Southland district councillors have shown support for next steps to be taken on a proposal to combine southern councils.

First announced on August 14 by mayor Rob Scott, the shake-up would reduce the region's four councils into two unitary authorities: one district-based and one unitary-based.

Early work suggested the region was over-governed for its population of 100,000, with potential to save at least $10 million annually by combining councils.

SDC Mayor Rob Scott. Photo: Southland District Council

On Monday, Southland councillors moved a recommendation allowing the council to gather more information so it could lodge a proposal with the Local Government Commission.

[SDC approved unbudgeted expenditure of up to $30,000 from its District Ops reserve to prepare further information, including carrying out community and stakeholder engagement]

If successful, the commission would then begin an investigation.

Scott said he didn’t see the move as an amalgamation, but rather a “reorganisation”.

“The system that we’re working in at the moment has been in place for over 30 years,” the mayor said.

“I think we’re in a very, very different climate today than we were in 1989 - 1990.”

But not everybody in the room agreed with that vision.

Councillor Don Byars said Auckland had shown amalgamation failed to create efficiencies.

“There’s no evidence to suggest through this report that bigger bureaucracies create efficiencies, and I think most people have a sense that that is true,” Byars said.

Councillor Paul Duffy said it was important to look at examples which were similar to Southland, such as Tasman and Gisborne.

Duffy supported the report, saying it was a timely exercise to undertake.

Councillor Sarah Greaney said ratepayers had made it known it was a change they were looking for.

“If you do what you’ve always done, you get what you’ve always got,” Greaney said.

Deputy mayor Christine Menzies said it would be hard to argue the move would not be in the interest of ratepayers.

However, councillor Derek Chamberlain questioned whether it was wise for the council to invest money in the proposal without first gaining the support of other councils.

A preliminary forward planning report for the proposal suggested a visit be made to other unitary councils at the top of the South Island to gain knowledge on how they operate.

Further financial analysis was also needed to determine likely costs and savings, the report said.

The four councils in the proposed amalgamation are Southland District Council, Invercargill City Council, Gore District Council and Environment Southland (the regional council).

The proposal to merge the councils has received a mixed response from neighbouring authorities.

Two weeks ago, Gore Mayor Ben Bell showed said any decision must be right for the people of his region, while Invercargill Mayor Nobby Clark said the councils needed time to consider the proposal.

Environment Southland chairman Nicol Horrell said the regional council had heard from the community that it needed to look for efficiencies and he looked forward to further conversations.

LDR is local body journalism co-funded by RNZ and NZ On Air