The Waitakere City Council has been accused of misleading concerned parents by saying it can't do anything about a brothel which opened directly across the road from a school, a church and several childcare facilities.
Staff and parents from Henderson Intermediate School complained to the council this week about the Red Door Club.
Board of trustees chairman Ron Crawford said the school was told there was nothing the council could do because the Prostitution Reform Act had legalised prostitution and the brothel wasn't breaking regulations.
However, following publicity about the case, other councils contacted Mr Crawford to say that Waitakere is not powerless, and bylaws can be put in place.
One such example is the Rodney District Council, which has a bylaw preventing the establishment of a brothel within 200m of a preschool, school or place of worship or assembly.
Waitakere Deputy Mayor Penny Hulse responded that bylaws weren't always upheld by the courts, and it was instead time for the Government to take more responsibility for the issue and review the act.
Auckland University associate professor of law Ken Palmer said there was nothing preventing the council from creating a bylaw governing where brothels could be located.
Professor Palmer said some councils, such as Auckland City and Hamilton City, had introduced bylaws restricting the location of brothels and had them challenged in court.
While he understood the courts ruled against Auckland City because its bylaw was too restrictive, they accepted Hamilton's bylaw allowing restrictions in residential areas.
Henderson Intermediate wants the council to take a new look at the issue and consider creating a bylaw.
Mr Crawford has written to Ms Hulse saying if Waitakere didn't take a tougher stance, it could risk "an influx" of brothels.
He has also questioned why she never mentioned that the council had the ability to make a bylaw, saying she seemed "more keen on protecting the rights of sex workers" than helping the school.
Ms Hulse said: "Other councils do have bylaws, yes, but are they being enforced and effectively policed?
"In some cases the courts have found councils with proximity controls have been acting illegally."
She said she did want to support the community and she wanted to see all the relevant organisations, including the Government, get together to discuss the issue.
She planned to talk to Social Development Minister Paula Bennett, who is also MP for Waitakere.
"No one wants to recriminalise the sex industry, and we do not want to put our sex workers at risk. But after seven years of the Government's legislation, which I supported, I think it is time for a review."
Bylaw option to control brothels
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