Housing New Zealand (HNZ) came under fire yesterday after National revealed that 94 staff attended a two-day conference at the luxury Tongariro Lodge at a cost, including travel, of $65,000.
Today it was revealed 75 of the same group of managers - from HNZ's maintenance division - spent $36,000 on a one night retreat at the Spa du Vin, between Auckland and Hamilton, in 2003.
HNZ chief executive, who was not at HNZ at the time, told NZPA the venue and cost were unacceptable and were part of a "pattern" relating to conferences, which she was now reviewing.
She was unable to provide information on where conferences had been held in the years between 2003 and 2007.
She said the $36,000, cost - roughly $500 a head - of the 2003 conference was exclusive of travel costs.
Nestled in the Mangatawhiri Valley, the hotel markets itself as a "spa sanctuary", surrounded by "expansive native bush, vines and gardens".
As well as the spa treatment facilities and a "fine dining" restaurant with an award winning selection of wines, it offers clay bird shooting, archery and a range of team-building activities that include paintball, an "Ugly Betty Boot Camp" and a "Final Destination" survivor camp.
Room rates on its website range from $190 to $300 a night depending on the date.
The revelation of the second luxury retreat came after National's housing spokesman Phil Heatley raised the matter in Parliament after a tip-off from a member of the public.
Housing Minister Maryan Street said she was unaware of the second conference.
Mr Heatley asked what HNZ tenants, some of whom were "poor people living in squalor", would think of the use of such venues.
Ms McTurk said the review she had initiated into staff development would ensure the venues used by HNZ were in line with public expectations. She said costs, which had been reasonable, were not the issue, but rather the public's perception of the choice of venue.
Her comments followed Prime Minister Helen Clark and State Services Minister David Parker today criticising the conference venue as "inappropriate".
On Radio New Zealand, Mr Parker said he and Miss Clark were "outraged" by the venue and Ms McTurk could have her pay docked as a result of the decision.
Miss Clark later told reporters the Government had sought an assurance from HNZ chair Pat Sneddon it would not happen again.
She also rebuked Ms Street - a first term MP - for her inability to articulate the Government's position clearly.
"My advice was to not defend it. I think what she was trying to say - and she is a relatively new minister - is that some good would come out of the conference, as I'm sure it did."
Ms Street initially defended the $250 a night all-up charge, saying it "stacked up" economically and as late as last night she refused to categorically rule out a similar location being used again even though it was a "bad look".
In Parliament, Miss Clark compared Ms Street's handling of the affair to National MP Kate Wilkinson's KiwiSaver policy blunder yesterday.
"I know the Minister of Housing does not believe the venue was appropriate but of course like Kate Wilkinson, newer members don't always express it the way they should."
