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


Government must intervene in Auckland budget crisis

Government must intervene in Auckland budget crisis.

The problems facing Len Brown and his Council have developed over the last three and a half years and have spiralled to stage which the Council itself seems unable to act.

Throughout this period the Mayor has boasted of keeping increases in total sates income to below 4.9% around 2.5% but increasing debt by almost $4bn

There has been no realistic attempt to relate increases in debt to the cost of meeting interest and repayments in the longer term.

The Council continues to spend millions on acquiring property for the Central Rail Link, but has no funding specified for construction of the project.

During the first three-year term there were claims of significant financial benefits arising from the amalgamation of the previous councils.

In fact the pay-roll has increased substantially with staff levels much higher than was ever predicted

The last three years have been a disaster waiting to happen.

Warning signals were there every year when the budgets were announced – everything was about spending, but nothing was about repaying.

The people of Auckland have lost confidence in the ability of Mayor Brown to produce a Budget based on realistic expectations of income and long term affordability.

Auckland is heading a state of near, if not actual bankruptcy.

This is the time for the Minister to step in and appoint a Crown Observer or Manager under powers in the Local Government Act

Such appointments are aimed at preserving the stability of a council in trouble.

This legislation was introduced specifically to step in at the top of the cliff rather that the bottom, which happened with Kaipara Distract Council;

Without such intervention the situation for Auckland ratepayers will only get worse


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines



Gordon Campbell: On John Key’s Trip To Iraq

In the embedded press coverage on this trip, the absence so far of any evaluation of the wider context of what New Zealand thinks it is doing at Camp Taji has been striking. More>>


Labour: Parata Puts Brakes On Charter School Appraisal

“When the Ministry of Education recommended they compare the achievements of children at charter schools to those of their counterparts at state schools, the documents show Hekia Parata specifically prohibited them from doing so." More>>


Bad Day For Universities: Gun, Bomb Threats On Three Campuses

Dunedin Police are continuing their investigation into the threat made against the University of Otago. Staff are following a number of lines of inquiry, and police are working to verify the authenticity and source of the post. More>>


Gordon Campbell: On The TPP Deal Reached In Atlanta

Yes, the TPP has helped to knock a few points off the tariffs facing our exporters. Yet some of those alleged dollar gains may well have been made regardless over time – and without the negative baggage of the concessions in the non-trade areas (intellectual property, copyright extensions, investor-state dispute mechanisms etc) that the TPP deal also brings in its wake. More>> (Cartoon by Dave Wolland)

Public Summaries:


Wellington.Scoop: Serco – First The Prisons, And Now It Wants To Run The Trains

As the government continues its inquiry into Serco’s discredited administration of Mt Eden prison in Auckland, here in Wellington there’s further scrutiny of the British outsourcing company – because it’s competing to take over the running of our commuter trains. More>>


Pre-Signing: Gordon Campbell On The TPP Countdown

To date, the Key government has been unwilling to share any information about this TPP deal until it is too late for outraged public opinion to affect the outcome... the disclosure process is likely to consist of a similarly skewed and careful exercise in spin. More>>


Australia Deportations: English Relaxed On Immigration Centre Conditions

Labour's Annette King: “There have been numerous reports from inside these detention centres on just how bad conditions are... If they were being held in any other foreign jail, I imagine Mr English would be somewhat concerned. More>>


Schools: Achievement-Based Funding Would Be A Disaster

The Education Minister’s speech to the PPTA Conference raising the spectre of achievement data driving a new funding system would be disastrous, says NZEI Te Riu Roa. More>>

  • Video Out-Link - PPTA Annual Conference 2015 on Livestream (Q+A dicussion suggests funding would be directed to less successful schools.)

  • ALSO:

    ECE Report:

    Get More From Scoop



    Search Scoop  
    Powered by Vodafone
    NZ independent news