In performing their functions and duties, and exercising their powers, under this Act, the Funding Board and the Amenities Board must act in accordance with the purpose of this Act set out in section 3(1).

This Act establishes the Auckland Regional Amenities Funding Board.

(1) The Funding Board has 10 members.

(2) The Auckland Council appoints 6 members.

(3) The Amenities Board appoints 4 members.

(4) One of the members appointed by the Auckland Council must be a person who, in the opinion of the Auckland Council, is appropriate to represent the interests of Māori in the Auckland region.

(5) The members must be persons who have the management skills, experience, and professional judgment necessary to do the Funding Board’s functions, in the opinion of those appointing them.

(6) The following persons must not be appointed as members:

• (a) a person who is currently an elected or appointed member of the Auckland Council; or

• (b) the chief executive of the Auckland Council; or

• (c) an employee of the Auckland Council; or

• (d) a current board member of a specified amenity; or

• (e) a current officer or employee of a specified amenity.

(1) The Funding Board is established exclusively for charitable purposes within New Zealand.

(2) Every action that the Funding Board does under this Act is done exclusively for charitable purposes within New Zealand.

(3) Every business that the Funding Board carries on under this Act is carried on exclusively for charitable purposes within New Zealand.

(4) No business that the Funding Board carries on under this Act is carried on for the pecuniary gain of any person.

For the purpose of performing its functions under this Act, the Funding Board—

• (a) has all the necessary rights, powers, and privileges; and

• (b) may exercise all the necessary rights, powers, and privileges; and

• (c) may incur all necessary liabilities and obligations.

The administrative provisions applying to the Funding Board are in Schedule 4.

This Act establishes the Amenities Board.

(1) The Amenities Board’s function is to make the appointments to the Funding Board required by section 7(3).

(2) The Amenities Board must make the appointments by majority vote.

(3) If the votes are equal, the person presiding has a casting vote as well as a deliberative vote.

(4) The person whom the members elect as chairperson must preside at all meetings of the Amenities Board at which he or she is present. If he or she is absent from a meeting, the members present must appoint one of their number to be the chairperson of the meeting.

(5) The quorum of the Amenities Board is—

• (a) half of the members if the number of members is even; or

• (b) a majority of members if the number of members is odd.

(6) The Amenities Board may do its function even if there is a vacancy in its membership.

(7) The Amenities Board must comply with subsections (2) to (6), but otherwise regulates its own proceedings.

(1) Every specified amenity must appoint 1 representative to the Amenities Board.

(2) An appointment as a specified amenity’s representative ends when the amenity or the representative ends the appointment.

(3) When an appointment as a specified amenity’s representative ends, the amenity must appoint another representative.

(1) The assessment criteria that the Funding Board and the Auckland Council apply under sections 17 to 19 are as follows:

• (a) whether funding the organisation meets the purposes of this Act; and

• (b) whether the organisation provides its facilities or services to residents of and visitors to the Auckland region; and

• (c) whether the facilities or services that the organisation provides to residents of and visitors to the Auckland region are facilities or services that are not otherwise generally available; and

• (d) whether the residents of the Auckland region visit or use, or otherwise benefit from, the organisation; and

• (e) whether, according to independent market research, the residents of the Auckland region perceive the organisation as a regional one; and

• (f) whether the organisation has proper governance and management structures; and

• (g) whether the organisation has structures for ensuring that any funding provided to it under this Act is used predominantly for the organisation’s facilities or services; and

• (h) whether the organisation has operated within a properly prepared budget, annual business plan, and long-term plan over the 5 years immediately before the date on which the Funding Board or the Auckland Council applies this criterion; and

• (i) whether the organisation has audited financial accounts covering the 5 years immediately before the date on which the Funding Board or the Auckland Council applies this criterion; and

• (j) whether the organisation is a registered charitable entity under the Charities Act 2005.

(2) The Funding Board must monitor the specified amenities’ compliance with the assessment criteria.

The Funding Board and the Auckland Council each has an absolute discretion in deciding—

• (a) whether or not an organisation satisfies an assessment criterion; and

• (b) the extent to which an organisation satisfies an assessment criterion.

(1) The Auckland Council may invite organisations to apply to be a specified amenity.

(2) The invitation must be given by public notice.

(3) The public notice may require that applications be made only—

• (a) by a particular type of arts, educational, rescue, or community organisation; or

• (b) on terms that the Auckland Council considers appropriate.

(4) An application must—

• (a) be in the form that the Auckland Council specifies in the notice; and

• (b) contain, or be accompanied by, any information that the Auckland Council specifies in the notice.

(1) The Funding Board must assess every application that the Auckland Council receives under section 16.

(2) The Funding Board’s procedure for doing its assessments—

• (a) must be determined by it; and

• (b) may include hearing an applicant in person.

(3) The Funding Board must give the Auckland Council, in writing or electronically,—

• (a) its assessment of whether an applicant satisfies—

  • (i) the requirements in the public notice, if there were any; and

  • (ii) the assessment criteria; and

• (b) its recommendation on whether the applicant should or should not be a specified amenity; and

• (c) its reasons for its assessment and recommendation.

The Auckland Council must—

• (a) receive the Funding Board’s assessment and recommendation under section 17; and

• (b) apply the assessment criteria; and

• (c) decide whether an applicant is to be a specified amenity; and

• (d) if an applicant is to be a specified amenity, give a notice as described in section 20.

(1) This section applies if the Funding Board considers that a specified amenity no longer satisfies 1 or more of the assessment criteria.

(2) The Funding Board may give a notice to the specified amenity requiring it to satisfy the criterion or criteria within such reasonable period as the Board specifies.

(3) The Funding Board must provide an opportunity for the amenity to be heard in relation to any notice before deciding that the amenity should be suspended or cease to be a specified amenity.

(4) If the specified amenity does not satisfy the criterion or criteria within the period specified by the Funding Board, the Funding Board may give the Auckland Council, in writing or electronically,—

• (a) its recommendation on whether the specified amenity should be suspended from being or cease to be a specified amenity; and

• (b) its reasons for its recommendation.

(5) The Auckland Council must—

• (a) receive the Funding Board’s recommendation; and

• (b) apply the assessment criteria; and

• (c) decide whether the specified amenity should be suspended from being or cease to be a specified amenity.

(6) If the Auckland Council decides that a specified amenity listed in Schedule 1 should cease to be a specified amenity, the following provisions apply:

• (a) the Auckland Council must request the Minister of Local Government to recommend to the Governor-General the making of an Order in Council amending Schedule 1 by removing the name of the amenity; and

• (b) on receiving the request, the Minister may make the recommendation; and

• (c) on receiving the recommendation, the Governor-General may make the Order in Council; and

• (d) on the making of the Order in Council, the Auckland Council must give notice as described in section 20 that the amenity is no longer a specified amenity.

(7) If the Auckland Council decides that a specified amenity not listed in Schedule 1 should cease to be a specified amenity, it must give notice as described in section 20 that the amenity is no longer a specified amenity.

(1) The Auckland Council gives a notice under section 18 or 19 by publishing it in the Gazette.

(2) The Auckland Council must—

• (a) notify the notice; and

• (b) send a copy of the notice to the Amenities Board; and

• (c) make copies of the notice available for inspection by members of the public free of charge.

(3) A notice given under section 18 or 19 comes into force—

• (a) 28 days after the date of the notice’s publication in the Gazette; or

• (b) on a later date specified in the notice.

(4) A notice given under section 18 that an organisation is a specified amenity lasts until a notice is given under section 19 that the specified amenity is no longer a specified amenity.

(5) A notice given under section 18 or 19 is a regulation for the purposes of the Interpretation Act 1999, the Acts and Regulations Publication Act 1989, and the Regulations (Disallowance) Act 1989.

(1) The funding principles to which the Funding Board and the Auckland Council must have regard under sections 24 and 28 are as follows:

• (a) the primary purpose of the funding is to contribute to the expenses that the specified amenity must incur to provide its facilities or services; and

• (b) funding is not available for capital expenditure; and

• (c) funding is not available for any part of facilities or services that the specified amenity provides outside the Auckland region; and

• (d) funding is not available for facilities or services that at any time in the 5 years immediately before the date on which the Funding Board or the Auckland Council applies this paragraph have been provided funding by—

  • (i) a Crown entity, as defined in section 7(1) of the Crown Entities Act 2004; or

  • (ii) a department specified in Schedule 1 of the State Sector Act 1988; and

• (e) funding for the retention and preservation of a specified amenity’s library or collection takes priority over the amenity’s other expenses; and

• (f) funding is available only if the specified amenity has made all reasonable endeavours to maximise its funding from other available funding sources; and

• (g) total funding for all specified amenities assessed for a financial year must not exceed the maximum levy for that year under section 34; and

• (h) any other funding principle that the Auckland Council publicly notifies under subsection (3).

(2) The Funding Board may recommend to the Auckland Council that it add funding principles to those in subsection (1).

(3) The Auckland Council—

• (a) may receive a recommendation from the Funding Board; and

• (b) with or without a recommendation, may add funding principles; and

• (c) must give public notice of the added funding principles.

(1) A specified amenity may—

• (a) prepare a plan covering a period of at least 5 years and at most 10 years; and

• (b) send the plan to the Funding Board.

(2) The Funding Board may consider and approve the plan.

(3) The Funding Board’s approval of a plan is not a commitment by the Funding Board to provide funding for anything in the plan.

(1) This section applies if a specified amenity seeks funding from the Funding Board for a financial year.

(2) The specified amenity must apply to the Funding Board on or before 30 November in the year before the financial year for which funding is sought.

(3) The application must include—

• (a) a statement of the amount of funding that the specified amenity seeks from the Funding Board for the financial year; and

• (b) any information that the Funding Board requires to assess the specified amenity’s satisfaction of the assessment criteria currently and in the future; and

• (c) a statement of how the application complies with the funding principles; and

• (d) the specified amenity’s annual plan for the financial year for which funding is sought prepared under subsections (4) and (5).

(4) The specified amenity’s annual plan must state the following matters:

• (a) the specified amenity’s purpose; and

• (b) the specified amenity’s objectives; and

• (c) the performance targets and other measures by which to assess the specified amenity’s achievement of the objectives; and

• (d) the nature and scope of the facilities or services to be provided by the specified amenity; and

• (e) the indicative costs of the activities; and

• (f) the sources of funds for the activities; and

• (g) the details of any charges that the specified amenity proposes to make for the facilities or services.

(5) The plan must state the matters—

• (a) in particular terms for the financial year for which funding is sought; and

• (b) in general terms for each of the following 2 financial years.

(1) The Funding Board must—

• (a) assess an application made by a specified amenity under section 23; and

• (b) decide provisionally on the amount of funding to be provided to the specified amenity.

(2) The Funding Board may request more information from the specified amenity for the purpose of making its assessment and provisional decision.

(3) The Funding Board need not include a specified amenity in the funding plan prepared under section 25 if the amenity does not give the Board the requested information by—

• (a) 30 November in the year before the financial year for which funding is sought; or

• (b) a later time that the Board specifies.

(4) In making its assessment and provisional decision, the Funding Board must have regard to—

• (a) the funding principles; and

• (b) the specified amenity’s long-term plan, if it—

  • (i) includes the financial year for which funding is sought; and

  • (ii) has been approved under section 22.

(1) The Funding Board must prepare a draft funding plan for every financial year.

(2) The draft funding plan must state the following matters for the financial year:

• (a) the nature of the facilities or services to be provided by each specified amenity; and

• (b) the funding sought by each specified amenity; and

• (c) the amount of funding that the Funding Board proposes to grant to each specified amenity; and

• (d) any conditions that the Funding Board proposes to impose on the provision of funding to a particular specified amenity; and

• (e) the maximum amount of remuneration payable by the Funding Board to its members; and

• (f) the maximum amount of remuneration payable by the Funding Board to its advisory officer; and

• (g) the maximum amount of the Board’s reasonable administrative costs; and

• (h) the levy that the Funding Board proposes, which may not exceed the maximum levy calculated under section 34; and

• (i) any other information that is necessary to enable an informed assessment of the levy that the Funding Board proposes.

(3) The draft funding plan must state the matters—

• (a) in particular terms for the financial year to which the plan relates; and

• (b) in general terms for each of the following 2 financial years.

(4) The Funding Board must include in the draft funding plan an explanation of any significant changes between the levy it proposes and the levy specified in the plan adopted for the immediately preceding financial year.

(1) The chairperson of the Funding Board and a person appointed by the Auckland Council for the purpose must decide jointly—

• (a) whether a meeting of the Auckland Council is to be held to consider—

  • (i) the matter of the total levy that the Board proposes in its draft funding plan; or

  • (ii) any other matter in the plan; and

• (b) if a meeting is to be held, whether it is to be held jointly with the Board or separately from it.

(2) Every meeting of the Auckland Council to consider a matter must be held before the draft funding plan is published under section 27(1)(a).

(1) When the Funding Board is satisfied with its draft funding plan, it must, as soon as is practicable,—

• (a) publicly notify it; and

• (b) send it to the Auckland Council and the specified amenities.

(2) The Auckland Council, a specified amenity, or any other person may make a written or electronic submission to the Funding Board on any matter in the draft funding plan within 1 month after the day on which the plan is publicly notified.

(3) [Repealed]

(4) The Funding Board must give a reasonable opportunity to every person who makes a submission to appear and be heard on the submission.

(5) Meetings of the Funding Board, or a committee of the Funding Board, to hear submissions on the draft funding plan must be open to the public.

(6) The Funding Board must—

• (a) consider the submissions; and

• (b) make any modifications to the draft funding plan that the Board considers appropriate in light of the submissions; and

• (c) refer the plan to the Auckland Council; and

• (d) request the Auckland Council's approval of the Board’s recommendation on the levy.

The Auckland Council must—

• (a) consider the Funding Board’s recommendation on the levy; and

• (b) decide whether or not to approve the recommended levy, having regard to the funding principles; and

• (c) advise the Funding Board of its decision.

(1) This section applies if the Auckland Council decides not to approve the recommended levy under section 28(b).

(2) The dispute must be referred to an independent arbitrator.

(3) The arbitrator must be appointed by—

• (a) the Auckland Council and the Funding Board jointly; or

• (b) if they are unable to agree on the appointment, the Local Government Commission.

(4) The arbitrator must—

• (a) take into account the submissions of the Funding Board and the Auckland Council; and

• (b) take into account the Funding Board’s duties; and

• (c) decide on the levy, which may not exceed the maximum levy calculated under section 34.

(5) The levy that the arbitrator decides on is the levy to be used by the Funding Board.

(6) The Funding Board must reconsider its draft funding plan and the amount of funding it provisionally decided to provide to each specified amenity to take account of the levy that the arbitrator decides on.

(1) The Funding Board must have a meeting to deliberate on and adopt its funding plan.

(2) The meeting—

• (a) must be open to the public; and

• (b) must be held no later than 30 April immediately before the start of the financial year to which the plan relates.

(3) Within 20 working days of adopting the funding plan, the Funding Board must—

• (a) make a copy available for public inspection; and

• (b) give public notice that a copy is available for public inspection; and

• (c) send a copy to the Auckland Council and each specified amenity.

(1) The maximum levy is,—

• (a) for the second financial year,—

  • (i) if section 43 applies as at the specified date, $16 million; or

  • (ii) if section 43 does not apply as at the specified date, $12 million; and

• (b) for the third financial year,—

  • (i) if section 43 applies as at the specified date, $19 million; or

  • (ii) if section 43 does not apply as at the specified date, $15 million; and

• (c) for the fourth financial year and each following financial year, the amount equal to 2% of the revenue from rates of the Auckland Council in the previous financial year.

(2) In subsection (1), specified date means 30 November in the year immediately before the financial year for which the maximum levy is being calculated.

(1) This section applies when the Funding Board has the following for a financial year after the second financial year:

• (a) either—

  • (i) the Auckland Council's approval of the levy; or

  • (ii) the arbitrator’s decision on the levy; and

• (b) an adopted funding plan.

(2) The Funding Board must send written notice of the levy to the Auckland Council.

(3) The Funding Board must comply with subsection (2) on or before 30 April before the financial year for which the levy is imposed.

(1) This section applies to the levy notified under section 35(2).

(2) The Auckland Council must pay the amount of the levy—

• (a) out of its general revenues; and

• (b) to the Funding Board; and

• (c) on the next 1 July after the notification.

(1) This section applies to the funding payable to a specified amenity under the Funding Board’s approved funding plan for a financial year.

(2) The Funding Board must—

• (a) pay the funding to the specified amenity; and

• (b) do so as soon as is practicable after 12 July and no later than 15 August in the year; and

• (c) tell the specified amenity, in writing or electronically, about any conditions in the approved funding plan on the provision of funding.

(1) This section applies to a specified amenity that has received or is receiving funding under this Act for a financial year.

(2) The specified amenity must prepare a report that—

• (a) assesses the amenity’s application of the funding against the matters specified in the amenity’s annual plan for the year under section 23(4); and

• (b) contains financial statements for the year consisting of—

  • (i) a statement of financial position prepared in accordance with the New Zealand International Financial Reporting Standards; and

  • (ii) an overall operating statement; and

  • (iii) a statement of cash flows; and

  • (iv) any other statements necessary to fairly reflect the amenity’s financial position, the resources available to it, and the financial results of its operations; and

  • (v) any other information reasonably necessary to enable the Funding Board to make an informed assessment of the amenity’s operations for the financial year as set out in its annual plan.

(3) If a specified amenity has the same financial year as the Funding Board, the financial statements provided under subsection (2)(b) must be audited and the annual report must contain the auditor’s report.

(4) If a specified amenity has a different financial year from that of the Funding Board, the financial statements provided under subsection (2)(b) need not be audited but subsection (5) applies.

(5) When subsection (4) applies, the specified amenity—

• (a) must prepare audited financial statements for the financial year for the specified amenity; and

• (b) must provide those audited financial statements and auditor’s report to the Funding Board within three months after the end of the specified amenity’s financial year.

(6) The specified amenity must prepare the report and send it to the Funding Board within 3 months after the end of the financial year to which it relates.

(1) The Funding Board must, at the end of every financial year, prepare a report that—

• (a) assesses the Funding Board’s performance; and

• (b) assesses the performance of each of the specified amenities, taking into account their annual reports under section 39; and

• (c) contains audited financial statements for the year consisting of—

  • (i) a statement of financial position of the Funding Board; and

  • (ii) an overall operating statement of the Funding Board; and

  • (iii) a statement of cash flows of the Funding Board; and

  • (iv) any other statements necessary to fairly reflect the Board’s financial position, the resources available to it, the financial results of its operations, and the financial results of the specified amenities’ operations; and

• (d) contains the auditor’s report on the financial statements; and

• (e) contains any other information necessary to enable an informed assessment of the operations of the Funding Board and the specified amenities for the financial year as set out in the Board’s funding plan adopted for the financial year.

(2) The Funding Board must adopt the report within 5 months after the end of the financial year to which it relates.

(3) Within 20 working days of adopting the report, the Funding Board must—

• (a) make a copy available for public inspection; and

• (b) give public notice that a copy is available for public inspection; and

• (c) send a copy to the Auckland Council and the Amenities Board.

The Auckland Council must include information about its dealings with, and payments to, the Funding Board in its annual report under section 98 of the Local Government Act 2002.

(1) This section applies to a specified amenity that has received or is receiving funding under this Act.

(2) The specified amenity may receive public funding from any other funding agencies or sources, including—

• (a) a central government agency; and

• (b) a department specified in Schedule 1 of the State Sector Act 1988.

(3) The specified amenity may not receive funding from the Auckland Council for expenses that have been or are being funded under this Act.

(1) In this section, Auckland Zoo means the Auckland Council undertaking known as the Auckland Zoo or the Auckland Zoological Park.

(2) This section applies if the Auckland Zoo—

• (a) is established as a legal entity that—

  • (i) carries out the functions of the Auckland Zoo; and

  • (ii) is separate from the Auckland Council; and

• (b) is registered as a charitable entity under the Charities Act 2005.

(3) On the date on which the Auckland Zoo is both established and registered, the zoo—

• (a) is treated as if it were listed in Schedule 1; and

• (b) is subject to this Act.