Councils in talks to hand over go-getter

By BERNARD ORSMAN

Auckland is set to lose another layer of transport bureaucracy to better manage the region's hotch-potch of bus, ferry and rail services.

Six local councils are negotiating to hand over Auckland Regional Transport Network, which manages, develops and maintains rail stations, ferry terminals and Britomart, to the Auckland Regional Council.

Set up in July 2001, Network has gained a reputation for getting on and improving the region's ferry terminals and dilapidated rail stations.

But part of the Government's pre-Christmas package to sort out Auckland's transport problems was the rationalisation of public bodies. The first step was the creation of two bodies under the ARC - Auckland Regional Holdings, which this month took over the $1.3 billion of community assets held by Infrastructure Auckland; and the Auckland Regional Transport Authority, to plan, finance and fix public transport. The next step is the handover of Network to the ARC.

Chris McKenzie, a senior adviser to Finance Minister Michael Cullen, said that to provide a coherent transport system for Auckland it was felt that Network should be part of the new ARC structure.

The councils and ARC are keen to conclude a deal once they have resolved some sticking points.

The councils want to retain commercial opportunities, such as developing land held by Network; and the ARC is concerned about future liabilities, such as depreciation and operational costs.

Many of Network's 23 staff - a highly regarded and highly skilled workforce, said one source - are expected to transfer to the ARC.

The handover will produce savings. A Herald investigation last year, showing that local government in Auckland cost more than $1 billion a year and employed 5800 staff, found that Network had 28 staff at the time, a wages bill of $2.41 million and paid $179,192 to seven directors.