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Amalgamation benefits boost council savings

Media release
16 April 2014

Amalgamation benefits boost council savings

Improved economies of scale from the amalgamation of the eight local authorities have helped Auckland Council maintain services at reduced cost, says a council report on efficiency savings.

Average rates increases have reduced year on year from previously anticipated rises while capital works are nearly double that of the former councils.

Annual operating savings to June 2013 were $131million and are budgeted to be $188million by June 2018.

Savings have come from benefits including:

- simpler and better information technology
- better purchasing and tendering processes
- bringing more work in-house to reduce reliance on external resources
- reducing the number of office buildings occupied.

“The benefits of amalgamation become more evident with each year,” said Councillor Penny Webster, chair of the Finance and Performance Committee.

“We’re running a ruler over everything we do as we manage ratepayers money. That’s what is expected of us and we are delivering savings while pressing ahead with projects that will make the city a .better place for residents to live in, enjoy, and prosper,” she said.

Ends.

A copy of the Finance and Performance Committee agenda can be found online here: http://infocouncil.aucklandcouncil.govt.nz/Open/2014/04/FIN_20140416_AGN_4755_AT_SUP.PDF

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