Waikato District Council Mayor Jacqui Church called into the studio to chat about pressing challenges for the district, with a particular focus on the ongoing Three Waters situation. She highlighted Hamilton City's recent move to establish its own entity and the options currently available to Waikato District Council (WDC).
Serving nearly 90,000 residents over a region comparable in size to Auckland presents unique challenges for delivering water services. “Being a rural community, it’s tougher for us to manage debt due to our spread-out nature. Only around half of our district's 35,000 ratepayers are connected to reticulated water and wastewater services,” WDC Mayor Jacqui explained in the interview. In contrast, Auckland serves nearly two million people.
With Hamilton City Council moving forward with their own entity, three options are currently under consideration: establishing a Council-Controlled Organisation (CCO) to manage water services independently, collaborating with Hamilton City Council, or joining forces with Waikato Waters Done Well—a coalition of several councils exploring a unified water services model.
The previous Labour government’s reforms aimed to make water services more affordable nationwide by distributing taxpayer funds more equitably. However, with control now returned to councils under the National-led government, local authorities are pursuing their own solutions with fears that smaller rural councils will end up with a much higher burden.
A major consideration for WDC is balancing debt repayment. With significant debt anticipated, Jacqui, while stressing that this was her personal view and not that of the Council, she would like to engage the community in discussing the level of water services they expect and are prepared to fund. The Waikato District’s vast geography adds complexity for ratepayers.
Waikato is also a Tier 1 growth district and is among New Zealand’s fastest-growing areas. This growth impacts affordability, as water service costs have escalated. For ratepayers on reticulated services, targeted rates could reach alarming levels by year ten, potentially hitting $6,000 per ratepayer. “We’re just three years into our Long-Term Plan, so these figures are concerning,” Jacqui said.
Looking Ahead: Long-Term Planning
As the council prepares for its long-term plan to be finalised next year, it faces significant challenges in maintaining business as usual. They have already produced an enhanced annual plan in response to government funding and changes to three waters.
WDC is proposing a 6% annual budget increase over the next two years and is assessing how to manage rate increases while being mindful of residents' financial situations and the implications for community services.
Despite assumptions of inactivity, Jacqui says the council has sought continuous improvements over the past 12 years. She also emphasises the need for equitable distribution of funding.
“Resources must be allocated equitably to address growth areas and potential pressures,” she said. Raglan, for example, with a population of around 4,000, sees visitor numbers rise up to 400% in summer, putting stress on local resources.
“Our focus is on doing the right things at the right time,” Jacqui stated. “If we make a promise, we must deliver on it—on time and within budget.”
Māori Ward Seats
Discussing Māori representation, Jacqui affirmed the council’s commitment to a referendum on Māori ward seats. “Saying no to these seats was not sustainable,” she said. Her commitment was demonstrated early on in her tenure as Mayor with the unveiling of a portrait of King Tūheitia alongside the portrait of King Charles in the council chambers in May 2023, reinforcing the council’s connection to the community and the Waikato’s district’s identity.
Jacqui expressed optimism about increasing cultural openness in the community, sharing an anecdote about an elderly man keen to learn te reo Māori alongside his granddaughter.
Ministerial Visits in the Waikato Region
In recent discussions with Minister Bishop and local leaders, a future-proofing project involving Waikato District, Hamilton, Waipa, and Matamata-Piako Councils was discussed, aimed at supporting growth across these regions. Jacqui appreciated Minister Bishop’s emphasis on collaboration within the Golden Triangle—Auckland, Waikato, and Tauranga.
However, she acknowledged concerns about government austerity measures, which means while there is no funding for essential projects like the Huntly wastewater treatment plant, this project being fast-tracked will make it easier to progress once the money is available. “The government is currently focused on growing productivity, not redistributing funds,” Jacqui explained, meaning councils must advance projects without direct financial support.
Despite these challenges, Mayor Church stressed the importance of maintaining strong relationships with the central government to demonstrate the district’s clear direction through its 50-year plan. “We want them to see that we’re capable of delivering outcomes,” she said, adding that the council will continue to innovate, manage costs and forge a path forward.