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Report: Recommendations Part 2

(Recommendations Part 1) < Previous l Next >

Chapter 16: Local Councils

16A The membership of local councils (including chairs) should be as follows:

16B Local councils should be elected by wards, with generally two members per ward.

16C The chair of each local council should be appointed by councillors. Upon appointment, the chair will cease to have any formal role as a representative of the ward from which he or she was elected; the next highest polling candidate in the same ward will be deemed to be elected as one of the ward’s representatives in place of the chair.

16D The role and functions of local councils should be as described in Chapter 16 and set out in the draft Auckland Act prepared by the Commission. Additional functions, beyond those specified in legislation, may be delegated by the elected Auckland Council.

16E Local councils should be subject to a statutory requirement to engage with their local communities, and should be innovative in the way that they consult.

16F Each local council should be responsible for producing a draft community action plan as part of the Auckland Council’s long-term council community plan.

16G Waiheke and Great Barrier Island Community Boards should have greater delegated powers than at present, including the management of community halls and reserves, and powers to decide on some local services covered by a budget allocation.


16H The Establishment Board should prepare draft delegations of authority for the Waiheke and Great Barrier Island Community Boards for the consideration of the Auckland Council.

Chapter 17: City Centre and Waterfront

17A The boundary of the city centre and waterfront area should be defined as shown in Figure 6 (opens 350k jpeg in new window), and as described in Chapter 18.

17B This area should have the following governance arrangements to ensure that it is managed to achieve maximum benefit to the region:

a) a City Centre and Waterfront Committee of the Auckland Council to execute the functions set out in Chapter 17, chaired by the Mayor of Auckland, with non-voting members co-opted from the business, education, cultural, and not-for-profit sectors.

b) a City Centre and Waterfront Community Board to execute functions and responsibilities delegated to it by the Auckland Council. It will comprise six members elected at large who will appoint one of their number as chair. The chair should be a voting member of the City Centre and Waterfront Committee.

17C There should be a City Centre and Waterfront Development Agency to undertake planning and any further development of the waterfront area. This agency is to be established by the Auckland Council and/or central government.


17D The Establishment Board should prepare draft delegations for the City Centre and Waterfront Community Board for the consideration of the Auckland Council.

Chapter 18: Boundaries

18A The boundary of the Auckland Council as a regional council should be as shown in Figure 2 (opens 220k jpeg in new window) and described in Chapter 18. It will remain the same to the north, and be amended to the south with corresponding changes to the boundary of the Waikato region.

18B Notwithstanding changes to the Auckland region boundaries described above, Waikato Regional Council (Environment Waikato) should retain its powers over all parts of the Waikato River and its tributaries and catchment in the Auckland region, including management of water quality, water extraction, damming and diversion, discharge of water or contaminants to water, flooding, drainage, erosion, and sedimentation, and other issues arising under the Resource Management Act 1991 or any other Act.

18C Six wards of the Auckland Council should be created as described in Chapters 15 and 18, comprising four urban wards within the metropolitan urban limit, with their common boundaries fixed in accordance with the ordinary statutory criteria for territorial authority wards, and two rural wards being the remainder of the district outside the metropolitan urban limit, generally north and south of the urban area. The Hauraki Gulf islands will be in the northern rural ward.

18D The Auckland Council ward boundaries for the first election of the Auckland Council should be generally as indicated in Chapter 18.

18E The boundary of the Auckland Council as a territorial authority should be the same as the new regional boundary on land, and the same as the current coastal boundaries of territorial authorities around the coast.

18F All land currently in Franklin District but outside the proposed Auckland Council boundary should be merged into Waikato District, being the land at Onewhero and Kaiaua as shown in Figure 3 (opens 220k jpeg in new window), and described in Chapter 18; the boundaries and wards of Waikato District should be amended accordingly.

18G The local council boundaries within Auckland region, and local council wards, should be as shown in Figure 4 (opens 180k jpeg in new window) and Figure 5 (opens 180k jpeg in new window) and described in Chapter 18, following the criteria set out in the report.

18H The Government should request the Local Government Commission to determine the exact location of each boundary referred to above for the Auckland Council, local councils, all council wards, and communities, including for the City Centre and Waterfront.

18I Once established, the Auckland Council should have the power to adjust the boundaries of local councils and their wards and to create new local councils and wards where necessary.


18J The Local Government Commission should, by April 2010, finalise all wards and boundaries of Auckland Council including the local councils and community boards.

Chapter 19: Leadership

19A The Mayor of Auckland should be given the following additional powers and duties:

a) power to appoint the deputy mayor

b) power to appoint the chairpersons of each committee of the Auckland Council (other than the local councils)

c) ex officio membership of each committee of the council (other than the local council committees), with power to chair committees as he or she may determine

d) power to propose the draft long-term council community plan and the draft annual plan to the Auckland Council

e) power to propose the budget

f) power to initiate and formulate major policy for consideration by council

g) in consultation with and acting through the chief executive officer, and within the adopted budget for such expenditure, power to establish and maintain an appropriately staffed office

h) within the adopted budget for such expenditure, power to obtain independent advice.

19B The Mayor of Auckland should hold a minimum of four annual meetings with members of the public (Mayor’s Days), deliver an annual "State of the Region" address, and meet with the chairs of local councils on a monthly basis; those responsibilities to be incorporated in legislation. The Mayor will also convene quarterly plenary meetings of all members of the elected Auckland Council, local councils, and community boards.

19C Leadership support and development programmes for elected councillors should be strengthened.


19D In designing the structure for the Auckland Council, the Establishment Board should make provision for the establishment of an appropriately staffed office for the Mayor of Auckland, with a small number of personal advisers to be appointed by the Mayor.

19E The Establishment Board should appoint an interim Chief Executive for the Auckland Council.

Chapter 20: Funding and Financial Management Arrangements

Financial Management

20A The Auckland Council should ensure accountability in relation to its financial operations by adopting best practice oversight, transparency, and efficiency mechanisms.

20B Local councils should negotiate their budgets with the Auckland Council (through the community action plan process) and be responsible for managing the funding allocated to them.


20C The Auckland Council should adopt a uniform rating system for the Auckland region, to meet city-wide and local funding needs.

20D The Auckland Council should levy a rate with the following components:

a) expenditure for activities undertaken by the Auckland Council

b) expenditure for local services and activities required for local councils to carry out their functions. This would be for the purpose of funding baseline levels of service and capital project delivery, and community representation/advocacy/place-shaping.

20E The Auckland Council should also consider levying targeted rates under the Local Government (Rating) Act 2002 including targeted rates for local activities.

20F The Auckland Council should ratify a new unified rating system as soon as possible. In the interim, the Auckland Council should from July 2011 strike a rate based on the rating systems previously used by the eight Auckland councils.


20G The Establishment Board should

a) undertake a comprehensive review of alternative funding tools for capital expenditure including assessing existing policies, mechanisms, and institutional capacity.

b) prepare draft standard financial policy options for consideration by the Auckland Council. These would include policies on revenue and financing, liability management, investment, development contributions or financial contributions, and partnerships with the private sector.

c) develop an interim budget for the Auckland Council to cover the period from its establishment until 30 June 2011.

d) ensure sufficient funding is available to meet the operating costs of the Auckland Council from its establishment until it has approved and implemented a budget for the 2011/12 financial year. This will be met from income and reserves held by the existing eight councils.

e) undertake a comprehensive analysis and develop options for a unified rating system for the Auckland Council, reflecting the findings of the Report of the Local Government Rates Inquiry.

f) prepare a report for consideration by the Auckland Council scoping a process and timeline for development of the first annual plan for 2011/12 and the long-term council community plan for 2012–2021.

g) take any necessary steps to enable the Auckland Council to strike a rate in the interim period from July 2011 until a new unified rating system is adopted as outlined in Recommendation 20F above.

Chapter 21: Council Organisations and Council-Controlled Organisations

21A All Auckland Council’s major commercial trading and infrastructure activities should be undertaken through CCOs.

21B Larger commercial and infrastructure CCOs of the Auckland Council should have an obligation to operate as a successful business as required under the State-Owned Enterprises Act with a clear set of financial targets and objectives.

21C Statements of intent should be agreed three-yearly (matching the electoral cycle) between the boards of CCOs and the Auckland Council and be subject to quarterly reporting and annual performance review.

21D Auckland Council CCOs and their statements of intent should be subject to performance review by the proposed Auckland Services Performance Auditor.

21E Auckland Regional Holdings should continue as a CCO managing the Auckland Council’s long-term financial assets, operating to financial targets established by the Auckland Council.

21F Auckland Council, its councillors and employees, employees of COs, CCOs, and local councillors should be prohibited from appointment to Auckland Council CO and CCO boards.


21G The Establishment Board should review all existing CCOs and COs and exempt organisations in order to position the Auckland Council to make an early decision on which CCOs and COs should be continued and, as part of that review, will

a) prepare an inventory of CCOs, COs, and exempt organisations, recording their purpose, constitution, assets, liabilities, and legal status

b) prepare advice for the Auckland Council on the continuance of these entities

c) for continuing entities, define the purpose, objectives, and activities of the entities and the outcomes sought by the council shareholder.

21H The Establishment Board should

a) undertake the establishment of the Regional Transport Authority

b) oversee the restructuring of Watercare Services Limited into an integrated regional water and wastewater organisation

c) provide for the continuation of Auckland Regional Holdings.

21I The interim Appointments Advisory Panel should be used to assist in the recruitment or reappointment of suitable CCO interim board candidates, as required.

Chapter 22: Māori

22A Two Māori members should be elected to the Auckland Council by voters who are on the parliamentary Māori Electoral Roll.

22B There should be a Mana Whenua Forum, the members of which will be appointed by mana whenua from the district of the Auckland Council.

22C The Mana Whenua Forum should

a) appoint a representative to be a councillor on the Auckland Council

b) through its representative on the Auckland Council, advise the Auckland Council on issues of relevance to mana whenua

c) appoint the members of Watercare’s Māori Advisory Group.

22D The Auckland Council should ensure that each local council has adequate structures in place to enable proper engagement with Māori and consideration of their views in the local councils’ decision-making processes. Where appropriate, current structures and/or memoranda of understanding should be transferred to local councils.

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