Christchurch City Council is proposing to prop up its ailing events management company with $54 million.
As part of the draft annual plan, the council has approved giving the company Vbase the money to absorb some of its debt.
Vbase, which is council-owned, runs the Christchurch Town Hall, the Convention Centre and AMI Stadium, all of which suffered extensive damage in the February earthquake.
However, even before the quake, Vbase was struggling with a debt of $75 million due to dwindling numbers at rugby games and a change in the tax laws.
A decision on potential job cuts at Vbase was expected to be made on Friday, with staff to be told on Monday.