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Legislative Council - Fifty-Second Parliament, First Session (52-1)
2010-07-20 Daily Xml
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LOCAL GOVERNMENT ALLOWANCES

The Hon. B.V. FINNIGAN (15:28): I seek leave to make a brief explanation before asking the Minister for State/Local Government Relations a question about allowances for councillors.

Leave granted.

The Hon. B.V. FINNIGAN: As members would be aware, council elections are due to take place later this year and, like all honourable members, I encourage those with an interest in their communities to consider running as a local government representative. Anyone wanting to run for council needs to consider carefully their circumstances before deciding to put themselves up for election. Will the minister advise the house on recent developments in setting council allowances?

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister for the City of Adelaide) (15:29): I thank the honourable member for his important question. Indeed, changes to the Local Government Act, made last year in the Statutes Amendment (Council Allowances) Act 2009, have now seen the Independent Remuneration Tribunal playing a role in this process for the first time. As we saw in the past, councils were in the often very difficult position of setting their own allowances, and we know that that sometimes caused a lot of public unrest. Some people felt that the rates set were not enough, that their councillors deserved far more than that, whereas other people believed that the rates were sometimes set too high. We know that councillors make a tremendous contribution to our society. In fact, they often dedicate and volunteer very long hours.

I understand that this reform that has been put in place has been welcomed by the local government sector, and it is pleasing to see the steps taken so far by the tribunal, before the local government elections in October and November of this year.

I am advised that the process the tribunal is following is to seek submissions from the public and other relevant stakeholders, such as the LGA; hold any hearings; and then use that information to make its decision. The tribunal has advertised broadly through its website and also by placing notices in the Saturday Advertiser, the Messenger newspapers, the Stock Journal and in the regional press seeking submissions. It also provided a guideline for submissions on its website.

The independent tribunal sets its own processes and may hold hearings, both in metropolitan and, I also understand, regional centres. I am advised that opportunities for oral submissions will be based on need, as determined by the tribunal. After considering the written and oral submissions, the tribunal will then draft its determination and report on the allowances for members of local government, provide information to those who made submissions and have a final determination and the report published in the gazette.

The tribunal's decision is required under the act at least 14 days before the close of nominations for local government elections. I am advised that the tribunal will take into account a number of factors in making its decision, including considering the roles played by elected members, such as the nature of the work of the mayor or presiding member, and that required of a councillor. The tribunal will also take into account things like the size of the local government area, the population, the revenue or potential revenue that a council might be able to generate, and also other relevant economic, social, demographic and regional factors.

We can see that the tribunal is prepared to take into consideration a wide range of factors that might influence, if you like, the value of the work that councillors do, but also the capacity of the council to be able to afford particular rates. This is, as I have said, the first time the Remuneration Tribunal has considered the work of local government, so this year's process is likely to be more time consuming than it might be in future. This new method of setting allowances will provide, I believe, transparent, reasoned decisions by an independent body, setting the basis for council allowances now and into the future.

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