Masterton District Council(Montfort Trimble Foundation) Bill

Following discussions at the Business Committee and with representatives of the various parties, I seek leave for this bill, when it has concluded its second reading, to proceed to its Committee stage and third reading.

💬 Madam DEPUTY SPEAKER: Is there any objection to that course of action? There is not.

I move, That the Masterton District Council (Montfort Trimble Foundation) Bill be now read a second time. I am very pleased that the Local Government and Environment Committee has dispatched this bill, and I would like to acknowledge it straight out, as part of my initiating remarks. I would like to compliment and thank Jeanette Fitzsimons, who is the chairperson, David Parker, who is the deputy chairperson, Shane Ardern, Larry Baldock, Dr Ashraf Choudhary, Sandra Goudie, Ann Hartley, Nanaia Mahuta, the Hon Damien O’Connor, Jim Peters, the Hon Ken Shirley, and the Hon Dr Nick Smith for their contributions throughout the committee’s deliberations.

This bill was referred to the select committee on 4 December 2002, so it is only just over a year since it first went before it. The committee heard a number of submissions—seven to be precise. I would like to thank the committee for finding the time to deal with this bill. I recognise and acknowledge its very heavy workload. It got through the Masterton District Council (Montfort Trimble Foundation) Bill as expediently as it could.

The committee has come back with some recommendations, which I support. I think the recommendations are fair, and also are consistent with more modern legislation that has come to pass in recent times. The Government supports the legislation. I have to say that I personally heard select committee members wonder from time to time why on earth a bill like this actually needed to be before them. However, with the new powers now delegated to local government under the new Local Government Act 2002, there will be less of this type of legislation coming before the committee in the future, one would hope.

The Masterton District Council (Montfort Trimble Foundation) Bill establishes public afforestation in the Masterton district. It gives more flexibility to the council, as trustee of the Trimble Forest, and to the New Zealand Guardian Trust Co. Ltd, as trustee of the Trimble Trust. For example, the foundation created by this legislation will be able to undertake activities in areas outside the boundaries of the former Masterton County Council, subject to the marginal discretion allowed by the bill. Also, it will distribute proceeds outside the original county boundaries, but still for the benefit of persons within those boundaries. It also sets up the Montfort Trimble Foundation as a publicly elected body corporate that promotes public afforestation.

To give a little bit of background, the bill establishes—as I have just mentioned—the Montfort Trimble Foundation as a charitable trust, with the intention to administer proceeds arising out of the Trimble Trust and the harvesting of the Trimble Forest. Under the will of Dr Montfort Trimble, who died in 1940, a charitable trust was established for the purposes of public afforestation in the then area of the Masterton County. In 1942 the Masterton County Council used income from the Trimble Trust to purchase a 127-hectare forestry block, known as the Trimble Forest, which was administered under separate trust arrangements. Currently, the Masterton District Council administers the Trimble Forest trust, while the Trimble Trust is administered by the Guardian Trust. The Trimble Forest is now being harvested, and the proceeds from the sale of harvested timber are expected to exceed the cost of replanting.

I shall give a quick summary of some of the recommendations from the select committee. On the powers of the foundation, the select committee recommends that the Montfort Trimble Foundation’s capacity to carry out or undertake any business or activity, do any act, or enter into any transaction in order to further its objectives should be limited to activities related to public afforestation, so the committee recommends inserting the word “related” in clause 6(1)(a).

The select committee also discussed the matter of the removal of board members. It recommends adding a new clause to specify that the Masterton District Council or Guardian Trust may remove a board member only if the board member is unable to perform his or her duties adequately, or for neglect of duty or misconduct.

The committee also recommends, on the matter of casting votes, amending the bill to omit the provision for the chairperson to have the casting vote, because under the Local Government Act 2002 chairpersons are not allowed a casting vote, and this amendment will ensure consistency with the Local Government Act.

Some of the wider distributions that this bill enables will help to enhance such things, with regard to afforestation, as amenity and flood protection. The beneficiaries of such afforestation, because of the establishment of this foundation, will be primarily those living within the former trust areas of the Masterton County, but also a percentage—although it is capped—of the proceeds can be distributed outside that particular area, but inclusive of what are now known as the Masterton District Council boundaries.

I add that in the Committee stage I have a small amendment to make, because officials omitted to do a small thing that is a consequential effect of a unanimous decision to strike out a piece of the bill. I flag now to members that I will propose that amendment, which is currently on the Table for members’ information.

In conclusion, I thank all those people who, I hope, will support the passage of the bill. It is primarily non-controversial, and will be of benefit to the environment, I might add.

Although I was not fortunate enough to serve on the select committee for this bill, I have followed its passage with some interest. It affects parts of the electorate just over the ranges from my own, so I have taken a quiet and understated interest in the passage of the bill.

Members of the National Party will be supporting its passage through its stages. That is not to say that we will not be questioning or looking very closely at the amendment the member wishes to propose during the Committee stage of the bill, as one would expect. It would be only right that Opposition members were able to give this sort of scrutiny to the last-minute clauses that this Government is prone to pop into legislation willy-nilly. I am surprised it has not been completely rewritten by way of Supplementary Order Paper at the last minute. We will watch with interest as the Committee stage proceeds.

Georgina Beyer, the local member for the area this bill relates to, has done a good job of outlining the contents of the bill. I certainly do not want to waste the House’s time any longer than necessary over the provisions of the bill. It is important from time to time that the House does enable local legislation such as this to proceed in a timely fashion. Putting aside the issue of the one amendment that the member proposes, which, as I say, we will be looking at in detail, we will be supporting the passage of the bill.

It is a real pleasure to speak to the Masterton District Council (Montfort Trimble Foundation) Bill. I would like to thank the member for Wairarapa, Georgina Beyer, for bringing the bill to the House for the legislation changes required to assist the foundation to widen its scope in the area of forestry. That was well overdue. As a local boy in the district, I know that forestry is a major employer, taking over from the rural sector. As a bit of background, I would like to mention that my great-great-grandfather landed at Castlepoint in 1845, being the first European to drive Romney rams inland, cutting his way through the virgin bush.

💬 Simon Power: Yeah?

Yes, I say to Mr Power. He was one of the first to meet the local tangata whenua, which is my whakapapa on my mother’s side.

I would like now just to quietly go through the bill and mention some of the areas the member for Wairarapa has mentioned. The first of these is the introduction. “The bill establishes the Montfort Trimble Foundation, a charitable trust intended to administer proceeds arising out of the Trimble Trust and the harvesting of the Trimble Forest. Under the will of Dr Montfort Trimble, who died in 1940, a charitable trust was established for the purposes of public afforestation in the then area of the Masterton County. In 1942, the Masterton County Council used income from the Trimble Trust to purchase a 127-hectare forestry block,”—which was mentioned by my colleague from the Labour Party—“known as the Trimble Forest, administered under separate trust arrangements. Currently, the Masterton District Council administers the Trimble Forest trust, while the Trimble Trust itself is administered by the New Zealand Guardian Trust Company Limited. The Trimble Forest is now being harvested, and the proceeds from the sale of harvested timber are expected to exceed the cost of replanting. The bill provides” [Interruption]—Mr Ken Shirley knows all about forestry, owning a block in my little valley of Tinui—“for the trustee of the Trimble Forest to make distributions to the Foundation from the proceeds of the harvest of timber, and for the trustee of the Trimble Trust to make distributions from capital and income. The main object of the Foundation is to promote public afforestation, as defined in clause 5(1)(a), … The bill also defines the Foundation district as being the area that constituted the Masterton County as described in the 1931 Gazette, and is shown in Schedule 2 of the bill. This will be the area of primary benefit, and reflects the requirement in Dr Trimble’s will that the bequest be used for public afforestation in the Masterton County as it was at the time of the bequest. The bill therefore allows for distributions to be made outside the Foundation district, provided the distribution is made either in respect of objects within the Masterton District or for the benefit of residents and ratepayers of the Masterton District. The bill also limits the percentage of distributions that can be made outside the Foundation district.

“Objects of the Foundation … We are concerned that the extended objects contained in clause 5(1)(b) may override Dr Trimble’s intention, as expressed in his will, to provide for public afforestation. … For example, the Foundation’s object would not cover riparian planting, where tree planting on a riverbank is used as a form of flood protection. We believe such planting constitutes public afforestation and would therefore be a legitimate activity for the Foundation. Accordingly, we recommend the inclusion of a new clause 5(1)(a)(vi), inserting the phrase ‘amenity and protection plantings and their maintenance’ as part of the Foundation’s object.

“Powers of Foundation … We believe the Foundation’s capacity should be limited to activities related to public afforestation, and consequently we recommend inserting the word ‘related’ before the word ‘business’ and before the word ‘activity’ in clause 6(1)(a). This should ensure that the Foundation has the capacity to perform any task necessary, provided it is pursuing its objective of promoting public afforestation. …

“Remuneration of Board members. We recommend inserting a new clause 22 to provide that Board members are entitled to receive remuneration to be determined by the Minister of Local Government in accordance with the fees framework for members of statutory and other bodies.”

New Zealand First has the pleasure of supporting this bill going through to its third reading tonight.

As some have observed, there has been a revolution in the Chair, and it is about time. ACT New Zealand is delighted to support the Masterton District Council (Montfort Trimble Foundation) Bill. It was indeed an honour to serve on the select committee that considered this bill. The point I would like to make at the outset, however, is that when it was introduced we were told it was a matter of some urgency. A number of very sincere local folk came to the select committee and stressed the urgency associated with this bill. I have to say that this Government has shoved this bill back and back and back down the Order Paper because of Steve Chadwick’s “Restriction of Freedom (Smoking) Bill”, which was rammed through tonight. All members of the House would observe that this bill has been shunted down the Order Paper.

Georgina Beyer, the local member, has done a good job in supporting her constituents, up to the point where she bowed to her Government and, to her shame, let this very important matter be shunted down the legislative agenda. That is really not good enough for a local member with a very important local bill. When we look at our Order Paper we notice that local bills have a priority over members’ bills, yet the local member for Wairarapa supported a Government-driven agenda to have it demoted down the Order Paper below that “Restriction of Freedom (Smoking) Bill” advocated by Steve Chadwick.

This is an important bill. One could ask why it needs to come to Parliament, which is always a valid question. This is very much a local issue. We know that the Trimble Trust forests are being harvested. I understand that harvesting started in 2002 and this will continue until about 2018. I just hope for the trust’s sake that the forestry price picks up a bit. It has to be rock bottom at the moment under this Government, which has almost destroyed the forest industry sector in this country with its policies. We had quite a bit of publicity about that last year. We know that sawmills all around the country are closing and the exporters are really feeling the pinch and suffering badly. The current valuation of the assets of this trust are, I understand, about $1.98 million, and that will be ploughed back into the local community.

The issue does arise that it was set up under the old Masterton County Council, which does not exist any more, and it is always a difficulty through time, with local body amalgamations, to pick out a sector of what is now a much broader community and assign the benefits to what is now a relatively small part of the total community. I note, too, that the bill provides for some cross-boundary benefit, and that is a good aspect of it.

So ACT supports this bill. We regret that it has taken so long to get to this stage. It was quite urgent, and I think it is disappointing that the local member did not stand out against her colleagues but allowed it to be shunted down the Order Paper in deference to Steve Chadwick’s “Anti-freedom Bill”.

Bill read a second time.

In Committee