The NZCTU opposes this a retrograde Bill, which will restrict local government's ability to fulfil its important roles in supporting community decision-making and wellbeing. It reflects the current government's rhetorical commitment to a very narrow conception of economic growth and an impoverished understanding of the sources of community wellbeing and the value of local democracy.
The government is attempting to sell this Bill as necessary to prevent ill-disciplined spending from local government but has not provided any evidence that this is the case. This Bill will not fix the funding challenges facing local government. Local governments around the country will continue to face increasing fiscal pressures from large infrastructure deficits, growing populations, increasingly complex social needs, and the challenges of climate change and adaptation.
Instead of scapegoating councils, the government should focus on developing a bi-partisan consensus - in consultation with local government - on the purpose of the Local Government Act. In addition, it should develop a central-local government accord that clearly delineates the responsibilities of central and local government and how funding will be found to deliver local government responsibilities.