National Cabinet ministers are questioning Local Government Minister and Act leader Rodney Hide's choice to chair the agency to design Auckland's Super City, according to a senior National Party figure.
The source said there were concerns about Mark Ford - chief executive of the region's water wholesaler Watercare Services - who Mr Hide has put forward to Cabinet to chair the Auckland Transition Agency.
Some National Cabinet ministers are believed to favour the "highly respected" accountant and Bank of New Zealand chairman John Waller, who has none of the baggage that Mr Ford would bring to the complex, public and controversial job of restructuring the eight councils into a single entity.
The appointment of the five-strong agency and chairman was delayed by Cabinet on Monday by what Labour leader Phil Goff called the "Rankin" effect - a reference to the fallout from the Government's appointment last week of Christine Rankin to the Families Commission.
Prime Minister John Key signalled a new, ultra-cautious approach by saying it was important to find a chairman with the right leadership skills for such a big job.
"I just want to make sure that person can discharge those responsibilities professionally and appropriately to the standards that we require to make sure the Super City is successful," Mr Key said.
The National source said there were concerns about Mr Ford's conflicts of interest as Watercare chief executive and chairman of the Auckland Regional Transport Authority.
What's more, Mr Ford had wanted to stay on as Watercare chief executive and keep his annual salary of $560,000 to $570,000, the source said.
Last month, Mr Ford was the subject of an anonymous smear campaign. It stated he had a "secret transition plan" for the water industry largely written by the company's corporate relations manager, David Hawkins, who as a former mayor of Papakura pushed through privatisation for the management of the district's water services.
Mr Ford said a "draft implementation plan" had been prepared but refused to release it because it contained confidential information.
In the 15 years he has been Watercare chief executive, Mr Ford has overseen several major infrastructure projects, such as the upgrade of the Mangere sewage plant and installation of the Waikato pipeline.
He has a strong management style - which various sources have described as "rigid" and "blokey" - and keeps a low public profile.
Another contender for the agency is former Maori Television chairman Wayne Walden.
North Shore Mayor Andrew Williams and the Green Party have also criticised Mr Hide for appointing Super City lobbyist Grant Kirby to the Local Government Commission with special responsibility for liaising with the transition agency.
The commission has the job of drawing up the boundaries for the new Super Auckland Council and 20 to 30 local boards under it.
Green Party local government spokeswoman Sue Kedgley said Mr Kirby's appointment undermined the independence of the Local Government Commission and exposed Mr Hide's cronyism to push through his Super City plans unopposed.
Super City choice questioned in Cabinet
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