The Government has rejected a key part of the Maori Party's flagship Whanau Ora policy, saying the $1 billion plan to help families with multiple problems will not be run by an independent trust.
The Government has settled on a governance group to run the scheme, which targets dysfunctional families by funding community providers.
At the launch, acting Prime Minister Bill English reiterated that the policy is aimed at all New Zealanders - not just Maori.
Maori Party co-leader Tariana Turia was named as Whanau Ora Minister on Thursday,
but the heads of social welfare, the Ministry of Health and the Ministry of Maori Development (Te Puni Kokiri) will be part of a governance group to run the scheme.
The taskforce charged with helping to develop the policy recommended that an independent trust, answerable to the minister, be established to run Whanau Ora.
But that has been rejected in favour of the governance group, comprising three members of the taskforce and three public service chief executives.
Mrs Turia says a compromise had to be struck so the governance arrangements were acceptable to all parties involved.
She told Checkpoint government agencies have been given a strong message that they will be expected to co-operate with the new scheme.
"There is an expectation that we will see an integration of existing contracts that are out there with the NGO (non-government organisation) sector and that will take place as quickly as possible."
Whanau Ora taskforce chairman Mason Durie says in order for the scheme to be successful, it has to go further than just helping families in times of crisis and more follow-through is needed.
More details in May Budget
The Government says the funding will come from existing budgets in health, social development and Maori affairs, with final details to be released in the Budget on 20 May.
A report issued on Thursday by a taskforce which investigated the Whanau Ora concept says it is about wellness, health and resilience and empowering whanau (family) to help themselves.
It emphasises the importance of cultural and familial ties and advocates a separate trust being set up to administer funding that would be applied to Whanau Ora.
The Government will respond to the report in the next couple of months.
Whanau Ora governance group
Rob Cooper (chair), chief executive of the Ngati Hine Health Trust, a Maori-owned provider of social services in Northland.
Professor Sir Mason Durie (chair of the Whanau Ora Taskforce), is deputy vice-chancellor at Massey University and professor of Maori research and development.
Nancy Tuaine of Te Atihaunui a Paparangi (Whanganui), manager of the Whanganui River Trust Board and a member of the Whanganui District Health Board.
Te Puni Kokiri chief executive Leith Comer.
Ministry of Social Development chief executive Peter Hughes.
Ministry of Health director-general Stephen McKernan.