Auckland Transition Agency Asked To Intervene In Council Spending Proposal.

[Statement from Glenfield Community Board member David Thornton]

I have today emailed Mark Ford, chief executive of the Auckland Transition Agency ,asking him to look closely at the decision by North Shore City Council to spend roading loan funds on a new building for a local Community Trust.

The loan was originally approved to pay for land needed for the North Shore Busway.

Not all the money was required for the land purchase and a sum of $442,905 was not needed from the loan – the loan capital and interest will be repaid from council rates income.

The council has now decided to use this almost half a million dollars to build a new building for the Birkenhead Northcote Glenfield Community Facilities Trust – even though the Trust already occupies perfectly adequate council-owned accommodation in Northcote.

There has been no public consultation on this proposal as required by law.

My request to the Transition Agency stated,

“In my view the proper course of action for the council should have been not to take up this $442,905 loan money [which was being borrowed for an entirely different purpose] - and thereby reduce the total amount of debt that future ratepayers will need to service and repay.
“By seeking to use this ‘surplus’ loan funding to put up an unnecessary building, the council has shown utter contempt for ratepayers’ rights to be consulted about major expenditure”.

Ends