Venture Hawke's Bay

Over past couple of months there have been accusations, and counter claims concerning the performance of an organisation called Venture Hawkes Bay.

This organisation started out as Hawke's Bay Inc and from the outset has attracted continuing low level criticism.

The name may have changed but the dissatisfaction remains. VHB was established to foster economic development in Hawkes Bay and ratepayers and citizens are paying the bill so need to be aware of what is going on. Initial funding was about $1.5 million a year was split equally between the Regional Council, Hastings District, and Napier City Councils.

At some point both Hastings and Napier disengaged, so from 2009 both control and funding have been managed by the Regional Council. Look at your Regional Council rates assessment and you will find a targeted amount for Venture Hawke's Bay.

The cost has increased as with all Regional Council projects and now seems closer to $4 million a year, with some of that financed from Government grants. Staff establishment has exploded to 17 employees.

Most of the criticism involves Venture Hawke's Bay's tourism activities. Of course this is the most visible of their responsibilities and there are many businesses and people are directly involved in the visitor industry.

I have been one of the critics almost since the beginning. In my opinion most of the problems are due to the unsuitability of the people running the organisation.

Ross Bramwell founding Chairman of the Regional Council was the first Chairman. In my opinion he given the job simply as a sort of gratuity. Ross is a pleasant fellow but I certainly don't think he's got the necessary skills for the challenge.

As proof he failed at least twice to find a suitable Chief Executive and hang onto them. It took nearly a year to find the first incumbent who resigned and departed within 10 months following months of rumors about serious dissatisfaction.

The next appointment was Tom Hamilton a former Hawke's Bay man who was working in Singapore. I have met Tom several times over the years and I could never understand why he was selected to lead Hawke's Bay into the future.

He made three tips to New Zealand for interviews, then a briefing then the final shift with his family. The process took months and cost a fortune.

It seemed just weeks had passed when whispers again suggested great dissatisfaction and right on the obligatory 12 months he also departed.

Number three Chief Executive is Janet Takerangi, also a Ross Bramwell appointment made not long before he handed over the chairmanship to Regional Councillor Neil Kirton in 2009.

She has not impressed some people. Mid 2009 she claimed visitor numbers were up but overlooked the figures she was using were seriously distorted by overseas fruit pickers. In that same month Molliner shot several police officers an event that dragged in at least 100 police and army personnel plus a significant number of media people adding perhaps 1000 bed nights to the statistics.

Neil Kirton worked in the Health sector before being swept into Parliament with the New Zealand first avalanche of 1996. As associate Minister of Health and of Customs I personally supported some of his initiatives such as the 100% speedo checks on imported second hand vehicles.

He was in constant strife with Bill English and did not seek re-election in 1999, and would not have been returned anyway.

Two years later he was elected to the Hawke's Bay Regional Council and has been re-elected twice.

I question whether his knowledge or background have equipped him to head up an economic development agency, and I certainly have seen nothing to suggest Neil knows much about tourism. He was for years a critic of Hawke's Bay Inc so one wonders if he was silenced with an offer of the chairmanship and the $50 000 a year he is understood to earn as Chairman.

The other major player in the tourism story is Regional Promotion and Marketing Manager Michael Wan who hails from NZ Post. At this stage it is far from clear whether he has the skills to drive the visitor industry.

The most recent criticisms of VHB concern a recent TV advertising campaign, and redesigned internet web site both part of measures intended to attract more visitors.

Many accommodation practitioners suggest the TV campaign has been ineffective and the web site unsatisfactory, and are able to produce antidotal evidence to support their arguments. They also complain of lack of consultation. Accommodation and visitor industry operators collectively spend millions on advertising and marketing so have knowledge of the issues. They also need to know what is going on so they can co ordinate with any official programmes.

The downturn seems to have hit some moteliers hard. A couple of years ago they were doing well so what exactly has changed?

When they complained Neil attacked them suggesting they were offering an unsatisfactory product. This knee jerk reaction appears very defensive. The ultimate measure of success is surely an improvement in the official statistics.

Hawkes Bay Inc and Venture Hawke's Bay have cost ratepayers more than $10 million since inception and there is not a lot to show for the money.

The criticisms and complaints require answers. To succeed people need to perform and this is more likely if they have a proven track record. It seems so far at least, this is not the case. With elections looming it is time for transparency and accountability so we can decide whether to continue to support Venture Hawke's Bay or not.