Medium- to long-term contracts will inevitably encompass a number of electoral terms, and new, often inexperienced councillors may find they are responsible for a contract that does not meet the policy of a newly elected council. Frequently, councillors and inexperienced administrative officials do not have the capacity to launch into contract renegotiation. Often this is fuelled by insufficient information about cost-benefits, and old-guard administrators who prefer to maintain the status quo and lack knowledge about their options. The Stutterheim case (Box 11.1) exposes the kind of municipal inaction that can be the result when leaders feel unable to conduct renegotiations. This is not an atypical case.
As with the initial negotiations, in order to enter into renegotiation, municipal teams must have:
• confidence to sit at the table with private operators (perhaps with the support of specialist advisors);
• knowledge of service standards, and the efficiency and cost effectiveness of service delivery (perhaps with benchmarking or cost-benefit information); and
• comparative information and access to advice about options.