When you look at the law, you see that some words have special meanings. The law says what a council-controlled organisation is in section YA 1, and it is adding the New Zealand Local Government Funding Agency Limited to this definition. This means the New Zealand Local Government Funding Agency Limited is now included when the law talks about a council-controlled organisation.

You also need to know what a local authority is, and the law explains this in section YA 1. The law is adding to this definition to include the New Zealand Local Government Funding Agency Limited, but only when it is a council-controlled organisation as described in the Local Government Act 2002. This addition helps clarify what is meant by a local authority in the law.