Tensions rising over America's Cup village

10:36 am on 26 February 2018

Auckland's mayor Phil Goff and cabinet minister David Parker have criticised public officials working on plans for an America's Cup Village.

An artist impression of the government's alternative plan for an America's Cup Village, with more bases on Wynyard Point.

An artist impression of the government's alternative plan for an America's Cup Village, with more bases on Wynyard Point. Photo: Supplied / MBIE

Mr Parker has referred to "unwarranted claims" and Mr Goff to the timeliness and consistency of information, in correspondence between the pair obtained by RNZ.

The exchanges between the two lead negotiators dealing with the cup defender Team New Zealand, convey frustration from late December.

"Information does not always appear to have been presented to both of us in a timely or consistent manner," wrote Mr Goff to the Mr Parker on 22 January.

"I share your view fully that our decision-making must be informed by coherent and comprehensive advice from our officials and other stakeholders."

RNZ asked whether Mr Goff was referring to the council's property development agency Panuku, or to the Ministry of Business, Innovation and Employment.

Mr Goff's office replied it "refers broadly to advice received from officials by both Mayor and Minister."

"I have been a little frustrated by some of the unwarranted claims that have been made around the cost of the (Wynyard) Point option," Mr Parker wrote to the Mr Goff a month earlier.

Read the correspondence released by the Mayor's office.

Read the correspondence released by the Minister's office.

He was referring to the view expressed by officials that the potential cost of breaking the lease of bulk fuel storage operator Stolthaven, on the Point, ruled out trying to secure that land.

Mr Parker pursued that possibility parallel to the council starting the planning process on the plan it had backed.

In mid-February Mr Goff and Mr Parker announced a deal with Stolthaven was agreed, making Wynyard Point a more viable option for team bases.

They jointly unveiled a "hybrid" alternative to the one in the planning process, which cut the Halsey Street wharf extension to 40 metres, and proposed five bases on the point.

Team New Zealand bristled, calling the design unworkable and that they'd been surprised by its release while negotiations continue.

Mr Goff's letter of 22 January reads like the continuation of a conversation begun in a letter from Mr Parker two days earlier.

Half of Mr Parker's 20 January letter has been blacked out prior to its release to RNZ, so it's not clear whether he too expressed concerns about officials.

RNZ has appealed those deletions, to the Ombudsman.

While the politicians announced a deal was agreed with Stolthaven to move, Mr Goff had three weeks earlier pointed to unresolved matters, he'd seen in an email from the firm to ministry officials.

"There are clearly still some uncertainties and issues that need to be worked through with them and our officials, before their final position can be determined," Mr Goff wrote.

Three options remain under consideration, and the absence of a decision means the closing of public submissions on the Council/Team New Zealand option is likely to be extended beyond Wednesday.

That option is costed at $201 million, the "hybrid" at $185 million, and Team New Zealand has proposed a variation which it says could be $50 million cheaper.

The extension to the opening round of the planning process may increase pressured on the timeline to consent and build bases by the late 2019 date favoured by Auckland officials and the team.

The timeline prepared by Auckland Council agency Panuku could be squeezed if the February 27 planning date is extended.

The timeline prepared by Auckland Council agency Panuku could be squeezed if the 27 February planning date is extended. Photo: Supplied by Auckland Council agency Panuku

Time pressure is on to complete not only these negotiations, but also to complete discussions on cost-sharing for the event, in a Host Agreement between the three parties.

Get the RNZ app

for ad-free news and current affairs