“If Not Them, Then Who?” Auditor-General Declines Tauranga Council Scrutiny, Exposing Oversight Black Hole

Sunday, 31 August 2025, 1:21 pm
Press Release: Lobby for Good

Tauranga, 31 August 2025 – The Auditor-General has again refused to investigate a string of controversial Tauranga City Council decisions, despite repeated requests from MPs across party lines, councillors, and Lobby for Good. The response leaves one significant question hanging: if the Auditor-General won’t step in, then who will?

At stake are multi-million-dollar deals, the sale of the Tauranga Marine Precinct, land purchases on Durham Street and Devonport Road, and the $300M civic centre redevelopment Te Manawataki o Te Papa. Each of them sparking community concern over reckless asset sales, questionable valuations, and decision-making behind closed doors.

Yet the Auditor-General’s line has stayed the same, these are “policy choices,” not matters for inquiry.

“Councils can sell public assets at half their value, shut residents out, or push through deals with conflicts of interest, be economical with the truth, and still dodge scrutiny because it’s technically ‘within their powers,’” said Erika Harvey, Director of Public Affairs at Lobby for Good.
“That means ordinary people have no way to challenge bad decisions without risking hundreds of thousands in legal costs. That’s an accountability gap big enough to drive a superyacht through.”

A broken system only the wealthy can challenge

The Marine Precinct sale shows what’s broken. Valued at over $30 million, it was sold for just $13.9 million, with ratepayers still on the hook for up to another $29 million in upgrades that will benefit the new owner.

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Council has told local workboats they’ll “have a place to go,” but what’s being told to them doesn’t match what’s being said in emails or internal documents. Right now, families and businesses only have short-term leases with the new owner to berth, load and unload vessels, shift gear, offload fish, and fuel up until next year. After that, there’s no real plan on the table. Behind the scenes, council is spinning a different story to keep this from coming out publicly.

“When those leases expire, what then? Do we tell fishing families and marine businesses ‘sorry, we missed the deadline’?” said Erika Harvey, Director of Public Affairs at Lobby for Good. “This isn’t just about a bad balance sheet or questional financial decisions, it’s about livelihoods being pushed out by a system designed to favour wealthy insiders.”

Local marine operators tried to fight the deal in court, but were forced to withdraw when Tauranga City Council pushed the sale through while an appeal hearing was scheduled only days away. Key evidence held by industry members was never presented to the court, and at the same time, Mayor Mahé Drysdale warned that if users of the Marine Precicnt didn’t give up, council would pursue them for its own legal costs. Faced with that threat, and potential liability in the millions, they could not continue.

“This system is rigged so only those with deep pockets can fight,” Harvey said. “That’s not democracy, it’s more like civic suppression.”

Auditor-General passes the parcel

The Auditor-General has acknowledged transparency concerns but instead suggested the Council “consider” publishing more information. In some cases, the OAG even pointed residents to the Ombudsman, effectively restarting the complaints process from scratch.

“The public deserves better than a bureaucratic game of pass-the-parcel,” Harvey said.
“Oversight shouldn’t be about technicalities. It should be about trust and accountability.”

Reforms on the table

Lobby for Good has outlined a set of reforms they are lobbying on to help close the gap and will be launching a petition this week. 

• Independent Local Government Ombudsman – free, accessible escalation for residents.
• Citizen oversight committees – reviewing major asset sales before they’re signed.
• Accessible dispute resolution – a “Disputes Tribunal” for local government, so justice isn’t just for the rich.
• Mandatory transparency rules – councils must prove they consulted and considered public input.
• Enhanced legal aid – so residents can actually challenge deals that fail the sniff test.

Standing up for the public interest

Lobby for Good says legal experts like Kirsten Murfitt, who have worked pro bono for their organisation on these cases, has faced pushback and a series of issues for speaking up. 

“Instead of being thanked, she’s been targeted by insiders who want to shut her down,” Harvey said. “That tells you how deep the resistance to transparency runs.”

The bottom line

Until the system changes, the public’s only leverage is exposure, pressure, and collective action.

“When even the Auditor-General admits transparency is lacking, the question isn’t whether the public has a right to know, it’s why that right keeps being denied,” Harvey said.
“We need system change. Because right now, secrecy seems to win….every time.”

Call to Action

Lobby for Good is launching a national campaign to flip the system.

• Sign the petition for independent oversight being launched by the end of this week. 
• Join as a monthly member $10 a month powers document access, investigations, and public campaigns.
• Share this story because when the public knows, the game changes.

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