This transcript has been lightly edited for clarity and readability.
Aaron: So, you’re running for mayor again. It seems like an obvious question, but let’s start there – why are you running for a second term?
Jacqui: Because the vision I have, and that our council has, is to progress, rationalise, and make fit-for-purpose our council for the complex society we’re in. Our Long-Term Plan as a mayor and council only begins on 1 July 2025 – we’ve just finished doing that. To really be able to deliver on our long-term plan and vision is why most politicians want that second term. The first couple of years are spent workshopping with your community and audit committees, and then you set your own LTP, applying affordability lenses and the other things that need to be happening with growth.
Aaron: A question I’m asking everyone who’s returning – councillors and community board members – is: what do you feel you’ve achieved over the last three years?
Jacqui: Sure, there’s a lot of things that we’ve achieved. Rates are really difficult and really high, and people have a perception that they’re tough – and they are, particularly when you’ve got a fixed income and we’re in inflationary times post-COVID. There are lots of economic drivers that have suppressed our economy that we don’t have much effect on, but it hurts our pockets when it comes to rates.
We’ve kept below the national average for rates increases. It’s been a national increase across the board, and we’ve been very cognisant, both as a council and for me as mayor, to keep those rates as affordable as possible with the pressures we’ve got. We’re really pleased about that. It’s not pleasing to put any more money on people, but we’ve kept it a lot lower than our neighbours, particularly in northern Auckland and around Hamilton.
For example, our general rate is only at 4.25%. With the targeted rates, when you’ve got people who are attached to waters, we’ve formulated the first approved waters CCO – a council-controlled organisation – with Hamilton, where we are equal partners with them. And that will mean, with the targeted rates for your waters that you’re connected to, in 2026 – which is next year – that debt will shift into that CCO.
And the reason why it’s a good thing is there’s scalability and affordability lenses, as well as many other benefits of that CCO, that will help our ratepayers with those really expensive, highly regulated consents and waters that need to happen. That will also lower pressures over the next few years for our ratepayers as well.
Also, roads are really important to all of us. Eighty-three percent of our roads are actually in our rural area. So even though we’ve got some urban roads, 83% are rural.
One of the key things we’ve been looking at is 600 kilometres – nearly a quarter of our roads – are actually in the unsealed network, which is gravel. In the past, council hasn’t even had any key performance indicators for the asset management of those roads, and that’s just not acceptable, that a county doesn’t understand its own assets. So we’ve got a real focus on understanding the whole of our roading network.
We’ve put in two new contractors this triennium. They started on the first of July this year, 2025, because the procurement process is complicated, long, and needs to be done thoroughly. We’ve done that, and we’re excited about Downer and Fulton Hogan, who are already doing an exceptional job in the last couple of months since they’ve been in from 1 July. Having two new contractors, because in the past, with the previous council, it was the same old alliance contract for 10 years. We’ve changed that.
The other thing is, I’m very aware of the cost expectations. One of my mandates was: stop talking about things and deliver them. If we’ve got a mandate from the people, we need to deliver rather than continue to talk. We have to have talking, we have to have engagement, but we can’t just keep talking and talking.
So in the last triennium we also delivered the wastewater treatment plant in Raglan and the wastewater treatment plant in Te Kauwhata. Those are really big, expensive pieces of capital equipment, and that’s where debt is planned, because they’re hugely expensive to create.
But the Raglan one, for example, came in on time and under budget, and that’s where we’re learning to do things faster and better – the faster we deliver, the lower the cost. I really appreciate the efforts of the local Raglan people and Te Kauwhata people in that engagement. But at the end of the day, we have to scope how long we’re going to discuss things, and then we’re going to stop discussing and deliver them – and that’s what we’ve done.
Debt is a concern for people, but debt is like buying a house: you get a loan and pay it off over a long period of time for affordability. That’s exactly what council does. What we’ve done is planned and consulted debt, based on growth and on big assets like wastewater treatment plants, big roading projects in our towns, and even things around our wharf in Raglan and our walkways. We don’t buy the groceries – we buy assets that are intergenerationally paid off.
So debt is a managed part of that, while keeping rates low. Restructuring with a new chief executive, brought in for the first time in over 20 years. We’ve reduced the senior leadership team from 11 down to 6, and we’re making sure everyone in our operational team has KPIs and performance indicators, right down into the lowest levels of performance, which they didn’t have before.
Aaron: I want to dive into one of the issues you talked about. You’re getting savings with all the new work that’s been done in Three Waters, and you mentioned savings there.
But the reality is, by our calculations, that work is actually going to cost quite a lot – potentially doubling the wastewater rate over the next decade. That’s going to have a big impact on rates, isn’t it, over the next few years?
Jacqui: My calculations might be different to yours, Aaron, so it would be interesting to compare them. What we’ve got in the Long-Term Plan is that, over this period, there’s actually a lowering of the cost per year, per ratepayer, for their targeted water rates.
Aaron: How will you do that when there’s all this work to do? I mean, the government has told councils to do this work, and there are still wastewater plant upgrades and lots of other things needed to bring them up to the new standards. Surely that’s going to cost more money?
Jacqui: But it’s also around the scalability of it, because we have 92,500 ratepayers, Aaron, but only about half are actually reticulated or attached to the main waters – wastewater and drinking water. So that means there are only about 19 or 20,000 who are reticulated.
Editor’s note: The Mayor referred to 92,500 ratepayers. This figure actually reflects the total number of residents in the district, not ratepayers.
We’re partnered with Hamilton City Council, where almost all of their ratepayers are connected. Even though we’re equal partners with Hamilton, we gain scalability because all of those ratepayers will be paying, will align the costing and The focus for the new IAWAI Flowing Waters CCO is on an affordability lens and managing growth.
So we get scalability because more ratepayers across the whole CCO are contributing, whereas at the moment only around 19,000 people are paying. That’s the most efficient and effective way of doing it. Also, with the CCO, the debt is scaled not under the Local Government Act but through more commercial methods, which means we’re paying less each week.
Aaron: All right. You’re running against Aksel Bech, and he’s said a few things I’m sure you’ve had to respond to. One of them is that there’s been a big increase in staff, disproportionate to the growth of the district. What’s your response to that?
Jacqui: Yes, it’s interesting when we take things that are, what I call, clickbait. If I go back to the roading network – the previous council rolled over an alliance [roading] contract in 2020 through to 2022. We’ve moved to a new roading model. But as I’ve said, we didn’t know the KPIs – the key performance indicators – for our assets, or the asset management of our business, which is Council. Anyone who owns a business knows the fundamentals are to understand your assets.
Those assets were being managed through roading contracts, which is proportionally our largest budget outside of governance. So we brought those people inside the Council to better manage for more effective results.
With the new IAWAI Flowing Waters CCO, we’re looking at billions of dollars’ worth of assets being transferred. It’s a huge undertaking, and some of those staff are directed into doing that specialist work for the transfer in the next year.
Another fact about staffing is that, as I’ve said, we’ve restructured and repurposed roles. We actually reduced the headcount of the senior leadership team for the first time in over 10 years. We’re in the business of making things more efficient.
We also have one of the lowest staff-cost ratios in the country. Out of 68 councils in New Zealand, we’re eighth lowest in proportion of staff costs, even though we’re one of the most unique – a tier one, fastest-growing district, the fourth largest and fastest-growing district council in NZ, between Hamilton and the Auckland border.
So, we’re the fourth fastest-growing, but eighth lowest in proportion of staff costs in the whole nation. We’re flying above our weight, performing above our pay grade, and delivering what we need to with much lower staffing costs.
Aaron: So are you saying less staff per capita?
Jacqui: Correct – we’re eighth lowest in New Zealand out of 68 councils, even though we’re the fourth fastest-growing district. When people throw around costs in the millions, it sounds like a lot of money – and it is. But we’re focused on the dollars and cents, the millions and billions, because that’s what a strategic manager does.
Taking those numbers out of context, without the framework of what they mean and how we’re managing things in a proper, business-like way, misses the point. For the first time, we’re really focused on this, and this is what we’re doing.
Aaron: We had one of our community board candidates come in, and he said he has a place in Hamilton and a place in Waikato District. The rates he pays in Hamilton were much lower than in Waikato District. He was asking questions about that – is there an explanation?
Jacqui: Well, it’s really hard. We actually have an analysis sheet of all the other councils. As I said, the general rate for Hamilton over the previous three years has had huge increases in the double figures. I think the last one was around 15%. Ours is at 4.25% – that’s the general rate.
It depends. Hamilton is 111 square kilometres, a small geographic area. Compare that to Waikato District Council, which is almost the same size as Auckland Supercity – over 400,000 hectares of land. It’s 80% the size of the whole Supercity. So when you compare, it’s very difficult.
Even in Auckland, with their water CCO, they are charged differently. Over 60% of their rates are user-pays rather than general rates. Each council is different, and it’s very hard to compare them.
We’re not saying we’re the cheapest in New Zealand in terms of rates. All I’m telling you is that under my council, for the last two and a half years, we’ve done a lot to turn the tide on inefficiencies. We’ve focused on the business management and asset understanding that council absolutely needs. We’ve reduced inefficiencies, improved the big key areas – waters and roading – and restructured the business so it’s more fit for purpose. Those things are in hand.
The same goes for our trust and confidence strategy. Rather than just talking about engaging with people, we’re making sure every person who works for us understands the customer and engages in a fit-for-purpose way. It’s not just throwing a few more people into the comms department and thinking you’ve done a good job. We’re looking for sustainable change and effectiveness, so people in our district are properly represented by both operational staff and council governance.
Aaron: The other thing I want to talk about with rates – and I think it’s missing from the discussion – is that there are external economic forces that are contributing. There’s a lot of talk about how rates are hard for people in our communities to pay, but much of that comes down to external economic factors. Is that discussion happening where you’re going, or is everyone just focused on “rates are too high” and that’s it?
Jacqui: Absolutely. Aaron, this is the thoughtfulness that you have and the sophistication of your thinking. With rates, people look at the bill and say, “I can’t afford it, I’m under pressure” – just like when we go to the service station or the supermarket. All those charges put pressure on our pockets. At the same time, central government is tightening purse strings, and council has the same pressures with inflation.
You’re right, it is a bigger picture. But people see the bill and say they can’t afford it. There’s a lot of focus on the bill itself, not how it got there or what it means, and no matter how we explain it, it still hurts people. And we’re very aware of that.
That’s why there are no passion projects in our district council. We’ve restructured, realigned, and refocused, effectiveness to keep costs as low as possible, making sure that short, medium, and long term we have a sustainable model and use rates as best we can. It takes a while to see those things coming through, but we’ve tried to demonstrate it with our general rate. But you’re right – there are a lot of other pressures out there.
The good thing is we had economist Brad Olsen come into our chambers to talk about the long-term plan and help us understand the economy properly. He said there are green shoots of growth and opportunity in Waikato. So there is that sea change slowly happening. But it’s tough for businesses, and it’s tough for people on limited incomes. Absolutely. That’s why we’ve got no passion projects.
When I came in as mayor there were 99 out of over 200 projects late. We’ve been delivering what was already promised – because that’s where the integrity of council lies.
Aaron: Do you think, with the government giving more work to councils but also threatening to put a cap on council rates, is it your job as mayor – and the job of other mayors around the country – to push back? To say, “You guys should sort the economy out, because then we wouldn’t be having these problems”? Or maybe a different argument, but is it your job to push back against government on some of these things?
Jacqui: Sure, absolutely – 150% agree with you, Aaron. Yes, but it’s about any way we can improve the financial status of our residents and ratepayers and still deliver what they want. What we found through our long-term plan is that people didn’t want lowered levels of service. They didn’t want less – they wanted the same, but wanted to pay a lot less.
Now, as adults, we know we can’t have that. But we’re in a time of hardship and lack, and as a council we’re quite close to our community, we know people are hurting. When we hurt, we want things to make us feel better. So people don’t want change what we’ve got – we just don’t want to pay as much. That’s part of the understanding.
Lobbying this term has been a real focus, because I’ve been disappointed in the past with the lack of it. I call it lobbying; some call it advocating. For Waikato District Council making sure that we have a strong story of who we are, what we stand for, and making sure that voice is heard – both in the region and with central government. It’s been a key focus, and we’re starting to get some traction, which is good.
We want to work with central government on all aspects of opportunities. That includes investigating what capping looks like – whether it’s tied to CPI, how it might apply to rates, and what the pros and cons are. We’re undertaking work on this. To identify, if these things work, we’ll be on board. If they don’t, we’ll communicate that to our people.
It’s also important to note that CPI is measured on a different basket of goods than what local government buys. Households buy groceries at the supermarket, but councils buy tar seal, timber, concrete – a whole different set of costs.
Through our trust and confidence strategy, we communicate, engage, and listen to our people. We’re looking at any models that could save money. We don’t want to jump too quickly, but we don’t want to ignore these opportunities either.
Aaron: You’ve been on the campaign trail for a little while now. We’re a little bit different here in Raglan, and we realise that. But what are the things people have been focusing on in other parts of the district?
Jacqui: I think people are struggling. That’s one of the most common things that comes up – what it means for them. People want their high needs in their area met for what they want and need. Some say, “I want what I want, and take it from somewhere else.” There’s a real feeling of lack.
It’s been a tough time post-COVID. We forget that’s only a few years ago. People are drained, businesses are struggling with sustainability. Even in Raglan, hospitality has found it hard to get back on its feet. A lot of people have moved into different jobs or gone overseas.
Then, with the government tightening purse strings and trying to balance budgets, plus here you’ve got one policy, but then you’ve got another policy, and then you have a flip flop of policies – it all impacts ratepayers. Local government, under legislation, have to follow those rules, even when they change quickly. That makes things harder.
There’s a general sense that people are tired, anxious, and worried. What we’re trying to do as a council, and in this campaign, is give people the facts – the broader facts of why and how, rather than picking two or three soundbites that look good but don’t show the whole story.
We encourage people to look at our Long-Term Plan. The summary is only about 20 pages and gives a real sense of what council is doing and where we’re going. Then people are empowered to make better decisions – short, medium, and long term.
It is a difficult time for people, and we absolutely know that. We’re all ratepayers ourselves.
Aaron: I mean, how do you deal with that as a council? You’re not in charge of the economy. What can you do to help economically?
Jacqui: Well, this term we’ve done a lot of new things and a lot of firsts. One of them is we’ve set up Takatini, our economic development arm. Our vision for communities is “livable, thriving, connected.” Thriving means not only social connectivity but also economic strength. We’re one of the drivers of the rural economy, and tourism – where Raglan is an exemplar – is also key. So we’ve ramped up Takatini to promote and support economic development.
We’ve also done this collaboratively with Hamilton, Waipā, and Matamata-Piako, so we’re not just working on our own. We’re using the synergy of the collective in the Future Proof sub-region – the fastest-growing part of our whole region – to make sure the economics work for all of us.
Another first, which I think is very important for Raglan, is the creation of a Rural and Economic Advisory Panel. Even though Raglan is a town, much of the ward is rural – remember, 83% of all our roads are rural. For the first time, we now have a panel to thrash out issues and ensure all voices are heard – not just traditional farming like beef, sheep, dairy, and horticulture, but also the many other people running businesses in rural areas. That panel has gone really well over the last couple of years.
Because, did you know there were 400 staff at Council when I came in as mayor — and this is my first day, I mandated this and said, what are we thinking? — with 400 staff, when 50% of our rates and 47% of our people live in a rural area, not one rural expert was in that 400 staff. Now, if we were a bank or an insurance company, and 50% of your revenue was coming from a rural sector, you’d have a whole department of people on rural. And not one person was representing them.
Operationally, it was not acceptable to not understand the actual business that you run — the $2.5 billion business and $240 million revenue that is run as an executive, both governance leader and operational leader.
And so now we’re starting a rural strategy, which will encompass the lifestyle blocks, the traditional rural areas where people live, and all the hamlets — like you’ve got Te Uku and many other little places around Raglan and throughout the district, like Gordonton and Glen Afton, all sorts of places — that don’t have a voice at the moment in a lot of Council policy.
We need to make sure that we look after those 83% of roads, because we all drive on them, and make sure that those people are also heard. Because rural people come into town, townies go out to the rural areas, and we have to understand the whole. So that’s a big piece of work that will probably have more questions than answers. But it’s about time that we started to look at the whole, not just parts.
Aaron: I have a question about something else your opponent, Aksel Bech, is promoting. We just had the conversation because I interviewed him earlier this morning. It’s about devolving power to the community level. Out here in Raglan that particularly appeals – we think we know our community better than others do. Where do you stand on devolving power in real ways, giving power back to community boards?
Jacqui: Absolutely, Aaron. But I haven’t just talked about it – I’ve done it. For the first time, the six community boards and four community committees have had governance support to create their own community board plans.
The reason for those plans, developed over the last couple of years, is to devolve decision-making and ensure it’s actionable for local areas. It’s an innovation – creating the base for that devolvement. No one’s done it before. We’ve done it. The first ones won’t be perfect – they’ll evolve – but the important step was creating them.
Now, many committees are looking at their plans on their agendas each month, reviewing what they aspire to do as a community board or committee, and tracking what actions they’re taking to achieve those results. Because a plan is just a plan until you action it and regularly update it. That’s what we’re doing.
It’s also important to make sure Raglan has an exemplar governance structure and experience. Using that ability here helps raise all the other boards up to the same standard, where devolved decision-making is happening. We don’t just talk about it – we’ve done it. Localism is very important.
Aaron: But the board is still, at this stage, only an advisory board. It doesn’t have any actual powers, except over its discretionary fund.
Jacqui: Well, of course they do. Every time they meet, they have input. Your chair has often been in chambers, and even some of your community board members have come into our workshops for the Long-Term Plan, having a say just like every other councillor. They don’t vote at the table as such, but they do participate in straw poll votes on issues.
As mayor, I’ve welcomed the community boards, community committees, and rural halls – all 35 of them – into chambers, because I want them inside the tent. I want them adding to that localised voice. And it’s not just them – I’ve also welcomed groups like Federated Farmers and the Hamilton-Waikato Chamber of Commerce.
The idea is not to have them separate from us as council, but to work with us and make sure their voices are heard. Those are the things I’ve done this term.
Aaron: That sounds very positive, but it’s still not the community board being able to just make a decision and say, “In this town, we’re doing this thing.” I’m not talking about big projects like building a wastewater plant, because that needs expertise, but small things in the town – things the community board could have jurisdiction over without needing to check back with council.
Jacqui: Well, those are things that absolutely need to be looked at in the future. Every board is different, and it depends on people’s visions. The people will always speak as to how much devolvement or delegation they can have under the Local Government Act, and how much they can have.
For example, one of the things that came up, and we confirmed as a clear mandate, was whether to put lights on the one-way bridge. That was a budget decision, and a lot of those traffic and infrastructure decisions are made in collaboration with the community board.
Aaron: Alright, Jacqui, time’s up for the show, I’m afraid. Thank you for talking to us this morning. For the last bit, do you want to give your pitch to the community about why they should vote for you?
Jacqui: Sure. Thank you, Aaron. I’d encourage people to look at the whole picture of what council has achieved under my mayoralty, with a very collaborative council. We’ve delivered a lot of new and innovative things. We’re flying the plane, doing our business as usual, while also innovating and restructuring so we’re more fit for purpose and moving in a new direction.
We have to stop doing things the same old way. We haven’t just talked about it – we’ve actually done it this term. Talk is cheap, but we’ve delivered. I trust people will look at what’s been done, what’s been achieved, and see that we’re on a journey in a better direction. Thank you for your time.
Aaron: All right, Jacqui, thanks for your time this morning. And we’ll see you on Sunday at the Meet the Candidates.