Local Government Act 2002
The Local Government Act 2002 (sometimes known by its acronym, LGA) is an Act of New Zealand's Parliament that defines local government in New Zealand. There are 73 territorial authorities (local districts), each with an elected Mayor and elected Councillors. The districts are grouped under 12 regional authorities. History Local government in New Zealand derives its powers from statute rather than from any constitutional authority, there being no formal written constitution. Its origins can be found in the Municipal Corporations Act (1876), and it was built on the principle of ultra vires and that local government (the same as companies) can only do those things it is specifically authorised to do, and can not do anything it is not authorised to do. This requirement to have specific legislative authorisation resulted in a hodge podge of amendments to the local government legislation. For example, one of the former Local Government Act 1974's highly prescriptive provisions was section 663, which gave councils a statutory power to install, light and maintain a town clock. It is said that by the mid 1990s, the 1974 Act rivalled the country's income tax legislation in terms of size and complexity. With over 100 amendments, the 1974 Act became significantly complex as a result of 1950s and 60s prescriptive planning, overlaid with 1990s accountability and financial provisions, with a complicated numbering system. One of the reasons for the ultra vires approach was specifically to limit the potential for local government to compete with private enterprise. In December 1999, Sandra Lee was appointed Local Government Minister in the newly formed Labour and Alliance Coalition Government. Responding to a groundswell of now coordinated unhappiness and pressure that had been building since the formation of the Local Government New Zealand association in 1996, Lee oversaw a rewrite of the Local Government Act 1974 so that it was readable to the general public and addressed matters that had come up in the intervening 28 years. Jeanette Fitzsimons, co-leader of the Green Party, was appointed chairperson of the select committee. The Local Government Act 2002 brought about a total change in empowering local bodies. It changed from the ultra vires approach to a more permissive approach that gave local authorities "full capacity to carry on or undertake any activity or business, do any act, or enter into any transaction". The Act included a focus on sustainability with the reference to the 'four well-beings' social, economic, environmental and cultural. The purpose of the Act is (a) to enable democratic decision-making and action by, and on behalf of, communities; and (b) to promote the social, economic, environmental, and cultural well-being of communities, in the present and in the future. The Local Government Act 2002 received Royal assent on 24 December 2002. Consultation The Special Consultative Procedure (SCP) is a key part of the Local Government Act 2002 which must be used when changes to the Long-Term Plan (LTP) are to be made. SCP is triggered by the significance policy stated in the LTP and