Local government review on way
A review of local government is working its way through the Cabinet plumbing.
A paper, put up by Local Government Minister Nanaia Mahuta, is going through a Cabinet committee currently and will go to Cabinet shortly.
Stuff understands the review is slated for an announcement in coming weeks. The scope of what will be reviewed and how broad it might be, will be thrashed out in the Cabinet committee.
Stuff understands the paper has already broadened in scope from a work programme to a review, although the final version will only be known after it gets Cabinet sign-off.
Local government has come under pressure recently as the Government has begun to centralise more of its key roles.
Mahuta’s reforms of the three waters – stormwater, wastewater, and freshwater – look set to amalgamate water services. The reforms, which have not been finalised, would likely mean councils handing over water services to a handful of large, publicly owned water companies.
David Parker’s reforms of the Resource Management Act will see key planning functions amalgamated too, taking another key function of local government out of councillors’ hands.
Local Government NZ president Stuart Crosby said he wanted any review to look at three things: first, the purpose of local government funding; then the legislation for local government; and, finally, sustainable funding for councils.
He said he saw reforms as a ‘‘parallel discussion’’ happening alongside the three waters and resource management reforms.
There was opportunity for local government to take a greater role in health, education, and community safety, Crosby said. Stronger roles in social housing and employment could also be looked at. ‘‘We are looking forward to the review and the conversation. We have not had a review for local government since 1988 and 1989 when the last structural reform happened.’’
Gwynn Compton, who sits on the Ka¯ piti Coast District Council, has been calling for a full royal commission into local government. He said the Government needed to be ‘‘blue sky’’ with the review and consider all aspects of local government. ‘‘The hard thing is looking at local government throughout the world and they are all so different that it makes comparison difficult,’’ Compton said. He also pushed for the review to consider local government funding, which had recently come under strain.
‘‘My understanding is that rates will still be the primary form of funding. They are vaguely open-minded about whether they look at some sort of GST return scheme.’’
Compton said the possibility of amalgamating councils should also be considered by the review, particularly councils in Wellington.
‘‘They have got to look at what are the exact things they want local government to do in a post reform world. Are we just going to do parks, libraries and local roads?’’