Tauranga and Hamilton City Councils are calling the local government review 'timid and out of sync”.

The councils say a 'much bolder approach” is needed to take advantage of a 'once-in-a-generation opportunity” to redefine local government.

The Future for Local Government review proposes allowing 16-year-olds to vote, changing council terms from three years to four years, and more money for councillors.

Set up in 2021 by then Minister of Local Government Nanaia Mahuta, an independent panel released its 29 draft recommendations and a number of questions in November 2022 before its final report due in June.

Strengthening relationships between local and central government as well as looking at the scope of what councils do in the community were also key parts of the review.

Tauranga and Hamilton City Council commissioned an independent analysis to look at the opportunities and challenges for growth metro councils. They have submitted this to the Local Government Review panel, as well as their own submissions.

The cities' leaders say the draft report is 'silent” on the issues and questions affecting their communities.

Tauranga City Council commission chair Anne Tolley says: 'This is our one chance to get this right and ensure that we put in place a local government system that will enable the housing, transport and social and cultural infrastructure growth our future communities need.”

Hamilton mayor Paula Southgate says 'This is an opportunity to move beyond compromise arrangements and make some bold changes that will open the way for councils to make the tough decisions that will ultimately provide better outcomes for their communities.

'For high growth metros like Hamilton and Tauranga to be successful, we need a system where policy intent, planning and funding – three legs of the stool – are aligned to deliver wellbeing, and right now, we're not seeing that.”

Hamilton and Tauranga City Councils says the review needed to be bolder. Photo: Hamilton City Council.

The councils want to see the resource management reform line up with the review of local government.

This would ensure community outcomes guide the allocation of roles and responsibilities and give local government the capabilities and resources needed to be successful, they say.

Tolley says better alignment is needed between the review of local government, the resource management and three waters reform processes.

'These processes have the potential to be a significant agent of beneficial changes, but not as they stand.

'Our councils would like to see these reviews re-scoped, with a focus on aligning roles and responsibilities with outcomes; and providing the capability and resources needed for success.”

The independent analysis identified other areas important to metro councils including: a two tier local government system for regional or cross regional governance to deal with issues that span territorial boundaries.

An overhaul of the funding system with more flexible debt-to-revenue ratios, and a longer-term approach to growth-infrastructure funding as well as better coordination of channels so it can be delivered faster.

It also calls for funding commitments from Waka Kotahi New Zealand Transport Agency to be up to 10 years so that transport infrastructure planning is not 'constrained” by a three-year funding window.

Recognition that the benefits of metro councils' infrastructure investments extend beyond their boundaries is another issue raised.

The councils did agree with the review on increasing council terms to four years saying it would reduce 'governance churn”.

The Future for Local Government Review panel was approached for comment but did not respond in time for deadline.

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