Board Meeting and Tourism Sector Update

Jul 11, 2024

Mindmap

Board Meeting and Tourism Sector Update

Attendees and Apologies

  • Hazel absent.
  • Jim had to leave at 1:30 PM for another meeting.
  • Susan and Lou moved the motion to include apologies.
  • No disclosures of members' interests.

Confirmation of Minutes

  • Minutes from previous meeting (18 February) confirmed with minor amendments.
  • Marcus moved the minutes, Bruce seconded. All in favor.

Tourism Sector Update by Jason

Sector Overview

  • Significant growth in the Waipa District for tourism before COVID-19.
  • Discussed the impact of COVID-19 on tourism.

Data and Insights

  • Immediate drop in international visitors post lockdown.
  • Domestic card transactions and expenditure data reviewed.

COVID-19 Implications

  • Loss of international tourists significantly affected the tourism industry.
  • Job losses and business closures in tourism-related sectors.
  • Seasonal closures and adaptation strategies.
  • Shovel-ready projects to reactivate the sector post-COVID.

Response and Recovery

  • Response: Business and community support, redeployment of workers, virtual briefings, webinars.
  • Restart: Domestic and regional travel focus, marketing campaigns, support for local businesses.
  • Reimagine: Long-term transformation of tourism with a focus on sustainability and local benefits.

Airline and Event Updates

  • Limited connectivity and phased airline restarts.
  • Events like Field Days going virtual, others postponed.
  • Potentially up to five years for full tourism recovery.

Questions and Responses

  • Lou acknowledged the impact on international tourist reliance.
  • Claire highlighted the importance of regional major event strategy and inter-agency cooperation.

Hamilton Airport Update by Mark

COVID-19 Impact on Business

  • Significant drop in aeronautical income and terminal use.
  • Hotel operations halted but used by Ministry of Health temporarily.
  • Reduced staff activity and comprehensive cost reductions.

Strategic Planning and Scenarios

  • Extremely cautious financial forecasting for recovery phases.
  • Continued property sales and development plans to secure cash flow.

Airport Projects

  • Shovel-Ready projects submitted for government funding (terminal upgrade and infrastructure upgrades).
  • Maintenance of key assets and partnerships with airlines for recovery.

Financial Overview

  • Scott highlighted the impacts on financials, debt facilities, and land sales.
  • Support from local and central governments critical for recovery.

Questions and Responses

  • Queries on pilot training resumption, impacts on cargo operations, and long-term financial strategy.

Waikato LASS Update by Kelvin and Peter

Organizational Direction

  • Transformation role emphasizing efficiency and effectiveness for councils.
  • Focus on bolder, more ambitious projects at a faster pace.

Strategic Projects

  • Importance of inter-council cooperation for resource optimization and effectiveness.
  • Key projects to drive efficiency and enhance council operations post-COVID-19.

COVID-19 Adaptations

  • Continued importance of core projects during recovery phases.
  • Leveraging additional council resources for advancing strategic initiatives.

Questions and Responses

  • Emphasis on ongoing project monitoring and adaptiveness to council needs.
  • Ensuring sufficient resources despite COVID-19 constraints.

LGFA Update by Andrew

Financial Overview

  • LGFA providing low-interest borrowing options to councils.
  • Government support and Reserve Bank’s bond buy-back program critical in maintaining liquidity.

COVID-19 Impact and Response

  • Increased borrowing requests from councils anticipating revenue losses.
  • Preparedness to assist councils in coping with financial strains and maintaining capital projects.

Future Plans

  • Introduction of green financial products to support environmentally focused projects.
  • Continued engagement with councils to ensure financial stability and recovery.

Questions and Responses

  • Clarification on shareholder equity, green financing initiatives, and inter-council financial support.

Conclusion

  • Predominantly positive reception of various updates and strategic initiatives moving forward post-COVID-19.
  • Clear emphasis on recovery, sustainability, and future readiness.