Tag: Doug McKay

Reaction to the EY Report

Government needs to tighten up the “rules”

 

This is a rare piece of commentary from me personally into the entire “Len Brown affair.” Since the story broke I have been more or less silent on the “affair” aspect while constantly keeping an eye on the “conduct” side of the matter. From Day One when the story broke (while returning from a Council briefing on I believe it was on the Unitary Plan heading for notification) I have always said for me to no longer give “support” to the Mayor, he would have to conduct a criminal act (and be convicted) or conduct serious misconduct (an affair is not misconduct) through misuse of resources or power, and/or other serious nature.

I have the EY report that was commissioned by Council CEO Doug McKay after it landed (with an accompanying release) in my email box this afternoon. You can read the report over at this post here: The EY Report Commissioned by Auckland Council CEO. That said I was NOT at the Press Conference in Town Hall this afternoon over the release of the report.

 

After receiving and reading the report I have come to three conclusions:

  1. The “rules” set by the Council Code of Conduct,  that by the Remuneration Authority, and the Local Government (Auckland Amendment) Act 2009 are too loose with little measures provided if something does go wrong/breached
  2. Government must tighten up the regulations set about by the Remuneration Authority for issuing rules around use of ratepayers resources – e.g the mayoral car and when it can be used or not. In the same regard the Local Government Act needs tightening up so the Governing Body have available a wide range of measures to deal with errant elected members. This can range from a Censure motion to something more punitive (whatever one decides that might be short of sacking a mayor)
  3. Owing to this error in regards to several matters pointed out in the EY report (cell phone, mayoral car, and not declaring the hotels on the register)(and rather than the actual affair) my confidence in the mayor is shaken with support moving from positive to negative. That said I still have confidence and positive support in the wider main Council (although a particular CCO is an exception at the moment) and the rest of the elected members (regardless of whether I agree with them or not (Dick Quax and Cameron Brewer)). In being honest it has weighed on my mind on what else has the mayor not declared outside of the “affair” and could have this affected any other mayoral decision-making

 

I stress again to make it crystal clear that yes confidence in the mayor is shaken with support switching from positive to negative. HOWEVER, confidence and support remains with the Deputy Mayor and the rest of the Councillors despite disagreements from time to time. 

 

One thing I do ask of the Governing Body after the elected members have had time to review the EY report is that an extraordinary meeting be called of the GB ASAP! In that extraordinary meeting a motion of censure is called and voted for against the mayor immediately. Whether the vote passes or fails is beside the point in my opinion. The point being is that the Governing Body has now been damaged and in the eyes of the City the censure motion needs to occur to help restore confidence towards the Council. Failure to move the censure motion quickly could paralyse worthwhile projects before the Council – and that would be a true detriment to Auckland. It is risky

 

For the rest of it Parliament is going to need to haul backside and tighten up rules around Local Government to prevent this kind of mess from happening again. And to me that is going to be the main point coming out of this entire mess! 

 

The EY report

 

Pre-Election Reports from the Council

The State of Council before the Elections

 

Auckland Council as per the Local Government Act has released its very first Pre-Election report for your consumption.

From Council

First pre-election report released
 

Auckland Council has today issued its very first pre-election report.

A new requirement of all councils under the Local Government Act from this year, the pre-election report is prepared by the local authority’s chief executive and must be politically independent.

“The purpose of a pre-election report under the Act is for councils to provide information to promote public discussion about the issues a council faces ahead of the local body elections, so voters can make more informed choices,” says Doug McKay, Auckland Council Chief Executive.

The Auckland Council Pre-Election Report 2013, prepared to meet the requirements of the Act, includes financial results for the three financial years immediately preceding the date of the election and latest projections for the three years immediately after.

The report includes a forecasted result for 2012/2013 year; given the final audited financial results for this period will not be reported to council until September 2013.

The report is prepared on a group basis, including council-controlled organisations, and covers operating expenditure, major projects and capital expenditure, debt projections and rates projections for 2014-2017.

—-ends—-

 

You can read the Report HERE (opens in new tab)

 

Election coverage will continue here on Talking Auckland as it happens.

 

Causalities of – The LTP?

And Here Come the Causalities

 

 

The Long Term Plan 2012-2022 was adopted into existence earlier this year, setting the Council’s course on all things revenue and expenditure (yeah lets ignore the V8s and White Water-rafting for a few seconds). On the rates side; some of us got stung with large rates rises while others got nice rates decreases. All of us though got service and capital expenditure cuts when our respective Local Boards had to follow through on a 3% cut in their budgets per the Mayor’s “orders.”

Manurewa Local Board have been very vocal on what the funding cuts have meant capital expenditure wise (so money for community projects like playgrounds and upgrades to community facilities). Well it seems I have stumbled (via the NZH) across our first OPEX (so facilities funding in the operational costs side) casualties in the form of POSSIBLE library closures.

 

From the NZ Herald:

 

Cost cuts threaten two libraries

By Bernard Orsman

5:30 AM Monday Oct 1, 2012

 

Pressure goes on after mayor’s directive for all areas of city council to trim budgets by 3 per cent in election year.

 

Libraries in Snells Beach and Grey Lynn have been marked for closure as the result of a directive from Mayor Len Brown to reduce costs in what will be election year.

Snells Beach residents, many of whom are retirees, are bewildered and angry at murmurings the refurbished Mahurangi East Library in the community centre is closing.

More than 300 locals have signed a petition deploring the proposal and there is fighting talk by local politicians of chaining themselves to the building.

“We love our bright, welcoming, well-used library, the heart and soul of this mixed and growing community,” said local Sandra Garman.

The other locality in the cost-cutting sights of council library manager Allison Dobbie is the Grey Lynn library, housed in its original 1924 building on Great North Rd.

Waitemata Local Board chairman Shale Chambers said closing Grey Lynn library would be unwarranted, completely wrong and would cause pointless grief.

Mr Brown, through chief executive Doug McKay, has directed all council departments, local boards and council-owned bodies to cut their operating budgets by 3 per cent next year.

This is so Mr Brown can reduce the projected rates increase for his election-year budget to “well below 4 per cent”.

Mr Brown and Mr McKay have boasted about making $1.7 billion in savings and efficiencies over 10 years.

And for the first time they are calling for cuts to service levels. This has led Ms Dobbie to look at closing two of the council’s 55 libraries.

She did not return calls to comment about the pressure she was under to reduce library services.

In a written statement, Mr Brown said he doubted any libraries would be closed to reduce next year’s rates.

But he would not give a firm guarantee to Snells Beach and Grey Lynn library users

 

Article continues at NZH site

 

Okay so which way is it, we looking at library closures or not? And why is a guarantee not able to be given here – that to me sounds like that the libraries will close but not one has the balls to say so from the outset. Gee I feel the communities affected through being left in limbo over the state of their libraries.

 

But we all knew this kind of thing was coming under this Council with this failed Long Term Plan.

I suggest that we divert money from the CAPEX budget and sink it into the OPEX budget. The money for the Cruise Ship Terminal and the money for phase one for the Quay Street Boulevard would cover the libraries and other Local Board budgets for the next wee while to come (oh say 10 years).

And what about Quay Street Boulevard? Defer all work on it until 2020 but leave enough money behind for our engineers to get the traffic light phasing RIGHT and maybe some extra signage and pot plants.

 

Hey we all got to make sacrifices here and I am making a few suggestions that are win-wins all round here.

But then again win-wins and the simple things often escape Council and the bureaucrats – otherwise we would not have these problems would we?