LOCAL GOVERNMENT ASSOCIATION

The Hon. J.M. GAZZOLA (15:09): I seek leave to make a brief explanation before asking the Minister for State/Local Government Relations a question about building relationships with regional LGA organisations across South Australia.

Leave granted.

The Hon. D.W. Ridgway interjecting:

The Hon. J.M. GAZZOLA: At least I didn't get it from the newspaper.

The Hon. D.W. Ridgway interjecting:

The PRESIDENT: The Hon. Mr Ridgway should go back to chewing his cud.

The Hon. J.M. GAZZOLA: And reading the paper—six weeks to read the paper. I understand that local government representative bodies in South Australia are organised into regional groups, and there are six primary organisations in country South Australia, as well as the LGA metropolitan group. I also understand that the minister has had the opportunity recently to visit the South East LGA, the LGA for the Southern and Hills region and the regional LGA for the Eyre Peninsula. Will the minister update the council on the outcomes of his visits to our state's regional areas?

The Hon. R.P. WORTLEY (Minister for Industrial Relations, Minister for State/Local Government Relations) (15:10): I thank the honourable member for his very important question. Upon being appointed Minister for State/Local Government Relations, I made the decision to try to meet as many representatives from councils across the state as soon as possible. I wanted to find out firsthand from mayors, councillors and council staff about the specific challenges they face in their region or area. At the beginning of August, I attended the South East LGA (SELGA) AGM in Mount Gambier. The South East LGA is comprised of Grant, Kingston, Mount Gambier, Naracoorte Lucindale, Robe, Tatiara and Wattle Range councils.

Members may be aware that the Local Government (Financial Management) Regulations 2011 provide for the Minister for State/Local Government Relations to grant exemptions to regional subsidiaries from the requirement to establish an audit committee subject to any conditions specified. The regulation also requires an application to be made by the regional subsidiary's constituent councils. Audit committees play a critical role in the financial reporting framework of councils and their subsidiaries by overseeing and monitoring the contributions of management and external auditors in the financial reporting process.

Nevertheless smaller regional subsidiaries may only have a limited role for an audit committee, and the costs may outweigh the benefits of having one. This is a matter that was raised by the Hon. John Dawkins MLC in this place some weeks ago. During my visit I was pleased to advise that a request from the South East Local Government Association for an exemption for the requirement to have an audit committee has been approved. Additionally I was pleased to advise the Eyre Peninsula LGA, when I visited them in Tumby Bay earlier this month, that their request for an exemption has also been approved.

During August, I attended a meeting of the Southern and Hills Local Government Association. The constituent councils of the Southern and Hills association are Adelaide Hills Council, Alexandrina Council, Barossa Council, Kangaroo Island Council, District Council of Mount Barker, City of Victor Harbor and the District Council of Yankalilla. The meeting was chaired by Jayne Bates, Mayor of the Kangaroo Island Council and Deputy President of the Southern and Hills LGA, and in attendance was Mayor Kym McHugh, President of the Local Government Association and Mayor of Alexandrina Council.

The Southern and Hills LGA 2009-13 Business Plan sets out the charter of the association and includes objectives such as to provide leadership and advocacy on regional issues, encourage and promote the interests of an autonomous and democratic system of local government and plan at a regional level when determining the needs of the community. I was able to hear firsthand from councillors and council staff about specific challenges facing the region including social infrastructure and service provision, road networks and transport services.

Earlier this month I attended the Eyre Peninsula Local Government Association meeting at Tumby Bay. The regional LGA for the Eyre Peninsula brings together 11 councils: the district councils of Ceduna, Cleve, Elliston, Franklin Harbour, Kimba, Lower Eyre Peninsula, Streaky Bay, Tumby Bay and Wudinna, and the corporations of the City of Whyalla and the City of Port Lincoln.

Eyre Peninsula's fortunes continue to rise with the well-established farming, fishing and tourist sectors now being reinforced with aquaculture and mining industries as drivers of the local economy. Nevertheless, all these developing sectors create new and diverse challenges for local government, challenges which representatives were able to bring to my attention during my visit. It was a pleasure to meet Mayor Julie Low, President of the Eyre Peninsula Local Government Association and Mayor of the District Council of Lower Eyre Peninsula (Chair), and Laurie Collins, Mayor of Tumby Bay, who also hosted the day.

Among the agenda items for the September meeting were discussions on the Eyre and Western Region Plan, which was released for public consultation by minister Rau in another place in June this year. The draft plan provides a coordinated vision for land use and development across the region and aims to grow the area's renewable energy, mining and aquaculture industries whilst protecting the environment and scenic landscape.

I look forward to continuing to meet and work with councils and ensuring that we do not lose sight of the fact that our constituency is the same—the South Australian people. One way that we can increase public confidence is to continue to work closely together as state and local governments to achieve meaningful reforms.