But a fellow mayor in the region fears it could be selling "hugs and rainbows" to ratepayers.
On Wednesday, Southland Mayor Rob Scott announced his vision for the region to consist of two unitary authorities: one district-based and one unitary-based.
Scott says that’s too many for a population of 100,000, and $10 million a year could be saved.
The move was focused on key points of reducing cost, improving efficiency and reducing complexity, he said.
"It's kind of natural to think about the bigger picture and when you've been running under the system for 30 years, it's a long time.
"You go back to 1990 . . . being a mayor back then would have been certainly very different.
"We're operating in a very different world now, and I think it's time to actually reflect and make sure that we've got the best model for our ratepayers.”
Scott said it had been a challenging time for the local government sector, and he didn’t believe there was a single council in the country that hadn’t just been through its most challenging long-term plan process to date.
"There's one or two outliers that aren't in double digit rate increases, but some of those rate increases are getting up into the 20 percents and higher.”
Other councils have weighed in on the matter through statements, with Gore Mayor Ben Bell showing some scepticism.
He said amalgamation was just one of many options in the face of rising rates.
"I worry that the proposal, as announced, is factually incorrect, misleading and essentially selling struggling ratepayers hugs and rainbows,” Bell said.
"We intend to have robust discussions and consultations with our residents to ensure any decisions we make are the right fit for the people of Gore."
Environment Southland chair Nicol Horrell said it was a timely conversation.
The regional council had heard from the community that it needed to look for efficiencies and he looked forward to having further conversations.
"I’m less certain that, at first read, the mayor’s proposal is where we’ll end up but let’s work together as a region for the best Southland solution,” Horrell said.
Invercargill Mayor Nobby Clark said it was not appropriate for him to make a comment until Gore District Council and Environment Southland had been given time to consider the proposal.
"The decisions required are not to be taken without due consideration.”
A report was being prepared for a Southland District Council meeting on August 26, which would seek endorsement for the proposal to be investigated further.
If ultimately successful, the move could see a loss of 20 councillors, two chief executives, two mayors/chairs, and two long term plans.
- LDR is local body journalism co-funded by RNZ and NZ On Air
