Economic development agency Whanganui & Partners presents plan for the year

Whanganui + Partners interim CE Gaelle Deighton expects more hits to business from the Covid-19 lockdown. Photo / Laurel Stowell

Whanganui businesses may have a false sense of security that could be shattered by the ongoing impact of Covid-19, Whanganui & Partners interim chief executive Gaelle Deighton says.

The first wage subsidy available to businesses runs out this week. The take-up of that was "quite staggering", the economic development agency head told Whanganui district councillors at a meeting on Tuesday, June 23.

Despite the subsidy, some businesses have decided not to reopen.

"Some may have been marginal, or the people were ready to retire," Deighton said.

They may have to pay the wage subsidy back.

Business activity lifted when restrictions dropped to level 1 - but that may not last.

Businesses can now apply for a further eight weeks of subsidy, with a slightly higher threshold. When that ends, there could be another "hit", Deighton said.

Whanganui & Partners' statement of intent, listing what it intends to do, was changed this year to allow for more immediate response to businesses.

It was also altered to make the economic development agency's objectives into "real, nailed-down measurables".

Its marketing plans include the establishment of a river tourism hub, and two new products or initiatives that enhance the tourist experience.

Whanganui & Partners visitor industries strategic lead Paul Chaplow is immersed in a regional tourism strategy, board member Susanne Clay said. New initiatives could include a cycle trail on a former rail line, or an eco-cultural centre.

Councillor Helen Craig asked Whanganui & Partners to make more of the district's accolades, such as the Whanganui River getting legal personhood, and Whanganui joining the League of Historical Cities.

Whanganui & Partners is now responsible for the council's arts and culture strategy, with a budget of $250,000 and the employment of Emma Bugden.

Councillor Philippa Baker-Hogan was disappointed there was so little mention of sport, recreation and events in Whanganui & Partners' plan. She said Whanganui had millions invested in sporting facilities that brought major events to the district.

Sport was looking like "a poor cousin" to the arts, she said.

With a budget of nearly $3 million and a chief executive, Mark Ward, who left suddenly in late May, Baker-Hogan wanted assurances.

"Do you feel in a position to give the community confidence that Whanganui & Partners is a well-operating machine that will deliver for the ratepayer?"

But mayor Hamish McDouall said Whanganui & Partners was as strong as he had ever seen it. Whanganui had four months of important events every year, from the Festival of Cultures to the Artists' Open Studios, he said.

Deputy mayor Jenny Duncan said councillors had not asked Whanganui & Partners to focus on events.

"Deficiencies in the document rest on us councillors, not Whanganui & Partners."

McDouall welcomed the agency's move toward more independence from council, as does the Whanganui Chamber of Commerce.

"Whanganui & Partners has a high level of expertise within the organisation, both within the staff and at board level, and the chamber believes the organisation could be more influential given the freedom to work," the chamber said in a statement.

Whanganui & Partners is a council-controlled organisation with a total budget for the 2020-21 year of $2,845,814, its statement of intent says. More than $1.1 million will be spent on administration, and $400,000 on running Whanganui's visitor information centre.

The statement of intent was agreed to by council, with only Baker-Hogan opposing it.