Tourism Growth Partnership – Round 5 Diane Drummond – Programme Manager Danielle McKenzie – Senior Policy Advisor Contact: tgp@mbie.govt.nz

Context The Tourism Growth Partnership (TGP) is a Government initiative aimed at driving strategic changes required to overcome constraints to growth of the tourism sector and lift the value international tourism delivers to New Zealand The Government has created two separate streams for TGP funding the Productivity and Innovation stream (TGP-I) and the Regional stream (TGP-R) Applicants can only apply for funding from one stream in any given round for a single project

Productivity and Innovation Stream (TGP-I) $4 million per annum Assessment made on: Achievement of TGP-I objectives Impact on funding Wider business benefits Ability to deliver Alignment with Portfolio Statement Requirement to have at least 50 per cent monetary co-investment from the industry No significant difference from previous rounds

Regional Stream (TGP-R) $4 million per annum Assessment made on: Regional job growth and tourism potential Tourism growth Impact of funding Ability to deliver Significant differences from previous rounds Requirement to have a meaningful level of monetary co-investment from the industry May have Lottery funding recognised

Process The process for TGP funding proposals follows six stages:

Feasibility Stream (TGP-F) The TGP now offers funding to help new or existing tourism businesses assess the costs, potential market achievability and risks of their business proposition for their regions Applications accepted at any time $250,000 + GST available per annum Maximum $25,000 + GST per application Projects can have a future focus to TGP-R or TGP-I funding applications Industry co-investment required at a meaningful level

Timelines Round 5 Opens Early September Round 5 Closes 12 October Panel meets 1 December Decisions December Announcements Early 2017 Round 6 expected to open in April 2017

Regional Mid-Sized Tourism Facilities Fund – Round 1 Ben Pringle – Policy Advisor Contact: MFF@mbie.govt.nz

Context $12 million fund over four years – two funding rounds per year Aimed at delivering visitor-related infrastructure in communities facing funding constraints and high visitor growth The MFF could cover visitor-related facilities like toilets, carparks, waste disposal and minor water management projects Open to proposals from territorial authorities, or other entities that have received support from their local council to apply Announced in Budget 2016 Will help communities manage visitor numbers and maximise their visitor growth potential Not glamorous but vital to delivering high quality visitor experience This could look like a letter signed by a Chief Executive

The Fund’s scope Demand: projects must respond to visitor demand, have local support and deliver regional economic benefits Co-funding: applicants must show they have maximised their contribution Project readiness: projects must be ‘shovel ready’ and deliverable within a six-month timeframe Scope for projects: applicants must show that a one-off grant from the MFF can deliver facilities that respond to visitor growth, while not competing with commercial activities in the region Demand: applicants need to demonstrate that there is visitor demand for the proposed infrastructure, and that there is local support. However, projects that are likely to solely benefit locals will not be eligible. Applicants also need to show what regional economic benefits will come from it. Co-funding: applicants need to be able to demonstrate what priority they are placing on the project by the extent they maximise their contribution. Projects must require co-funding of $100,000 (excl. GST) to be eligible. We will attempt to fund as many worthy projects as possible. There is no upper limit for projects (noting the total fund amount of $3 million and 6-month timeframe) Project readiness: projects must be ‘shovel ready’ and demonstrate that MFF funding is integral to delivering the proposed facility within a six-month timeframe Scope for projects: The MFF only offers one-off, project specific grants – unlike the TGP it will not fund multi-stage projects. The MFF aims to enable the construction of new or enhanced facilities that respond to growing visitor demand. For example, overhauling an existing single toilet with a block of Exeloo toilets. However, the upgrading or replacing of aged facilities is unlikely to receive funding, as it is generally the responsibility of the local council alone

The Fund’s scope (continued) Identified needs and direct tourism benefits: priority given to projects which immediately improve the region’s offering in response to visitor growth Wider tourism and regional growth benefits: projects should enhance the location’s overall tourism potential and deliver positive impacts to the community Project readiness Extent of co-funding

Process The process for MFF funding proposals follows six stages: Round one remains open until Sept 15 Applications will be subjected to an eligibility screen – must meet all elig. criterion to move onto full assessment panel. Some flexibility exists: The applicant decided to proceed with a project after the Fund was announced on May 13 – provided they are in all other ways eligible They must complete their project by 31 December 2016 Six month construction timeline may be extended for applicants facing constraints such as their remote location, scarcity of suppliers etc. However as we will be running two rounds per year they may decide to re-apply in the next round The Assessment Panel, comprising MBIE tourism and procurement, DIA local government and a probity auditor from MBIE legal, will rank all eligible proposals. These are: Identified needs and direct tourism benefits: priority given to projects which immediately improve the region’s tourism offering in response to visitor growth; priority given to applicants facing funding constraints Project readiness and detailed programme: projects must comply with all relevant construction standards; priority given to projects that detail how ongoing maintenance will be provided without the need for further government support Extent of co-funding: priority given to projects already included on a territorial authority’s planning document and to projects where all other funding options have been tested Wider tourism and regional growth benefits: projects should enhance the location’s overall tourism potential, deliver positive impacts to the community and align with regional strategies

Timelines Round 1 Opens 17 August 2016 Round 1 Closes 15 September Panel meets 4 October MBIE Decisions 12 October Announcements 17 October MBIE will move quickly once contingent decisions have been made, aiming to have funding decisions announced by mid-October and projects delivered as soon as practically possible.