A high staffing ratio and debt load but low day-to-day spending are characteristics of Queenstown Lakes District Council (QLDC), according to a new nationwide council performance measurement framework introduced to provide a picture of how councils compare.

Led by the Department of Internal Affairs (DIA), the first set of metrics was published on July 31.

QLDC has been categorised in the ‘Large Metro Group’ of councils alongside Wellington, Palmerston North, Christchurch and others.

This category features councils with populations of 100,000 or more, or others - like QLDC - with fewer residents but “considered metros within the sector”, DIA said.

“QLDC’s placement in the 'Large Metro Group' of councils reflects government recognition of our district as one of the most significant in the country, particularly in terms of our high levels of growth and tourism which have consequential impacts on the levels of services and investment that we need to provide to our community,” a QLDC spokesperson said.

QLDC has the second smallest population of all 11 councils in the group at 52,900, but its land area of 8,719 km² is nearly ten times the group average.

These factors should be considered when comparing other metrics.

QLDC employs 488 staff in total, well below the group average of 927, but its staffing ratio - 9.2 staff per 1,000 residents - is the highest of all the councils. The group average is 6.1.

On day-to-day operation cost, QLDC is relatively lean. In 2024 it spent 88 percent of its revenue on operating expenses, the lowest in the group, compared with an average of 96 percent.

When it comes to future investment, QLDC’s 2025–2027 capital expenditure is set to total around $520.6M, well below the $878.6M average. 

However, it also has the highest net debt divided by rates income at 272 percent, compared to the group average of 161 percent.

Across the different categories, QLDC stands out for its high staffing ratio and debt load, but low day-to-day spending and smaller capital programme.

The QLDC spokesperson said the information in the performance measurement framework was sourced from a combination of its annual reports, annual plans, long term plans, and other sources.

The new performance measurement framework is part of the government’s broader Local Government Systems Improvement (LGSI) programme.

Although the initial metrics focus on financial indicators, the framework will expand over time to include service delivery, governance, and contractor expenditure.

In August 2024, the government announced measures to refocus councils in response to cost of living concerns.

Prime Minister Christopher Luxon said concerns about rising rates meant council spending needed to focus on core services and infrastructure, with greater efficiency in decision-making.

PHOTO: Wānaka App