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Georgina te Heuheu is to take on the crucial Associate Maori Affairs role which will see her shoulder some responsibility for making the relationship with the Maori Party co-leaders work.
Pita Sharples is Maori Affairs Minister with associate roles in corrections and education.
Tariana Turia is Minister for Community and Voluntary Sector and is Associate Health and Associate Development and Employment Minister.
Prime Minister-elect John Key has named his Cabinet and te Heuheu's new role. Tau Henare missed out on a role but Key says he is likely to chair the Maori affairs select committee.
Key agrees it is unusual for the Maori Affairs Minister to be outside Cabinet while the associate was in it.
"But it reflects the fact that we embarked yesterday on an historic relationship with the Maori Party," he told reporters.
"One of the reasons why I think it will work very well is Georgina has a very strong personal relationship with Pita Sharples and Tariana Turia."
He says te Heuheu is delighted with her role.
Turia on Sunday bristled at the suggestion that one of ACT's newly won private sector-led taskforces would examine ministries held by her or Sharples.
"I can't imagine anybody from the private sector to come into an office and go through the budget line-by-line to be able to tell us what we should or should not be doing," Turia says.
She says her party is very close to its constituents and has given undertakings about how it would operate.
"That doesn't include political parties who may think they know better than us."
On Monday morning Hide said reviewing Maori affairs spending was not a high priority and would not be a good way to start building a relationship.
On Monday afternoon Key said what mattered about spending is how effective it is.
"The argument there is around where they can make a difference."
He says Maori children did not do as well at school and other areas.
"We need to make changes and I can't think of anyone better to drive that change than Pita Sharples."
Key says the Maori Party co-leaders are not opposed to change.
"They want to make some changes in some of those areas. They've got some different delivery mechanisms, they want better outcomes and better results."
Key says Turia objected to the idea of "someone riding roughshod over a minister" compared to "working constructively to make change so we deliver better value for money".
The reality is National will have less new money to spend than Labour had.
"We have to do more with less and that is the practicality of the economic circumstances we face and every minister in my Government has to front up to that."
Key says ministers outside Cabinet will have some flexibility.
"Surely the minister that's responsible in that area can make the best calls."
