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The Mountain Biking Otago track sign was one of three "inappropriate" signs the Dunedin City Council asked to be taken down earlier this week after two complaints from the public - alongside The Mrs and The Mistress.
The Tokoroa Mountain Biking Club offered to rehome the sign, a move welcomed by Mountain Biking Otago president Kristy Booth.
"While it was regrettable the sign had to come down and be replaced, our club is over the moon Tokoroa have seen the value in the name, and we will gladly relocate the name and sign to a place where it will be loved and made to feel right at home.
"To me, we’re making good of a bad outcome - that highlights what Mountain Biking Otago is all about."
The sign will "fit right in" with the new and aptly named Tokoroa Cougar Park, she said.
Mountain Biking New Zealand president Chris Arbuckle said the sign, which was put up while he was president of Mountain Biking Otago in 2011, did not have an inappropriate meaning.
"The name ginger cougar came about because the rocks on that track were orange in colour, and cougar refers to a cat, because the trail is hard to chase.
"The track names went through a formal process before council and were signed off. They’ve seen these names before."
Mr Arbuckle said naming signs was often the only "reward" volunteers had for hundreds of hours of work.
"I am puzzled by the process of removing them in this case. I question whether staff within council are following correct engagement."
Dunedin City Council parks and recreation group manager Robert West said the council had a responsibility to act on public concerns.
"Signal Hill is public land designated as a recreation reserve, managed by the council for the benefit of the community.
"We believe the names were inappropriate for tracks on public land and so asked Mountain Biking Otago to rename the track."
He said work on discussing new names for the three affected tracks was "progressing well".
"Council staff have not identified any other inappropriate track names on Signal Hill ... no other name changes are being considered."
Mr West said the council and Mountain Biking Otago had enjoyed a positive relationship while working to develop a "fantastic community asset" on Signal Hill, and said "parties are working together to rectify the issues involved".