New Zealand Legislation: Acts

12 Status and powers

• (1) A local authority is a body corporate with perpetual succession.

  (2) For the purposes of performing its role, a local authority has—

  • (a) full capacity to carry on or undertake any activity or business, do any act, or enter into any transaction; and

  • (b) for the purposes of paragraph (a), full rights, powers, and privileges.

  (3) Subsection (2) is subject to this Act, any other enactment, and the general law.

  (4) A territorial authority must exercise its powers under this section wholly or principally for the benefit of its district.

  (5) A regional council must exercise its powers under this section wholly or principally for the benefit of all or a significant part of its region, and not for the benefit of a single district.

  (6) Subsections (4) and (5) do not—

  • (a) prevent 2 or more local authorities engaging in a joint undertaking, a joint activity, or a co-operative activity; or

  • (b) prevent a transfer of responsibility from one local authority to another in accordance with this Act; or

  • (c) restrict the activities of a council-controlled organisation; or

  • (d) prevent a local authority from making a donation (whether of money, resources, or otherwise) to another local authority or to a person or organisation outside its district or region or outside New Zealand—

    • (i) if the local authority considers, on reasonable grounds, that the donation will benefit its district or region, or the communities within its district or region; or

    • (ii) if the local authority considers, on reasonable grounds, that a benefit will be conferred on the local government sector as a whole; or

    • (iii) for emergency relief; or

  • (e) prevent a local authority from making a donation (whether of money, resources, or otherwise) to a local government body outside New Zealand to enable it to share its experience and expertise with that body.

  Section 12(6)(c): amended, on 28 June 2006, by section 6 of the Local Government Act 2002 Amendment Act 2006 (2006 No 26).

  Section 12(6)(d): added, on 28 June 2006, by section 6 of the Local Government Act 2002 Amendment Act 2006 (2006 No 26).

  Section 12(6)(e): added, on 28 June 2006, by section 6 of the Local Government Act 2002 Amendment Act 2006 (2006 No 26).