The Better Local Services Bill would allow the Local Government Commission to create council-controlled organisations to manage services such as water, wastewater and roads without consulting councils or communities.
The commission would be able to join these organisations, leading them to share responsibility across council boundaries.
At a Vincent Community Board meeting this week Mr Lepper echoed the comments of mayors across the country by calling the Bill in its current form "amalgamation by stealth".
"I think we’re losing local democracy. If we don’t think we are getting a good deal, yes, we will have placards."
At Local Government New Zealand’s annual conference in Dunedin last week, which Mr Lepper attended, 97% of members told the body to oppose parts of the Bill.
This led Minister of Local Government Peseta Sam Lotu-Iiga to say he would go back to Local Government New Zealand to consider some of the more contentious sections, Mr Lepper said.
"At this stage we’ll give them the chance to be conciliatory, but if not, then that’s when we’ll go to the streets."
The Bill was probably aimed more at councils which were closer to each other and might be able to share water, he said.
"Our towns are miles away from other towns.
"I don’t think it’s aimed at us, but I’m well and truly ready to join the bandwagon if it goes wrong."
The Bill has had its first reading and is being considered by the Local Government and Environment Select Committee.
