Destination Wairarapa is not broke but a potential funding cut may force the tourism organisation to make some drastic decisions, says its chairman.
At a South Wairarapa District Council meeting last week, Destination Wairarapa chairman Steve Blakemore said while the organisation was "not broke yet", funding uncertainty was having an effect on staff.
"Trust House haven't confirmed funding, and we're finding this rather difficult ... It's started to have an impact on staff morale. We want to get it sorted out," Mr Blakemore said.
Destination Wairarapa was set up five years ago after an agreement was set out between three Wairarapa district councils and Trust House Charitable Trust, which is due to be reviewed early next year.
South Wairarapa District Council has committed up to $116,000 for the next three years, Masterton District Council up to $250,000 for the next three years, and Carterton District Council slightly more than $50,000 for the next year.