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A Unitary Coromandel Council?

A Renewed Proposal Suggests Local Governance Could Be Strengthened Through A Unitary Council Model

Written by

Geoffrey Robinson

Published on

A renewed discussion around forming a unitary council for the Coromandel is gaining attention following the resurfacing of a 2013 report.

TCDC Draft Report Cover

A draft report that surfaced two weeks ago at TCDC headquarters lends strong support for a unitary Coromandel Council that could help preserve – and even increase – local decision-making and local democracy when government re-organisation proceeds.

WE HAD BEGUN IN 2013

 Major government consultancy Morrison Low and Associates in Auckland issued the confidential draft to TCDC in November 2013.  The study was commissioned specifically “to investigate the likely operational revenue and expenditure requirements resulting from the formation of either a Thames Coromandel Unitary Authority, or a Thames Valley Unitary Authority” with two neighbouring eastern Waikato districts.  At the time, TCDC was advancing a proposal to break from Waikato Regional Council (WRC) by assuming regional council functions on the peninsula.

 According to its executive summary, “the study suggests that the financial position of a Thames Coromandel Unitary Authority would, in terms of operational expenditure relative to operational income, be similar to that of the Thames-Coromandel District Council.”   In other words, the additional rates revenue going to regional council would be sufficient to provide those same regional functions locally by a unitary council. A larger unitary authority amalgamated with Hauraki and Matamata-Piako districts, the investigation found, “would be able to operate within the revenue available to it and would have an operating surplus,” attributable mainly to reductions in governance and management costs.

 The Morrison Low report was retrieved from archives following an Official Information Act request by The Informer on 11 May and was subsequently circulated internally to the Mayor and all councillors for their information.

 While revenue and expense numbers on which the draft study is based date from the 2013-14 financial year, it is likely that updated analysis using current figures would yield a similar conclusion, given the aggressive rates increases and mushrooming activities observed at both district and regional councils in recent years.  The study’s key takeaway is that a smaller unitary council for the Thames-Coromandel District is in fact a viable financial option, just like it has been in comparable Marlborough, Tasman and Gisborne districts for decades. 

COMMUNITIES WANT LOCAL – WILL COUNCIL DELIVER?

 As Council starts to consider options for re-organisation proposals to be submitted by 9 August, the Morrison Low report is an important guidepost and beacon.  

 As the study states, “Any decision to amalgamate should not be premised on cost savings alone, but rather on the wider benefits to the community.”   It notes that if a unitary council was organised for our area, “All decisions relating to local government would be made by elected members who understand the needs, values and culture of the communities of the Thames Coromandel District.”  The report confirms, “The formation of a Thames Coromandel unitary authority would mean that the community has a greater level of control over local and regional decisions made.”

 Peninsula community boards, community groups, ratepayers and residents have been consistently vocal that greater local control and local decision-making is a top priority.  Recent annual plan feedback and community board friction serves again to confirm this.  As this is being published, the council has begun consulting the public via a survey, on re-organisation choices, ranging from an all-Waikato Hamilton-based regional supercity to several options for sub-regional council groupings.  At the near end of the spectrum will be a more locally focused grouping, and the Morrison Low financial analysis lends strong foundational support for this latter choice.  Mayor Peter Revell and councillors have so far talked only about process and “next steps”, but unlike some other local leaders, they have remained quiet about what structure(s) they believe would serve our district best.  

‘GOING IT ALONE’? THERE MAY BE OPTIONS

 On 5 May, Government published eligibility guidelines for proposals to form new unitary councils.  One rule stipulates proposals must be submitted jointly by two or more councils.  This guardrail means that no individual local council may simply propose that it become a stand-alone unitary council.  But councils across New Zealand are approaching these guidelines with open minds.  And in the end, there are usually “workarounds”.

 Western Bay of Plenty District Council (Waihi Beach south) has been formally consulting the public on specific council re-organisation options for more than two weeks.  The public is being asked for feedback on five options, including a regional supercity, but also including a stand-alone unitary council “to inform future decision-making by Council.”  The consultation document highlights several potential benefits of the stand-alone option.  Most importantly, just as TCDC’s original Morrison Low report noted, the local council option would “maintain local voice and decision-making.” For Western Bay district, this option is still on the table, although the council notes, “this scenario does not officially fit the current government criteria” at this time.

 However, Thames-Coromandel Mayor Peter Revell last week appeared to shy away from the more local option.  “A ‘going it alone’ option will not meet the government’s expectation,” he said, indicating an apparent reluctance at the outset to consider – let alone advocate for – a more local eastern Waikato council, including the possibility of an “expanded” Coromandel council with borders adjusted to address specific responsibilities such as (Waihou) catchment management.  With the Coromandel Peninsula comprising one of New Zealand’s most well-known regions – geographically and economically distinct from its neighbours – failure by Council leadership to actively pursue a proposal reflecting this reality would be surprising – if not derelict. 

YES TO KŌRERO … BUT COUNCIL NEEDS TO LEAD

 In its briefing paper to the incoming government back in September 2014, the Local Government Commission confirmed that any local council re-organisation process in the Waikato Region “would be larger and more complex” than in other regions.  The TCDC unitary council proposal being advanced at that time was noted by the Commission.  Fast forward to 2026, and meeting the needs of the peninsula’s distinct “communities of interest – geographic, economic and social – remains part of that challenge.

 To support any local proposal and achieve acceptance for further development, a robust update of the original Morrison Low analysis, would be an immediate priority. Numbers need to be refreshed and operational details fleshed out. The greater the supporting detail, the better its chances.

 While other council leaders around New Zealand have been stating strategic objectives and starting substantive consultation, TCDC is still back at the starting gate, once again “gathering community views” and asking residents, “What matters most to you about local government/council?” Hello?

 Coromandel communities have been abundantly clear about their priorities – local decision-making, local accountability, and responsible budgeting. Local government simplification needs to deliver on those goals.  Can the mayor and this Council make it happen?

Geoffrey Robinson, local resident, covered local body reform efforts for the Hamilton News and other Waikato publications from 2011.

Please see opposite page and Dirk Sieling page 18.


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