256Interpretation

1. In this Part,—

   Commission means a commission appointed under section 258F

   consumer trust has the meaning set out in section 4 of the Local Government (Water Services) Act 2025

   Ministerial appointee means a person appointed—

   1. under subpart 1 of this Part as a Crown Observer or a Crown Manager, or as a member of a Crown Review Team or of a Commission; or
   2. under subpart 1A of this Part as a Crown facilitator—water services or a Crown commissioner—water services

   Ministerial body means—

   1. a Crown Review Team, a Crown Observer, a Crown Manager, or a Commission appointed under subpart 1 of this Part; or
   2. a Crown facilitator—water services or a Crown commissioner—water services appointed under subpart 1A of this Part

   problem, in relation to a local authority or a water organisation,—

   1. means—
      1. a matter or circumstance relating to the management or governance of the local authority that detracts from, or is likely to detract from, its ability to give effect to the purpose of local government within its district or region; or
      2. a significant or persistent failure by the local authority or the water organisation to perform 1 or more of its functions or duties under any enactment; or
      3. the consequences of a state of emergency (within the meaning of section 4 of the Civil Defence Emergency Management Act 2002) affecting, or recently affecting, the local authority's district or region or (as applicable) the water organisation’s service area; and
   2. includes—
      1. a failure by the local authority or the water organisation to demonstrate prudent management of its revenues, expenses, assets, liabilities, investments, or general financial dealings; and
      2. a potential problem within the meaning of paragraph (a)(i) or (ii); and
      3. to avoid doubt, 2 or more problems within the meaning of paragraph (a) or subparagraph (i) or (ii) of this paragraph; and
   3. includes, in relation to a water organisation, a local authority that provides water services, or a shareholder in a water organisation,—
      1. a failure to give effect to proposals or undertakings specified in a water services delivery plan that has been accepted under section 20 of the Local Government (Water Services Preliminary Arrangements) Act 2024; and
      2. a matter or circumstance relating to the establishment of the water organisation or a consumer trust, or the management, governance, or operations of the water organisation, local authority, or consumer trust, that prevents, or is likely to prevent, the water organisation or local authority from providing water services—
         1. that are financially sustainable; and
         2. that comply with all regulatory requirements; and
         3. that meet the objectives for water service providers set out in section 17 of the Local Government (Water Services) Act 2025; and
         4. that are consistent with the intended approach to funding, revenue, and pricing set out in a water services strategy (see section 230 of the Local Government (Water Services) Act 2025); and
         5. in accordance with the financial principles set out in section 18 of the Local Government (Water Services) Act 2025; and
      3. a matter or circumstance relating to the relationship between a shareholder of a water organisation and the board of the water organisation, or between 2 or more shareholders of a water organisation, and that prevents, or is likely to prevent, the water organisation from providing water services—
         1. that are financially sustainable; and
         2. that comply with all regulatory requirements; and
         3. that meet the objectives for water service providers set out in section 17 of the Local Government (Water Services) Act 2025; and
         4. that are consistent with prices, revenues, and service levels proposed in a water services strategy (see section 230 of the Local Government (Water Services) Act 2025); and
         5. in accordance with the financial principles set out in section 18 of the Local Government (Water Services) Act 2025; and
      4. a significant or persistent failure to comply with Part 4 of the Commerce Act 1986 in relation to providing water services; and
      5. the consequences of an event that causes, or is likely to cause, a significant disruption to water services or a risk to public health in the service area of the water organisation or in the district of the local authority; and
   4. includes, in relation to the trustees of a consumer trust, a failure to act in accordance with the trust’s trust deed.

   public notice, in relation to notice given by the Minister,—

   1. means a notice published—
      1. in a newspaper circulating in the district or region of the local authority; and
      2. on the Internet site of the department responsible for the administration of this Act; and
   2. includes any other notice that the Minister thinks desirable in the circumstances

   significant, in relation to a problem of a local authority, means that the problem will have actual or probable adverse consequences for residents and ratepayers within the district or region of the local authority

   water organisation has the meaning set out in section 4 of the Local Government (Water Services) Act 2025

   water service provider has the meaning set out in section 4 of the Local Government (Water Services) Act 2025.