Mr Simpson acknowledged many councils were not happy with the $60m the State Government had provided.
He was prepared to ask for more money, but said he needed to know how many councils there would be after reform, what size they would be and the specific costs involved.
‘I can’t just go in and give them an open cheque book,’ he said.
‘I don’t know how many (councils) I’m going to get, it could be 15 or 16.’
WA Local Government Association (WLAGA) president Troy Pickard said mayors and presidents would pull out of the reform process unless more funding from the State Government was made available.
Mr Simpson was undeterred and said it was just another obstacle to resolve.
‘The cost of doing nothing would be far greater than the cost of reform,’ he said.