a "compelling case" about how the $100,000 would be spent.

Councillor Brian Ensor, who supported the resolution, said the subsidy was attractive and needed to be looked at seriously. However, he had "gripes" with NTT, which he said was continually making requests for extra money but had no "real" marketing strategy.

"Anyone asking for money needs to sell their idea and tell you what they are going to do with it. They just want money, and I really struggle with that."

Councillor Michael Higgins supported the resolution, but said "enough is enough".

"I believe we are spending enough in tourism; there seems to be no end to the asking. [NTT] need to live within their budget, just like us. Rates are hard to pay for many."

Councillor Gordon Currie supported the resolution but said NTT had never attempted to set aside money in a contingency fund.

The $100,000 to be raised for the government subsidy had to be "new money" generated by the council, so existing rates would not be able to cover it, Tasman Mayor Richard Kempthorne said.

"The Government wants to know that local people think it's worth doing."

The subsidy was a "good deal", and it was up to tourism operators to decide if they wanted to support the funding boost, which would benefit the district, he said.

Councillor Stuart Bryant said the money was for a marketing campaign to attract Australian tourists to regional New Zealand during the shoulder seasons. He supported the resolution.

NTT chief executive Paul Davis said it was not councillors' job to know exactly how destination marketing money would be spent, and they should just trust NTT to do its job.

He said the council was "not actually giving us money" but investing in the region's economic growth.

"They need to focus on the big picture, not the small details – we can take care of those."

- © Fairfax NZ News