Auditor-General Lyn Provost has pilloried Auckland Council for the state of its accounts and its budget. The Long Term Plan lacks integrity.
She has recommended – in Auckland Council’s annual report – that the Council include a sensitivity analysis in future long-term plans on how growth rates impact the budget. Sensitivity analysis is code for ‘forecast costings’.
There are a range of issues raised by the Auditor-General in her assessment.
For example she expressed concern that Council have excluded targeted rates from its calculations which meant staff were able to announce fictional levels of rate rise. Basically fudging numbers allowing for understating of rates rises. Hardly a surprise!
The Auditor-General was also unhappy with the manner in which Council calculated and recorded debt – deliberately leaving out Watercare related debts and costs which would have to be some of the biggest on the books. Council debt rose from a staggering $1.3 billion to an eye watering $7.3 billion. What was that spent on? Read more »