A very quiet central Napier at the end of February after Cyclone Gabrielle hit (file photo). Photo: RNZ / Robin Martin
Hawke's Bay business owners are upset with the region's Chamber of Commerce after hearing there was money left over in the now-closed business support grant scheme.
But the chamber says its decisions were fair, and the government has commended its staff for their work.
Thanks to money provided by the government, businesses could apply for up to $40,000 to help cover the cost of staying open following damage after Cyclone Gabrielle in mid-February.
There were 1491 grants accepted and paid out, but only about 130 businesses received the full amount.
Some $21.5 million of the $30.4m provided to the Hawke's Bay Chamber of Commerce by the government was distributed, leaving about $8.8m in the fund.
Applications for the scheme closed on 3 April, and as per the agreement with the government when it handed over the money, any funds left over are to be returned to the Ministry of Business, Innovation and Employment (MBIE).
Business owners spoken to by RNZ said it was unbelievable money was being sent back rather than going to businesses which were still struggling to make ends meet.
The Herald reported that National Party cyclone recovery spokesman Chris Penk said it was "outrageous" and that any applications declined on the basis of the chamber being careful not to overspend should be revisited.
But Portia McKenzie, director of regional development (north) at Kānoa, MBIE's regional economic development unit, said the amount of money given to the chamber, like the rest of its delivery partners, was a cap, not a target.
"The chamber had an 'up to' amount to draw down from taking into consideration eligible applications received before the fund closed," she said in a statement.
Of 1766 applications for a grant in Hawke's Bay, the chamber granted 1491. "Only those applications that were eligible to receive funding were approved," McKenzie said.
Applications were declined because they did not meet the criteria and were ineligible, not because they were not considered. "There are no remaining applications to consider."
When asked if MBIE was happy with how the chamber had handled things, McKenzie replied that she was.
"Their local knowledge helped to ensure those impacted in the Hawke's Bay could access cashflow relief to help keep businesses afloat while they worked with their insurance companies."
Chamber chief executive Karla Lee said in a statement there was no way of knowing from the outset how many applications would come in.
As the fund decreased, the government offered more money. It was topped up twice, totalling just under $30.5m by the end.
"In March, there were more applications than there was funding available for distribution, at that point in time the fund was oversubscribed," Lee said.
That final top up provided more funding than was actually needed for the remaining applications, she said.
But now there are calls from the community to reassess their claims, particularly for those who received less than they asked for, considering there was money left in the kitty.
But Lee said the amount approved for each application "followed a fair and equitable process under the conditions Hawke's Bay Chamber of Commerce followed as a local delivery partner for the fund".
Each was assessed by an independent panel to determine whether to grant it, and how much, leaving no room to now consider reassessments.
The chamber could not confirm whether applications were denied in order to make dwindling cash stretch to more people, before each top up from MBIE.
