By HERALD POLITICAL STAFF and NZPA
Directors are to lose their places on housing boards today as the Government implements key policy changes.
The Housing Corporation and Community Housing boards will be merged, resulting in a reduction of four directors, while two others will stand down from the board of Housing New Zealand.
Housing Minister Mark Gosche said last night that the changes were part of the Government's intention to create a single board.
"We've got three boards moving towards one board next year because we want to put it all back together again," said Mr Gosche.
"They are changes that are necessary to head us towards a new direction, bringing in some new people and moving towards a single board."
He refused to say which directors were going, although it is understood the chairman of all three boards, Michael Cashin, will remain.
The announcement follows a Treasury report to Finance Minister Michael Cullen in January suggesting that Housing NZ assets could be devalued by as much as $600 million if there was a permanent stop to state house sales.
Mr Gosche ordered a halt to Housing NZ sales last November, although he has not ruled out any further sales.
The report, released under the Official Information Act, says: "The major impacts on HNZ are [that] HNZ's profitability and cash flows will reduce and the valuation of HNZ's assets will reduce."
State-housing shakeup sees directors depart
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