Whanganui & Partners to become department of council
Published on 08 March 2024
After a review of Whanganui District Council’s council-controlled organisations (CCOs) initiated by Mayor Andrew Tripe, Whanganui & Partners is set to become a department of Whanganui District Council – so that it can deliver the same service at a lower cost.
Mayor Andrew says, “From the outside, Whanganui’s economic development agency will look no different. The team will carry on doing a brilliant job of supporting our local economy to grow.”
He says, “Rather than operating as a separate company, with its own board, Whanganui & Partners will become a department of the council. Compliance costs will be significantly reduced because there won’t be a need for things like separate audits and accounts for Whanganui & Partners. There will also be savings made with efficiencies in some of the back-office systems.”
“The change comes as part of a comprehensive review of all council expenditure as we draft our long-term plan for 2024-34 where we need to balance prudence against our aspirations for the next wave of growth and development for Whanganui.
“With the high rates environment all councils across the country are facing, this is one of many difficult decisions we will need to make to deliver savings and efficiencies.”
The council will also bring Whanganui’s iSite, currently managed by Whanganui & Partners, in-house.
“Again, there is to be no reduction in services,” says Mayor Andrew. “The iSite will stay in its current location, with the same team in place.”
He says the initial cost saving is approximately $118,000.
“By changing from the CCO model to an in-house arrangement, we are making a saving for our ratepayers, which we’ll be able to achieve without cutting back on our investment in economic development.”
The Mayor says the council is looking forward to a new era with Whanganui & Partners. “I recognise this has been a time of uncertainty for all concerned and we are pleased to now be in a position to share this information with the community. We are looking forward to a smooth transition that should now happen relatively quickly.”
The Whanganui & Partners Board says it is proud of its staff and the work they do. The Board chair and directors have been dedicated to supporting the Whanganui & Partners team and will continue to support and recognise the value of their work.
The directors believe Whanganui & Partners has been integral to the district’s positive economic development. Whanganui & Partners and the council have worked in strategic collaboration, which has delivered consistent results for the district.
While the Board is disappointed with the council’s decision to shut down the Whanganui & Partners company, remove its independence and establish a new service within the council, it hopes the district’s economic development will continue on a pathway of growth and success.
Mayor Andrew says Whanganui & Partners and the iSite have been performing well. “I commend Whanganui & Partners chief executive Jonathan Sykes and his highly professional and capable team on their very-evident passion for Whanganui and its economic future.
“I would also like to acknowledge Gaelle Deighton and the board of Whanganui & Partners for their commitment and governance expertise. They have overseen a strong legacy of achievement by the agency. I’m sure we will see this work continue and go from strength-to-strength on the basis of this foundation.”
The transition from CCO to in-house is expected to be complete by 30 June 2024.