The Omaka Aviation Heritage Centre will be able to expand to house three new exhibits with a $1.4 million grant from the Marlborough District Council.

The Omaka Aviation Heritage Centre will be able to expand to house three new exhibits with a $1.4 million grant from the Marlborough District Council.

New Zealand Aviation Museum Trust chairman Brian Greenall said this morning the trust was overwhelmed with news of the council grant, which would let it push ahead with expansion during the next 20 years.

"We can now look forward, instead of coping," he said.

The council decided on Monday to put the grant in its budget for 2011-12.

Council corporate finance manager Martin Fletcher recommended the council pay the centre's $1.4m loan and the centre repay this when it could, but councillors voted 7-5 to make a no-strings grant.

The aviation centre covers its costs from visitor admissions of nearly $400,000 but the $105,000 annual interest on the $1.4m loan taken out in 2006 puts the trust in the red. The council is guarantor for the loan.

Paying the interest has been a problem because the trust's aviation business park at Omaka has not developed well.

However, Mr Greenall denied the council grant was a "bailout".

The decision came down to the council realising the benefit of a partnership and the centre's importance to the district, he said.

"The council wanted to do more than was recommended to them.

"That's what I find heartening and overwhelming. It shows how much the council believes in what we are doing."

The funds previously used for interest payments would go to new exhibits, including a Rugby World Cup exhibit.

A World War II exhibit, one for the "golden ages" of aviation (1920s and 1930s) and rural aviation were planned for the next 20 years.

Mr Greenall said he did not want to speculate what would have happened to the centre if the council had voted against a rescue package.

"It was just going to be harder for us.'

He hoped possible public opposition would not convince the councillors to go back on their plans before a final decision is made in June.

"There will be backlash – there are always knockers for everything in this town," he said.

"It's a universal thing that people will always knock others who are trying to make progress for whatever reason.

By
Neha Jain

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