52Trust deed: content

1. A territorial authority that establishes a consumer trust must ensure that the trust deed provides for the following matters:

2. the purpose of the trust:
3. the number of trustees:
4. the term, or maximum term, of appointment for trustees:
5. matters relating to meetings of the trust, including their frequency, quorum, voting rules and other procedures, and when to hold a public meeting:
6. the circumstances in which a trustee vacates office:
7. how a trustee vacancy is to be filled:
8. matters relating to interim trustees, including limitations on their decision making:
9. trustees’ remuneration:
10. how trustees will disclose their pecuniary interests and how conflicts of interest will be managed:
11. the holding of elections of trustees in accordance with the principles set out in section 57 and the process for holding elections:
12. trustees’ investment powers:
13. trustees’ powers to spend capital and income of the trust:
14. how officers, employees, managers, and agents of the trust are to be appointed:
15. administration of the trust generally, including how accounts are to be kept:
16. the preparation, audit, and publication of financial statements as required by section 58:
17. the funding of the trust’s administration of the trust, including—
    1. the conduct of elections of trustees; and
    2. how to recover the following from the water organisation that is owned or co-owned by the trust:
       1. reasonable costs of the trustees’ performance of their role as shareholders in the organisation:
       2. reasonable costs of the election of trustees under section 56:
       3. reasonable administrative costs:
18. how the trustees and the territorial authority that established the consumer trust will engage with one another in relation to the territorial authority’s resource management planning and land use planning in its district:
19. how the trustees, in performing their role under this Act, will engage with the consumers on whose behalf the trustees own or co-own the water organisation, including Māori communities among those consumers:
20. how the trustees will ensure that the water organisation will, as a water service provider, act consistently with Treaty settlement obligations (see section 7):
21. in what circumstances, and how, the trust deed may be varied:
22. either or both of the following:
    1. in what circumstances, and how, the trust deed may be terminated:
    2. the trust’s expiry date:
23. any further matters required by regulations, including any detailed requirements relating to any of the matters referred to in paragraphs (a) to (u).

24. If regulations under this Act provide for how a trust deed must provide for any matter referred to in subsection (1), the trust deed must comply with those regulations.