The Hawea-Wanaka Substitute Block

A South Island Landless Natives Act 1906 (SILNA) Block

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Contents The Hawea-Wanaka Substitute Block ................................................................ 3

Frequently Asked Questions (FAQs) ................................................................... 5

Current Management of the Hawea-Wanaka Substitute Block ............... 8

Vesting the Hawea-Wanaka Substitute Block .............................................. 10

For More Information ............................................................................................ 16

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The Hawea-Wanaka Substitute Block

Since the Ngai Tahu Claims Settlement Act was passed in 1998, the Crown has worked to identify the owners of the Hawea-Wanaka Substitute Block (the "Block"). This has now been completed. The time has come for the Block to be vested in its owners.

To be vested, the owners of the Block must vote on two matters pertaining to the land. They need to decide:

1. whether to vest the land as Maori Freehold land or General land; and

2. the manner in which the vested land will be held by the owners.

These decisions will be made by a vote of owners at an Assembled Meeting of Owners that will be held at Rehua Marae, Christchurch. There will be an information meeting to ensure Owners are aware of the options. This meeting is scheduled to occur on 19 June 2016. Panui notifying the date and venue for this meeting will be sent to owners we have addresses for in May 2016. To check if you are an owner of the Hawea-Wanaka Substitute Block, the list of owners is available on the following websites:

• www.justice.govt.nzlcourts/maori-Iand-court

• www.tpk.govt.nz

• www.ots.govt.nz

• www.ngaitahu.iwi.nzlTe-Runanga

This booklet provides a summary about the Hawea-Wanaka Substitute Block to help the owners make informed decisions about the future of their land. If you have any questions or want more information on matters described in this booklet, you can contact The Maori land Court or Te Puni K6kiri on the follOwing contact details:

The Maori Land Court, The Registrar, Te Waipounamu District DX Box WX11124 CHRISTCHURCH (Phone) (03) 962 4900 (Email) mlctewaipounamu@justice.govt.nz (Website) www.justice.govt.nzlcourts/maori-Iand-court

Te Puni Kokiri

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The Manager, Treaty settlements PO Box 3943 WELLINGTON (Phone) 04 819 6000 (Email) mandatesubs@tpk.govt.nz (Website) www.tpk.govt.nz

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Frequently Asked Questions (FAQs)

• What is SILNA? SILNA is the South Island Landless Natives Act 1906. This Act awarded blocks of land to approximately 4000 South Island Maori, but before this process was completed, the SILNA Act was repealed by the Native Land Act 1909.

The allocation of the following four blocks of land was not implemented: Hawea-Wanaka, Toitoi, Port Adventure and Whakapoai. Section 15 of the Ngai Tahu Deed of Settlement acknowledged the failure by the Crown to implement the allocation of these blocks to their owners.

• .What is the Hiwea-Winaka Substitute Block? The Hawea-Wanaka Substitute Block is a piece of land identified in the Ngai Tahu Claims Settlement Act 1998. The original Hawea-Wanaka Block was not available as settlement redress for Ngai Tahu in 1998, so a substitute block of land was negotiated. This substitute land is known as the Hawea-Wanaka Substitute Block.

The Hawea-Wanaka Substitute Block is to be vested in the descendants of the original owners of the original Hawea-Wanaka block.

• Is the block in the same general area as the original grant? Yes - the original block is located approximately 40 kilometres north of the substitute block at a place called 'the neck', between lakes Wanaka and Hawea.

• How much is the original block, 'the neck', worth? We do not know. When the settlement was completed the substitute block was chosen because it was of a similar value and was close in location to the original block.

• Is this the same acreage as 'the neck'? No. Settlement was for the same area of a similar or same value.

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• Where is the Hawea-Wanaka Substitute Block? The Hawea-Wanaka Substitute Block is located just north of the township of Wanaka in Otago (below). Its official name is Section 2 of 5, Block XIV, Lower Wanaka Survey District.

• Who were the original owners?

:iioaI-"'::~1 The 'Neck' (original Hawea-Wanaka block)

_~""',"", The Hawea-Wanaka

substitute block

Wanaka township

There were originally 57 grantees (owners) but it was later determined that there were 4 people who appeared twice in the list so there were only 53. The original owners were listed in official documents in 1906.

• How did my name get into the list of owners? The whakapapa unit at Te ROnanga 0 Ngai Tahu was able to provide information to the Maori Land Court of who the descendants of the original owners are. This information was then cross referenced with the records of the Maori Land Court. The Maori Land Court then produced a list of owners.

• How can I check if I am a descendant of the original owners? There is a list of owners on the websites for the Maori Land Court, Te Puni K6kiri, the Office of Treaty Settlements and Te ROnanga 0 Ngai Tahu.

• How many other owners are there? There are 1,019 owners in total.

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• How many shares are there in the block? There are 1555.038 shares. These shares are delegated based on descent and so are not necessarily divided evenly between the owners. The owners list contains details on how shares are allocated. • How will the Hiwea-Winaka Substitute Block be returned? The process to return the Hawea-Wanaka Substitute Block was decided during settlement negotiations between Ngai Tahu and the Crown. The process is determined by Section 15 of the Ngai Tahu Deed of Settlement and Part 15 of the Ngai Tahu Claims Settlement Act 1998.

• How does the Hiwea-Winaka Substitute Block relate to other SILNA blocks?

The process to vest the Hawea-Wanaka Substitute Block is unique and separate to all other SILNA lands. This includes all SILNA blocks that were successfully allocated to owners before the SILNA Act was repealed in 1909; and the Waimumu Trust Claim WAI 1090, heard under urgency by the Waitangi Tribunal in 2005.

ABOVE: The forests on the Hawea-Wanaka Substitute Block are exotic species and there are several bicycle tracks on the land.

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Current Management of the Hawea­Wanaka Substitute Block

• Title and management The Hawea-Wanaka Substitute Block is known as Section 2 of 5, Block XIV, Lower Wanaka Survey District. It has an area of approximately 50.7 hectares, and is located near Lake Wanaka.

The land had its reserve status removed under the Ngai Tahu Claims Settlement Act 1998 and is currently held on trust by the Minister for Treaty of Waitangi Negotiations and the Minister of Maori Affairs. The Office of Treaty Settlements administers the land and they have engaged a private company to manage the forest.

The block is zoned as Rural General land. There are no legal access roads on to the block. Pedestrian access is available through neighbouring Public Reserve Land or via private roads that border the property. For more information on public access to the block, visit the Walking Access Mapping System compiled by the New Zealand Walking Access Commission available at www.walkingaccess.govt.nz.

• Value and costs of the block In 2011, the Hawea-Wanaka substitute block was valued at $6 million. Costs for the land total approximately $7,500 per annum. They include approximately $7,000 for rates, as well as other expenses such as road and forest signs, and insurance.

Rates are charged by the Queenstown Lakes District (www.qldc.govt.nzlrates) and the Otago Regional (www.orc.govt.nzll nformation-and-Services/Rates).

Council Council

The contractor's fee to manage the land is an additional cost to these annual costs. While the land is held in trust by Ministers, all costs are being covered by the Crown.

• Forest on the block The forest on the block is approximately 40.1 ha in size and is known locally as Plantation Forest or Sticky Forest. The forest will be owned by the owners, who will be responsible for the forest and its associated costs.

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The trees are exotic species: Douglas fir and Pinus radiata. The majority of the trees will not be ready to be harvested until 2032 - 2042. The forest will need to be professionally managed.

• The Emissions Trading Scheme (ETS) Most of the forest on the Hawea-Wanaka Substitute Block was planted prior to 1990. These trees are automatically subject to the Emissions Trading Scheme (ETS).

It is estimated that up to 16ha was planted post-1989. It will be up to the owners or their trustees to decide whether they will want to opt-into the ETS for these trees.

The company that is currently managing the block has advised that there are advantages and disadvantages in choosing to participate in the ETS. They also advise that for forests smaller than 20ha (as this post-1989 forests is) there is an only a marginal financial benefit. Considering that the pre-1990 forests on the land are already part of the ETS, the associated penalties for deforesting the land and converting it to a use other than forestry will likely include a substantial financial cost.

• Mountain biking on the block As former council land, the block is a popular location for mountain biking. A local company, Bike Wanaka, hosts annual cycle races on the block. In doing so, they have accepted all liabilities for cyclists during the event.

ABOVE: The Hiwea-Winaka Substitute Block is approximately 50.7ha in size and is covered by approximately 40ha of forests. It is located just north of the Wanaka tnwm::hin .

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Vesting the Hawea-Wanaka Substitute Block

The owners of the Hawea-Wanaka Substitute Block are required by the Ngai Tahu Deed of Settlement and the Ngai Tahu Claims Settlement Act 1998 to vote on two matters. The Section 15.7.5 of the Ngai Tahu Deed of Settlement states that two matters are to be decided:

a) The status of the land to be vested in them [the owners] (or the entity to hold the land on their behalf) by deciding whether the land is to be vested as:

a. Maori freehold land; or b. General land.

b) The manner in which their land will be held by them [the owners] by deciding whether the land is to be vested in:

a. The Successors as tenants in common with an undivided share in proportion to each Successor's share of his or her Original Beneficiaries interest determined in accordance with clauses 15.6.2, 15.6.3 and 15.6.4;

b. A Maori Incorporation established under Part XIII of the Te Ture Whenua Maori Act 1993;

c. An ahu whenua trust constituted under section 215 of the Te Ture Whenua Maori Act 1993; or

d. Any other manner the Successors of the land in question decide upon.

These decisions will be made by a vote of owners at an Assembled Meeting of Owners thai will be held by the Maori Land Court in Christchurch. In July I August 2016, we will publicly notify the date and venue for this meeting.

The information below is provided to help you in making decisions about the vote.

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• Maori Freehold Land or General Land The Ngai Tahu Deed of Settlement states that the owners need to choose whether the block will be Maori Freehold Land or General Land according to the definitions provided in section 129 of Te Ture Whenua Maori Act 1993 as follows:

Maori Freehold Land is land the beneficial ownership of which has been determined in the Maori Land Court by freehold order.

General Land is land, other than Maori Freehold Land and General Land owned by Maori, which has been alienated from the Crown for a subsisting estate in fee simple.

There are some differences between these types of land. For example, Maori Freehold Land is subject to Te Ture Whenua Maori Act 1993. You should discuss the two land options with your whanau before voting.

• Vesting the Block The Ngai Tahu Deed of Settlement provides four options in how the owners can vest the Block. They are:

• the land is vested in the owners as tenants in common with an undivided share;

• the land is vested in a Maori Incorporation established under Part XIII of Te Ture Whenua Maori Act 1993;

• the land is vested in an ahu whenua trust constituted under section 215 ofTe Ture Whenua Maori Act 1993; or

• the land is vested in any other manner that the owners decide upon.

It will be up to the owners to establish a management structure for the land in accordance with whichever of the four options above receives the most votes.

• What does owners as tenants in common with an undivided share mean?

Owners hold a beneficial interest (shareholding) in the block with the other successors. Your share is calculated on how many descendants there are from the original owner. For example, if Tame had 10 shares and he had five kids, they'd each get two shares.

• What is a Maori Incorporation? A Maori Incorporation is a structure similar to a company. Its purpose is to facilitate and promote the use and administration of Maori Freehold Land on behalf of the owners. Maori Incorporations are designed to manage whole blocks of land and are the most commercial of all Maori land management structures.

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• What is an Ahu Whenua Trust? This is the most common Maori land trust. It is designed to promote the use and administration of the land in the interest of the owners. This is a form of trust often used for commercial purposes.

• What are the benefits of these options? We are unable to decide for you and it must be determined through the vote by owners. Any Maori Freehold Land does have the advantage of the Maori Land Court administering and maintaining the list of owners.

• What management structure options do we have if the owners choose for the block to be vested as general land?

If the land is vested as general land, the options available include a private trust, a charitable trust or a company to manage the land as well as an Ahu Whenua Trust.

• What is a private trust? A trust is an 'equitable obligation' that nominates trustees to look after property for the benefit of persons who are called beneficiaries. Private trusts are often used for private purposes such as preserving a family fortune, planning successions for a family business and avoiding any major disruptions due to death.

• What is a charitable trust? Charitable trusts are trusts established to undertake a 'charitable purpose' and are unable to undertake commercial activity. A 'charitable purpose' means every purpose that in accordance with the law in New Zealand is charitable, including aiding poverty, religious instruction, towards sports and recreation etc. Charitable trusts can be incorporated as a Board under the Charitable Trusts Act 1957

• What is a company? A company is an entity registered under Part 2 of the Companies Act 1993.

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• Voting process The Maori Land Court will hold a formal vote so that the owners of the Hawea­Wanaka Substitute Block can make the two decisions described above.

This voting process will be conducted as a Maori Assembled Owners Meeting in accordance with the Maori Assembled Owners Regulations 1995.

If you are an owner of the Hawea-Wanaka Substitute Block and have not provided your contact details to the Maori Land Court, you should do this as soon as possible to ensure you can participate in the vote. If you know of any other owners who have not received any information about this process, encourage them to provide their contact details to the Maori Land Court.

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ABOVE: The Hiwea-Wlnaka substitute block is located In close proximity to residential areas. The Image on the right gives an Indication of the terrain of the block, which includes several hills and dips that make the land suitable for mountain biking.

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Appendices

1. Working Group Report

2. Waste Thinning Operation Report

3. Hawea-Wanaka Block Erosion Susceptibility A3 Map Updated

4. Hawea/Wanaka Block Land-cover Map Updated

5. Hawea/Wanaka Block Land-use Map Updated

6. Hawea/Wanaka Block Land-use capability Map Updated

7. Report of Recording Officer at a Meeting Of Assembled Owners

8. Summary of Hawea-Wanaka meetings - Dec 2011

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• Additional Information Copies of the following documents are available at the websites for the Maori Land Court, Te Puni K6kiri, the Office of Treaty Settlements and Te ROnanga a Ngai Tahu:

• The list of owners for the Hawea-Wanaka Substitute Block.

• Section 15 of the Ngai Tahu Deed of Settlement.

• Part 15 of the Ngai Tahu Claims Settlement Act 1998.

• The Computer Freehold Register and maps for the Hawea- Wanaka Substitute Block and surrounding blocks.

• Rating information on the Hawea-Wanaka Substitute Block.

• Zoning restrictions for the Hawea-Wanaka Substitute Block.

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For More Information please contact the following agencies

• The Maori Land Court, The Registrar, Te Waipounamu District DX Box WX11124 CHRISTCHURCH (Phone) (03) 962 4900 (Email) mlctewaipounamu@justice.govt.nz (Website) www.justice.govt.nzlcourts/maori-Iand-court

• Te Puni Kokiri The Manager, Treaty settlements PO Box 3943 WELLINGTON (Phone) 04 819 6000 (Email) mandatesubs@tpk.govt.nz (Website) www.tpk.govt.nz

Te Kooti Whenua Maori <* Te Puni Kokiri REALISING MAORI POTENTIAL

• • M{fort Land Court

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This material has been produced to inform the owners of ownership/distribution options for Section 2 of

5 Block XIV Lower Wanaka being approximately 506,742sqm.

Background.

History of site:

The Hawea-Wanaka Substitute Block is a property identified in the Ngai Tahu Claims Settlement

Act 1998. The original Hawea-Wanaka Block was not available as settlement redress for Ngai

Tahu in 1998, so a substitute block of land was negotiated. This substitute land is known as the

Hawea-Wanaka Substitute Block.

The Hawea-Wanaka Substitute Block is to be vested in the descendants of the original owners of

the original Hawea-Wanaka block.

SILNA is the South Island Landless Natives Act 1906. This Act awarded blocks of land to

approximately 4,000 South Island Maori, but before this process was completed, The SILNA Act

was repealed by the Native Land Act 1909.

Objective of the Office of Treaty Settlements (OTS) and Maori Land Court (MLC)

The owners of the land need to decide upon the following:

o Land Type

Maori Freehold Land or

General Land

o Entity

Company or

Trust (refer below for trust options)

In making these decisions the owners need to understand what they want to achieve from the

land, be it long term ownership, long-short term development or sale of land. Therefore this

document will identify the advantages and disadvantages in terms of timing, costs and

estimated returns. This will aid owner the opportunity to determine the option that best their

personal position.

Establishment of Workgroup and Why

A working party comprising of 7 elected beneficiaries was set up by the Maori Land Court following the last formal meeting of Hawea-Wanaka owners in February 2014. The group has met regularly working towards the kaupapa that was established as the terms of reference for that group at the February meeting. The terms of reference were to try and create a more up-to-date list of beneficiaries to the block and look at potential options around the use of the block to assist in the decision making process as to the best status for the land to held. The Working Party have met regularly.

For a large part of this time, the working group have focussed on 4 main objectives:

1. Investigation of the best use of the land based on personal, traditional and economic factors.

2. The creation of a more comprehensive beneficiary list.

Both of which will inform our understanding of:

3. The two land options (Maori Freehold Land or General Land according to the definitions provided in section 129 of Te Ture Whenua Maori Act 1993).

4. Ahu Whenua Trust: or Maori Incorporation or; vested in the owners as tenants in common with an undivided share; or any other manner that the owners decide upon.

Activities of the Working Group

1. Updated List of Owners: The working group spent over 12 months seeking to build upon the owners/beneficiary list provided by the Maori Land Court. This has been achieved through working with Ngai Tahu, the Maori Land Court, advertising in ‘Te Panui Runanga’ and making personal contact with whanau to help create a more accurate and current list. This continues to be a work in progress. 2. Potential Use of the Land:

Significant work has been done in relation to establishing options around the potential use of the land and will be compiled for beneficiaries to be able to assess options with as much information as possible. The work has taken into account the current value, milling options, sale options, value if sold, partnership arrangements to increase the value of the land and eventual return for owners/beneficiaries. 3. Issues encountered

a. The work undertaken has been hamstrung by a lack of funds for due diligence around

forestry and registered valuations.

b. Numbers of unidentified beneficiaries of deceased owners

c. District Plan Review for Wanaka and the funds to submit rezoning applications.

SILNA Hawea Wanaka Substitute Block- Beneficial Owners Analysis

1. 1906 official documents show that there were 53 original grantees (beneficial owners) identified with each adult being issued 50 acres and each minor (14 years of age) 20 acres

1. The beneficial owners list provided by the Maori Land Court on 17 November 2015 confirms that the total shares are 1,555.038

2. The beneficial owners list provided by the Maori Land Court on 17 November 2015 shows that there are currently 1,071 individual beneficial owners

3. 25.25% of the original owners/ shareholding (as recorded on the beneficial owners list) have no record of issue/descendants

4. 30% (approx.) of the beneficial owners (as recorded on the beneficial owners list) are deceased with no current succession (antecdotal information provided by Theo Bunker, (owners representative group) based on knowledge of his whanau whakapapa and contact with other beneficial owners)

5. Top 100 shareholders (including original and deceased owners) makeup 75% of the shareholding

6. Majority of living individual beneficial owners are kaumatua (65 years of age plus)

LAND CATAGORIES

*It needs to be noted that General Land can be transferred to Maori Land relatively easily, but the

reverse is quite difficult as an order through Maori Land Courts is required.

The 5 Options are:

1. Development of the forest

2. Residential Development by the Shareholders.

3. Residential Development with a Joint Venture Partner

4. Sell the property

5. Take ownership and review options in the future.

Each of these options have been cross referenced with key elements in the chart below to help identify

easily the virtues of each option.

Option Description Best Land Category

Best Entity Structure

Owner Investment Required

Timing for Owner Returns

Projected Levels of Return

Comments

1 Forest Development

Maori Freehold Land

Trust - Maori Incorporation

Yes yearly Approx $35,000pa

Estimated 2032-2042

N/A Valuation Required

Relatively low annual holding cost, return undetermined and delayed. Owner contributions required.

2 Owner Residential Development

General Land

Trust – Company

Yes Significant Approx $20-25m

Estimated 5-10 Years

High Returns Estimated 5-6 times share value

Strong return but large financial investment required from owners and the Wanaka residential market currently has large number of sections with large neighbouring areas also being rezoned residential.

3 Joint Venture Residential Development

General Land

Trust – No Estimated 5-10 Years

Medium Return Estimated 2-3 times share value.

Good returns, minimal investment required, market comments as above

4 Sell Property General Land

Trust - Nil Within 6 months of court decision

Good Return 1-2 times share value

5 Take Ownership and Review

Maori Freehold Land

Trust - N/A N/A N/A

Workgroup Recommendation

Understanding the age of the owners, the sentiment from a number of owners who attended the

February 2014 meeting and the comments made by owners over the past 18 months, there does appear

to be a strong preference for Option 4 – Sell the Property. This sentiment has been supported by owners

in part because of the short term financial benefit but also because this specific piece of land does not

hold any specific cultural significance nor is it a place of special significance (without detracting from our

relationship with the Whenua) due to geographical location and the process in which the land become

under the owners control. Based on the potential options and should whanau be seeking a reasonably

quick return then selling would seem an obvious option

Interested Party

Our workgroup made contact with the Queenstown Lake District Council and investigated whether there

might be interest from the local Wanaka community.

A meeting was held in Queenstown with the Chief Exec Officer and the Deputy Mayor of QLDC.

Overall there seems to be strong interest from the Wanaka community and as a result QLDC have

commissioned Colliers International to value the property by the end of January 2016.

Appendix 2

PFOlsen Ltd

FFDLSEN Q PO Box 975 1 Dunedin 9054 1 New Zealand P: 64 03 453 68191 F: 6434536832 E: info@pfolsen.com 1 www.pfolsen.com

10 August 2009

Office of Treaty Settlements PO Box 919 Wellington 6140

Attention: Gordon Smith

Dear Gordon

Summary

Quality control results

Sticky Forest, Wanaka

Waste Thinning Operation report Stand 1/01 Ps.menz 26.7 ha

This report relates to thinning of 26.7 hectares of Douglas fir in Stand 1101 of Sticky Forest near Wanaka.

The thinning operation was successfully completed in April 2009 to within 11 % of the prescribed stocking and to a good standard of quality.

All mountain bike tracks that are marked on the Lake Wanaka Cycling Inc. "Cycling Map" were cleared to a satisfactory standard.

There were no health and safety incidents to report.

Although the operation cost more than the original budget, additional costs were approved by the Office of Treaty Settlements and relate to extra time spent clearing tracks.

A brief summary of the operation follows.

A summary of the quality control results are shown in the following table.

Total stocking IMean Crop zMean Top 3CropDBH (sIb a) Height (m) Height (m) (cm) 483 15.5 16.5 25.5

A total of nine plots were measured. A Stand Record Certificate and quality control results by plot are attached.

Continued on next page ...

1 Mean Crop Height -mean height of six crop trees measured in each plot. 2 Mean Top Height - Mean Height of the 100 largest diameter trees per hectare. 3 Crop DBH - I2iameter at I!reast Height (1.4 metres from ground) of the six crop trees measured in each plot.

... continued In five of the nine plots completed, stocking was measured as being within 10% of the prescribed stocking (540 stems per hectare).

Lower stocking measured in the remaining four plots is a result of their location in relation to unmapped stocking gaps.

Thinning was completed to a good standard of quality. The most dominant and best form trees were left as crop trees. However, there are isolated areas that are exposed to the wind where tree form is relatively poor with some stem sinuosity.

The following photograph shows how the stand is a lot more open after thinning, letting more light into the stand and allowing the remaining crop trees space to grow in diameter.

Track clearing As prescribed, all tracks and mountain bike tracks that are marked on the Lake Wanaka Cycling Inc. "Cycling Map" were cleared of fallen trees and branches to within the first row of stumps on each side. In reality any track that had obvious sign of frequent use was cleared, resulting in more tracks being cleared than marked on the map.

An example of a cleared track is shown in the photograph below.

Track clearing was completed to an excellent standard. Mountain bike tracks cleared are now easily passable.

Health and Safety Prior to commencement, the pending operation was notified to the public via local newspapers, flyers and liaison with the local cycling club.

During the operation, each block being worked on at the time was "taped" off and "Public Access Closed" signs were placed at entrances to the "closed" block. "Tree felling" signs were placed closed to where contractors were working.

Continued on next page ...

... continued

Financial results

Conclusion

There were instances where public entered closed off areas. When that happened people were asked to move out of the work area immediately. This system worked well with no incidents or accidents involving the public to report.

The thinning operation was completed by Heslip Forestry Contracting and was completed according to industry best practice for tree felling operations.

All members of the crew were wearing OSH approved personal safety equipment and hazard management was completed to the required standard. There were no crew reported incidents or accidents during the operation.

The following table shows actual results reported against budget.

I Thinning operation budget Actual cost Variance

$38,425 I $44,057.90 -$5,632.90 I All costs plus GST

Actual costs include costs for advertising the operation various local newspapers and the cost of preparing "public access closed signs". The extra expenditure relates to extra time spent by the contractor clearing tracks, and was approved by the Office of Treaty Settlements.

We believe the operation was completed to an excellent standard of quality with the desired result being achieved. That is, a thinned stand of Douglas fir with the potential to produce high quality Douglas fir saw-logs at maturity.

Considering the amount of public use in this forest, the operation went very smoothly with no accidents or incidents to report.

Please do not hesitate to contact me if you have any questions.

Yours sincerely PFOLSENLTD

GEORGE PLATTS Registered Forestry Consultant

Sectio n 2 o f 5 Blo ckXIV Lo wer Wan akaSurvey District

Date: 18/03/2016Produced by: MPI Spatial Analysis Solutions teamRef. 160092

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Disclaimer: Th is map an d all in fo rmatio n acco mpan yin g it (th e “Map”) is in ten ded to be used as a guide o n ly, in co n jun ctio n w ith o th er data so urces an d meth o ds, an d sh o uld o n ly be used fo r the purpo se fo r w h ich it was develo ped.Th e in fo rmatio n sh o w n in th is Map is based o n a summary o f data o btain ed fro m vario us so urces. Wh ile all reaso n able measures have been taken to en sure th e accuracy o f th e Map, MPI: (a) gives n o warran ty o r represen tatio n inrelatio n to th e accuracy, co mpleten ess, reliability o r fitn ess fo r purpo se o f th e Map; an d (b) accepts n o liability w h atso ever in relatio n to an y lo ss, damage o r o ther co sts relatin g to an y perso n ’s use o f the Map, in cludin g but n o t limitedto an y co mpilatio n s, derivative w o rks o r mo dificatio n s o f th e Map. Cro w n co pyrigh t ©. Th is map is subject to Cro w n co pyrigh t admin istered by Min istry fo r Primary In dustries (MPI). Data So urces: ESC an d LUC (Lan dcare ResearchLtd.), Mao ri Lan d Co urt blo cks (2016), o th er data fro m LINZ , NZ Stats.

Hawea/Wanaka BlockErosion Susceptibility Map

LegendHawea/Wan aka Blo ckOther Blo cks

ESC classesVery HighHighMo derateLo wUn defin ed

Sectio n 2 o f 5 Blo ckXIV Lo wer Wan akaSurvey District

Date: 18/03/2016Produced by: MPI Spatial Analysis Solutions teamRef. 160092

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Disclaimer: Th is map an d all in fo rmatio n acco mpan yin g it (th e “Map”) is in ten ded to be used as a guide o n ly, in co n jun ctio n w ith o th er data so urces an d meth o ds, an d sh o uld o n ly be used fo r the purpo se fo r w h ich it was develo ped.Th e in fo rmatio n sh o w n in th is Map is based o n a summary o f data o btain ed fro m vario us so urces. Wh ile all reaso n able measures have been taken to en sure th e accuracy o f th e Map, MPI: (a) gives n o warran ty o r represen tatio n inrelatio n to th e accuracy, co mpleten ess, reliability o r fitn ess fo r purpo se o f th e Map; an d (b) accepts n o liability w h atso ever in relatio n to an y lo ss, damage o r o ther co sts relatin g to an y perso n ’s use o f the Map, in cludin g but n o t limitedto an y co mpilatio n s, derivative w o rks o r mo dificatio n s o f th e Map. Cro w n co pyrigh t ©. Th is map is subject to Cro w n co pyrigh t admin istered by Min istry fo r Primary In dustries (MPI). Data So urces: ESC an d LUC (Lan dcare ResearchLtd.), Mao ri Lan d Co urt blo cks (2016), o th er data fro m LINZ , NZ Stats.

Hawea/Wanaka BlockLand-cover Map

LegendHawea/Wan aka Blo ckOther Blo cks

Section 2 of 5 BlockXIV Lower WanakaSurve y District

Date: 18/03/2016Produced by: MPI Spatial Analysis Solutions teamRef. 160092

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Disclaim e r: This m ap and all inform ation accom pany ing it (the “Map”) is inte nde d to be use d as a guide only, in conjunction with other data source s and m e thods, and should only be use d for the purpose for which it was deve lope d.The inform ation shown in this Map is base d on a sum m ary of data obtaine d from various source s. While all re asonable m e asure s have be e n tak e n to e nsure the accuracy of the Map, MPI: (a) give s no warranty or re pre se ntation inre lation to the accuracy, com ple te ne ss, re liability or fitne ss for purpose of the Map; and (b) acce pts no liability whatsoe ve r in re lation to any loss, dam age or othe r costs re lating to any pe rson’s use of the Map, including but not lim ite dto any com pilations, de rivative work s or m odifications of the Map. Crown copy right © . This m ap is subje ct to Crown copyright adm iniste re d by Ministry for Prim ary Industrie s (MPI). Data Source s: ESC and LUC (Landcare Re se archLtd.), Maori Land Court block s (2016), othe r data from LINZ, NZStats.

Hawea/Wanaka BlocksLand-use Map

LegendRoadsHawea/Wanaka BlockOther Block s

Landuse:Natural Fore st

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oPlante d Fore stGrassland - High producingGrassland - Low producingGrassland - With woody biom assSe ttle m e ntsWe tlandOther

Section 2 of 5 BlockXIV Lowe r WanakaSurve y District

Date: 18/03/2016Produced by: MPI Spatial Analysis Solutions teamRef. 160092

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Disclaim e r: This m ap and all inform ation accom pany ing it (the “Map”) is inte nde d to be use d as a guide only, in conjunction with othe r data source s and m e thods, and should only be use d for the purpose for which it was de ve lope d.The inform ation shown in this Map is base d on a sum m ary of data obtaine d from various source s. While all re asonable m e asure s have be e n tak e n to e nsure the accuracy of the Map, MPI: (a) give s no warranty or re pre se ntation inre lation to the accuracy, com ple te ne ss, re liability or fitne ss for purpose of the Map; and (b) acce pts no liability whatsoe ve r in re lation to any loss, dam age or othe r costs re lating to any pe rson’s use of the Map, including but not lim ite dto any com pilations, de rivative work s or m odifications of the Map. Crown copy right © . This m ap is subje ct to Crown copy right adm iniste re d by Ministry for Prim ary Industrie s (MPI). Data Source s: ESC and LUC (Landcare Re se archLtd.), Maori Land Court block s (2016), othe r data from LINZ, NZStats.

Hawea/Wanaka BlocksLand-use Capability Map

LegendHawea/Wanaka BlockOthe r Block s

Land-use capability classes:4678Othe r (lak e , rive r)

REPORT OF RECORDING OFFICER AT A MEETING OF ASSEMBLED OWNERS

In the Māori Land Court of New Zealand Te Waipounamu District

IN THE MATTER of the Hāwea-Wānaka Substitute Block (also known as Section 2 of 5, Block XIV, Lower Wānaka Survey District)

AND Meeting of assembled owners

held on the 8th day of February 2014 at the Māori Land Courtroom, Aoraki House, Christchurch

I, Joanne Taylor, Recording Officer at the above mentioned meeting of owners do hereby report to the Court as follows: 1. That I was present throughout the whole time of the above mentioned meeting and

kept a record of the proceedings thereat.

2. A quorum was not present within the prescribed time and the meeting proceeded on an informal basis. The meeting did not consider the proposed resolutions.

3. Attached hereto is a statement under my hand of the proceedings of the meeting DATED: 12th day of February 2014

Joanne Taylor RECORDING OFFICER

Statement of proceedings of meeting of assembled owners of the Hāwea-Wānaka Substitute Block

(Section 2 of 5, Block XIV, Lower Wānaka Survey District) Minutes of a meeting of assembled owners held at the Māori Land Court, Aoraki House, Christchurch on 8 February 2014. The meeting opened at 2pm with a karakia by Dr Terry Ryan. Owners present: Owner Shareholding Jennifer Anne Barlow 0.132 Michael Joseph Beresford 52.5 Elvina Patricia Bunker 8.655 Theo Rangi or Rangi Theodore Bunker 8.655 Elaine Margaret Cooksley 0.619 James Leigh Curwood 0.198 Waiana Nui Deer 0.091 Barbara Ruby Doran 0.198 Margaret Duggan 0.5 Donna Pohiri Franklin 1.72 Jane Hamilton 0.5 Paul Tihema Anthony Hill 1.72 Clarke Te Opewhakahukau Hiroti 0.092 Stanley Bernard Eruini Hiroti 0.185 Hini Ari Kathleen Huntley 2.747 Robyn Mary Nohomaiterangi Jackson 1.72 Tracey Maree McCarthy 0.091 Cheryl Margaret Mottram 2.857 Heni Jane Ormond 0.159 Ria Page 0.549 Graeme Page 0.549 Thelma Reuben 0.795 Bruce Lindsay Rhodes 9.617 Maureen Ruru (Zimmerman) 1.443 Jan Elizabeth Smallwood 52.5 Michael Iwa Henry Solomon 0.364 Wiremu Tainui 3.463 Peri Tainui 0.494 Nancy Tainui or Robinson 3.462 George Tama Tikao 2.473 Wiri Tehuri Tipa 0.322 Joseph Puneke Tipa 0.322 Karena Tumaru 1.389 Margaret Tumaru 1.389 Julian Leigh Sullivan 0.463 Total 162.933

Proxies: Proxy Owner Owner’s shareholding Nola Viviene Tipa June Rurutu Aorangi McEwan 0.322 Gregory Monahan Roberts

Eric Patrick Roberts 1.223

Joanne Mihirau McLean Jennifer Ria Burney 5.16 Joseph Curwood James Leigh Curwood 0.198 Total 6.903 Invalid proxies received after the beginning of the meeting: Proxy Owner Owner’s shareholding Hineari Daken Patrick Te Rangi Kamapuna Huntley 2.747 Postal votes: Owner Shareholding Patricia Evelyn Ward 0.476 Dorothy Lynette Beatrice Gurden 0.714 Rauwena Barlow 0.032 Kathryn Ria Pacey 0.297 Brett Tahu Pacey 0.297 Maru Kowhana Smith 0.034 Bruce Mason 0.238 Gordon Selwyn Stephens 0.127 Anthony Paul Stephens 0.063 Richard Hartley Hopkinson 0.623 Barbara Marie Dowie 0.297 James Thomas Pacey 1.78 Arthur Pacey 1.78 Helen Muriwai Jones 1.78 June Rurutu Aorangi McEwan 0.322 Rima Lee Ruru 1.443 Kelvin Bruce MacDonald 0.119 Bridget Edith Te Maiharoa 1.389 Claude Raymond George Hopkinson

0.623

Moana Frances Thompsett 0.653 Karen Leslie Starkey 0.653 Mortein Darrell Smith 0.017 Martin Ted Edwards 0.274 Robert Pacey 1.78 Kahu Michael Ratana 0.056 Mavis Hunt 0.159 Lyndon Jeffrey Paul 0.863 Kelvin Leslie Mason 0.119 Nan Barton 0.445 Betty Annette Renwick 0.208 Ina Cunniffe 0.167 Joseph Walter Curwood 0.198 Patricia Runic Clarke 1.72 Stephanie Ann McLaren 0.198 Total 19.944

Invalid postal votes received after the beginning of the meeting: Owner Shareholding Patricia Mary Wolfenden 0.104 Dorothy May Langway 0.082 Gail Jocelyn Martin 0.238 Patrick Te Rangi Kamapuna Huntley

2.747

Madge Dempster O’Connor 0.082 Kim Ruri 0.297 Ivan William Jacobsen 0.408 Russell William Solomon 0.363 Patricia Ann Rita Pudney 0.364 Georgina Te Puamariri Busby 0.139 Bessie Tuuri McCabe 0.139 Total 4.963 Court staff present: Carol Smith (Registrar/Chairperson), Carolyn Moke (Aotea Manager), Joanne Taylor (Recording Officer) Te Puni Kōkiri staff present: Erin Keenan Carol Smith introduced the staff and discussed the purpose of the meeting. The quorum for the meeting was three owners to be present in person, with 40% of the shareholding to be represented in person or by proxy. Present or represented by proxy at the meeting were owners holding 169.836 shares being 10.92% of the total shareholding. Quorum for the meeting was not met and the meeting would proceed as an informal meeting. Theo Bunker spoke about lack of notification of major shareholders. He believed whānau would need more time to get the right information to make decisions, possibly by using a think tank to work with the Māori Land Court. There was discussion about the ownership list, meeting notification and the history of the application. Carol Smith asked for questions and discussion. There was further discussion about the ownership list and the need to contact whānau to update their details. Carol Smith answered questions about the conduct of informal meetings and the outcomes of the information hui. There was discussion about the current lack of legal access to the land, the working group that was set up at the previous Christchurch hui and the payment of rates. The rates are about $7,500 per year and the Crown will continue to pay these rates until the land is vested in an entity established by the owners. There was discussion about the shareholding present, the shareholdings of deceased owners, and the lack of knowledge of some owners about the hui. Some owners expressed a need for more time for notification and information before making a decision.

Carol Smith replied that the Māori Land Court has held information hui over the past two years and the Court is not a repository of addresses. She spoke about how owners had been notified, by Te Puni Kōkiri who engaged Te Runanga O Ngāi Tahu to provide them with the addresses, and the work the Court had completed on the ownership list. Discussion followed about owners who are not registered or cannot register with Ngāi Tahu and deceased owners who remain on the list. There was discussion about setting up a working group to assist the Court with reviewing the ownership list and with notifying owners. Graeme Page asked how the Court would support the group. Carol Smith replied that the Court could not give monetary support. Erin Keenan replied that Te Puni Kōkiri needs to follow the process and regulations and can provide information about the options, including exploring issues like access to the land. There was discussion about financial information, the rating valuation and issues with applying for rates rebates with the Council. Carol Smith replied that the Office of Treaty Settlements should have all of the financial information. There was discussion about the income of the land and the forestry management and associated costs, and the need to be sure what the costs are before the owners take the costs on. Carol Smith confirmed that notification had been received that the block is no longer being used for mountain biking and the mountain bike tracks remain. Discussion followed about setting up a working group to look at the whakapapa of the list of owners, the options and legal issues. Clarke Hiroti spoke about the impossibility of getting the whakapapa completely up to date. He supported setting up a working party. Delaying the process would help nobody. Carol Smith explained the Māori Land Court’s involvement with completing and confirming the ownership list. Cheryl Mitchell talked about how people can find successors and the work she has done with assisting whānau with successions. Seven members of the original working committee identified themselves by standing up. All present agreed to vote on a motion for a new committee, to be voted by all persons present. There were no objections and no abstentions. Carol Smith called a motion to vote for a group that is going to look at the list of owners and provide whakapapa to the Māori Land Court so that it is correct. The group will also look at the options and legal issues. Motion was:

i. A working group to be established to: a. Look at the list of owners and provide whakapapa to the Māori Land Court to

ensure that the list is up to date b. Look at the options and legal issues

All persons present voted in favour of the motion. There were no objections and no abstentions. There was discussion about when the group would meet and who would be appointed. The Māori Land Court could support the group by providing meeting rooms. The following persons volunteered to be appointed to the group: Graeme Page, Mandy Home, Jymel Morgan, Joanne McLean, Phil Tikao, Alison Foote, Theo Bunker, Michael Beresford. Carol Smith put forward a motion that the above-named persons be the members of the working group. All present voted in favour of the motion. There were no objections and no abstentions. Carol Smith closed the meeting with a karakia at 3:22pm.

HĀWEA – WĀNAKA SILNA MEETINGS There were 3 meetings held for the Hāwea - Wānaka substitute land being Section 2 of 5 Block XIV Lower Wānaka Survey District on Sunday 4 December in Blenheim, Saturday 10 December in Invercargill and Sunday 11 December in Christchurch. All 3 meetings were to provide information to the owners and/or their descendants about the block, answer any questions and to advise the next steps for the Assembled Owners meeting pursuant to Section 173 of Te Ture Whenua Māori Act 1993. This is a summary of the meetings held Blenheim – Sunday 4 December 2011 Attendance: Rau Kirikiri - Facilitator, Carol Smith – Registrar MLC, John Patterson – Advisory Officer MLC, Tom White – Policy Manager TPK, Erin Keenan – Policy Analyst TPK, Dr Terry Ryan - TRONT. Owners and/or descendants of owners present:

Eric Roberts Patricia Craver Allan MacDonald

Diane Sinclair Shirley Cootes Moana Thompsett

John Wares Lawrence MacDonald Karen Starkey

Arthur Pacey Gemma McKinney Haromi Taylor

Helen Jones Wayne Jones Keepa Timms

Jason Pacey Rebecca Luke Donald Freeth

M Rex Rodley Sharyn Smith Les Charters

Christine N Leigh H Lena Charters

Lewi Boyks Coral Hedley Barry Hedley Introductions were made and a mihi by Rau. A Power point presentation was given by Tom and the following questions were asked during the presentation. New questions have been added to the Frequently Asked Questions (FAQ’s) document. Main points in the presentation were: Purpose and agenda for the meeting;

Background history on SILNA and this block; Where the block is; What is currently on this block; What the process under the Deed of Settlement is; Brief descriptions on the options to be decided; and The next steps. Q. Did the original block have forestry on it? A. Originally part of it was but when they did the settlement it was a sheep farm Q. When will the trees be ready for harvest? A. In about 4 years. Q Are there any owners who you don’t know the descendants for? A Yes – work was done by Terry at the Whakapapa Unit of TRONT and cross

referenced with the MLC records but for some of the original owners neither organisation know who the descendants are. If you know you should notify the MLC

Q What is the difference between Māori Land and General Land A. Māori Land is administered by the MLC who keep records of the owners, what is

happening on the block etc. General land the records of the owners are held by Land Information NZ

Q How much is the original block worth? A Unknown. When the settlement was completed the substitute block was of a

similar value and as close in location to the original block Q Who is paying the rates? A The Crown – until this process is completed Q How would we get the trees off? A You would have to talk to the neighbouring blocks about access. Q What are the trees worth? A Unsure but some are subject to ETS Q Can we mill them? A When you decide how you want to manage the block you can discuss that. Q Has the substitute block been settled A Yes – this was part of the Ngāi Tahu settlement. General discussion amongst those present.

Why was the block accepted if it was landlocked? How do we access it if it is landlocked? We should have received the original block back. What did we get a token gesture? Why do we need to accept it? We never agreed to the substitute block! As Māori Land we can’t sell it I would prefer it to be General Land. Then we can

sell it The Council was using the block what about leasing or selling to them? We have no ties to this block! We won’t be going down there to live, what can we do with the block?

There was discussion about the process for the formal meeting of owners where you will have to vote on the decisions and this can only be done by those persons who are shown on the list of owners. If you are a descendant of an owner you will need to talk to the MLC about succession to become an owner and to be able to vote. The processing of voting is yet to be confirmed. There was also discussion about why some people did not get notice. The process was that TRONT were engaged by TPK to send out the Pānui and we were unable to confirm who was sent notice. Those present were asked to make sure they completed the attendance list and if they have addresses for other members of their whânau to give them to John or send an email to the MLC at mlctewaipounamu@justice.govt.nz It was agreed by those present that there should be one hui with everyone and that it be held in Wānaka. Maybe someone from the Council could attend. Before the meeting ended Dr Terry Ryan talked about how he has been involved in SILNA land since the 1960’s – Succession is to those in the 1908 gazette. Parekura Horomia pushed to complete this so it would not take another 100 years. Years ago he went to the Neck with Rik Ellison his Taua Tini went there to get kai, recently he went back to the original block, unaware it was a pastoral lease, didn’t know there was an exchange. Meeting closed with a Karakia from Invercargill (Murihiku Marae) – Saturday 10 December 2011 Attendance: Carol Smith – Registrar MLC, Tom White – Policy Manager TPK, Hana

Morgan - TPK and Dr Terry Ryan - TRONT. Owners and/or descendants of owners present:

Whitu P Ransfield Treasure Maxwell Whitu G Ransfield

Avril Thompson Lorraine Skerrett M Nepia

P McManus Rena Daintith Introductions were made. A Power point presentation was given by Tom and the following questions were asked during the presentation. New questions have been added to the Frequently Asked Questions (FAQ’s) document. Main points in the presentation were: Purpose and agenda for the meeting; Background history on SILNA and this block; Where the block is; What is currently on this block; What the process under the Deed of Settlement is; Brief descriptions on the options to be decided; and The next steps. Q Is this the same acreage as the Neck? A No. Settlement was for the same area of a similar or same value Q Why did we not get the Neck? A It was in a Pastoral lease for 100 years and not available Q What type of trees are on the block? A Douglas Fir and Pine Q What about carbon credits? A They will come back to the owners. Pre – no allocation and if you cut down the

trees you have to replant. Post – not in ETS but you can opt in. Q Why is Māori Customary land not an option? It should be. A Not an option in the Deed of Settlement General discussion amongst those present.

Cultural purposes – cut down the trees for building a lodge for the owners Major shareholders will decide the options How hard would it be to put in a road, shouldn’t be that hard. A beautiful block looking out at Lake Hāwea and Lake Wānaka Still get Tuna there.

There was discussion about the process for the formal meeting of owners where you will have to vote on the decisions and this can only be done by those persons who are shown on the list of owners. If you are a descendant of an owner you will need to talk to the MLC about succession to become an owner and to be able to vote. The processing of voting is yet to be confirmed. Those present agreed that there should be another hui before the voting process takes place. Suggestion to have that hui on the block in Wānaka. Before the meeting ended Dr Terry Ryan talked about the SILNA allocation of 50 acres for an Adult and a child under 14 got 20 acres. Also talked about going on to the Neck and not realising that there had been an exchange. Meeting closed with a Karakia by Christchurch – Sunday 11 December 2011 Attendance: Carol Smith – Registrar MLC, Michael Quinn – Deputy Registrar MLC, Tim

Hill – Record Preservation Officer MLC, Tom White – Policy Manager TPK, Rakihia Tau - TPK and Dr Terry Ryan - TRONT. Owners and/or descendants of owners present:

Phil Tikao Pere Tainui Justin Fowler

Natalya Pitama Patuki Pitama Joan Moeroa Hilhorst

Joseph P Tepa Raymond G Jacobs Joanne Roskilley

James Mason Russell Jane Blincoe Clifford Jacobs

Michael Solomon Darren Solomon Wiremu Timms

Ian & Ann Moriki Michelle Bill Ann Edwards POA for Tony Edwards

Wendy Browne George Tikao Greg Roberts

Jennifer Rendall Suzanne Ellison Clarke Hiroti

Pipiwharauroa Waaka Nola Tipa Karen Tumaru

Peter Bryce Elaine Cooksley Meri Jacobs

Damion Hart for Lucy Ruru Burke

Jean- Paul Hiroti Rikihana Tipa

Mandy Home Chloe Hiroti Dalvin Hiroti

Wai-iti Ruru Helen Rasmussen Kora Edwards Mihi and Karakia by Rakihia Tau

Introductions were made. A Power point presentation was given by Tom and the following questions were asked during the presentation. New questions have been added to the Frequently Asked Questions (FAQ’s) document. Main points in the presentation were: Purpose and agenda for the meeting; Background history on SILNA and this block; Where the block is; What is currently on this block; What the process under the Deed of Settlement is; Brief descriptions on the options to be decided; and The next steps. Q Is it of similar size to the original block? A No, it is of similar value Q Is the forest exotic or native? A Exotic Q When will the trees be ready for harvest? A About 4 years Q Can we have the block back then? A These meetings are to make decisions now, not really an option. Q Who is maintaining the tracks? A A forestry manager Q Are the bikers using the track paying a fee? A Unsure, not that we are aware of Q What is the value of the block? A Last valuation was $6,000,000 (6 million) General discussion amongst those present.

Why was the block accepted if it was landlocked? We should be talking to the Council about remittance of rates We should be negotiating access to the block Why wasn’t more media used to advertise the meeting?

Possibly subdividing part of the block as the town gets closer Building on the block

There was discussion about the process for the formal meeting of owners where you will have to vote on the decisions and this can only be done by those persons who are shown on the list of owners. If you are a descendant of an owner you will need to talk to the MLC about succession to become an owner and to be able to vote. The processing of voting is yet to be confirmed. Those present also discussed setting up a committee (working party) for proposals of what to do with the block. It was agreed that the MLC would facilitate a meeting of this group anyone interested should give their names to Mike and he will contact those people who were at the Blenheim and Invercargill meetings. Those present agreed that there should be another hui before the voting process takes place. Also that hui should be in Wānaka. Before the meeting closed Dr Terry Ryan talked about his visit to the block at ‘the Neck’ Meeting closed with a Karakia by Rik Tau.