Progress on SOI Paused for New Council

Date:
Sep 13, 2019

Following the Council’s decision on 26 August 2019 not to agree to the revised Statement of Intent (SOI) from the Queenstown Airport Corporation for 2019, Queenstown Lakes District Council (QLDC) has considered how to make progress on modifying the SOI. 

The decision by Council not to accept the proposed modifications has signalled that Council does wish to consider more substantive shifts in the current position of Council, which could materially change QAC’s direction.  The Council has taken independent legal advice which has recommended that any potential changes that are more than moderate could result in significant changes to existing directions and legal commitments, and should only be considered outside of the period immediately prior to the local body election. There are also some wider financial implications for the company and the Council which need to be examined and understood by Council. Furthermore, before making changes of the nature indicated, whether by shareholder resolution or by consultation with QAC, more robust public engagement and information gathering is required.

That process will take longer than the period of time left to the current Council ahead of the 2019 October local body election.

QLDC Chief Executive Mike Theelen said Councillors had received advice that the SOI must now be a matter for the new Council to resolve. The intention is to brief the new Council early on in their tenure. The Airport Economic and Social Impact Assessments are an important part of informing the future approach. The RFP has been issued for these so that this step in the process has commenced.

While Councillors expressed disappointment that they had not reached an outcome they were comfortable with, they recognised the significance of the debate around the direction of the airport and agreed that allowing the new Council to discuss this early on in their tenure was the appropriate step to take. In the meantime the QAC remains committed to working within the parameters of the position outlined by the Mayor in August which includes waiting for the outcomes of both the EIA and SIA 

Attached is the legal advice received on the matter in full.

ENDS|KUA MUTU.

Media contact: communications@qldc.govt.nz or call 03 441 1802.