Mahuta NanaiaNEW ZEALAND MĀORI ARTS AND CRAFTS INSTITUTE VESTING BILLSecond ReadingHon NANAIA MAHUTA (Minister for Māori Development): I move That the New Zealand Māori Arts and Crafts Institute Vesting Bill be now read a second time.The New Zealand Māori Arts and Crafts Institute (NZMACI) commonly known as Te Puia is a taonga institution and national icon for New Zealand and Māori tourism. Its operations are internationally renowned and a major tourist destination in Rotorua. Alongside the efforts of many iwi hapū and whānau the national schools of wood carving Te Wānanga Whakairo Rākau; stone and bone carving Te Takapū o Rotowhio; weaving—raranga—and waka—[Interruption]DEPUTY SPEAKER: Order! [Interruption] Order! That's—out in the lobbies.Hon NANAIA MAHUTA: —all based as part of the New Zealand Māori Arts and Crafts Institute have ensured our ahurea and toi Māori our culture and traditional Māori arts have not only survived but also thrived.The proposal to vest the assets and liabilities of the NZMACI in the partnership was endorsed by approximately 89 percent of more than 2000 eligible voters in 2017. There has been robust stakeholder engagement with the Māori Affairs Committee—and I want to thank them—resulting in a thorough examination of the bill through the select committee phase.This vesting bill is the beginning of the next stage in the history of the esteemed institute. The vesting of NZMACI Te Puia in the tangata whenua of the Whakarewarewa Valley Ngāti Whakauē and Wāhiao Tūhourangi is recognition of both their status as tangata whenua of Whakarewarewa Valley where the institute operates and the significant contributions they have made to the operation and development of NZMACI over many many years.While this bill vests ownership of the New Zealand Māori Arts and Crafts Institute in the Te Puia NZMACI limited partnership on behalf of the Ngāti Whakauē and Wāhiao Tūhourangi interests it also ensures the limited partnership must continue to perform the functions and powers of NZMACI. These functions and powers include encouraging fostering and promoting ahurea and toi Māori; providing training for the iwi of New Zealand including in whakairo rākau and raranga; and making grants to enable persons to study train and gain experience in creating Māori arts and crafts and also conferring diplomas or certificates on persons who have undertaken training or gained qualifications in Māori arts and crafts and Māori culture generally and providing and supporting demonstrations exhibitions and tours of toi Māori and toi whakaari Māori. I'm pleased to note that the Māori Affairs Committee in unanimously supporting the bill be passed as amended has proposed some small but important changes to the bill. These changes reflect improvements proposed by the iwi groups to strengthen the new ownership structure and ensure the trustees and new owners are fully accountable to their beneficiaries. Specific changes include amending the definition of partners" in clause 3 to provide that the Wāhiao Tūhourangi interests will be held directly by the Wāhiao Tūhourangi o Whakarewarewa Trust rather than by its subsidiary Whakarewarewa Trust. I support this change as it will ensure direct accountability of trustees to the beneficiaries rather than indirect accountability via a subsidiary. Secondly the committee has recommended changes to the provision in clause 12 regarding the Crown appointment to the board of the general partner. To be clear on a couple of points the bill provides for a Crown-appointed director for six years after passing this Act who will both chair the board and have a deliberative vote that may be used in the event of a deadlock on the board. The "general partner" means the company established by the limited partnership to manage the assets of that partnership. The select committee recommended replacing clause 12(5) with a new clause 12(1AAA) making it clear that the option of the Crown appointment to the board of the general partner expires after six years. The select committee described the current clause 12(5) which is to be replaced as a "Henry VIII" power which would authorise parties other than Parliament to override the law by agreement in writing. The new clause 12(1AAA) provides clarity that the Crown power to appoint a director is only for the first six years after vesting. The Crown and the limited partnership may agree to continue this arrangement beyond this period independently of the legislation. The committee also recommended replacing the current clause 12(5) with a new clause defining the meaning of "general partner". This amendment will clarify the power to appoint the Crown nominee as a director and chair. These are technical changes that I believe will enhance the operation of the bill and I know it was thoroughly considered. I endorse the changes recommended by the committee and I thank the committee for their dedicated consideration of the bill. A Supplementary Order Paper for the committee of the whole House has been prepared. This will correct some drafting inconsistencies and the dates of the final reporting period for the institute prior to vesting and also an incorrect Māori Land Court minute book reference. These amendments are minor and technical in nature and are fairly straightforward. As representatives of the iwi have pointed out to me on more than one occasion Sir Robert Muldoon was Prime Minister when discussions regarding the vesting were initiated so I don't think it is an overstatement to say that this has been a long and drawn-out process. Numerous parliaments have been the kaitiaki of this kaupapa over many many many years and I'm honoured that we're here and we have the opportunity to move a step closer to completing this process. Despite the prolonged and at times fraught process to get this to this point progressing this bill to the second reading is another important step towards vesting ownership of the institute in the rightful owners. The new ownership structure this bill gives effect to continues to receive tremendous support from the members of Ngāti Whakauē and Wāhiao Tūhourangi. For example over 400 people attended a special general meeting of the Wāhiao Tūhourangi o Whakarewarewa Trust in July to discuss the vesting and the terms of the trust deed. In recommending this bill for its second reading it's appropriate I acknowledge the enduring legacy of this revered institute which began with one of the nation's greatest Māori leaders and politicians Sir Apirana Ngata who was instrumental in the establishment of NZMACI's predecessor Te Ao Marama the Māori school of arts in 1927. Sir Apirana Ngata and the tutors and graduates of Te Ao Marama have been responsible for building and restoring many whare across Aotearoa and have links to many iwi throughout the country. This protected and preserved not just these whare but also the associated skills that continue to form the basis of the institute's teaching functions. I also acknowledge the leadership of both past and current NZMACI members including the current chair Harry Burkhardt who along with the passion and efforts of the past and current management and staff of Te Puia has developed this taonga institution into what it is today. It is their hard work and ongoing commitment that have made Te Puia NZMACI such a respected institution nationally and internationally and we've seen that through the Taonga Tuku Iho exhibitions that have been held across the world. The NZMACI board has been working closely with local iwi and hapū and with iwi representatives currently on the board. I expect a smooth transition to the new ownership structure. Given their status as kaitiaki and owners of the underlying land and the significant contribution they have made to the development of the institute over many years it is fitting that mana whenua of the Whakarewarewa Valley land assume ownership of the Te Puia NZMZCI business. This bill represents a significant step in strengthening the Crown's relations with Māori at both the national and local level. It is a significant milestone for our Ngāti Whakauē and Wāhiao Tūhourangi partners. I commend the bill to the House."