Hon Rodney Hide

Minister of Local Government

19 November 2010

Media Statement

Twyford’s Inept Detective Work On Show Again

Phil Twyford’s detective work has once again shown him to be inept in his efforts to paint the new Auckland Council as a failure, Minister of Local Government Rodney Hide said today.

“Mr Twyford’s allegation that the savings of $48 million were ‘plucked out of the air’ is a total fabrication," Mr Hide said.

"The savings were set out in detail to the Auditor-General who, based on this information, issued the Auckland Transition Agency with a full and unqualified audit.

“The $48 million includes: the reduction in on costs, other than direct personal costs – office space, supplies, IT needs; elimination of duplicated services; financing costs savings due to new AA investment rating; procurement efficiencies, and more.

“On top of this, economists Taylor Duggan Berry have identified additional potential annual savings from the transition of $175 million – realised over the medium term and dependent on the actions of the new council," Mr Hide said.

ENDS

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