The biggest challenge facing councils in high-growth areas was financing the infrastructure needed to service that growth.
"We put in lead infrastructure that has to be paid for when it goes in. The challenge around paying for it was to maintain the unused part," he said. For instance, when Tauranga's $100 million Southern Pipeline gets turned on, only 25 per cent of its capacity would be used. The challenge was to maintain the other 75 per cent until development fees had soaked up the rest of the pipeline's cost.
"When you talk about zero costs, it is very difficult and sometimes you have got to charge something else out," Mr Crosby said.
As for restructuring and amalgamations, he said the Government's reform package was back to front. It should decide what functions local government should be involved in before it chose the best governance method. He said it was generally accepted that the bill was driven by a knee-jerk reaction by the original architect of the reforms, former Local Government Minister Nick Smith.
"I have the distinct impression the Government wishes it had not started this process because they have bigger problems. Hopefully,it will listen to councils and modify the bill. There are some good parts to it."