Council competition critique

The Tauranga City Council is going to make sure its new policy on commercial activities is workable before taking it out for public consultation.
The draft policy was approved by the council's strategy and policy committee this week, but it won't come into effect as a bylaw until it's been tested.


Council subsidies for some businesses, such as Baywave, are causing distress amongst some private business operators.

As the city's gym owners were the ones to raise the issue with the council, Mayor Stuart Crosby says their businesses will be used in the pilot model assessment.
They raised it out of concerns about competing against council subsidised businesses in the ten year plan submissions process last year.
Since then, the allegation that the council is subsidising gyms has spread wider, resulting in a closer look at a variety of council activities alleged to provide unfair competition to private sector businesses.
The city libraries' hire of DVDs was given as an example at the strategy and policy committee meeting, and Councillor Bill Faulkner took the opportunity to remind councillors the municipal library itself put six private lending libraries out of business when it was established.
In the aquatic network, the council also operates a cafe, vending machines, wellness services, and some retail sales. The racecourse and the historic village compete for hire as meetings and function venues. The council also collects rubbish in competition with private contractors.
Councillor Greg Brownless says it's time to have a look at both sides of the relationship, and whether Tauranga City Council is unfairly competing using rates to subsidise costs and services, also being provided by the private sector.
The pilot study will take place before the policy is released for public discussion.

3 comments

Stick to Council typical activities

Posted on 27-05-2010 13:40 | By SpeakUp

Council COMPETITION? There is no competition . There is only cutthroat enterprise domination, sneaky economic Council monopoles, favoritism of City Strategic Croni err Partners, hidden dealings and wheelings with business chums, massive staff levels (450+), uncontrolled expenditures, a huge debt growing to half a BILLION dollars in the next three years, planned rate rises of approx. 40% and blatant extortion and exploitation of the good folks of Tauranga by people who are not worth our rates, let alone the exorbitant wages they draw. They better start typing up their r sum s. They ll need them after the next Council elections. "A nation of sheep will be governed by wolves." ---Edward R. Murrow---


WOLF SLAYERS GATHERING !

Posted on 28-05-2010 14:51 | By The Master

Love that "SPEAKUP". Every word is truth, only problem is that it is going to hurt all so much including the clean up of all, it is so bad in there.


WHY EVEN WASTE TIME THINKING ABOUT IT

Posted on 28-05-2010 19:02 | By The Master

I don t know why TOWN Hall think that they can do these things, just look at the huge cost of Libraries, Bill Faulkner told us in a council meeting that TOWN Hall setup the library for free that nine other library setups then closed. The brain power required to achieve that is amazing, TOWN Hall have eliminated all the competition by digging into the ratepayers cheque book and wiping everyone out overnight. The is not operating fairly, no way, all those viable businesses were just taken out instantly. All replaced by free libraries and overpaid bureaucrats good decisions going on there, which says why clearly why TOWN Hall should not touch anything to start with.


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