The Local Government Minister may allow for more council influence in the contentious water reforms, but still refuses to rule out changing the law to force councils to sign up.
Under Three Waters, all 67 local and regional councils' drinking, waste and storm water assets would be absorbed by four large regional authorities entities.
In return, the government would pay for billions of dollars' worth of much-needed infrastructure and repairs.
But mayors up and down the country are far from convinced, with major reservations about losing local control over such vital assets.
Here's political editor Jane Patterson.