Some readers will have seen the Guru billboard which shows him playing a cello with a claim that the KCDC is a harmonious council. Oh yeah?
A media release from Gwynn Compton:
Claims of a harmonious Council are completely disconnected from the reality on the ground for Council staff.
It’s a situation that’s costing ratepayers money through increased recruitment costs and a less effectively run Council due to the loss of institutional knowledge and no staff continuity.
Mayoral candidate Gwynn Compton says new figures showing Kāpiti Coast District Council’s annual staff turnover is running at nearly twice the New Zealand average for local government put paid to Mayor K Gurunathan’s claims of there being a harmonious Council.
The figures, obtained under the Local Government Official Information and Meetings Act, reveal that Kāpiti Coast District Council’s voluntary turnover rate of 21 percent in the 12 months to 30 June 2019 is nearly twice the national average for local government of 11.5 percent.
“Mayor K Gurunathan is making big claims about Council being more harmonious under his leadership. Councillors might not be slapping each other with wet bus tickets in Code of Conduct hearings anymore, but on the ground Council is going through staff in a situation reminiscent of Nero fiddling while Rome burns,” says Mr Compton.
The high staff turnover figures also reinforce the findings from the report into the Waikanae Library toxic mould debacle, which specifically stated that high staff turnover and the loss of institutional knowledge were significant factors, and that these went “some way to understanding why the scale of the problem at Waikanae Library was not identified.”
“All of this suggests that our elected representatives have let down our community, and Council’s staff, in terms of carrying out their governance duties, especially under section 39 (d) of the Local Government Act, which requires local authorities to be good employers,” says Mr Compton.
“People leaving the organisation at such high rates suggests a toxic culture, which is costing ratepayers money through increased recruitment costs, and a less effectively run Council due to the lack of institutional knowledge and no staff continuity. As Mayor, I’ll use the independent review of Council as a lever to get real change. A well run Council, and one that is also a good employer, is one that will deliver quality services and good outcomes for our community.”
Other incidents undermining Mayor K Gurunathan’s claims of harmony during this term include the Mayor getting into a public spat with the Chamber of Commerce over a survey that criticised Council, and residents taking defamation action against him that ended up costing ratepayers at least $10,000 [we calculate it was actually about $35,000. —Eds]
Thank you this, Mr Compton, it is very helpful.
I wonder if you care to comment about the double A rating mayor GURU so proudly advertises on his many and expensive bill boards. What does it mean and is that something the mayor has achieved or is it a double A rating due to the high rates we pay?
The billboard is a reference to the Standard + Poor’s decision in July to give the KCDC a credit upgrade to AA (the highest is AAA) after noting that the Council was beginning to show fiscal responsibility. It is purely an appreciation of the Council’s ability to repay debt to banks. https://www.kapiticoast.govt.nz/media/35579/standard-and-poors-report-26-july-2019.pdf
Kia ora Alida,
It’s essentially a score on what S&P believes KCDC’s capacity to repay debts is and the risk of default, which in this case is achieved by looking at how much they could levy ratepayers to do so.
It’s one of those theoretical exercises that looks great on paper, but doesn’t necessarily reflect the reality on the ground for people living here.
Banks like council debt as councils can simply increase rates to cover any increases in interest rates as far as I am aware
Hi Alida and Gwynn, I would like to explain to you both why Council received a AA rating from Standard and Poors. Simply put, Council has removed the scheme of borrowing 10 million dollars to invest in the stock market (a strategy put forth by the CEO) from the long term plan. This has reduced their risk levels and as a result the newer rating. Nothing to do with debt repayment. Currently, the Council pays approximately 10 million dollars per annum on interest-only payments. They have yet to be able to pay the principal amount.
I hope that this clarifies the rating changing.
Thank you for that Salima, I know we can always rely on you for solid information. It would be interesting to know what interest rates that they have us locked into to be paying that much interest. They can borrow from the Local Government Agency’s lending arm at under 2% . Something not really adding up . Martin Halliday mayoral Candidate.