Those involved, until now headed by Mr Dorney, had been discussing a new group to represent ratepayers' interests in time for local body elections in October.
The push began earlier this year, when it appeared the existing ratepayers' association was defunct, and before chairman Lyndon Weggery confirmed in April the association was to fold.
However, Mr Dorney yesterday told the Otago Daily Times his hopes for a ''conventional'' group had been derailed by ''irreconcilable differences'' within the new group's four-person steering committee.
Half the committee - United Future candidate Pete George and Dunedin woman Diane Yeldon - had split and instead created Dunedin Voice, a website-based group designed to promote online debate.
Mr Dorney said Dunedin Voice would offer ''just a sort of talking shop'', and would not endorse candidates or policies during the election.
As a result, both groups would be ''the poorer for it'', and it was now unlikely an organised voice would represent ratepayers' interests in the upcoming election, he said.
''They [Dunedin Voice] do not want to take on those issues as leaders, having people follow.
''They would be pushing from behind, but they wouldn't be leading from in front.''
Instead, ratepayers would have to ''muddle along as best they can'' when deciding who to vote for in October, he said.
Mr George hit back yesterday, saying Mr Dorney ''simply doesn't understand what we're trying to do''.
''Dennis wanted basically all or nothing on what he wanted to do. He sees what he calls the split as ruining his ambitions.
''Dennis wanted to represent some ratepayers - ones that agreed with the issues he wanted to promote.''
The Dunedin Voice website said the new group would encourage debate and hold ''regular'' public meetings, as well as special one-off meetings for important issues, while using the internet ''extensively''.
However, Mr George said the group would be web-based initially, with no confirmed plans for public meetings, but some could follow.
It would also strive to be largely apolitical and take a broader view of local politics, in an effort to encourage greater democratic debate in Dunedin, he said. There were already signs of interest from the council and local MPs.
''We want to help any candidates promote themselves. We won't endorse candidates or polices - we aim to encourage inclusive discussion.''
There was no membership yet, and those interested could be counted ''on two hands'', but it was hoped interest would slowly build, he said.
Mr George did not see the divergent views as a split, saying he had hoped, with more work, progress could still be made on Mr Dorney's ideas. However, unless there was a sudden groundswell of support in the next week, Mr Dorney said he would cancel two public meetings planned to discuss the new group.
