KEY POINTS:
The Government's abrupt sacking of the entire Hawkes Bay District Health Board is threatening to rebound on it in the province, as local councils band together to legally challenge the decision.
Health Minister David Cunliffe yesterday took the rare action of firing the board and replacing it with
Sir John Anderson - the former National Bank boss who has been made the Government's 'Mr Fix-It' at TVNZ and at Wellington's struggling district health board.
But Mr Cunliffe's decision, which follows more than year of acrimony amongst the Hawkes Bay board, has been slated by local mayors who are preparing to use ratepayer money to go to court to overturn the mass dismissal.
Labour lost the Hawkes Bay electorate seats of Napier and Tukituki in 2005, and it will be keen to avoid a public backlash against the dismissal of a board which was elected by voters only last October.
Hastings Mayor Lawrence Yule told the Herald last night he was "appalled" by the sacking and his council would be meeting today to pass a resolution to be part of collective court action with four other councils.
"We understand how significant this is," Mr Yule said.
"But that's how we all feel, and that's how we believe our community feels. These are very highly respected people, and we're not going to just stand by and accept it."
Mr Yule said the action would involve seeking a judicial review of Mr Cunliffe's decision, based on it fairness and reasonableness. The councils contemplating the action are Hastings District, Hawkes Bay Regional, Napier City, Wairoa District and Central Hawkes Bay District, Mr Yule said.
The health board's sacking follows a stern warning from Mr Cunliffe a week ago that he was "seriously dissatisfied" with itsperformance.
Yesterday he said it was not necessary for him to try to conclude who was right and who was wrong in the disputes within the board. Instead, it was clear to him that tensions at the board meant the current situation was "unsustainable" and a fresh start was required.
Mr Cunliffe said he was confident his decision would stand up to any legal challenge.
"This is a very serious step to take, but the information presented to me in the board's own submission confirms that this is an organisation with deep divisions," Mr Cunliffe said.
Hawkes Bay's board ran into trouble when one of its board members had a conflict of interest in an upcoming tender process, and a whistleblower alleged that the board member had inappropriate knowledge of the tender details.
The dispute is the subject of an ongoing inquiry ordered by the former Health Minister Pete Hodgson.
Relations between the board member, Peter Hausmann, and his colleagues have been strained and there has also been tension between board members and the chief executive.
The board is heading for a financial deficit and Mr Cunliffe has accused it of challenging him publicly.
Mr Hausmann yesterday welcomed the sacking, but the board's former chairman Kevin Atkinson accused Mr Cunliffe of an "alarming abuse of political power".
