Some Wanaka businesses protested about the course through the central business district at last month's community board meeting. They claimed the race stopped people from coming into their premises and affected turnover, so the board asked Triathlon NZ to revise the route.
However, the alternative course presented at yesterday's board meeting was rejected by the majority of the board members present because they felt it would be detrimental to other retailers and hospitality businesses.
Triathlon NZ's Contact Cup race is part of the Challenge Wanaka annual triathlon festival in January, which attracts elite and age group athletes.
Officials from Triathlon NZ visited Wanaka recently to meet affected parties. They made it clear at that time the compromise course was not their first choice.
When approached after the meeting, Challenge Wanaka event director Victoria Murray-Orr said she was "stoked" with the decision.
"We could have made the other course work. But I think it would have been more detrimental than good to other businesses," she said.
Triathlon NZ chief executive Dave Beeche said in a letter to the board Triathlon NZ was trying to build the Wanaka race to the level of prominence enjoyed by Takapuna city in Auckland.
Wanaka was chosen as a series venue for various reasons, including its location and crowd atmosphere.
The Contact Cup series had a television audience of one million viewers last year, as well as attracting national news stories.
Of the 243 athletes who entered the series in Wanaka, 91.6% were from out of town and 67% of the athletes stayed in Wanaka for two or more nights, he said.
To build up the Wanaka event to the heights enjoyed by Takapuna, the course had to meet athletes' expectations and be spectator-friendly.
Triathlon NZ officials would improve its traffic management, course marshalling and give more information to the public about the course, Mr Beeche said.
Board members Carrick Jones and Ken Copland were keen to use the alternative course produced by Triathlon New Zealand, which put the finish line at the far end of Pembroke Park and removed part of the course from Dunmore and Helwick Sts.
However, board chairman Lyal Cocks and members Leigh Overton and John S. Wilson decided to give Triathlon New Zealand another chance with a finish line in the central business area.
Mr Cocks said efforts to further consult some of the affected businesses had not worked.
Mr Wilson emphasised most Wanaka Chamber of Commerce members supported the Contact Cup because of its benefits.
It was important for the public to understand Triathlon New Zealand's "big picture" for the event, he said.
