Tauranga City Council interim chief executive officer Leigh Auton's powers and performance requirements were set at an extraordinary council meeting on Monday afternoon.
Leigh, who was officially confirmed as CEO on Thursday, will complete a review and reorganisation restructure of the council's administration including agreed milestones by April, 30 2013 or sooner.
Tauranga City Council CEO Leigh Auton.
A review of council Council Controlled Organisations including TCAL, TCVL, Creative Tauranga and Tourism BOP is to be completed by November, 30 2012 with agreement on the implementation timetable and recommendations.
Changes to the structure are to be incorporated in the 2013/14 Ten Year Plan/Annual Plan if required.
Leigh is also to provide a timetable to council for the appointment of a permanent CEO that an appointee may input into the final stages of the Council reorganisation.
It's the continuation of a process begun by former city CEO Ken Paterson, who died suddenly on June 18.
Leigh has been allocated a budget of $60,000 for the first phase of the process.
Mayor Stuart Crosby says he does not know how much was spent on the reorganisation process before former CEO Ken died.
'He engaged consultants Morrison Low and they had started the first phase, which was an assessment of the organisation, and I think that one of the first areas to start was with the senior management team,” says Stuart.
The indications at this stage are that the savings made will cover the costs of resetting the council's organisation in the 12 month period, says Stuart.
In a report to the Projects and Monitoring committee meeting on Monday, acting CEO Christine Jones says the intention is to deliver the organisational restructure review and implementation by using a mix of in-house and external resources.
The in-house resources will bring a strong understanding of the council and the history of what has occurred. The external resources will bring a fresh perspective, knowledge of best practice in the sector and expertise gained from involvement in similar processes for other organisations.
It is intended that the costs will be funded from a mix of budget sources including salary savings arising from held vacancies and general operating surplus.
The council won't be seeking quotations for the external consultants as is normal practice, because of the urgency to commence and complete the work.
Leigh will be picking individuals he has confidence in and who have the relevant expertise/experience.
The Mayor and councillors are to be kept informed on progress on reorganisation and CCOs at least once monthly, with appropriate approvals sought for resourcing within Council Procurement Policies.
Leigh will report bi-monthly to the council on operational matters, including a no-surprises policy.
The CEO is reliant on adequate resourcing being made available within the budgeting framework of the 2012/13 Annual Plan to meet the KPIs outlined above.
The council's decision gives Leigh the legal authority to carry out his job, which involves powers and responsibilities under a variety of New Zealand laws affecting how territorial local authorities go about their business.
The CEO is delegated all of the council's powers under the relevant sections of the Local Government Official Information and Meetings Act 1987.
The council also has powers under the Privacy Act 1993, and the CEO is authorised to delegate any of these powers to any other officers or employees of Council.
There are legal responsibilities under the Sale of Liquor Act 1989, the Building Act 2004, the Impounding Act 1955, the Forest and Rural Fires Act 1977.
He also now has legal authority to implement and enforce the city's bylaws.
The delegation also giver Leigh official standing with city council staff, and the legal authority to delegate and make staffing changes.



10 comments
FIRE N HIRE
Posted on 14-08-2012 09:56 | By PLONKER
But willl he do what he is talking about? One would have to see what happens there.
Am I reading correctly?
Posted on 14-08-2012 10:21 | By Phailed
The story suggests that the previous CEO had begun a reorganisation process. Then it seems to say that he had engaged a consultancy firm Morrison Low to start the first phase. Do we really need highly paid CEOs to engage consultancy firms???? My prediction is that very little will change and that there will be no substantial savings, if any??
Phailed
Posted on 14-08-2012 11:45 | By Butch
exactly, and here was I thinking a C.E.O on 350k would have the nous to use in house resources, now reading this any savings will be spent on outside consultants, all this will look good on a balance sheet, but the bottom line will still be a negative saving to us suffering ratepayers, and we need to spend 350k to be told this, once again what a load of crap!!!!
Fat chance for substantial cuts
Posted on 14-08-2012 13:13 | By SpeakUp
Bureaucratic processes are made by bureaucrats for bureaucrats. 'Dog don't eat dog”.
Independant Resource
Posted on 14-08-2012 14:13 | By Jitter
The people carrying out this reveiw need to be completely independant of council staff hence the use of external consultants. If existing internal staff were used to carry out the review I don't think that anyone would have any faith in the result. All large and small private companies/corporations use independant and external consultants to carry out such reviews. Once this first and major review is completed reviews should be conducted regularly on a three yearly basis. The cost of this first review may be high, but the possible savings over the next few years could be enormous. It appears that neither Phailed nor Butch from their comments have ever been through a staff review/audit such as this. It is up to the consultancy firm hired to come up with an open and honest result. It is possible, but highly unlikely, that the result will indicate more staff are required. This first review will probably sweep through TCC like a tsunami. Future reviews should hardly cause a ripple. Trust me I speak from practical experience in a large corporation.
He's not afraid to take a stand
Posted on 14-08-2012 14:18 | By tibs
Check this out: http://www.stuff.co.nz/national/4398164/Auton-in-line-for-a-Super-City-top-spot Then we read: Leigh will be picking individuals he has confidence in and who have the relevant expertise/experience. Will these be locals or more ring ins? Also, could this be used as an "out" clause? :The CEO is reliant on adequate resourcing being made available within the budgeting framework of the 2012/13 Annual Plan to meet the KPIs outlined above. $60,000 for the first stage, how many more stages at how many more thousands of dollars ? And once more, like TCAL and the Hot Pools, we read:"The council won't be seeking quotations for the external consultants as is normal practice, because of the urgency to commence and complete the work." Looks to me like it might be open season for Leigh's selections. (Leigh will be picking individuals he has confidence in and who have the relevant expertise/experience.) For an interim CEO, might it not have been worthwhile looking for industry (outside of council) experience, Jon Mayson is a local who springs to mind, there must be others, too.
for Jitter
Posted on 14-08-2012 23:49 | By Phailed
Of course a review can't be conducted by entrenched council staff. But we're talking about the new former CEO here. Appointed to make change and paid about $320k for his role. I'd have thought that such a person on such a salary didn't need to hire consultants to determine the changes necessary. Surely you don't hire someone at $320k and have them hire consultants to look at the changes???
Clarity ...
Posted on 15-08-2012 01:41 | By Murray.Guy
The article reads ... 'Leigh is also to provide a timetable to council for the appointment of a permanent CEO that an appointee may input into the final stages of the Council reorganisation.' ... The resolution and discussion by elected members noted that it may be helpful to the permanent incoming CEO (in 6-12 months) if he/she had input into restructure initiatives still unfolding, prior to taking up office. The most critical phase of the re-structure will be done and dusted by Christmas, assuming any efforts, if any, to derail and or undermine the restructure process fail. Jitter clearly has a good grasp of 'sound business practice' whose comments should assist Phailed and friends.
Jitter
Posted on 15-08-2012 06:43 | By Butch
In reply, I have had alot of experience with both boardroom, and auditing processes. The interim C.E.O has a mandate to save money, and being on a salary of 350k, savings need to be made immeadiately, and he does not require an external contractor to make those decisions, it is plain for all to see where cuts need to be made, starting from a top heavy management team through all Council funded agencies, what ratepayers want to see is action now, not in 12 months time, when staff have time to adjust to audits, to save themselves, and as I stated previously, if a person on $350k reqiures others to gather information for him, we have no chance, a muppet on 50k can do that!!!
Turkeys never vote for an early Xmas
Posted on 16-08-2012 20:58 | By Hebegeebies
Mr Auton may well have the 'smarts' but will the recipients of his unwanted attention go along with the 'slash and burn'policy required or will they simply undermine and frustrate his attempts every step of the way.He will have to drag them kicking and screaming into the 21st Century one would think.If it costs $350k to save $15m than that's hitting the jackpot!!
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