Future for Local Government review

Read the final report from the review into the future of local government.

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Final report released June 2023

Tasman welcomes the Future for Local Government Report

The Future for Local Government review panel has released its final report, which presents recommendations and findings about critical changes needed to ensure local government can best support local democracy, intergenerational wellbeing, and Te Tiriti partnership in the years ahead.

Many of the recommendations reflect the work we already have underway or are already prioritising and doing well, especially as a unitary Council.

One of the conclusions of the report is that the structure and operation of all councils will need to be renewed to ensure local government is fit for the future.

The report’s suggested changes are significant, implementation would take time and coordination, and there will be no certainty until after this year’s general election.

We are working alongside our elected members to give the content of the report careful consideration for how the proposed changes would impact Tasman communities.

The report proposes a two-year locally led consultation period to determine a structure that would best meet local needs.

This is a real opportunity for our region to shape its own future and determine what works best for its communities – we appreciate one size does not fit all.

What is important is that wellbeing, value, delivery, efficiency and effectiveness are at the core of local government.

While we see how this unfolds, it is essential that we stay focused on continuing to deliver for our communities.

The final report, He piki tūranga, he piki kōtuku, proposes 17 recommendations to enable local government to better serve communities across Aotearoa New Zealand. Read the full report here.(external link) 

Read our submission

The Review into the Future for Local Government recently invited feedback (feedback closed 28 February 2023) on its draft Report which outlined recommendations that could make a major difference to the way our system of local governance and democracy works in Aotearoa.

This Review provides a significant opportunity for us all to think about how local government should evolve over the next 30 years and beyond.

We submitted on the draft Report, supporting the general intent but proposing several changes.

We agree that significant change to local governance is needed, and we want our community to be better off, not worse off, from any reform.

We emphasised that a review of central government responsibilities is also needed, with the concept of subsidiarity as a key principle.

Central government agency boundaries should align with regional boundaries to improve customer experiences and deliver more efficient services.

Population-based funding models do not work well for our large District. We recommended a more equitable approach to funding that considers both population and density, as well as the access to and availability of services and infrastructure for our communities.

The unfunded mandates set by central government must end and the funding system for local governance needs to be reviewed.

We strongly encouraged continued engagement with local government, iwi and communities throughout this process; the voices of all New Zealanders should be heard. The search for a perfect outcome should not negate embracing opportunities for a better local governance system.

Read the full submission here (pdf 336 KB)

Draft report released

The draft report, He mata whāriki, he matawhanui, outlines the need for a local governance system in Aotearoa that is community-focussed and citizen-centred, based on strong relationships and partnerships.

This report, released on 28 October 2022, intends to provoke further discussion and invites submissions to shape our final report and recommendations. Read the report on their website(external link)

Background

In April 2021 the Minister of Local Government, Hon Nanaia Mahuta, established a review into the future of local government. The review was to consider, report back and make recommendations on the roles and functions of local government into the future. 

The purpose of the review was stated as being to identify how New Zealand’s system of local democracy and governance needs to evolve over the next 30 years to ‘improve the wellbeing of New Zealand communities and the environment, and actively embody the Treaty partnership’. 

The review will focus on how local government will be a key contributor to the success and wellbeing of New Zealand, and an essential connection to communities in the governance of Aotearoa. Its scope will include looking at the roles, functions and partnerships; representation and governance; and funding and financing arrangements of Local Government. 

The timeline for the review has been given as: 

30 September 2021 28 October 2022 30 June 2023
Interim report presented to the Minister signalling the probable direction of the review and key next steps. Draft report and recommendations to be issued for public consultation. Review presents final report to the Minister and Local Government New Zealand (LGNZ).

The interim report

Ārewa ake te Kaupapa: Raising the platform

The Future for Local Government Panel has released its interim report.

You can read the full report here.(external link)

The report sets out the review’s broad direction and involved initial scoping and early engagement to enable a future-focused review of the local governance system. It also identifies priority questions and lines of inquiry. The headlines are summarised below:

Key themes from engagement so far

  • The current system of local government is under pressure – some local authorities face significant funding and capacity issues, and all face onerous compliance requirements. 
  • The relationship between local and central government is characterised by misunderstanding and mistrust. It needs work to build trust, so both can maximise their contributions to local wellbeing.
  • Current arrangements place too many consultation and engagement demands on iwi and Māori without improving Māori wellbeing. 
  • Current arrangements do not ensure that diverse communities are adequately represented or involved in decision-making. As a result, local authority decisions do not effectively represent all community interests. 
  • Current approaches to local governance are not fully meeting business sector needs, or effectively fostering innovation at a local level.
  • Any reforms should build on existing and inherent strengths, including local knowledge and the place-making role of local authorities. 
  • One size does not fit all – any new local authority structures should be tailored to meet the needs of diverse communities and circumstances. 
  • In a reshaped system of local governance, iwi and local authorities can be stronger partners – by working together at local and iwi rohe levels they can boost shared prosperity and wellbeing. 
  • New approaches to funding and financing mechanisms will be needed to ensure local authorities are viable and sustainable, and to improve equity. 
  • Changes to representation and electoral arrangements should be considered in order to strengthen local democracy, decision making, and leadership. 

Priority questions

  1. How should the system of local governance be reshaped so it can adapt to future challenges and enable communities to thrive?
  2. What are the future functions, roles and essential features of New Zealand’s system of local government?
  3. How might a system of local governance embody authentic partnership under Te Tiriti o Waitangi, creating conditions for shared prosperity and wellbeing?
  4. What needs to change so local government and its leaders can best reflect and respond to the communities they serve? 
  5. What should change in local governance funding and financing to ensure viability and sustainability, fairness and equity, and maximum wellbeing?

What happens next?

The next stage of the review will involve a broader public engagement about the future of local governance and democracy in New Zealand, alongside research and policy development. In the coming months, the panel has committed to engaging with communities and organisations around the country about these priority questions as it considers the future system of local governance. 

Information and opportunities to engage are available on the dedicated website - futureforlocalgovernment.govt.nz(external link)

After completing that work, the Panel will report to the Minister of Local Government with draft findings and recommendations. Under their terms of reference, that report is due to the Minister by 28 October 2022.