by Jenny Ruth
Rather than setting up a new organisation, the PAA will become the single body with its current seven member board structure changing to have five PAA representatives, four NZMBA representatives and up to two other independents.
The plan is for the NZMBA brand to continue to exist under the PAA structure along with existing NZMBA member services such as its continued professional development (CPD) training services and its annual awards. PAA doesn't currently offer CPD services.
NZMBA's two staff members and its existing infrastructure will move across to the PAA.
The two bodies also expect one organisation with a larger membership - PAA currently has about 850 members, a third of whom write mortgages, and NZMBA has about 430 members - will mean greater clout in lobbying government and working with the regulator, the Financial Markets Authority.
"The key for both associations is wanting to maintain consistency of service and, indeed, some enhancements for our members," says PAA chairman Peter Leitch.
"There's no sense of one group coming up trumps here. This is all about raising professional standards for members. It's about making sure there's strength and sustainability going forward," Leitch says.
While the two organisations had looked at creating a new association, the chairman of the joint interim board set up last August, Angus Dale-Jones, had convinced them that going down that track would have been more expensive, he says.
NZMBA chairman Darren Pratley says while the NZMBA will be wound up as part of the process of amalgamation, this is just a technical issue. "You can't have two governance structures running one industry association," he says.
The pathway chosen is "the most cost-effective way of providing a new environment" and an enhanced offer to both memberships, Prattley says.
Leitch says he doesn't want the move to be seen as an NZMBA windup. "Yes, technically the association needs to be wound up," he says.
"But the members are what makes an organisation - it's not the technical structure, it's the people."
For NZMBA members it will mean a big reduction in annual fees - they paid $695 for the year ending March 31 this year, down from $895 previously. The PAA's fees charges mortgage broker members are currently $46 per month, or $552 a year, and Leitch says that won't change.
To effect the changes, at least 75% of NZMBA members will need to vote in favour and the PAA also plans to hold a meeting of its members to vote on allowing NZMBA members to automatically become PAA members, rather than having to go through PAA's normal application process.
| « News Round Up : February 13 | KiwiSaver mismatch a 'huge challenge' for advisers » |
Special Offers
© Copyright 1997-2024 Tarawera Publishing Ltd. All Rights Reserved