Te Runanga a Iwi o Ngapuhi is strongly supporting Maori Affairs Minister Pita Sharples' plans to overhaul the Maori language sector.
The Government now spends about $220 million annually supporting Maori language programmes and services, but last year's census found the proportion of the Maori population using their native language had dropped from 24 per cent in 2006 to 21 per cent now.
Dr Sharples has been updating the Maori Language Strategy drawn up in 2003 and is now refining a draft for a new strategy which will go through the Cabinet process.
The new strategy contains a proposal to establish an iwi entity called Te Matawai to assume ownership and management of Te Taura Whiri i te Reo Maori (the Maori Language Commission) and Te Mangai Paoho (the Maori broadcasting agency).
Ngapuhi runanga chairman Raniera (Sonny) Tau said iwi were more than ready, willing and able to step up to this important challenge.
"Over the past decades Te Taura Whiri and Te Mangai Paoho have kept the home fires burning, but the reality is they have not improved te reo at all and we are seeing a declining level of native speakers," he said. "It is time for iwi to take over."
Mr Tau said media reports that Treasury and State Services Commission officials were trying to stop Dr Sharples' Te Matawai proposal going to Cabinet because "they fear iwi will misspend Crown money" was simply racist nonsense.
"Apparently they have pointed to the Kohanga Reo and Whanau Ora as examples of misspent Crown funding. We have to agree with Dr Sharples - this smacks of stereotyping of Maori at best, and racism at worst," he said.
"In the case of Te Kohanga Maori Trust, iwi leaders have been vocal in calling for transparency and accountability."
Iwi had a proven and growing track record as effective governors, Mr Tau said. He pointed to successful commercial developments by Ngai Tahu, Tainui and Ngati Whatua and said auditors had given the Ngapuhi runanga an unqualified audit report for the 13th consecutive year.