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Dissolved council CEOs cost Auckland $1.4M

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Thu, 04 Nov 2010 4:48a.m.

Auckland rate payers have shelled out $1.4m and could end up paying out more than $1.6m in compensation to the bosses of region's eight dissolved councils.

Auditor General Lyn Provost's review of the termination arrangements for the outgoing chief executives' following the Super City amalgamation showed a total of $1,405,315 had been paid out.

However, the figure could increase to $1,655,844 if North Shore City Council chief executive John Brockies was not given a permanent position in the Auckland Council group next year.

Ms Provost said almost all the payments were in accordance with the Auckland transitional legislation, with the exception of two payments made to Rodney District Council chief excutive Rodger Kerr Newell that she considered were unauthorised.

Mr Kerr received $35,000 in lieu of undertaken professional development and $7000 for not having the opportunity to receive career transitional advice, which Ms Provost said were not required under his employment agreement and were therefore in breach of the Transitional Provisions Act.

Mr Kerr received the largest pay out, receiving a total of $349,292, while Auckland City council chief executive David Rankin received the smallest amount, $68,666.

NZPA

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