Regional-approach issues seen

Wairarapa councils would find it difficult to take on regional-council functions, the latest Morrison Low report on local governance shows.

While a Wairarapa unitary authority would be in a deficit of about $8.6 million, a Wairarapa district council would create a surplus of about $1.6 million.

For a unitary authority, it was assumed the three Wairarapa district councils would amalgamate and take on regional council services in Wairarapa - but the Greater Wellington Regional Council does not record expenditure for Wairarapa specifically.

Costs of the regional council were worked out as a percentage of the total expenditure as budgeted in year one (2012/13) of the council's 2012-22 Long Term Plan.

The report said a unitary authority would suffer from not having the greater purchasing power of the larger Wellington regional council.

The risks were a funding shortfall to deliver services at existing levels, and a loss of having environmental standards set and enforced by a separate authority.

District council figures were worked out on the assumption the three Wairarapa district councils would amalgamate.

The consultants assumed budgeted income and expenditure for the councils for the 2012/13 year of the long-term plans were combined. Some potential savings were identified, such as in purchasing and roading contracts, but the report said much of the benefit of the combined district council would be better co-ordination of services, standardisation of bylaws and policies, and streamlined decision-making.

The Wairarapa Governance Review Working Party will present a final report on its preferred option, after considering other information, and residents will have the opportunity to give their views on a draft proposal for change in Wairarapa.

Governance in the Wellington region is also under review, which will affect any possible changes in Wairarapa.

The Wairarapa mayors said yesterday that the local decision would not be as simple as deciding to go it alone.

"It is unlikely to be as simple as becoming a Wairarapa district council and leaving regional functions to Greater Wellington when that possibility depends on reorganisation proposals that might be made by other councils," they said.

The report is available online at: www.wairarapasfuture.govt.nz

The numbers

Wairarapa district council:

- Revenue: $64.5 million

- Expenditure: $62.9 million

- Surplus: $1.66 million

Wairarapa unitary authority:

- Revenue: $73.9 million

- Expenditure: $82.5 million

- Deficit: $8.6 million