Amalgamation Will Save Waikato

Media Release

6 November 2013

Amalgamation Will Save Waikato

Uneven population growth across the Waikato region will have a serious impact on the future of the region.

The 2013 Census results show population decreases or a static population for a number of the region’s southern councils. These outcomes, combined with an aging population for other councils, suggest there will be significant funding issues in the future which will affect communities adversely.

Waikato branch president Rob Dol believes councils with decreasing or aging populations will be impacted on how they can generate revenue from rates and other means.

“A smaller rating population means less revenue and in the future councils will be forced to increase their debt levels or cut services to balance their budgets, which will have a significant bearing on their future communities,” said Mr Dol.

This hinders councils’ capabilities to fund projects vital for growth and economic viability with a decreasing rates base. Less revenue means further pressure on council budgets to manage depreciation, asset management and construction and operating costs.

Property Council urges councils in the Waikato region to resolve the dilemma between revenue and expenditure by amalgamation.

The current Waikato Mayoral Forum does not go far enough in the way of cost savings for rate payers or addressing the underlying issues

There is increasing evidence that amalgamation will bring significant benefits to the region:

• Significant costs savings by procuring of services

• Reducing the number of councillors and mayors: there are nearly 150 in Waikato. This is unviable, unsustainable and is unnecessarily costly for the region

• Creating local boards for local communities to deal with their issues and provide direct and relevant representation

• Preventing the duplication of services

• Controlling and reducing debt

By creating a unified region, amalgamation will allow the Waikato to achieve its economic and social potential. No longer will the region be overly governed with a range of often-contradictory plans, policies, and bylaws. It is vital to future-proof Waikato and ensure that it offers value for money to its ratepayers and communities.

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