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Local Government Act 2002 Amendment Bill (No 2)

Introduced on June 9 2016. The bill allows the Local Government Commission to initiate its own investigations in relation to reorganisations. The Bill also includes a provision for local authority-led reorganisations to be able to make submissions on reorganisation, including the establishment of multiply owned CCOs, joint governance arrangements, transfers of powers, boundary changes, and amalgamations. Completed its first reading on June 15 with the Greens and NZ First opposed. Labour indicated its support was conditional. Referred to Local Government and Environment Committee with submissions due by July 27. Already facing fierce opposition from councils with 97% of Local Govt NZ’s members voting in favour of vigorous opposition to any measure in the Bill removing the requirement for community consultation and support in reorganisation investigations and local decision-making of councils or their assets. The Local Government and Environment Select Committee has finished its hearings and was due to report back to the House by October 28 . However the report back deadline has been pushed back to March 31 2017. Report deadline pushed back again to June 16. Reported back with a large number of amendments. Labour, Greens and NZ First wrote a minority view saying while the Bill had improved they had too many misgivings about it to giver their support. Their objections centre around concerns the Bill will give greater central govt control and increase  corporatisation. Completed second reading on June 29 by one vote with National, ACT and United Future in support.  Local Government Minister Nanaia Mahuta said she would introduce changes in the committee stage to disestablish the Local Government Commission in its current form. Once enacted, all reorganisation requests, except for those already accepted by the LGC, will need to meet new requirements for significant community support. Committee stage completed on Oct 15 with amendments passed as earlier suggested by minister. Third reading on Oct 16 with National and ACT opposed. Local Government Act 2002 Amendment Bill (No 2)