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Home / New Zealand

City spending irresponsible - councillor

Vaimoana Tapaleao
By Vaimoana Tapaleao
Pasifika Editor·NZ Herald·
24 Feb, 2009 03:00 PM2 mins to read

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KEY POINTS:

Manukau City Council's high spending is out of control and irresponsible during a recession, a councillor says.

Up to $1.8 billion of projects - including sports facilities, housing developments, IT projects and council office refurbishments - are being considered in the council's 10-year plan and budget, set to
be finalised next month.

But Botany-Clevedon councillor Michael Williams says $1.8 billion is too much for the council to be spending, given the global financial crisis.

"It's irresponsible," he said. "There's only so much we can borrow from the banks. If council go and borrow the liquidity that businesses need at the moment, there will be nothing to grow the economy with."

Mr Williams said the council's annual capital expenditure had risen from $55 million in 1999 to $200 million in 2009.

He said proposals and ideas put forward by some councillors to save money - including cutting back or deferring projects such as repairing cracked pavements - were often dismissed during council meetings.

"It just doesn't seem to have got through to councillors that the days of profligate spending are over," Mr Williams said.

"Our children are being born with a millstone of debt around their necks - they will either have to scrimp and save to pay high rates to fund interest on the debt or leave the country to escape it."

Mayor Len Brown was not available for comment yesterday. A council representative said Mr Williams was entitled to his opinion but the council was yet to finalise its budget for the year.

"The council is considering a proposed budget which will be further discussed on March 5. The budget will then go for audit before the final draft is approved on March 31."

The council is asking for feedback from the public on its 10-year plan via www.tellusyourmanukau.govt.nz.

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