Young girls were learning from older prostitutes, she said.
"They tell me they are doing it because they can. It's legal."
During a night walk of the area, Ms Lole-Taylor spoke to one girl aged 13 who said she made up to $600 a night.
"She even told me the prices she charges for the different sexual services," Ms Lole-Taylor said.
The families of many of the girls had no idea they were sex workers. "They [the girls] had given the impression they had gone to a friend's place to do some homework."
Board chairman John McCracken said Otara was the latest South Auckland area where the street sex industry had become established, joining Otahuhu, Manurewa and Papatoetoe.
Last month a parliamentary committee heard submissions on an Auckland Council bill that would allow bylaws banning street prostitution from the city's troublespots.
It would give police powers of arrest and allow fines of up to $2000 for street workers and their clients.
However, the bill did not go far enough and would not protect underage girls, said Ms Lole-Taylor, who has drafted a separate bill to have sex work moved off the streets completely.
Nightwork
$600 One teen's reported nightly earnings
20 to 30 Young girls linger on the corners in Otara.