Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search

 


Consultation Over Proposal to Outsource Network Maintenance

Consultation Underway Over Proposal to Outsource Network Maintenance

Dunedin (Monday, 6 May 2013) – The Dunedin City Council is consulting with staff over a proposal to outsource its water and wastewater network maintenance.

A review of the Water and Waste Services business unit (WWS) has been carried out to look at ways to reduce costs to ratepayers while maintaining or improving service levels.

Key points of the proposal are:

• The DCC retains full ownership and control over the water and waste services network. The proposal would not affect service delivery or public accountability.

• The proposal to contract out network maintenance is in line with most other councils. About 75% of New Zealand’s water maintenance work is either contracted out or carried out by a Council Controlled Organisation (CCO).

• Annual savings of $300,000 to $550,000 are expected if all of the water and wastewater network maintenance is contracted out.

The outsourcing proposal was presented to affected staff last week. A consultation period with staff and unions is underway, closing on 4 June.

DCC Water and Waste Services Manager Dr Laura McElhone says, “I am aware this is a difficult time for staff, but the DCC has to consider whether there are better ways to deliver the services.”

Under the proposal, 30 staff would be transferred to the contractor on their existing terms and conditions of employment. The roles of two other staff would change, with redeployment options to be discussed. No redundancies are anticipated as a result of the proposed outsourcing.

In proposing an outsourcing model, the DCC is confident there will be interested contractors who can deliver the same or better service at lower costs, for reasons such as economies of scale. To ensure there would be sufficient interest from suitably experienced contractors, expressions of interest will be sought at the same time as staff are being consulted.

Dr McElhone says seeking expressions of interest at the same time does not mean a decision has already been made on the proposal. Rather it means the DCC Executive Management Team will have all the necessary information before making a final decision in June.

In September last year, the Council decided not to create a CCO for water, wastewater and stormwater. Following that decision, all elements of water and wastewater services were reviewed to identify opportunities for improvement. The review was carried out by the WWS management team, with support from an external industry expert.

Key findings included that the DCC was delivering required levels of service, but that costs were high compared to other New Zealand cities. Following on from the review, an overall process for change has been put forward. The proposal to contract out network maintenance is the first stage and a decision will be made in late June.

Water and wastewater services receive $44 million of rates funding annually and employ 98.2 FTEs.

What would remain in-house are all aspects of the network that ensure residents receive good quality drinking water. This includes operation and maintenance of the treatment plants and pumping stations, and all asset planning and investment decisions.

The only work to be outsourced would be maintenance relating to the water and wastewater pipes.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Issue 49: Werewolf Weekender

Philip Matthews: From The Lost Continent
It’s a case of better late than never for Olivier Assayas’ marvellous After May/Apres Mai, which first screened at Venice in 2012, had a couple of North Island screenings last year during the International Film Festival’s “Autumn Events” season, got a theatrical release in Australia – but not here – and only now appears on DVD, after Assayas himself has moved on. More>>

The Complicatist: Blue Eyed & Soulful
For a while in June, the top two singles on the US Billboard charts featured Iggy Azalea, an Australian model turned hip hop performer. To some, this may seem like just the latest chapter in a long saga of whites ripping off black culture, while enriching themselves in the process. Obviously, there’s some truth in the stereotype. Yet it can also obscure the positive collaborations – in jazz, soul music and hip hop – between musicians who treated each other as creative equals, race regardless. More>>

Satire: Carry On Captaining
Oh hello. Scanner Technician Davis. To what do I owe the pleasure?
You think we’re what?
Oh, pish. This vessel has been travelling along smoothly for generations – particularly smoothly in the last few years though I say so myself – and I happen to know we have never once been hit by an asteroid... More>>

 

Parliament Today:

False Electoral Return: John Banks Sentenced To Community Detention, Community Work

“The conviction of John Banks today is another sad chapter for John Banks and the ACT Party”, says Labour candidate for Epsom Michael Wood. More>>

ALSO:

Gordon Campbell: On The Rise Of ISIS And Labour

While global attention got distracted by the fate of MH17 and the atrocities in Gaza, the world’s other mega ‘bad news’ story – the rise of ISIS-led fundamentalism in Iraq – has reached a tipping point. More>>

ALSO:

Rebuild: Christchurch City Council Releases Milestone Report

The Cameron Partners report says the Council may need to find an additional $783 million to $883 million by 2019... Options Cameron Partners proposed include increasing rates, borrowing more, maximising insurance payments, and freeing up capital from its commercial assets. More>>

ALSO:

Parliament Today: Parliament Adjourns

The 50th Parliament has adjourned for the final time. After the completion of the adjournment debate, MPs left for the campaign trail with Parliament to be dissolved on August 14 ahead of the September 20 election. More>>

ALSO:

Novopayout: Government-Owned Company To Take Over School Payroll

After lengthy negotiations, the Ministry of Education and the existing school payroll provider, Talent2, have settled both on the amounts payable by Talent2 towards the costs of remediating the Novopay service and a new operating model for the school payroll system. More>>

ALSO:

Employment: Labour Will Raise Minimum Wage, Restore Work Rights

A Labour government will raise the minimum wage $2 an hour to $16.25 and restore work rights to ensure the benefits of economic growth are shared fairly by all New Zealanders, Labour Leader David Cunliffe says. More>>

ALSO:

Police: Crewe File Review Released

No new evidence has come to light implicating any specific person as being responsible for the murders of Jeannette and Harvey Crewe... The review identifies there is a distinct possibility that Exhibit 350 (the brass .22 cartridge case) may be fabricated evidence, and that if this is the case, that a member of Police would have been responsible. More>>

ALSO:

Werewolf Issue #49: Gordon Campbell Interviews Laila Harre

For 25 years, Labour and National have been in virtual agreement about the basics of economic policy, and differed mainly on how to go about managing its social consequences. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
Regional
Search Scoop  
 
 
Powered by Vodafone
NZ independent news