To sell or not to sell? Wellington council debates airport share sale
Wednesday, 26 June 2024
To sell or not to sell the airport shares: the big decision will be tomorrow, after amendments were blocked at a council committee meeting today.
The long-term plan has passed its first hurdle, at the committee meeting, but will need to go through a council vote tomorrow as well.
The tensions around the council table were laid bare in emails leaked to The Post yesterday, showing councillors feuding over the upcoming decision.
Wednesday’s committee is not the final meeting on whether to sell the airport shares, and will not be the critical one, after amendments to stop the sale were ruled out of order. Another meeting, with the full council rather than the long-term plan committee, will follow tomorrow and the final decision will be made there.
Council staff had proposed to sell the airport shares in order to address the city’s insurance gap, where the amount of uninsured assets have leapt by billions over the past few years.
Mayor Tory Whanau has described the full council meeting as a rubber-stamping exercise after the committee vote. Public law expert Dr Dean Knight said it was an unfortunate comment and could be legally risky, given councillors needed to have an open mind.
Introducing the plan, Whanau said the council was making “really tough decisions which has obviously created intense debate, disagreements and conflict for some”.
“But I am proud of what we've come up with. This LTP for me, it truly is a plan that will deliver for our city and the people that live here.”
Diane Calvert moved a series of amendments to the long-term plan, to recognise that the sale of the airport shares remained subject to further votes and more information about the perpetual investment fund where the proceeds would be invested. These amendments passed.
She also asked staff to do more work to find budget cuts which could reduce the council’s debt levels, reduce operating spend, and reduce capital spend. These amendments were voted down.
Sarah Free said it was sensible to acknowledge that the sale of the airport shares was “by no means a done deal” – she viewed the council vote as engaging a real estate agent, rather than selling the house.
Opponents to the sale of the airport shares, in particular the self-described airport three Ben McNulty, Nureddin Abdurahman and Nīkau Wi Neera, were threatening to vote against the entire long-term plan if the sale went ahead.
In Wednesday’s meeting, Wi Neera moved a motion to suspend the council’s standing orders and allow an amendment to stop the sale of the airport shares. The motion needed a 75% majority (13 votes) but was voted down with only eight.
Rebecca Matthews, chairing the committee, ruled amendments to stop the sale of the airport shares out of order under standing orders.
“I personally feel it was a shame that we couldn’t have the airport conversation again,” Wi Neera said. He felt it would have been better to relitigate the issue in the committee, with mana whenua representatives present, rather than at the council meeting tomorrow.
Iona Pannett said it was “deeply unsatisfactory” the council hadn’t been able to vote on stopping the sale today.
The airport shares issue has become a divisive one for the city council, splitting the previously comfortable Labour-Green majority.
The tension was clearly still present in the meeting, with Wi Neera raising a point of order against his Green colleague, deputy mayor Laurie Foon, for reading out a speech.
The plan will finally be signed off on Thursday when the council meets at 9.30am.