Commissioners listen to views on merger

Local Government commissioners have listened to a range of views, from various people, on what a combined Otorohanga Waitomo council should look like.

The commissioners visited Otorohanga for a hearing held in the council chambers last Friday.

The hearing was designed to deliberate on the merits of the Local Government Commission's draft reorganisation scheme, which would see the two councils merge next year if voters endorse the proposal.

Most submitters also indicated whether or not they were in favour of amalgamation generally.

Of 31 submissions received by the commission, 10 were for amalgamation, 18 against and three were not clearly for or against.

Of the people or organisations not currently directly connected to either of the councils, about 75 per cent were against amalgamation.

The commission will consider the merits of the submissions and will then issue a final reorganisation plan or discard the idea.

It is expected that the commission will announce a date for a referendum at that time. More than 50 per cent of voters in both districts must vote in favour of the Local Government Commission's final scheme for amalgamation to proceed.

Oto idea challenged

Waitomo District Council says the head office of a combined council should not necessarily be in Otorohanga.

In a proposal advanced by the Local Government Commission, Otorohanga was put forward as the preferred headquarters of a new council, but Waitomo District Council chief executive David Jack says the commission doesn't need to decide where the head office should be.

Mr Jack said the new council's chief executive should decide the location of the council's headquarters.

"The scheme's arbitrary requirement to locate the main offices in Otorohanga is likely to hamstring the new operation from the start, by establishing a built-in resource inefficiency and a potential bias in customer service that may take years to remove," said Mr Jack.

"It is vital that the new council and management have the freedom to decide what is best and proceed accordingly, without direction from the commission. "To hamstring the organisation by predetermining where, and to some extent how, it will operate is a recipe for failure."

Mr Jack added that locating the offices in either town was not relevant to the selection of staff. Otorohanga mayor

Eric Tait said the Otorohanga council supported the Local Government Commission's finding that the head office should be in Otorohanga.

However, he said an incoming council could easily change the location of the head office to the detriment of Otorohanga.

At a Waitomo District Council meeting on Tuesday, Mr Jack reiterated his opposition to stating the headquarters should be at Otorohanga.

"Why would you put the main office of a combined council at the northern end of the district?" he asked.

He also suggested this might be less efficient.

ODC wants even representation

Otorohanga District Council is proposing that, if it has to merge with Waitomo District Council, four councillors should be elected from each of the former districts.

In the Otorohanga council's written submission, mayor Eric Tait said the Local Government Commissions draft reorganisation scheme had a range of faults.

Of most concern to Mr Tait was that only three or four councillors would come from the Otorohanga district, compared with four or five from the Waitomo district - despite the districts having similar population figures.

"The draft scheme will result in a configuration of elected representatives which over represents Waitomo distict residents and ratepayers, and under-represents Otorohanga district residents and ratepayers," he said.

Mr Tait also said Otorohanga residents, especially those at the northern boundary of the district, identified themselves as belonging to the Waikato, rather than the King Country.

He said the bulk of Otorohanga looked northward.

Referring to the Beattie Rickman financial report, Mr Tait said, in the council's view, there were a number of examples where "subjective judgement is skewed in favour of amalgamation".

Mr Tait referred to a staff level ratio, which he said was used to justify a proposed reduction in staff numbers.

"Staff numbers will vary considerably between authorities based on the approach taken to a variety of issues. Otorohanga District Council could downsize staff by, for example, contracting out our engineering business unit to consultants and disestablishing our government funded training programme (which generates a small surplus for ratepayers).

"This would result in a staff complement of about the same size as Waitomo district's. Clearly, however, it would have no impact on our 'operational efficiency', because consultant costs would substitute for staff salaries and the services we provide would be reduced."

Mr Tait also said, while the two councils' public debt levels are similar, projections have Otorohanga's debt levels decreasing in the near future as its infrastructural replacement programme winds down.

Amalgamation makes sense says Waitomo CEO Jack

Waitomo District Council chief executive David Jack delivered a strongly worded address in favour of amalgamating Waitomo and Otorohanga district councils and questioned the motives of those opposed to the idea.

"It just makes good sense to unite two local authorities that are almost identical in operation - and take full advantage of only having one administration cost and greater buying power," he said.

"lf we don't set both communities on a pathway to a lower cost structure in the future, public debt levels and already high rates will continue to escalate to a point that neither community will be able to afford. The outcome of that will be loss of business and skill as people seek greener pastures."

Mr Jack said Beattie Rickman, in their financial study, took a conservative line in estimating savings of about $113 per rateable property.

"We find it staggering that opponents of the scheme continue to promote a view that substantial and sustainable gain for all ratepayers is unlikely - improbable even. it seems that such opposition has its origins in other agendas or just plain selfishness." Mr Jack said an aggressive approach to efficiencies and effectiveness in council operations could produce total savings of more than $3 million per year:  "The key to the new King Country council being able to deliver the savings to ratepayers will be to take a fresh and innovative approach to the daily business of local government."

Mr Jack said many savings achievable by a single new organisation are only achievable because it is new, without the baggage of the past.

Mr Jack said it was evident there is a general lack of knowledge in the community about the advantages and disadvantages of amalgamation.

"What does appear to exist is considerable ignorance of the real issues and considerable misinformation. to cloud the facts involved."

Two TK councillors, one Oto councillor – not fair

Otorohanga menswear shop owner John Haddad says the local Government Commission's proposal to have: two councillors elected from the Te Kuiti urban area and only one from Otorohanga urban is unjust and unbalanced.

"We can't allow our township to be overruled," said Mr Haddad.

Commissioner Linda Constable pointed out to Mr Haddad that the commission had to work within population variances per ward of not more than 10 per cent, and Te Kuiti's population was larger than Otorohanga's.

"That's another reason why it can't go ahead," Mr Haddad quickly replied. "The proposal may be technically correct, considering the differences in the respective urban ward populations. However, in practice, it would be devastating for Otorohanga's future progress," Mr Haddad and his brother Karam wrote in their submission.

The Haddads were also concerned that, under the commission's proposed scheme, four councillors would be elected from the existing Waitomo district, only three from the existing Otorohanga district and ore from a ward containing land in both districts.

This could result in up to five out of eight district councillors coming from the current Waitomo district.

Commissioner Kerry Marshall said councillors would be elected to represent the whole district, as required by legislation.

"In theory you're quite right. In practice, it doesn't work that way - you rule from the heart," said John Haddad.

"In practice, the area you live in comes first."

Mr Haddad recommended that the commission consider a boundary adjustment that would deliver even representation between the existing ODC and WDC areas, as the population of the two districts is similar.

What is in a name

The name 'King Country District Council' got the thumbs down from several submitters, including Otorohanga District Council and Waitomo mayor Allan Andrews.

In a personal submission, Mr Andrews said King Country was synonymous with a wider region, incorporating Taumarunui and Taupo.

Mr Andrews and Waitomo councillor Ian Wards were in favour of Maniapoto District Council.

However, in presenting an Otorohanga district submission, mayor Eric Tait advised the Local Government Commission that the Maniapoto marae and Maniapoto memorial are located at Kihikihi, in the Waipa district.

"The Waitomo District Council has moved to join Otorohanga district - so perhaps they should adopt our name," said Mr Tait.

A few submitters suggested Otorohanga Waitomo District Council might be acceptable.

The tourism irony

Waitomo district marketing strategist Megan Rose and Otorohanga /Waitomo resident Brian Pitts-Brown argued a united administration would benefit the tourism industry and the broad region.

Mr Pitts-Brown advocated "one voice, one policy and a single-minded approach to marketing and promotion".

However, Otorohanga menswear shop owner John Haddad thought t was ironic that some Waitomo people talked about regional tourism promotion.

Mr Haddad pointed out that Waitomo District Council pulled the plug on funding Tourism Waikato,

Otorohanga District Council contributes $10,000 each year to Tourism Waikato.

Oto folks poisoned

Te Kuiti resident Mark Ammon suggested in his submission that Otorohanga's leaders had negatively influenced their ratepayers against the amalgamation concept.

"It is a pity that the minds of Otorohanga residents have been “poisoned” to such an extent by their leaders," he said.

Former Otorohanga District Council employee Trevor Skilton said he didn't think this was the case.

Inframax for sale?

Otorohanga mayor Eric Tait told commissioners that the word on the street was that WDC-owned firm Inframax (or at least part of the company) was for sale.

Mr Tait wondered out loud if Inframax was performing well.

Asked to respond to the sale rumour; Waitomo District Council chief executive David Jack said the council was looking at its balance sheet.

He was in the process of conducting an investigation, which may result: in the part-sale of shares, but a proposal was some way off being put before the Waitomo council.

Commission chairman Grant Kirby commented that in their dive from New Plymouth to Otorohanga, the commissioners were regularly held up by Inframax while the firm carried out roadworks.

Sit down and listen

Waitomo mayor Allan Andrews advised commissioners he had to leave the hearing early to attend y regional Civil Defence meeting that the Otorohanga mayor could not attend.

Waitomo District Council CEO David  Jack and marketing strategist Megan Rose were also among those submitters who left the hearing shortly after presenting their submissions.

Mr Jack said he was ill.

Mayor Tait, who sacrificed the Civil Defence meeting so he could sit and listen: to submissions, and deliver the Otorohanga council's closing address, said several people were disappointed some submitters presented their thoughts "then drifted out the door".

Waitomo District Council representatives chose not to make a closing address.

Community has say in Oto development

Residents of Otorohanga are encouraged to have their say in the future of the community.

A community plan has been drafted by a community plan team, headed by Kit Jeffries, and residents are invited to give their feedback.

It covers a range of social, economic, environmental and cultural aspects, which the Otorohanga District Council will use when considering developments in the district in the future.

Mr Jeffries said it is important people take the time to read the draft. "The opportunity is there for people in the Otorohanga district to have a much greater say in the development of our community," Mr Jeffries said.

"They are letting themselves down if they don't bother."

He said the draft was prepared after a series of meetings and discussions with various community groups.

"We had some very good feedback from those people, which has formed the basis of the draft.

"Now we want to flesh it out with any other suggestions people may have.

"We need to know if people agree or disagree with what is in the draft." Mr Jeffries said the amended draft would be put together once feedback has been received from the community.

The final document would probably be put before council in March or April next year.

The ODC is required by the Local Government Act 2002 to consider and respond to all ideas in the final plan.

"The old Act allowed for councils to interact with the community through the annual plan, but the new Act extends that further," Mr Jeffries said.

The draft plan is available at the Otorohanga library.

Mr Jeffries said people are welcome to take the draft away and discuss it with whanau, friends and colleagues.