Mayors left stunned by Government’s council amalgamation U-turn

Mayors say a decision to delay amalgamation was completely unexpected, and leaves plans – some discussed for years – contingent on an election.

Wellington’s mayor is pointing to a lack of support inside government as the reason for the U-turn – but the local government minister has rejected this.

In May, the Government gave councils a three month deadline to submit plans to simplify and reform, known as Head Start proposals, or it would make plans for them.

But that’s changed – with the local government minister deferring decisions until after the election.

Wellington mayor Andrew Little blamed a lack of support around the Cabinet table.

“They clearly didn’t have the numbers to enact reform, so consequently after all the effort that local government has put into it, we don’t have reform.”

Local Government Minister Simon Watts.

RNZ/Baz Macdonald

That was put to Local Government Minister Simon Watts on Checkpoint.

“No, look I do my job, and I’m part of a government that thinks about fixing the basics and building the future, and I want to build a future that’s enduring.”

Watts said the decision was made after Cabinet on Monday.

Porirua mayor Anita Baker said the decision came completely out of the blue, and there was no hint of change at a zoom meeting she attended with Local Government New Zealand and the minister on Monday.

“At no point did we get an indication they would be cowards and not step up to this, and push it to the … election, well how do we know they are even going to be there?”

Watts said this local government reform was the most significant in decades, and it couldn’t be rushed.

“I don’t think it’s sensible … that the New Zealand public would expect the government to rush a decision, we’ve got to get this right.”

Watts said all 18 Head Start proposals had gaps – including about financial details, representation issues, and none had unanimous support across regions.

Baker said she’d been discussing amalgamation in Wellington for 16 years and was deeply frustrated it had been put off again.

Porirua mayor Anita Baker.

RNZ/Dom Thomas

Marlborough District Council’s deputy mayor David Croad said he was relieved the council had more time to consider amalgamating with Kaikōura District Council.

Councils already had a high workload dealing with challenges like extreme weather, he said.

“[Local government reform] should be well thought out, it should be well structured, and for me frankly the government needs to respect local government and the role that they play and the challenges we have all round in that decision making.”

In Waitaki – where residents are facing a 16.9 percent rates rise – mayor Mel Tavendale said she desperately wanted to cut the costs of duplication from straddling both the Canterbury and Otago regional councils.

“There’s still so much in the way coming down the barrel at councils, and for us being across two regions we’re just getting some of it doubly.

“It’s just not sustainable – it has me really concerned.”

Watts said officials would continue to work through Head Start proposals through the election campaign and none of the time or money spent was wasted.

But Labour leader Chris Hipkins said it was a “false start”, adding he would support amalgamation proposals that had support from the community, but that forcing through proposals had caused “chaos”.