Tauranga, NZ – Erika Harvey, a longtime advocate for transparency and community accountability, has formally called for an independent investigation into Tauranga City Council’s recent financial decisions, including the controversial sale of the Marine Precinct. Harvey’s recent letters to the Auditor-General of New Zealand and the Commerce Commission highlight serious concerns over the Council’s handling of ratepayer funds, the lack of public consultation, and a pattern of questionable deals that have impacted Tauranga’s community and industries for over a decade.

“Year after year, elected Council members and government-appointed commissioners have made the same types of decisions, often behind closed doors, leaving ratepayers footing the bill and the community in the dark,” Harvey stated. “Enough is enough. The people of Tauranga deserve transparency, accountability, and a voice in decisions that affect our city and public assets.”

The Marine Precinct sale, a $13.987 million deal transacted well below its $22.64 million valuation, is only the latest example of questionable Council decisions. On top of the discounted sale price, the Council has committed $29.2 million in ratepayer funds for upgrades to the now privately owned precinct. Originally built to support Tauranga’s fishing and marine industries, the precinct is now being repurposed for super yacht refitting, displacing local marine businesses and leaving workers in a precarious position.

For the small businesses based in Tauranga’s Marine Precinct, this sale has been especially disruptive. After the Marine Precinct was initially excluded from earlier Council investigations in 2019, Erika Harvey reached out to investigator Max Pedersen, requesting a focused review of how the precinct was being managed. Pedersen agreed, and while his investigation scope was limited by the Council, his findings were concerning enough to prompt several key recommendations. Among these was the formation of the Marine Precinct Advisory Group (MPAG), designed to rebuild trust, keep stakeholders informed, and ensure consultation and genuine engagement on future precinct developments.

Our collective hope was to continue using the space in a way that would support both the superyacht refit plans and Tauranga’s local marine industries. Yet despite the establishment of MPAG, we were left entirely out of this decision-making process, no public consultation, no opportunity for MPAG to explore a collective purchase to retain the precinct as a public asset, and no plan to keep the space accessible for all stakeholders.

“This isn’t just about one sale; it’s a pattern,” Harvey continued. “Since 2016, I have met with four different elected councils and one government-appointed commission, and the decisions keep getting more concerning. We’re seeing more backroom deals, more handoffs to private interests, and less and less accountability to the people who live and work here.”

A Troubling Pattern Emerges
The Marine Precinct sale joins a list of other questionable Council decisions, such as:

• The Harington Street Transport Hub – Initially budgeted at $27 million, this project ended up costing ratepayers $19 million when it was abandoned due to seismic flaws. The incomplete structure was eventually sold back to the original construction company for just $1.
• Mount Maunganui Land Sale – Another controversial sale that many locals believe prioritised private interests over public benefit, raising questions about the Council’s approach to managing public assets. 
• Marine Park Reclassification at Sulphur Point – This reclassification facilitated a marine research facility and was met with backlash from the community, who felt public consultation was inadequate and their green spaces compromised.

“These decisions show a pattern of mismanagement and closed-door dealings that directly impact Tauranga’s residents,” Harvey emphasised. “We’re not just dealing with one poor decision but a series of actions that erode public trust and put our community at financial risk.”

Demanding Accountability and Public Involvement
In her letters, Harvey is calling for an independent investigation with Tauranga’s residents playing a central role in defining its scope. She has also requested that government-appointed Chairperson Anne Tolley and the commissioners involved in these deals be questioned on their decisions.

With settlement on the Marine Precinct sale looming on 22nd November, Harvey has also reached out to the NZ Ombudsman to seek answers on outstanding questions that the Council has yet to address.

“This is our community, our city, and our money. It’s time we demand that the Council operate transparently and that decisions reflect the best interests of the public, not a select few,” Harvey urged.

Erika Harvey invites Tauranga residents to stand behind this call for transparency and accountability, encouraging all concerned citizens to join her in pushing for a governance model that values community input and responsible management of public funds.

The sale of Tauranga’s marine precinct for at least $4 million below its valuation is a “disaster waiting to happen”, a local business owner believes.
Tauranga City Council sold the precinct at Sulphur Point for $13.987m to Christchurch developer Sam Rofe.

The 2.98-hectare precinct, also known as Vessel Works, was valued between $18.63m and $19.24m and is zoned for port industry. Some sites within the precinct were already privately owned.

Rolfe approached the council in late 2023 with a proposal to buy the precinct with a vision of it becoming a "premier superyacht refit destination".

The sale conditions meant most of the working boat operators would need to relocate from their precinct berths.

As part of the sale, the council also agreed to fund up to $29.2m to develop an alongside wharf and replace the existing Bridge Wharf.

The decision – made under the Government-appointed commission – has been criticised by precinct users and newly elected councillors.

At an extraordinary council meeting on Wednesday, marine precinct users aired their frustrations over the “unconscionable” sale and being forced to leave the precinct.

Erika Harvey, who owns a fishing business with her family, told the meeting in her opinion the sale wasn’t just "a bad deal", it was a "disaster waiting to happen".

"The public is paying while the private owner profits.

In her view: "You’ve justified this by promising superyachts will bring in wealth, based on pretty pictures and a vision … but the math doesn’t add up."

The council’s projections showed each super yacht visit would contribute between $70,000 to $100,000 to the local economy, Harvey said.

"The existing marine industry, which you’re pushing out, workboats, logistic vessels and fishing boats, contributes well over $100m annually right now.

"You’re ready to sacrifice that for a speculative luxury industry.

"The marine precinct was meant to support local fishing and marine industries."

Harvey called for an independent investigation into the sale of the precinct.

When the council purchased the land from the Port of Tauranga in 2004, covenants were put in place to ensure the site was used for marine-related activities. These were defined as operations or activities that provided goods and services to the marine industry.

Managing director of marine service company Pacific7 Sean Kelly said the council needed to "grow some teeth and stop the sale".

He said he planned to file an injunction with the High Court to try stop it.

"We’re only asking for what we were promised. We’re asking for what the marine precinct was designed to be and we’re asking for [the council] to finally deliver it."

Moana New Zealand general manager Mark Ngata said they had operated from Tauranga for more than 30 years.

As the country’s largest Māori-owned seafood business, he said the company, its partners and fishermen had invested in the region.

"We find it unconscionable that we can put all this investment into this particular area over 30 years and then, with a pen, we’re gone."

Tauranga was the second largest port where the company offloaded fish and it invested around $8m per year into the region, Ngata said.

It had returns of $21m from the region which were returned to its 58 iwi shareholders through dividends, he said.

Fisherman’s Wharf, where the council suggested businesses could offload, was not suitable because their boats would not fit under the harbour bridge, he said.

"You’ve displaced us as a sector."

The public gallery was crammed with around 30 people who applauded the speakers.
Mayor Mahé Drysdale said the sale was now an unconditional agreement and inherited from the commission.

It was up to the new council to find a solution and "make the best of the situations that we’ve been dealt", he said.
Councillor Rick Curach said he wanted an outcome that would not compromise the fishing and workboat operations.
When the land was purchased by the council, it was clear it was meant for fishing and workboats, he said.

"But then this vanity issue came along and totally displaced that; it’s just unconscionable."

Councillor Glen Crowther said the needs of the fishing community were "pretty simple" – they needed a place to tie up boats, a wharf to unload, and access to ice and parking.

The least the council could do was apologise and find a solution, Crowther said.
Marine precinct activity also had $26.3m of debt allocated to it, but the sale proceeds were initially not going to be used to pay down the debt. 

Instead, the $13m was earmarked to help fund the $306m civic precinct Te Manawataki o Te Papa.
Drysdale wanted the $13m to be put towards the debt, which the councillors voted for.
The council would also investigate infrastructure options for the fishing and workboat industry.

How the sale price was setTauranga City Council had to have two valuations done. One valued the precinct at $18.63m and the other at $19.24m.

This did not include the 7195m2 hardstand area, which was valued at $6.12m and $7.81m respectively.
The purchaser, Rofe, agreed to align his offer at a mid-point between the two valuations.

Rofe was also not willing to pay the "harbour front premium" of $3.3m because he believed it was appropriate for residential but not an industrial precinct.

The hardstand area also provided a limitation because it must remain a hardstand which devalued the land.

These valuations and some of the equipment meant the council arrived at the $13.987m sale price.

LDR is local body journalism co-funded by RNZ and NZ On Air.

Article by Alisha Evans: https://www.1news.co.nz/2024/10/28/taurangas-marine-precinct-sale-called-unconscionable/ 

​Tauranga, New Zealand – Concerned Tauranga residents are raising alarms over a controversial deal that has left ratepayers responsible for over $30 million in upgrades to the Marine Precinct, benefitting a private owner who purchased the asset for a mere $14 million. The public is invited to join an open forum at Tauranga City Council’s meeting on Wednesday at 2pm (2:30pm start) to demand answers and transparency.
This isn’t the first time Tauranga’s residents have been left scratching their heads over council deals that simply don’t add up. The Marine Precinct was downgraded from a strategic asset to allow it to be sold privately with minimal public oversight, and now Tauranga’s ratepayers are left paying over $30 million in infrastructure upgrades. Essentially, ratepayers are paying a private buyer millions to take a public asset off the city’s hands.
This just doesn’t add up,” said Erika Harvey, a local advocate for transparency and fair governance. “Tauranga’s ratepayers are being forced to foot the bill for $30M in upgrades, while a private buyer walks away with the Marine Precinct for far less than it’s worth. The public deserves to know how this happened, and we need answers.”
Not the Only Questionable Deal
Unfortunately, the Marine Precinct deal is just the latest in a long line of questionable decisions that have left residents and ratepayers wondering where their money is going and who’s really benefitting.

• The Harington Street transport hub, originally projected to cost $27 million, ended up costing ratepayers $19 million when the project was scrapped due to seismic design flaws. The incomplete site was later sold back to the original construction company for just $1, leaving the community with massive losses.
• The Mount Maunganui waterfront sale, which many believe prioritised private developers over the public interest, sparked concerns about how public assets were being used and who benefitted.
• Controversies surrounding Sulphur Point have further fuelled public discontent. In 2022, the Council reclassified parts of Marine Park at Sulphur Point to allow for a marine research facility led by the University of Waikato. Many residents felt this decision was made without proper consultation, raising concerns about losing public green spaces to commercial interests​

This follows earlier attempts in 2018 to revoke the park's reserve status, which was blocked by the then Conservation Minister.
“This isn’t just about the Marine Precinct,” Harvey continued. “It’s about the way our city is being managed. We deserve to know why these deals keep happening behind closed doors and why the public’s best interests don’t seem to be the priority. The fact that ratepayers are expected to pay more than $30 million for upgrades to a private buyer who profits from it, should concern every single person in this town.”

A Larger Pattern of Mismanagement
Over the past decade or more, Tauranga City Council has seen elected members, commissioners, and staff come and go, yet the same troubling pattern of decisions continues to emerge. From public asset sales to failed infrastructure projects, each new leadership team seems to follow a path that prioritises developers and private interests over the public good.

The question is: who is making these decisions, and why?
“Despite changes over the years, we continue to see the same pattern of poor financial management and lack of transparency,” said Erika Harvey “This is not just about one bad deal, it’s about a culture of governance that has allowed these deals to happen again and again, leaving the community in significant financial risk.”

Call for an Independent Investigation
Given Tauranga City Council’s ongoing financial struggles, the public must demand more than just answers. It’s time for a full independent investigation into the decision-making structure of the Council. Importantly, this investigation should be set by the public, focusing on why these deals keep occurring despite different leadership teams.
“This isn’t just about the Marine Precinct,” Harvey continued. “It’s about the structure within our council that allows decisions like this to keep happening. We need to ask who is really in charge, who is benefitting from these deals, and how we can ensure future decisions are made in the public interest. An independent investigation, with the scope set by the public, is the only way we can get to the bottom of this.”
Members of the community are encouraged to attend the meeting at Tauranga City Council’s current building, located at 306 Cameron Road, to support Mrs. Harvey to demand transparency, ask questions, and call for this investigation to be launched.
​
Public Meeting Details:
Date: Wednesday 23rd October 2024
Time: 2:00 pm (for a 2:30 start)
Location: Tauranga City Council, 306 Cameron Road

Tauranga, New Zealand – Growing concerns are emerging in the Tauranga community following the revelation that the Marine Precinct, a critical public asset, was sold to private interests without notification or public consultation. This sale, marked by a lack of transparency, raises alarm not just for the local marine industry but for all Tauranga residents who question what future decisions are being made behind closed doors.
Located next to the Tauranga Harbour Bridge, the Marine Precinct is home to a large Travel Lift, a key piece of infrastructure visible to anyone driving from Tauranga to Mount Maunganui. 
Erika Harvey, an advocate for the local marine industry, has voiced the frustrations of many stakeholders who feel sidelined after years of broken promises. Harvey, along with other locals and small business owners, are calling on the newly elected council to right these wrongs and prioritise transparency and accountability.
"This isn’t just about the marine industry. It’s about trust and the way Tauranga is governed," Harvey said. “The sale of the Marine Precinct was a backroom deal that ignored the public, disregarded small local businesses, and undermined years of efforts to fix past mistakes. If we allow this kind of decision-making to continue, what does it mean for the future of our city?"

Broken Promises and A Sale Without Consultation
In 2015, Tauranga City Council committed to delivering essential facilities as part of the Marine Precinct project. However, those promises were never fulfilled. Instead, the Council prioritised infrastructure to accommodate super yachts, leaving the local marine industry to fight to protect hundreds of jobs and key waterfront land initially listed for sale in the first stage of the project.
Thanks to our advocacy efforts, the first sale was halted, prompting an investigation that led to the formation of the Marine Precinct Advisory Group (MPAG). The MPAG was created as part of an effort to rebuild trust with the marine industry and ensure ongoing collaboration. However, in a move that has reignited frustration and mistrust, the Council sold the precinct in May 2024, without consulting the MPAG, local stakeholders, or the broader community.
"We had started to see real progress when the 2019 Council began working with us to address these issues,” said Harvey, a leading advocate for the marine industry. "But since the commissioners took over, the momentum was lost, and now we’re left with more uncertainty than ever."
The lack of consultation has raised serious concerns about the transparency of Tauranga City Council’s decision-making processes, not just for the marine industry but across the community. "What other public assets are at risk? What other decisions are being made behind closed doors without the community’s knowledge or input?" Harvey asked.
 
Who’s Accountable? Clarifying Roles and Responsibilities
Adding to these concerns is the role of Council leadership throughout this process. At the centre of operational responsibility sits the CEO, who was in charge during the investigation into the initial sale. The question now being asked is: how could the sale have proceeded without consultation, given the CEO’s role in overseeing council operations and ensuring transparent communication?
"Isn’t it the CEO’s responsibility to safeguard these processes and prevent this type of oversight failure?" Harvey continued. "The community deserves to know where accountability lies. The sale of the Marine Precinct isn’t just a failure to consult, it’s a breach of trust that leaves an entire industry in jeopardy."
The sale highlights broader issues with governance and accountability, particularly regarding decisions made by commissioners and council leadership behind closed doors. With stakeholders blindsided and trust further eroded, the community now faces an uncertain future, questioning what other public assets might be quietly sold without consultation or oversight.

Broader Implications for Tauranga: Is the City’s Future at Risk?
Harvey warns that if Tauranga City Council does not change its approach to governance, this issue could be a sign of broader, systemic problems for the city. “If we continue down this path of secret deals and lack of transparency, we’re not just risking the future of the marine industry, we’re putting the entire city’s future at stake,” she said.
Rising public concern indicates that this situation may have long-term implications for Tauranga’s governance. The lack of transparency in the Marine Precinct sale could erode public trust in the council, making it harder for future initiatives to gain community support. Residents are already asking: if this can happen to something as visible and significant as the Marine Precinct, what else could be sold or privatized without our knowledge?

A Call for Action: Holding the New Council Accountable
Harvey, along with support from other industry leaders, is calling for an immediate pause on further decisions regarding the Marine Precinct and any public assets until a full review and public consultation can take place.
"We need to rebuild trust between the council and the people of Tauranga," Harvey emphasised. "The newly elected members have the opportunity to show that they are different from their predecessors. They need to ensure transparency in all future decisions, hold staff accountable for their actions, and put the interests of the community first."
Harvey is urging the public to stay informed and demand accountability from their elected representatives. "Tauranga residents deserve to know that their council is working for them, not behind their backs," she said. "This is a critical moment for our city, and we can’t afford to get it wrong."