Friday, 4 August 2017

KPMG Shared Services Study to save councils millions .... BUT ONLY THREE!!

“Sharing more resources could save northern Tasmanian councils millions of dollars and ease rate rises.
KPMG released a Shared Services Study investigating how eight councils in the state’s north could better share resources and services to improve their performance and capacity.

Amalgamations and boundary readjustments were also discussed at the meeting of mayors and general managers on Friday afternoon, although they did not feature in the report.

The region covered by West Tamar, George Town, Dorset, Break O-Day, Northern Midlands, Meander Valley, Flinders and Launceston City councils represents about one third of Tasmania’s land mass and population.

City of Launceston Mayor Albert van Zetten said the report showed possibilities of savings, which depended on the “good will” of all the councils.

“Rates would obviously not have to go up as significantly and that’s something that’s very important … if we can have savings in other areas, we can then ensure that maybe we can just reduce the rates,” Cr van Zetten said.

He did not rule out amalgamations or readjusting boundaries. “I’m not going to hide from that, but this is a first step, it’s a good start,” Cr van Zeeten said.

The report found by expanding resource sharing and starting joint contracts, about $3.3 million could be saved each year
Councils and general managers needed to start to discuss which areas they wanted to work together on, he said.

“By looking at the areas where we do thing a bit different, we could work together better.” Collectively, the northern councils employ 854 full-time equivalent staff, of which more than half, 431, are employed by City of Launceston.

West Tamar Mayor Christina Holmdahl said she was very confident resource sharing could save the council money. Her council and George Town Council both supported amalgamation with a feasibility study anticipated to finish by the end of the month, she said.”


NOTE: This actually has to be a joke being played on ratepayers!!

Consider it!
$3.3 Mil divided between these councils will amount to something like $30 a ratepayer while Launceston's rates are $500 above the others currently, something like 50% of Launceston's ratepayer receive a social benefit of some kind, youth unemployment is very high, etc. etc.

Just think what the measly and tokenistic
$30 will mean
IF it gets to be passed on ... 2 casks of wine to drown ones sorrows with ... not even a bus fare to Hobart ... not even a tank of petrol ...not even compensation for the annual rate rise.

Constituents should be asking their Aldermen/Councillors to please tell them that this is really serious and true. Then ask the business people among them if they think its meaningful. AND if there is a Chartered Accountant among them, ask them for their advice as to the reports value.

1 comment:

  1. Perhaps if Minister Gutwein had the purpose of Council amalgamations as "to make substantial savings for ratepayers" we might get somewhere. Lonnie Council spends around $25 million each year on 'non-core' activities like footie and gymnasia, often competing directly with the private sector (e.g. gyms) and always preventing or limiting private sector participation in those activities, and just about always running at a loss.

    Council should open those activities up to the private sector, stop wasting ratepayer monies on them and cutting rates by 25%, and they should do it NOW!!!