Auckland Transport has been told to take a look at itself before cutting services to the public as it looks to embark on a cost-cutting mission.
The council-controlled organisation is under pressure to make savings of three per cent, so Mayor Len Brown can keep rate increases below four per cent in the next financial year.
That translates to a savings target for Auckland Transport of $7.2 million.
To achieve that, yesterday the Transport Committee was handed a list of areas that could deliver savings.
The list included proposals like delaying new ferry services for Hobsonville and Beachaven, and stopping the mowing of berms.
Security and upkeep of buses was also noted as an area that could have funding chopped.
Councillor Richard Northey, as well as Councillor Des Morrison, said they were prepared to work through the list and find ways to make savings.
But this effort was overridden by the chairman of the Committee Mike Lee and Councillor Penny Webster who said Auckland Transport should make savings from within as a starting point.
"In these kind of budget reviews Auckland Transport needs to look at its administrative costs and rail contracts before it looks to make cuts to services that benefit the public," Lee said.
Auckland Transport chief financial officer David Foster said costs and revenue streams were locked in because of the funding the organisation gets.
"There simply is not $7.2 million dollars worth of efficiencies within the organisation," Foster said.
"Admin has been squeezed out already."
Lee said the organisation could take a closer look at fare evasion, where he said millions of dollars goes.
Other proposed cuts:
- A 2-4% reduction in existing bus services, starting with low demand services first.
- Increase of fares by up to 5%
- Funding cuts for new bus services
- Reducing warnings for warrant and registration offences
- Cutting services to clean streets and town centres
- © Fairfax NZ News
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