Ryall Tony: Questions for Oral Answer — Questions to Ministers 
Ryall Tony: Questions for Oral Answer — Questions to Ministers 
[Volume:611;Page:8615] 
9.  
Hon TONY RYALL (NZ National—Bay of Plenty) 
 to the  
Minister of Local Government 
: Does he agree that the Local Government Act 2002 and other recent Government legislation have contributed to the large increases in rates many ratepayers have faced this year as stated by Local Government New Zealand President Basil Morrison? 
Hon CHRIS CARTER (Minister of Local Government) 
: 
 No. The Local Government Act 2002 makes it clear that it is the responsibility of a council’s elected members to make decisions on the services that a council provides. Those members are of course accountable to their communities for that. 
Hon Tony Ryall 
: What option did those local authority representatives have for dealing with the added compliance costs that the Minister’s Government has added to local councils—for example extra dog control building control and prostitution and gambling regulatory functions—how is it their decision on those costs? 
Hon CHRIS CARTER 
: While it is appropriate for local authorities to fund services that principally benefit their communities local authorities have a wide range of funding mechanisms to recover those costs. 
Moana Mackey 
: Has the Minister seen any reports about the financial impact of the Local Government Act on local authorities? 
Hon CHRIS CARTER 
: Yes. I have seen a report in which the Southland District Council’s chief executive Michael Ross stated that the Local Government Act was based on sound principles that would benefit ratepayers. His mayor Frana Cardno said that the Act is actually saving funds because we have the ability to work together. 
Jim Peters 
: How does the Minister reconcile the recent rates rises which are the first in a long-term process of meeting the costly obligations under the new Act with the Minister’s statement in June that the Local Government Act 2002 would “make it harder for councils to increase rates without good reason.”? 
Hon CHRIS CARTER 
: From 1 July this year the Local Government Act 2002 became operative. In the setting of rates in the next financial year councils will be obliged to engage with their communities in determining those rates. 
Rodney Hide 
: Will the Minister be supporting my Local Government (Rating Cap) Amendment Bill being referred to a select committee or is he worried that local bodies will be coming to Parliament to submit to the bill and putting the blame fairly and squarely on this Government? 
Hon CHRIS CARTER 
: No. 
Hon Tony Ryall 
: Why is the Minister disagreeing with the president of Local Government New Zealand Basil Morrison who has conducted a survey of all the local authorities with the largest rate increases planned in the country and who says that those rate increases are because of the added requirements of the legislation of that Minister’s Government; why is he disagreeing with Mr Morrison and the councils and believing that he himself is correct? 
Hon CHRIS CARTER 
: I am pleased to report to the House that I engage very regularly in discussions with Basil Morrison and will continue to do so. 
Mr SPEAKER 
: The member must address the question. 
Hon CHRIS CARTER 
: There are many things that Mr Morrison and I agree on. There are some things we disagree on. What I can tell this House—as I have just done—is that Mr Morrison and I will continue to dialogue with each other. 
Hon Tony Ryall 
: In order to assist the House can I table the report of Local Government New Zealand which confirms what Mr Morrison the president said and rejects the Minister’s claim? 
Document by leave laid on the Table of the House.