Council guarantees 2021 Downer New Zealand Masters Games in Whanganui
Published on 10 December 2020
Whanganui District Council has agreed to underwrite the Whanganui (NZ) Masters Games Trust in the event of a late cancellation of the Games due to COVID-19.
Games Manager Rachel O’Connor and Whanganui (NZ) Masters Games trustees presented to the Council on 8 December 2020.
Trustee Mike Cronin said the Games bring multiple economic, social and reputational benefits to Whanganui. “Approximately $500,000 of the event’s running costs will go back to the community in payments to local suppliers and staff and $133,000 will be paid to the local sports clubs that run events during the Games. It’s estimated that a visitor spend of around $3 million during the Games directly benefits Whanganui’s hospitability, retail and tourism sectors.”
He said that to date, “Planning, registrations, general excitement and interest in the event have exceeded expectations and, based on current registrations, the forecast bottom line is tracking to a break-even scenario, which would put the Trust in a better position than in 2019 - but we have to take the risk of a resurfacing of COVID-19 seriously.”
Mike Cronin explained that it in a worst case scenario, a rapid change in alert levels close to the opening of the Games could leave the Trust with a deficit and trustees felt it would be irresponsible to proceed with an event that would leave the Trust and community in that position.
Rachel O’Connor said the risk of cancellation due to COVID-19 was perceived to be very low. “We have had incredible support from sponsors, funders and the community. Registrations are also well on track, so we are looking forward to a highly successful and popular event in 2021 - but we cannot insure against COVID-19.”
Trustees emphasised that the event was financially in a strong position and they were only looking to the council to provide some assurance in the event that COVID-19 caused a last-minute cancellation.
The Council agreed to the request, up to the value of $500,000. Council Chief Executive, Kym Fell will join the Trust as an observer.
Mayor Hamish McDouall said, “The Trust has worked hard to mitigate any risk of cancellation, but it is important to acknowledge there is a chance that COVID-19 could re-emerge. Supporting the Trust in those circumstances is important.”
Whanganui District Council owns 49% of the New Zealand Masters Games Company. The remaining 51% is owned by the Whanganui (NZ) Masters Games Trust, a charitable trust made up of volunteer trustees.
ENDS