Latest news with #RangitīkeiDistrictCouncil
NZ Herald
26-05-2025
- Business
- NZ Herald
Bigger may be better: Late advice shake-up forces councils to rethink water reform plans
At a meeting on Thursday, Rangitīkei District Council confirmed its preference to establish a multi-council water services council-controlled organisation (WS-CCO) under the Government's Local Water Done Well reforms. The three-council proposal remains on the table, but Rangitīkei unanimously resolved to progress 'newly ignited conversations' with Palmerston North City Council and Horowhenua District Council. The surprise move comes after new guidelines from the Department of Internal Affairs, the Local Government Funding Agency, and the Commerce Commission on achieving economy of scale and financial sustainability requirements. Rangitīkei Mayor Andy Watson said the Rangitīkei, Ruapehu and Whanganui councils were newly approached in early May about collaborating with the Palmerston North and Horowhenua councils to form a larger entity. A key element of the new guidance was that a WS-CCO servicing 50,000 connections would achieve the greatest cost efficiencies for bill payers. 'The understanding that 50,000 connections would unlock greater savings for all those involved has absolutely contributed to other councils re-entering discussions about a wider model,' Watson said. A three-council entity with Rangitīkei, Ruapehu, and Whanganui councils would service about 31,000 connections. Rangitīkei consulted with residents in March on three models for the future of water services delivery: A multi-CCO with Whanganui and Ruapehu district councils (the preferred model). Keeping the status quo of in-house delivery. A multi-CCO with as many councils in the Manawatū-Whanganui region as possible. At the time, the third option was not viable because other councils had indicated they preferred alternative models. Following the latest advice, talks have reopened on a wider regional approach. Rangitīkei was now awaiting the decisions of its potential partners, Watson said. Staff would finalise the water services delivery plan by September 3. 'We will inform Rangitīkei residents as soon as the final grouping of councils is clear,' Watson said. 'This is one of the biggest decisions councils will make for their communities in decades.' A decision in Whanganui was deferred on Tuesday to an extraordinary council meeting in early July. Mayor Andrew Tripe said four viable delivery options remained on the table: a multi-CCO with Ruapehu and Rangitīkei, a Whanganui District Council CCO, a multi-CCO with as many councils as possible, and an in-house business unit. Most community feedback showed residents felt Whanganui had invested well in its water assets and did not want to 'cross-subsidise' other councils. 'However, we are looking at a joint council proposal which could include a non-harmonised model, ring-fencing costs for each council but giving the benefits of scale – otherwise known as local pricing.' The council was continuing to back a three-council model as the best level of scale to achieve cost benefits, but Tripe said the possibility of achieving 'greater scale' would be investigated. Under local pricing, residents within each district would be charged on the same basis as currently, but any savings were shared. Advertise with NZME. 'All three councils' customers in this case benefit from these savings, while paying costs that relate only to the delivery of services in their district. So customers pay less than they would have if councils were to go on their own.' The cost benefits could be around $18,000 per Whanganui connection over 30 years, or $588 a year. 'Local pricing may also offer further savings to Whanganui if there is a greater scale, something which requires further investigation.' Tripe said councils took their preferred options to consultation before the new guidelines were received. 'It is pertinent that we consider them now, as considerations such as public liability and ring-fencing of assets, even with an in-house model, do come at a cost. 'The adoption of a water services delivery plan for our district is one of the most significant changes to local government in decades. 'It is vital that we do not rush this process.' On Wednesday, Ruapehu district councillors decided to ditch a standalone option in favour of the three-council CCO and investigating a wider regional entity to reach the 50,000-connection threshold. The decision brings potential collaboration with Waikato back to the table. The Ruapehu council will engage with its community on the new information and options available. No new preferred option will be offered. The council will meet on June 25 to make a final decision.
Scoop
24-05-2025
- Business
- Scoop
Bigger May Be Better: Late Advice Shake-Up Forces Councils To Re-Think Water Reform Plans
Plans for the future of water services in the Whanganui, Rangitīkei and Ruapehu districts are in disarray after late advice from government agencies. The district's three councils have been weighing options for drinking water, wastewater and stormwater reform after identifying and consulting on a joint water services entity as their preferred model. But the eleventh-hour advice is shaking up proposals by smaller councils to continue providing standalone services or with small clusters of neighbours in joint models. In the central districts, councils are scrambling to re-open talks on forming bigger regional collectives. At a meeting on Thursday, Rangitīkei District Council confirmed its preference to establish a multi-council water services council-controlled organisation (WS-CCO) under the Government's Local Water Done Well reforms. The three-council proposal remains on the table, but Rangitīkei unanimously resolved to progress 'newly ignited conversations' with Palmerston North City Council and Horowhenua District Council. The surprise move comes after new guidelines from the Department of Internal Affairs, the Local Government Funding Agency and the Commerce Commission on achieving economy of scale and financial sustainability requirements. Rangitīkei mayor Andy Watson said the Rangitīkei, Ruapehu, and Whanganui councils were newly approached in early May about collaborating with the Palmerston North and Horowhenua councils to form a larger entity. A key element of the new guidance was that a WS-CCO servicing 50,000 connections would achieve the greatest cost efficiencies for bill payers. 'The understanding that 50,000 connections would unlock greater savings for all those involved has absolutely contributed to other councils re-entering discussions about a wider model,' Watson said. A three-council entity with Rangitīkei, Ruapehu and Whanganui councils would service about 31,000 connections. Rangitīkei consulted with residents in March on three models for the future of water services delivery: • A multi-CCO with Whanganui and Ruapehu district councils (the preferred model). • Keeping the status quo – in-house delivery. • A multi-CCO with as many councils in the Manawatū-Whanganui region as possible. At the time, the third option was not viable because other councils had indicated they preferred alternative models. Following the latest advice, talks have re-opened on a wider regional approach. Rangitīkei was now awaiting the decisions of its potential partners, Watson said. Staff would finalise the Water Services Delivery Plan by September 3. 'We will inform Rangitīkei residents as soon as the final grouping of councils is clear,' Watson said. 'This is one of the biggest decisions councils will make for their communities in decades.' A decision in Whanganui was deferred on Tuesday to an extraordinary council meeting in early July. Mayor Andrew Tripe said four viable delivery options remained on the table: a multi-CCO with Ruapehu and Rangitīkei, a Whanganui District Council CCO, a multi-CCO with as many councils as possible, and an in-house business unit. Most community feedback showed residents felt Whanganui had invested well in its water assets and did not want to 'cross-subsidise' other councils. 'However, we are looking at a joint council proposal which could include a non-harmonised model, ring-fencing costs for each council but giving the benefits of scale – otherwise known as Local Pricing.' The council was continuing to back a three-council model as the best level of scale to achieve cost benefits, but Tripe said the possibility of achieving 'greater scale' would be investigated. Under Local Pricing, residents within each district would be charged on the same basis as currently, but any savings were shared. 'All three councils' customers in this case benefit from these savings, while paying costs that relate only to the delivery of services in their district. So customers pay less than they would have if councils were to go on their own.' The cost benefits could be around $18,000 per Whanganui connection over 30 years, or $588 a year. 'Local Pricing may also offer further savings to Whanganui if there is a greater scale, something which requires further investigation." Tripe said councils took their preferred options to consultation before the new guidelines were received. 'It is pertinent that we consider them now, as considerations such as public liability and ring-fencing of assets, even with an in-house model, do come at a cost. 'The adoption of a water services delivery plan for our district is one of the most significant changes to local government in decades,' Tripe said. 'It is vital that we do not rush this process.' On Wednesday, Ruapehu district councillors decided to ditch a standalone option in favour of the three-council CCO and investigating a wider regional entity to reach the 50,000-connection threshold. The decision brings potential collaboration with Waikato back to the table. The Ruapehu council will engage with its community on the new information and options available. No new preferred option will be offered. The council will meet on 25 June to make a final decision.
Scoop
22-05-2025
- Business
- Scoop
Rangitīkei District Council Confirms Collaborative Approach To Water Reforms
At the Council meeting held Thursday 22 May 2025, Rangitīkei District Council cemented its desire to work collaboratively with neighbouring councils to establish a Water Services Council-Controlled Organisation. It unanimously resolved to progress newly ignited conversations with Palmerston North City Council and Horowhenua District Council, alongside Whanganui and Ruapehu District Councils - should they choose to. Rangitīkei District Council consulted with residents in March on three models for the future of water services delivery in Rangitīkei, as required by Local Water Done Well. Model 1: A Multi Council-Controlled Organisation with Whanganui District Council and Ruapehu District Council (Council's preferred model). Model 2: Keep the status quo – inhouse delivery. Model 3: A Multi Council-Controlled Organisation with as many Councils in the Manawatū-Whanganui region as possible. At the time of consultation, Model 3 - the development of a Council-Controlled Organisation with as many Councils in the Manawatū-Whanganui region as possible, was not viable. This was because other Councils had indicated a preference for alternative models. In early May 2025, Rangitīkei, Ruapehu, and Whanganui District Councils were approached about collaborating with Palmerston North City Council and Horowhenua District Council to form a larger entity. 'We have received new guidance from the Department of Internal Affairs, the Local Government Funding Agency, and the Commerce Commission on the role each will play in the regulation of Local Water Done Well, and how Councils can best achieve economies of scale in a Water Services Council-Controlled Organisation,' says Rangitīkei Mayor, Andy Watson. A key element of this guidance is that a Water Services Council-Controlled Organisation servicing 50,000 connections would achieve the greatest cost efficiencies for bill payers. 'The understanding that 50,000 connections would unlock greater savings for all those involved has absolutely contributed to other councils re-entering discussions about a wider model,' says Mayor Andy. In the meeting, Mayor Andy extended an apology to Rangitīkei residents that the consultation document presented was not as comprehensive as Council would have liked; 'Government timelines are tight. Councils across New Zealand have had to consult with their communities without a full picture of what Local Water Done Well will look like, and certainty around how it will be implemented.' Of the 90 submissions received during public consultation, feedback was largely supportive of Council's preference to collaborate. Feedback also indicated Council's preferred model at the time - a smaller entity with Ruapehu and Whanganui District Councils (servicing approximately 31,000 connections) - would ensure local voice was balanced alongside the desire to decrease cost. There was concern from some submitters that an organisation too big would silence the Rangitīkei voice. Deputy Mayor and Central Ward Councillor, Dave Wilson, addressed these concerns directly, Deputy Mayor and Central Ward Councillor, Dave Wilson, addressed these concerns directly, assuring Rangitīkei residents that local voice will be prioritised in the governance structure of any future entity. 'Local voice remains central and will be prioritised. I understand and appreciate the concerns shared by our communities; however, I am also confident Rangitīkei voice will be protected in a larger Water Services Council-Controlled Organisation because that is the desire of Rangitīkei District Council,' said Councillor Wilson. Rangitīkei District Council will look to ensure that the constitution of the new Water Services Council-Controlled Organisation identifies key issues where agreement among the councils is required. In addition, Council accepted the preference expressed by Rangitīkei rural water supply schemes to not be transferred to the new entity. Partnership with iwi was also top of mind. Rangitīkei District Council resolved to continue working with Rangitīkei iwi and hapū on how best to combine their responsibilities as kaitiaki of the water ways and land with the councils' responsibilities for a safe and efficient provision of water services. The strong working relationship Rangitīkei District Council has with its neighbours was seen by Councillors and staff as a real strength of its strong negotiating position. Rangitīkei District Council Chief Executive, Carol Gordon, reiterated that relationships built on trust and transparency have been and will continue to be central to success. Rangitīkei District Council's decision is subject to its potential partners making their decision clear in the coming month: Palmerston North City Council will make its decision Wednesday 4 June Horowhenua District Council will make its decision Wednesday 4 June Ruapehu District Council will make its decision Wednesday 25 June Whanganui District Council will make its decision in early July Once all decisions have been made, staff will finalise the Water Services Delivery Plan which must be submitted to Government by September 3, 2025. We will inform Rangitīkei residents as soon as the final grouping of councils is clear. 'This is one of the biggest decisions Councils will make for their communities in decades. The three waters, Local Water Done Well debate has involved a huge workload over the last few years. 'I thank all who have engaged in this important work, and the staff who have worked incredibly hard to get to this stage. I am so proud of our Councillors and their drive to deliver long-term benefit for Rangitīkei,' says Mayor Andy.
Scoop
11-05-2025
- Business
- Scoop
Future Of Marton Swim Centre Decided
At the Council meeting held Wednesday 30 April 2025, Rangitīkei District Council decided on a path forward for reopening the Marton Swim Centre. Council have opted to do basic repairs to get the pool open as soon as possible. These repairs include replacing the roof, earthquake strengthening the Marton Swim Centre building to a minimum 67 percent of New Building Standards, and replacing or upgrading assets that are nearing end of life. Council's preference is look at new innovations, such as replacing the iron roof with one that lets daylight into the facility, whilst maintaining the structural integrity of the building. At the meeting, Councillors unanimously recognised that the Marton Swim Centre is important to Rangitīkei, and that it should be made available as soon as possible. While the total cost of repairs is yet to be finalised, the operational budget that is normally allocated to the Marton Swim Centre may be absorbed into the overall budget for the project. In addition, a private funder has approached Council with an offer to contribute to repair works. While Council's decision gives certainty for residents of the swim centre's future, the consent process and current availability of potential contractors may mean that it will remain closed until the middle of 2026 at the earliest. In the meeting, Council noted that the prolonged closure of the pool will be frustrating for residents, especially for many who rely on the facility during the summer season. 'Staff will continue to work with our swimming centre contractors, Community Leisure Management (CLM) on alternative swimming and recreation options for the 2025/26 summer swim season. With a clear direction from Council, we now have time to plan for the upcoming season,' says Rangitīkei District Council Chief Executive, Carol Gordon. Staff will now work with engineering contractors, Create Architects & Engineers, to determine the final scope of the work needed at the swim centre based on the resolution from Council. Councillors will be presented with finalised design options and cost estimates at an upcoming meeting, before a call for tender is put out.
