Regional development councils under study

Press, 8 July 1986, Page 3

Regional development councils under study

By

OLIVER RIDDELL

in Wellington

The future status of regional development councils is being considered by the Government.

The Minister of Regional Development, Mr Burke, has promised that all regional development councils will be consulted. Their future status is

being considered as part of the Government’s general review of regional development assistance programmes.

While regional development councils have been encouraged to strengthen their links with other regional organisations, the actual form of the relationship will be left for the regions themselves to decide according to their particular circumstances.

Mr Burke said there was no intention to impose a standard requirement on regional development councils to become committees of united or regional councils. Regional development councils would still be appointed by him as advisory bodies to him. There were also no plans to grant an annual block vote to united or regional councils for regional development assistance in their areas. Disbursement of funds for that, in the form of the new regional development investigation grants, would continue from a central pool of funds administered by the Trade and Industry Department in consultation with re-

gional development councils. Mr Burke said.

Only one regional development council favoured the use of block grants. Because each region’s demand for such assistance fluctuated from year to year, the councils preferred to have access to funding on an “as required” basis.

He said councils were also reluctant to have the extra burden of administering block grants. The cost of setting up and maintaining separate administrative systems for each council would also be disproportionately high compared with the total level of money involved.