The half a billion dollar coverup

The Herald on Sunday has the info the Auckland City Council has been trying to keep covered up.  Their liability for leaky homes may be as high as $500 million dollars.  Ratepayers I am sure will appreciate knowing this.

Hubbard still won’t confirm the amount, but will say he is seeking a taxpayer bailout for the Council from Helen Clark.

The Government’s accounts, thanks to the Fiscal Responsibility Act, publish an extremely detailed listing of contingent liabilities. Even so detailed as to reveal there are $37 million of old $1 and $2 notes not accounted for.

Aaron Bhatnagar makes the suggestion that an equivalent of the Fiscal Responsibility Act should apply to Councils.  That’s a fine idea and one National should look at.  Just as the central Govt has to do a special pre-election set of accounts, so should local authorities.