LIFESTYLER
March 7 2012
Kaipara
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A $40 million dollar question by Paul Campbell
The Auditor-General is to review the decision-making, financial and contract processes used for the Ecocare Mangawhai Community Wastewater Scheme, with an initial meeting this week between the parties involved
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The meeting at Kaiwaka will involve the Auditor-Generals’ department, the Mangawhai Residents and Ratepayers Association executive, Kaipara Mayor, Neil Tiller, council chief executive, Steve Ruru, and community activists, Clive Boonham and John Dickie. At the meeting, the chairman of the MRRA, Bruce Rogan, will raise his private concerns that some $40 million appears to be unaccounted for by the Kaipara District Council in the EcoCare scheme, for which council now says the debt stands at $63 million. Council has levied over $9 million in rates, which have since been found to be invalid, and are the subject of a threatened rates strike by Mangawhai residents. “I would expect any inquiry to encompass this concern I have over some $40 million that seems to be missing. The investigation by the Auditor-General must uncover what happened, otherwise there will be no point in conducting an investigation,” Mr Rogan said. “My own opinion, not necessarily that of the MRRA, is that something like $40 million has disappeared without trace. It could have been spent on contractors, consultants and lawyers, Auditor-General to review Mangawhai wastewater system finances but that can’t explain why a scheme that has optimistically been valued at $35 million — and a local engineer says “Both the council and the community of Mangawhai have something like $20 million would be a more reasonable estimate — questions and concerns that really need to be addressed at a has cost over $70 million to build.” grass roots level. I have every confidence that the review will be Commenting on Mr Rogan’s claim, the corporate services comprehensive and provide insight into what happened and how manager for the KDC, Barbara Ware, said it was the purpose of the council needs to improve. investigation to highlight any such problem. “The review will also provide the independent investigation into the issues affecting council that members of the Mangawhai “We would expect that this review by Audit New Zealand would community have been seeking for some time. identify if any money had gone missing.” Mayor Neil Tiller has welcomed the intervention by the ‘‘We at council know we need to own the problems, but I say to those Auditor-General. who raised the concerns, let’s look to the solutions together.”
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