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Home / New Zealand

All-of-government approach needed for future: Palmerston North Mayor Grant Smith

By Grant Smith
Manawatu Guardian·
8 Mar, 2024 04:59 AM3 mins to read

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Will Palmerston North get its much-needed freight ring road? Photo / Palmerston North City Council

Will Palmerston North get its much-needed freight ring road? Photo / Palmerston North City Council

OPINION

It’s no secret local government is under considerable pressure.

Council business is a delicate balancing act. We must meet legislative mandates while living up to the expectations of residential and commercial ratepayers - even if the current economic climate means things are going to be trimmed.

While national attention has been focused on infrastructural and transport problems in Auckland and other metros, smaller territorial authorities are also facing huge costs over infrastructural management, maintenance and compliance.

This is before councils embark on any aspirational projects to meet social obligations for improving public amenities or enhancing community wellbeing.

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Centrally imposed mandates for Three Waters, environment, recycling, earthquake strengthening and construction are going to cost tens of millions of dollars. Do those who set these policies actually know or care where the money for all this is coming from?

The burden will, of course, fall primarily on ratepayers. However, with eyewatering double-figure percentage rates increases being touted by some councils to meet these obligations, it’s obvious local government needs new revenue streams.

That’s why I want central government to share some of its tax and rate income with local councils and their communities. Rather than simply blaming local government for shortcomings, central government needs to work alongside councils in an all-of-government partnership.

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After all, smaller cities and their surrounding districts are all pocket engine rooms of the wider national economy.

Local Government Minister Simeon Brown has said he is not in favour of bailing out councils - and we are certainly not asking for that. But he has hinted that local GST proceeds could be considered to alleviate the financial pressures on local government – a measure I have long advocated.

We in Palmerston North and Manawatū District are missing out on targeted central government investment.

While we need a freight ring road, some of our local transport taxes and road user charges are diverted to Auckland and Wellington.

We have a large regional hospital servicing nearly 600,000 people across the lower North Island offering advanced oncology treatments that finds itself on a lengthy waiting list for promised upgrades.

Palmerston North deserves better.

We all want to live in a place that is attractive, vibrant and open to creativity.

While vital, the nuts and bolts of council business is more than simply pipes, roads, footpaths and rubbish collection. It’s also parks, sports grounds, recreational areas, stadiums, community halls, theatres, libraries, public housing, streetscaping and swimming pools fostering an environment that encourages business innovation, prosperity and job growth.

 Simeon Brown has said he is not in favour of bailing out councils. Photo / Mark Mitchell
Simeon Brown has said he is not in favour of bailing out councils. Photo / Mark Mitchell

These all contribute to cohesive, resilient and engaged communities, and thanks to several generations of wise council stewardship, Palmerston North has plenty to be proud of.

The city’s draft Long-term Plan sets out how we hope to meet our future obligations, and this document, along with considerations about a new way of setting rates, will be open for public consultation in April.

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I urge you to look at what the council is proposing and let us know your reaction. Full details on the LTP proposals and the process for your constructive feedback are at pncc.govt.nz, the council’s Facebook page, through libraries, and at the Customer Service Centre.

Let’s also celebrate our region’s agrarian foundations and our food innovation-focused future with the New Zealand Rural Games at Te Marae o Hine/The Square this weekend and Central Districts Field Days next week.

Grant Smith is the mayor of Palmerston North.


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