Understanding Commissions under the Local Government Act 2002
"Explore the processes and actions of Commissions as outlined in the Local Government Act 2002, focusing on their role in addressing significant problems within local authorities and ensuring effective governance and management."
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Presentation Transcript
How Not to Earn a Commissioner! Hon Anne Tolley
4 in 30 Years 2000 Minister of Local Government appoints Commission to Rodney District Council Act Of Parliament from Ministry of Environment & DIA establish Commission for Environment Canterbury Minister of Local Government appoints Commission to Kaipara District Council Minister of Local Government appoints Commission to Tauranga City Council 2010 2012 2021
LOCAL GOVERNMENT ACT 2002 Part 10, 258F If a) the Minister believes on reasonable grounds, that i) A significant problem relating to the Local Authority A) is impairing, or likely to impair, the good local government or safety of the people within the Local Authority s district or region, or B) is endangering, or likely to endanger the public health or safety of the people within the local authority s district or region, and ii) The local authority is unable or unwilling to effectively address the problem, and iii) The problem is such that appointing a Crown Review Team, a Crown Observer, or a Crown Manager to the aocal Authority is unlikely to prevent the consequences described in subpara i), or
LOCAL GOVERNMENT ACT 2002 contd b) the local authority refuses or is unable to comply with a direction of a Crown Manager under Section 258 D (4). Or c) the Minister believes, on reasonable grounds, that a significant problem relating to the local authority exists and a Ministerial body currently or previously appointed to the local authority has recommended the appointment, or d) the Minister has received a written request from the local authority to do so
PROBLEM? Clear Interpretation in Act - matter relating to governance or management detracting from purpose - failure to perform 1 or more functions - consequences of State of Emergency affecting region - imprudent financial management
COMMISSIONS ACTIONS Local Government Act 2002 258H - Applies to term of Commission - Commission acts the governing body of Local Authority - Commission acts as LA elected members re committees and delegations - Commission/Chair can sign and use seal of the L A - other than fraud, all acts by the Commission are valid even if they aren t in the Terms of Reference
TAURANGA CITY COUNCIL 2019 Council elected, Mayor plus 4 at-large, 6 from 3 wards 2019 Swearing-in Ceremony disrupted 2020 March Mayor required to apologise for Code of Conduct breach 2020 June Deputy Mayor resigns after attempted coup 2020 June/July Bombshell release of inflammatory correspondence between Councillors following LGOIMA
The process begins.. 2020 Aug 13 DIA requests evidence TCC was taking steps to: restore trust and confidence in it s ability to meet the Crown s expectations of a high-performing Council 2020 Aug 21 TCC votes to appoint a Review & Observer Team 2020 Oct 17 - Councillor Jako Abrie resigns, cites Council disfunction, calls for Commissioner 2020 Nov 2 - Mayor signals medical leave of absence 2020 Nov 17 - Review & Observer Team report to Council
REVIEW TEAM OBSERVATIONS - Many effective meetings - Large intake of new Councillors - Understanding of governance roles limited - Strategic direction not clear, U-turns possible - Battle for mayoralty never ended - Poor behaviour, lack of trust, inability to work together - Pressure on staff & significant key person risk - Too many meetings, too much in the detail - Impact of the by-election & mayors leave of absence
RECOMMENDATION Ask Minister of Local Government to appoint; - Crown Manager to assist with city development & growth plan ie 2021-31 Long Term Plan - Crown Observer to assist with behavioural issues
FINALE 2020 November 20 Extra-ordinary Council meeting - tears, accusations in chaotic meeting - action plan adopted as per recommendations - majority vote to send report to Minister & DIA - majority vote to request Minister appoint Crown Manager & Crown Observer - Mayor resigns! Calls for a Commission
2020 Early December Minister advises Council re appointment of a Commission 2020 December 18 Minister announces a Commission for Tauranga City Council 2021 February 21 Commissioners (4) take up role at TCC
RATEPAYER CONSEQUENCES Infrastructure deficit transport & housing Minimal investment in community facilities Growth happening despite planning CBD dead & deserted No Rating structure No admin centre for Council since 2014 Roading maintenance seriously deferred Fractured relationships with iwi/hapu, regional partners Little business confidence to invest
TRANSITIONS Rodney District Council - single Commissioner - extended term to 2004 elections - 2012 legislation to continue - 2015 legislation for mixed-model - 2015 extended to 2016 elections - 2016 Crown Manager for 3 years - Crown Observer for 1 year - extended term to July 2024 ECAN Kaipara District Council Tauranga City Council
