Simon Watt: Local Government Minister on the bill that would require councils to financial refocus core services

The Government wants to ensure local councils get back to the basics.  

A bill moving through Parliament would require councils to financially refocus their core services. 

The Government wants councils to give more value to ratepayers.  

Local Government Minister Simon Watts told Heather du Plessis-Allan anything could be defined as "wellbeing".  

He says because of lack of clarity on council responsibilities, any activity is in scope, which is bad news for ratepayers. 

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Episode Transcript

Speaker 1 (00:00):
Government is finally taking those full wellbeing provisions out of
council law. Things have been controversial. They will ruined the
two thousands jon Keys government got rid of them. Grant
Robertson put them back in the coming out again. Simon
Watts is the local government minister. Morning Simon, Good morning, Heather.
What proportion of council spending do you reckon is on
these full provisions?

Speaker 2 (00:18):
Well, we know the average rates increased last year alone
was just over eight percent. Well, that's pretty significant across
the board. We know that because of the fact that
they haven't got clarity around what they need to do
pretty much any activities in the scope for what they do.
And that's good news for counts of bureaucrats, but bad
news for ratepayers. So the changes we're doing is getting

(00:39):
councils back to the basics. We've said, you know, you
need to have a clearly defined scope of activities that
you do core services. We're putting that back into the legislation.
And by the way, you're putting another kicker in there
as well, which is in addition to what it's been
done in the past, which means that when they're setting
their rates going forward, they have to take account of
the core services. So you know, some councils on the

(01:02):
decide they want to do something else. Well, they've got
the money, then in the rate payers of what that
might be. Okay, but first and foremost, they have to
deliver their core services. So you know, it'll get them
back to the basics and there'll be in law by
the end of the year.

Speaker 1 (01:14):
What if, though, they continue to spend on these four
wellbeing pillars, if they put up some light show and
they say it's for cultural well being and it blows
the budget, what are you going to do about it?

Speaker 2 (01:24):
Well, we've put in play within the legislation a specific
requirement that when they're setting those rates that they obviously
charge the rate payer, they have to be aligned and
linked to the core services that we've defined in the legislation. Now,
there are and there may be examples where councils have
the ability and the mean and the rate payer remix

(01:47):
to go further than that. But our viewers, is the
linkage that we've put into the legislation make sure because
at the moment it's a free for all. I mean, yeah,
what is well being?

Speaker 1 (01:56):
Right?

Speaker 2 (01:56):
I mean, anythinks in scope and that's the problem. I mean, pause,
everything's in scope. Then you've got counsel the lob the
place doing WILLI nearly and now nonsense type pet projects
which are just leading to exorbitant prices. We're seeing those
across the world.

Speaker 1 (02:11):
I'm just getting I'm getting a lot of examples right
now of you guys announcing things that sounds awesome but
actually leads enough, leads to nothing. So can you tell
me that you know for sure this is going to
drop council spending and if it doesn't, you're going to
do something.

Speaker 2 (02:25):
Absolutely, it's one O one that if you clearly state
and define what you need to do and put it
into law, and that's what they're measured upon. So we've
got to cut more of transparency and accountability measures coming
out as well. Then they're going their focuses.

Speaker 1 (02:39):
And if they don't, if they ignore you, what are
you going to do?

Speaker 2 (02:42):
Well, We've got a number of mechanisms through the Minister
to intervene in terms of council performance. You're seeing us
already do that in Wellington and other areas. And the
best thing that keywids can do is make sure they
turn up to their voting box this year and voting
their elections and make sure they get the right people
with the right smart into those roles that you don't
represent their values.

Speaker 1 (03:02):
Okay, listener, are you going to do anything about this
business going on with Ray Chung's letter about Tory faro.

Speaker 2 (03:08):
Oh, Look, we've made it and Prime Minister's made some
statements around the inappropriateness of that. As minister, you know,
I stay out of local government elections, but at the
end of the day, the voters are going to make
a decision in that that area and that's the way
democracy works.

Speaker 1 (03:22):
All right, Simon, Thanks very much, Simon Watt's local government Minister.

Speaker 2 (03:26):
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