Part 1: Introduction

Managing the Relationship Between a Local Authority's Elected Members and its Chief Executive.

1.1
In this report we:

  • have updated our 1994 examination of local authority employment practices; and
  • provide guidance for managing the relationship between elected members and their chief executive.

1.2
While we provide good practice guidelines, our purpose is not to set out a step-by-step recruitment and employment manual. Rather, our aim is to identify issues to which elected members and chief executives need to give attention for the effective management of their relationship.

1.3
In preparing this report we have drawn on the results of a survey of elected members and chief executives, designed to examine the effectiveness and efficiency of local authorities’ activities bearing on the employment of their chief executive. We sent a questionnaire to all mayors/chairpersons and chief executives of local authorities. We also randomly selected for survey two elected members from each local authority.

1.4
We piloted our questionnaire with three local authorities, and sought comments from Local Government New Zealand (LGNZ), the Society of Local Government Managers (SOLGM), and the Department of Internal Affairs (DIA). We were also assisted by a project advisory group made up of experts in the field of local government and by our own Local Government Advisory Group.

1.5
The overall response rate from mayors/chairpersons, elected members and chief executives was over 75% – reflecting a keen interest in promoting effective working relationships between elected members and their chief executive.

1.6
The survey covered:

  • The formal processes for–
    • recruiting the chief executive; and
    • setting and reviewing the chief executive’s standards of performance;
  • how the relationships between the chief executive and the council and individual elected members were working; and
  • what issues or difficulties were arising in the relationship between elected members and the chief executive.

1.7
We have grouped the content of this report into three topic areas:

  • In Parts 2 to 4 we discuss the concerns that prompted us to undertake this exercise. We outline the principles which should underlie the employment relationship between the council and its chief executive. We then examine the respective roles of elected members and chief executives, and outline our expectations of the minimum requirements for effective management of the relationships between them.
  • In Parts 5 and 6 we recommend what we believe to be best practice for recruiting the chief executive, and for setting and reviewing the chief executive’s standards of performance. We also discuss the implications of the statutory requirement for councils to advertise the chief executive position every five years.
  • In Parts 7 to 10 we examine those aspects of the relationship between elected members and their chief executive that are most commonly responsible for creating friction in the relationship. We recommend what we believe to be good practice for effective management of the relationship between elected members and the chief executive.
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