GET LOCAL UPDATES
Skip to content

Funnell: Taupō rejects "Western Waikato" merger, warns of debt blowout to $9000 a rating unit

Taupō District Mayor John Funnell says the council will not be part of a "Western Waikato Unitary Authority," calling the push a "hostile takeover" and warning debt per rating unit could rise from $900 to almost $9000 if Taupō were included.

 Waipā, South Waikato and Waikato district council mayors Mike Pettit, Gary Petley and Aksel Bech make up 3/5 of the “Western Waikato” unitary authority. Credit Christel Yardley / Waikato Times 

By RNZ

Editor's note: Statement issued by Mayor John Funnell after this article was originally published.

I have an update on local government reform. Things have moved very quickly since our meeting last Tuesday.

We resolved to put a response to Government saying we aren’t ready to put in a Head Start proposal for amalgamation at this stage.

But other councils are coming for us anyway. A grouping of councils is proposing a Western Waikato Unitary Authority and under the Head Start rules, they could pull us in too.

We don’t want to be dragged into an arrangement that will be terrible for our community. And that’s what we firmly believe this will be. We understand that they’re wanting to leverage our financial strength.

My position is that Taupō District Council should not be part of a Western Waikato Unitary Authority because the financial modelling clearly shows that this is one of the worst options we could end up in. Debt could go from $900 per Taupō District rating unit to almost $9000 per rating unit.

We’re disappointed that other councils have chosen not to respect our position.

What’s obvious now – given there’s this hostile takeover being put forward – is that we’re not going to be left to manage our own destiny.

We’ll continue to advocate strongly for our district to the Government. We need you to do the same too.

Councillors are meeting on Thursday 6 August to approve a response to Government on the Head Start process. Work will be underway over the weekend to draft an agenda paper for them to consider.

If you feel strongly about this issue, please email us at [email protected] and we’ll present your views to the councillors on Thursday.

South Waikato, Waipā and Waikato district councils have pledged their unity as the speed dating local amalgamation game reaches its climax.

They remain in wait, however, for two more partners to join the show.

The three councils have thrown their support behind a “Western Waikato” unitary authority, which includes Hamilton City Council and Taupō District Council.

Based on a river catchment spanning from Lake Taupō to Port Waikato and encompassing about 420,000 people, South Waikato has formally made it their preferred option, according to mayor Gary Petley.

While Waikato and Waipā have not set the option in stone, respective mayors Aksel Bech and Mike Pettit said they received “unanimous steers” from their teams to confirm it on Wednesday.

The authority is based on the Waikato River for enviornmental purposes, and dubbed ‘river to the sea’ by Bech. Credit Christel Yardley / Waikato Times

Asked if any communication has been had with Taupō or Hamilton City councils regarding the option, Pettit said it was a "delicate" process, adding the proposal ticks off all criteria set by Government, especially financial stability.

"The rules state in this case if you have three councils you can bring in another two.“

“It would be a more positive start to a relationship if all five of us signed the agreement and had the same proposal... we also understand the rules and it's being respectful of other councils.

"In a sense we are the turkeys who are willing to vote for an early Christmas. We're doing this because it is right for the community, right for the environment and gives effect to the overall direction," Bech added.

It follows a topsy turvy week in local politics, with many scrambling to meet the Government’s “Simplifying Local Government” August 9 deadline. In the Waikato, Matamata-Piako, Hauraki and Thames Coromandel district councils agreed on a draft proposal to join forces on Friday.

Taupō’s decision on Tuesday to enter the “Back Stop” option threw cats amongst pigeons, whilst Hamilton City still weighs up options to make a formal decision Thursday.

Eyes will be squared on where Hamilton City Council and mayor Tim Macindoe will lean. Credit Kelly Hodel / Waikato Times 

Pettit said alterations to rates and the distribution of facilities, such as Waipā residents paying for the Hamilton Gardens, will be answered in the following months, with Petley adding it’s the “end of step one”.

“We've all had various dance partners for the last two and a half months and everything changed on a daily, if not an hourly basis," Petley added.

South Waikato’s first option was joining forces with Rotorua and Taupō district councils, but edged away due to a “difference in opinion” according to Petley, leading to council confirming a Western Waikato preference.

"If you take the [Back Stop] option, in my view, you've basically surrendered your local voice. We would rather be at the table conversing without being actually part of the menu.“

Waipā’s first preference was a Waikato-wide unitary, but strayed away after seeing it's "clearly not going to happen" according to Pettit, making a river catchment an obvious choice.

"We didn't want to be something that was just a really metro large-town setup either because it's actually about looking after all of Waikato, not just cherry picking.“

The three mayors had a constructive workshop discussing the proposal last Thursday. Credit Christel Yardley / Waikato Times

Bech, who previously said there’s “no plan B” to diverge from a Western Waikato proposal, echoed the sentiments of his counterparts. He says the proposal’s balanced urban to rural rate allows for the protection of all local voices.

He added the latter are "big contributors to our rate take" despite receiving less amenities.

A breakdown of the population spread of the proposed amalgamation. Credit supplied

"If you're standing in Tokoroa or Te Awamutu or Tuakau how do you eyeball the person is speaking for you at the council table that's spending your rates money?... they need a voice heard."

Pettit said he’d welcome his King Country ‘brothers and sisters’ into the fold if required. Credit Kelly Hodel / Waikato Times 

Hamilton City Council and Taupō will cement their final responses next Thursday.

Comments

Latest