August 22, 2024

Councils Get Shakeup

This one is a vote winner from the current New Zealand government. Year after year homeowners rates go up, while the councils that maintain the infrastructure go on a spending spree. Council staff are out of control, and chasing all kinds of pet schemes and dreams.

Well, it looks as if that is coming to an end, and not before time. Changes to legislation will require councils stick to basics, and if they don't, they can face restrictions on how much they can tax their ratepayers. 

This has been an obvious solution for a long time. Council staff make operational decisions - fine - but if they don't behave, defund them. There is nothing like a bit of redundancy and lack of money to rein in excess.

https://www.rnz.co.nz/news/political/525788/local-councils-need-to-rein-in-the-fantasies-on-spending-pm

Prime Minister Christopher Luxon told attendees at the Local Government New Zealand conference in Wellington today that local councils need to "rein in the fantasies" on spending.

"Ratepayers expect local government to do the basics and to do the basics brilliantly," he told the conference.

"Pick up the rubbish. Fix the pipes. Fill in potholes. And more generally, maintain local assets quickly, carefully, and cost effectively."

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