2010– 11 L o c a l Go ve rnm e nt N a ti o na l Re p o rt 2010–11 report on the operation of the Local Government (Financial Assistance) Act 1995 2010 –11 Local Government National Report 2010 –11 report on the operation of the Local Government (Financial Assistance) Act 1995 © Commonwealth of Australia 2013 ISSN 1441 5739 ISBN 0 9756884 8 0 October 2013 / INFRA1976 Ownership of intellectual property rights in this publication Unless otherwise noted, copyright (and any other intellectual property rights, if any) in this publication is owned by the Commonwealth of Australia (referred to below as the Commonwealth). Disclaimer The material contained in this publication is made available on the understanding that the Commonwealth is not providing professional advice, and that users exercise their own skill and care with respect to its use, and seek independent advice if necessary. 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For enquiries regarding the licence and any use of this publication, please contact: Director - Publishing and Communications Communications Branch Department of Infrastructure and Regional Development GPO Box 594, Canberra ACT 2601 Australia Email: Website: [email protected] www.infrastructure.gov.au About the department On 18 September 2013, the Minister for Infrastructure and Regional Development assumed administrative responsibility for the Local Government (Financial Assistance) Act 1995 (the Act). The annual Local Government National Report is a requirement under this Act. Letter of transmittal iii Contents Preface ..................................................................................................................................... Chapter 1 Local Government in Australia .............................................................................. 3 Local government functions .................................................................................. 4 Local government employees .............................................................................. 5 Population ................................................................................................................. 5 Diversity ...................................................................................................................... 6 Chapter 2 Chapter 3 1 National representation of local government .................................................... 8 Involvement in inter-governmental structures..................................................... 8 Local government finances ................................................................................... 10 Financial assistance grants to local government ............................................... 19 Overview of current arrangements ...................................................................... 20 Determining the quantum of the grant ............................................................... 20 Determining entitlements for 2010–11 and 2011–12........................................... 21 Inter-jurisdictional distribution of grant .................................................................. 27 Quantum of financial assistance grant allocations ........................................... 29 National Principles for the allocation of grants under the Local Government (Financial Assistance) Act 1995 .......................................... 30 Determining the distribution of grants within jurisdictions .................................. 30 Bodies eligible to receive financial assistance grants........................................ 32 Methods of local government grants commissions ........................................... 33 Allocation of grants to local government in 2010–11 ........................................ 34 Local governing bodies on the minimum grant ................................................. 37 Reviews of grants commission methods .............................................................. 42 Impact of local government grants commission capping policies ................ 43 Local government efficiency and performance............................................... 45 Long-term financial and asset management..................................................... 46 Comparative performance indicators ................................................................ 51 Efficiency and effectiveness reforms .................................................................... 53 Local government amalgamations ..................................................................... 55 Reporting requirements .......................................................................................... 59 v Chapter 4 Appendix A Appendix B vi Local government service provision to Indigenous communities ................... 59 Closing the gap........................................................................................................ 60 State and local government initiatives ................................................................ 63 Australian Government expenditure and progress ........................................... 66 National awards for local government ................................................................ 68 National Principles for allocating general purpose and local road grants ...................................................................................................... 71 State and territory government and local government association submissions ........................................................................................... 75 Report from the New South Wales Division of Local Government of the Department of Premier and Cabinet ................................................................... 76 Report from Victorian Department of Planning and Community Development ..................................................................................... 92 Report from the Municipal Association of Victoria ............................................ 107 Report from Queensland Department of Local Government and Planning............................................................................................................. 116 Report from the Local Government Association of Queensland.................... 129 Report from Western Australian Department of Local Government .............. 133 Report from the South Australian Local Government Grants Commission and the Local Government Association.............................................................. 140 Report from Tasmanian Department of Premier and Cabinet ........................ 154 Report from Northern Territory Department of Local Government and Housing .............................................................................................................. 156 Report from the Local Government Association of the Northern Territory ...................................................................................................... 163 Report from the Australian Capital Territory Department of Territory and Municipal Services ................................................................................................... 165 Appendix C Comparison of local government grants commission distribution models ................................................................................................... 177 Appendix D Distribution of financial assistance grants to local governing bodies in 2010–11 ..................................................................................................... 193 Appendix E Ranking of local governing bodies on a relative needs basis 2010–11 .......... 219 Appendix F Australian classification of local governments.................................................... 247 Bibliography .............................................................................................................. 251 Glossary...................................................................................................................... 253 Abbreviations............................................................................................................ 257 Index of local governments ................................................................................... 261 Alphabetical index .................................................................................................. 269 Tables and Figures Table 1.1 Local government employment, by jurisdiction, 1998 and 2011...................... 5 Table 1.2 Characteristics of selected councils, 2010–11..................................................... 7 Table 1.3 Share of taxation revenue, by sphere of government and source of revenue, 2010–11.................................................................................................. 10 Table 1.4 Local government revenue sources, by jurisdiction, 2010–11........................... 11 Table 1.5 Local government revenue source, by jurisdiction, $ per capita, 2010–11............................................................................................... 12 Table 1.6 Grants from states and Northern Territory to local government, by purpose, 2009–10................................................................................................. 14 Table 1.7 Local government expenditure, by purpose, by jurisdiction, 2010–11 ........... 15 Table 1.8 Local government assets and liabilities, 2010–11................................................ 17 Table 2.1 Calculation of financial assistance grants actual entitlements and adjustments for 2010–11........................................................................................... 23 Table 2.2 Calculation of financial assistance grants estimated entitlements and actual cash paid for 2011–12.................................................................................. 24 Table 2.3 2010–11 allocations of general purpose and local road grants among jurisdictions................................................................................................................. 28 Table 2.4 2011–12 allocation of estimated grant entitlement among jurisdictions and percentage change from 2010–11 actual grant allocation.................... 28 Table 2.5 National financial assistance grant allocation, 1974–75 to 2011–12................ 29 Table 2.6 Distribution of local governing bodies, by type and jurisdiction, at 1 July 2011.............................................................................................................. 32 Table 2.7 Average general purpose grant per capita to local governing bodies by jurisdiction and classification, 2010–11............................................................. 35 Table 2.8 Average local road grant per kilometre to local governing bodies by jurisdiction and classification, 2010–11.................................................................. 36 Table 2.9 Local governing bodies on the minimum grant, by jurisdiction, 2001–02 to 2010–11 .................................................................................................. 38 Table 2.10 Status of most recent major methodology reviews, by state as at 30 June 2011......................................................................................................... 42 Table 3.1 Funding agreed under Phase 1 of the Local Government Reform Fund.............................................................................................................. 47 Table 3.2 Number of local governments, by state, 1910–2011.......................................... 55 Table 4.1 Distribution of Indigenous local governing bodies, by eligibility type and jurisdiction, at July 2010............................................................................................ 67 Table B.1 Average expenditures per unit for each expenditure function, except local roads and bridges—Victoria........................................................... 93 Table B.2 Average grant revenue on a per unit basis, based on actual grants received in 2009–10—Victoria................................................................................ 95 Table B.3 Derivation of average rates for each property class—Victoria........................ 96 Table B.4 Standard fees and charges per unit—Victoria ................................................... 97 Table B.5 Changes in general purpose grant entitlements from 2009–10 to 2010–11—Victoria.................................................................................. 98 vii viii Table B.6 Natural disaster assistance from general purpose grant pool 2010–11—Victoria...................................................................................................... 99 Table B.7 Variations in local road length at 30 June 2009—Victoria................................. 100 Table B.8 Average annual costs used in allocating local road grants for 2010–11—Victoria................................................................................................ 100 Table B.9 Changes in estimated local road grant entitlements from 2009–10 to 2010–11—Victoria.................................................................................. 102 Table B.10 Outline of expenditure assessment: 2010–11—Queensland............................. 119 Table B.11 Rural roads, standards and cost adjustors—Queensland.................................. 120 Table B.12 Urban roads, standards and cost adjustors—Queensland................................ 121 Table B.13 Local road funding allocations, 2010–11—Western Australia............................ 135 Table B.14 Special projects funds for indigenous access roads, 2010–11 —Western Australia................................................................................................... 135 Table B.15 Special project funds for bridge works 2010–11—Western Australia................ 136 Table B.16 Expenditure functions, standard cost and units of measure —South Australia....................................................................................................... 144 Table B.17 Calculated standards, by function—South Australia......................................... 145 Table C.1 Distribution models used by grants commissions for general purpose grants for 2010–11 allocations................................................................................................... 179 Table C.2 The scope of equalisation in grants commissions’ models for general purpose grants........................................................................................... 181 Table C.3 Grants treated by inclusion in general purpose grant allocations for 2010–11, by jurisdiction............................................................................................................. 184 Table C.4 Features of local government grants commission models for allocating local road grants, 2010–11................................................................................................ 191 Table D.1 Distribution of financial assistance grants to local governing bodies by classification and population 2010–11 and 2011–12.......................................... 194 Table E.1 New South Wales councils ranked by financial assistance grant funding 2010–11........................................................................................................ 222 Table E.2 Victorian councils ranked by financial assistance grant funding 2010–11........................................................................................................ 228 Table E.3 Queensland councils ranked by financial assistance grant funding 2010–11........................................................................................................ 231 Table E.4 Western Australian councils ranked by financial assistance grant funding 2010–11........................................................................................................ 234 Table E.5 South Australian councils ranked by financial assistance grant funding 2010–11........................................................................................................ 240 Table E.6 Tasmanian councils ranked by financial assistance grant funding 2010–11........................................................................................................ 243 Table E.7 Northern Territory councils ranked by financial assistance grant funding 2010–11 ....................................................................................................... 245 Figure 4.1 Map of discrete Indigenous communities by usual population, Australia 2006............................................................................................................. 60 Figure A.1 National Principles for allocating general purpose and local road grants................................................................................................................. 72 Preface The Local Government (Financial Assistance) Act 1995 (Cwth)(the Act) requires that the Minister report to Parliament on the operation of the Act ‘as soon as practicable’ after 30 June each year. This annual report to Parliament must include an assessment of: • the extent to which allocation of financial assistance grants has been made on a full horizontal equalisation basis • the methods local government grants commissions used in making their recommendations • the performance by local governing bodies of their functions including: -- their efficiency -- services provided by them to Aboriginal and Torres Strait Islander communities. Submitting an annual report to Parliament seeks to achieve two of the Australian Government’s goals in relation to the arrangements under the Act. They are: • to increase the transparency and accountability of methodologies used in allocating the Australian Government’s grants to local governing bodies • to promote consistency in the methods by which grants are allocated to achieve equitable levels of services by local governing bodies. The report covers all local governing bodies that were in receipt of grants under the Act in 2010 –11. It fosters transparency and accountability by enabling interstate and intrastate comparison of the allocation of grants to local governing bodies. Chapter 1 provides an overview of local government in Australia, including its roles, functions, size and diversity, finances and governance arrangements. Chapter 2 provides an overview of the process and principles of apportioning funding between the states and territories and between local governing bodies within the states and the Northern Territory. Chapter 3 provides an overview of local government efficiency and performance. It reports on infrastructure issues, primarily local roads and asset management issues that affect the efficiency and effectiveness of local government performance. State and territory reports on performance and reform are included in Appendix B. Chapter 4 provides an overview of delivery of local government services to Aboriginal and Torres Strait Islander peoples. The financial assistance grants for 2010 –11 to the 31 identified Indigenous councils are identified in Appendix D. Appendix A contains the National Principles for allocating the general purpose and local road grants. 1 2010–11 Local Government National Report Appendix B contains the submissions from state and territory governments and local government associations. As required by the Act, the Minister must ensure that relevant state and territory ministers and a body or bodies representative of local government are consulted in connection with preparing the report. In calling for submissions, the state and territory governments and local government associations were asked to provide input on: • the methodology used for distributing local government financial assistance grants for 2010 –11, in particular any changes in methodology from 2009–10 or details previously reported regarding the status of the most recent methodology review and the scope of equalisation of grants commission general purpose models • any developments in relation to local government’s use of long-term financial and asset management plans. In particular, any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks • any measures undertaken to develop and implement comparative performance measures between local governing bodies • any reforms undertaken during 2010 –11 to improve the efficiency and effectiveness of local government service delivery • any initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities. Appendix C contains a comparison of the distribution models recommended by the state and Northern Territory local government grants commissions. Appendix D contains the grant outcomes for each local governing body in 2010 –11. Appendix E shows the ranking of local governing bodies within each state and the Northern Territory on a relative needs basis. Appendix F contains the classification system used in Appendixes D and E to categorise local governing bodies, including changes in local government classifications. 2 CHAPTER 1 LOCAL GOVERNMENT IN AUSTRALIA During 2010 –11, Australia had 566 local governing bodies eligible to receive funding under the Australian Government’s financial assistance grants scheme. The Local Government (Financial Assistance) Act 1995 (Cwth) (the Act) provides the legislative basis for this scheme. These 566 local governing bodies include 556 local governments and 10 declared local governing bodies: five Indigenous local governing bodies and the Outback Areas Community Development Trust in South Australia; the Trust Account in the Northern Territory; and the Silverton and Tibooburra villages, and Lord Howe Island in New South Wales. In addition to these local governing bodies, the Australian Capital Territory receives funding through the financial assistance grants scheme. However, it is considered a special case and not a local governing body, because it maintains both territorial and local government functions. The Act defines the term ‘local governing bodies’ in a way that includes local governments established under state and Northern Territory legislation as well as ‘declared bodies’. The term ‘council’ is regularly employed in this report to encompass all local governing bodies, recognising its common use to denote ‘local government’. Declared bodies are provided with financial assistance grants and are treated as local governments for the purposes of grant allocations. However, declared bodies are not local governments and have different legislative obligations. Due to this difference, data provided in this report relating to local government may not be directly comparable to that for local governing bodies. Neither can data relating to local government be directly comparable to that for the Australian Capital Territory, as it performs both territorial and local government functions. Local government was created in the early 1840s to enable colonial governments to deliver local services and allow local residents to contribute to their cost. The initial focus was on property-based services, particularly building and maintaining local roads, which provided the primary means of transportation. In 1840 the Adelaide Corporation was created, followed in July 1842 by incorporation of the City of Sydney and in August 1842 by the Town of Melbourne. At the time of Federation in 1901 the states gave up to the Commonwealth power over certain matters they agreed would be better administered at the national level. These 3 2010–11 Local Government National Report powers included defence, immigration, foreign affairs, customs and excise duties, trade and commerce, and taxation. Since Federation, more powers have been transferred to the federal government or shared between the states and the federal government. The taxing power passed to the federal government, has generated regular consultations on the distribution of revenue and other matters between the federal and state governments. Councils and conferences of ministers frequently convene to cover areas like agriculture, education, housing, employment, minerals and energy, transport and legal matters. While the structure, powers and responsibilities of the federal and state governments were established during Federation, local government was not one of the areas identified as a Commonwealth responsibility; it is a state and Northern Territory responsibility. The states and the Northern Territory pass the legal and regulatory framework for the creation and operations of local government. As a consequence there are often significant differences between the state systems for overseeing councils. The Australian Government has recognised that the national interest is served through improving local governments’ capacity to deliver services to all Australians, while also enhancing the performance and efficiency of the sector. The Act is an important means used to achieve these goals. Local government functions Local government systems differ from state to state, but the main roles of local government are governance, planning, community development, service delivery, asset management and regulation. Local governments are close to their communities and have a unique insight into local and community needs. Councils determine service provision according to local needs and the requirements of state/territory local government legislation. Examples of local government functions and services include: • engineering (public works design, construction and maintenance of roads, bridges, footpaths, drainage, cleaning, waste collection and management) • planning and development approval • building (inspection, licensing, certification and enforcement) • administration (of aerodromes, quarries, cemeteries, parking stations and street parking) • recreation (golf courses, swimming pools, sports courts, recreation centres, halls, kiosks, camping grounds and caravan parks) • health (water sampling, food sampling, immunisation, toilets, noise control, meat inspection and animal control) • community services (child care, elderly care and accommodation, refuge facilities, meals on wheels, counselling and welfare) • cultural/educational (libraries, art galleries and museums) • water and sewerage (in some states) • other (abattoirs, sale-yards, markets and group purchasing schemes). 4 Chapter 1 • Local Government in Australia Local government employees In June 2011 there were 1 896 100 public sector employees. There were 251 400 employees in Commonwealth government, 1 449 200 in state government and 195 500 in local government (Table 1.1). Local government’s revenue of $33.5 billion (Table 1.4) accounted for about 2.7 per cent of Australia’s gross domestic product. Table 1.1: Local government employment, by jurisdiction, 1998 and 2011 Jurisdiction Employees Aug 1998 ‘000a Population Sept 1998 ’000b Population served per employee Sept 1998 Employees June 2011 ’000a Population June 2011 ’000b Population served per employee June 2011 NSW 44.6 6 358.1 142.6 62.1 7 303.7 117.6 Vic. 31.1 4 648.9 149.5 53.1 5 624.1 105.9 Qld 36.5 3 460.4 94.8 42.0 4 580.7 109.1 WA 13.3 1 830.8 137.7 20.9 2 346.4 112.3 SA 8.1 1 491.0 184.1 10.9 1 657.0 152.0 Tas. 3.6 4 71.9 131.1 # 4.0 510.6 127.7 NT 2.6 190.6 73.3 2.5 230.2 92.1 139.9 18 764.6# 132.3* 195.5 22 620.6# 115.7* National Notes: * # State data may not add to national due to inclusion of external territories and rounding. These figures are the national ratio of population per local government employee, not totals or averages of state figures. Estimate has a relative standard error of 25% to 50% and should be used with caution. Sources: a ABS, Wage and Salary Earners, Public Sector, Australia, cat. no. 6248.0; ABS, Employment and Earnings, Public Sector, Australia, 2010 –11, cat. no. 6248.0.55.002. b ABS, Australian Demographic Statistics, cat no. 3101.0. Population The population of Australia at 30 June 2011 was 22 620 600 persons. This was an increase of 320 800 persons since 30 June 2010 and 74 200 persons since 31 March 2011. Australia’s population grew by 1.4% during the year ended 30 June 2011. All states and territories experienced positive population growth for the year ended 30 June 2011. Western Australia recorded the fastest growth (2.4%) while the Northern Territory recorded the slowest (0.4%). Australia’s population density as at June 2011 was 2.9 people per square kilometre (sq km). Among the states and territories, the Australian Capital Territory had the highest population density at 160 people per sq km, followed by Victoria with 25, New South Wales with 9.1 and Tasmania with 7.5. The remaining states and territories all had population densities below the Australian figure, with the Northern Territory having the lowest at just 0.2 people per sq km. (ABS, Regional Population Growth, Australia 2011, cat. no. 3218.0). Table 1.2 shows the different characteristics of the distribution of local governing bodies by population within jurisdictions. These different measures are provided because average population size can mask the variability of the population of local governing bodies within a jurisdiction. For instance, the average population for Queensland local governing bodies is around 60 572, but half of them have a population of less than 4 913. 5 2010–11 Local Government National Report Diversity Considerable diversity can exist both within and between jurisdictions. This extends beyond rural-metropolitan differences. In addition to size and population, other significant differences between local governing bodies include: • attitudes and aspirations of local communities • fiscal position (including wide disparity in revenue-raising capacity), resources and skills base • legislative frameworks within which councils operate, including voting rights and electoral systems • physical, economic social and cultural environments of local government areas • range and scale of functions. Indigenous councils, for example, have been established under different legislative frameworks. They can be established under the mainstream local government legislation of a jurisdiction, through distinct legislation, or they can be ‘declared’ to be local governing bodies by the Australian Government Minister for Local Government on advice from a state minister. The variation in population size between an urban fringe council (such as Gosford City Council in New South Wales with 166 626 people) and a rural remote council such as Wiluna Shire Council in Western Australia with 755 people) can be seen in Table 1.2. This table provides a snapshot of a small selection of councils’ physical and financial diversity in 2010 –11. The population density of councils can also vary significantly. Marrickville in New South Wales, for example, has an area of 16 square kilometres and a population density of 4 892 residents per square kilometre, compared with Coomalie, a rural remote council in the Northern Territory, with an area of 1 512 square kilometres and a population density of 0.86 residents per square kilometre. Total grants per capita in rural areas are usually significantly higher than in urban areas. This can be explained by the need for assistance in accessing services in rural areas like Wiluna Council in Western Australia with a population of 755 and a area of 184 000 square kilometres. Wiluna Council received over $2 400 per capita in 2010 –11 (Table 1.2). Per capita grant versus per capita rate income also varies significantly. The grant per capita for Flinders ($1 270.61) is more than 40 times that of the grant per capita for Burnside ($29.14). Conversely, rate income per capita for Wiluna Council ($2 499) is over 7 times that of Gosford City Council ($347). Appendix D lists all local governing bodies, the area they cover, their population, their local road length and details of the financial assistance grants they receive. 6 UFL RAS URS URM RAS RAL UFV RAM UDL UFS RTS VIC NT TAS VIC TAS NSW NSW SA NSW NT WA Cardinia Coomalie Devonport East Gippsland Flinders Forbes Gosford Goyder Wagait Wiluna 755 335 78 271 4 285 166 626 9 744 897 43 615 25 518 1 306 68 641 184 000 6 16 6 688 940 4 720 1 994 20 931 111 1 512 1 281 554 27 1 350 560 sq km Source: Department of Infrastructure and Regional Development Marrickville RSG WA Capel 12 687 44 300 UDM SA Burnside 1 052 458 UCC QLD Brisbane no. 58 153 Classificationa UFM WA State Armadale Council name Population Council area Table 1.2: Characteristics of selected councils, 2010 –11 0.004 55.83 4 892 0.64 177.26 2.06 0.45 2.08 229.89 0.86 53.58 22.60 1640.74 779.60 103.84 sq km Density no. of residents 1 943 13 190 3247 947 1649 385 2881 249 164 1389 477 233 5560 584 km Total road length 1 886 170.00 36 069 3 214 57 829 5 589 911.00 31 805 17 387 482.00 37 844 5 204 24 722 592 994 27 985 $’000 Rate income 2498.67 507.37 460.82 749.99 347.06 573.56 1 015.18 729.22 681.35 369.05 551.33 410.17 558.06 563.44 481.23 $ Rate income per capita 1 076 931 9 028 2 673 096 2 315 617 6 773 311 2 735 005 587 838 8 768 431 850 693 26 403 6 011 004 862 519 862 833 20 630 528 2 247 741 $ 742 473 51 309 521 618 600 620 1 913 798 1 558 987 551 899 4 104 061 1 092 200 377 495 2 309 762 574 859 427 977 13 231 113 1 031 096 $ General purpose Local road 1 819 404 60 337 3 194 714 2 916 237 8 687 109 4 293 992 1 139 737 12 872 492 1 942 893 403 898 8 320 766 1 437 378 1 290 810 33 861 641 3 278 837 $ Total 2010 –11 Actual Entitlement 2 409.81 180.11 40.82 680.57 52.14 440.68 1 270.61 295.14 76.14 309.26 121.22 113.30 29.14 32.17 56.38 $ Total grant per capita Chapter 1 • Local Government in Australia 7 2010–11 Local Government National Report National representation of local government A number of national groups represent the interests of local government and professionals working in the local government sector, including the Local Government Managers Australia (LGMA), the Australian Local Government Association (ALGA) and the Australian Council of Local Government. Local Government Managers Australia LGMA is a professional association of local government managers throughout Australia and the Asia–Pacific. LGMA is committed to developing and improving local government management, maintaining high professional and ethical standards, and ensuring its members are at the forefront of change and innovation. Australian Local Government Association ALGA is a federation of state and Northern Territory local government associations and the Australian Capital Territory Government. ALGA aims to add value, at the national level, to the work of state and territory associations and their member councils. It represents the interests of local government through its participation in the Council of Australian Governments (COAG) and ministerial councils where there is a clear local government interest, including the Regional Development Council and the Australian Transport Council. Australian Council of Local Government The Australian Council of Local Government has been established to engage local government directly with the Australian Government. It provides a forum for the Australian Government and local government to consider policies and initiatives in areas of mutual interest and promotes collaboration between the Australian Government and local government, as well as between local governments themselves. Involvement in inter-governmental structures Council of Australian Governments COAG is the peak inter governmental forum in Australia, comprising the Prime Minister, state premiers, territory chief ministers and the ALGA president. It was established in May 1992. COAG’s role is to initiate, develop and monitor implementation of policy reforms of national significance and that require cooperative action by all Australian governments. COAG meets to debate and co-ordinate government activities between federal, state and territorial governments, this includes issues affecting local government. Ministerial councils and forums facilitate consultation and cooperation between federal, state and territory ministers sharing common responsibilities. COAG establishes inter governmental agreements that signify the commitment of jurisdictions to implement its decisions. In many instances, these agreements are the precursor to the passage of legislation at the Commonwealth, state and/or territory levels. 8 Chapter 1 • Local Government in Australia On 29 November 2008, against the background of the unfolding global financial crisis, COAG agreed to the Intergovernmental Agreement on Federal Financial Relations (the Agreement). The Agreement commenced on 1 January 2009 and involved rationalising the number of payments made to state and local governments, while increasing the overall payments. It provided clearer specification of the roles and responsibilities of each sphere of government, so the appropriate sphere became accountable to the community. The Agreement also provided incentives for reform through National Partnership reform payments, and more transparent reporting of outcomes to drive better service delivery. The Agreement provided a foundation for the economic and social reforms needed to boost productivity and workforce participation. It also facilitated delivery of economic stimulus through a short-term expansion in state and local government service delivery programs, particularly in the schools, infrastructure and housing sectors. This was accompanied by a major rationalisation of the number of payments to the states for specific purpose payments (SPPs), reducing the number of such payments from over 90 to five. Central to these reforms is a substantial financial package that provides $7.1 billion in SPP funding to the states over five years to improve services for all Australians. Commonwealth-state financial relations were placed on a secure footing with the creation of five new national SPPs, including total funding of: • $60.5 billion in a National Healthcare SPP • $18 billion in a National Schools SPP • $6.7 billion in a National Skills and Workforce Development SPP • $5.3 billion in a National Disability Services SPP • $6.2 billion in a National Affordable Housing SPP. Each SPP is associated with a National Agreement that contains the objectives, outcomes, outputs and performance indicators, and clarifies the roles and responsibilities that will guide the Commonwealth and states in the delivery of services across the relevant sectors. COAG agreed to six new national agreements, the National Healthcare Agreement, National Education Agreement, National Agreement for Skills and Workforce Development, National Disability Agreement, National Affordable Housing Agreement, and National Indigenous Reform Agreement. The new federal framework is the culmination of extensive joint work by all levels of government. It provides a solid foundation for COAG to pursue economic and social reforms to underpin growth, prosperity and social cohesion. Local Government and Planning Ministers’ Council In response to reforms to the Ministerial Council system agreed to by COAG on 20 April 2010, all Ministerial Councils lost their remit on 30 June 2011. Some councils, including the Local Government and Planning Ministers’ Council (LGPMC), were wound up. The LGPMC has some residual work, including annual reporting commitments. It is expected these activities will be referred to other bodies in due course. Further advice will be posted on their web site as it becomes available. 9 2010–11 Local Government National Report Local government finances Share of taxation revenue by sphere of government Local government’s taxation revenue increased 7.0 per cent from $11.6 billion in 2009–10 to $12.4 billion in 2010 –11 (Table 1.4). Local government’s taxation revenue amounts to 3.5 per cent of all taxes raised across all spheres of government in Australia (Table 1.3). Taxes on property are the sole source of taxation revenue for local governments; refer to ABS, Taxation Revenue, Australia, 2010 –11 cat. no. 5506.0 for further information. Table 1.3: Share of taxation revenue, by sphere of government and source of revenue, 2010 –11 Federal State Local Total Revenue source % % % % Taxes on income 57.3 - - 57.3 0.1 5.1 - 5.0 - 5.8 3.5 9.3 22.9 2.9 - 25.7 0.2 2.5 - 2.7 80.5 16.2 3.5 100 Employers payroll taxes Taxes on property Taxes on provision of goods and services Taxes on use of goods and performance activities Total Notes: Figures may not add to totals due to inclusion of external territories and rounding; – nil or rounded to zero. Source: ABS, Taxation Revenue, Australia, 2010 –11, Total Taxation Revenue, cat. no. 5506.0. 10 Chapter 1 • Local Government in Australia Local government revenue sources Overall, councils raise about 90 per cent of their own revenue, with grants and subsidies only making up about 10 per cent (Table 1.4). Individual councils have differing abilities to raise revenue, which may not be apparent when considering national or even state average. The differences between urban, rural and remote councils, their population size, rating base and ability to levy user charges, all affect their ability to raise revenue. Table 1.4: Local government revenue sources, by jurisdiction, 2010 –11 Revenue source Taxation Grants and subsidies Sales of goods and services Interest Other Total $m NSW Vic. Qld WA SA Tas. NT 3 317 3 410 2 792 1 420 1 086 298 86 Total 12 409 % 33.1 42.7 30.3 42.3 57.4 50.0 20.2 37.0 $m 1 129 801 615 385 226 106 115 3 376 % 11.3 10.0 6.7 11.5 12.0 17.8 27.1 10.1 $m 3 229 1 363 2 585 773 296 122 98 8 466 % 32.2 17.1 28.0 23.0 15.7 20.5 23.1 25.3 $m 350 129 520 130 29 23 11 1 192 % 3.5 1.6 5.6 3.9 1.5 3.9 2.6 3.6 $m 2 000 2 285 2 710 648 255 47 115 8 060 % 20.0 28.6 29.4 19.3 13.5 7.9 27.1 24.1 $m 10 025 7 988 9 221 3 356 1 891 596 425 33 503 % 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 Note: Figures may not add to totals due to inclusion of external territories and rounding. Source: ABS, Government Finance Statistics, Australia, 2010 –11, cat. no. 5512.0. Local government revenue—taxes Local government raises taxes through rates on property. In 2010 –11, 37.0 per cent of local government revenue came from rates nationally. The proportion of revenue from rates varied notably between jurisdictions, from a high of 57.4 per cent for South Australia to a low of 20.2 per cent for the Northern Territory (Table 1.4). The variation of revenue per capita across states for all revenue sources is shown in Table 1.5. While South Australian councils levy the highest rates per capita, they raise the lowest revenue per capita for all other revenue sources. As a result, South Australian councils collect the lowest total revenue per capita overall. 11 2010–11 Local Government National Report Table 1.5: Local government revenue source, by jurisdiction, $ per capita, 2010 –11 Revenue source NSW Vic. Qld WA SA Tas. NT Average $ $ $ $ $ $ $ $ Taxation 464.97 626.48 631.42 632.50 668.89 592.10 393.35 572.81 Grants and subsidies 158.26 147.16 139.08 171.49 139.20 210.61 525.99 213.11 Sales of goods and services 452.63 250.41 584.61 344.31 182.31 242.40 448.24 357.84 Interest Other Total 49.06 23.70 117.60 57.90 17.86 45.70 50.31 51.73 280.35 419.79 612.87 288.63 157.06 93.39 525.99 339.73 1 405.27 1 467.54 2 085.36 1 494.84 1 164.70 1 184.20 1 943.88 1 535.11 Notes: Figures may not add to totals due to inclusion of external territories and rounding. Sources: ABS, Government Finance Statistics, cat. no. 5512.0; ABS, Australian Demographic Statistics, cat.no. 3101.0. Rates in each state and the Northern Territory are based on a valuation of the land upon which they are charged. However, methods for assessing land value differ significantly between states. New South Wales have state-wide requirements that rates are based on the unimproved value of the land, In Victoria and South Australia, different valuation assessments are used depending on the type or primary use of the land. Local government revenue—other non-grant revenue sources Local government received on average 25.3 per cent of its revenue in 2010 –11 from the sale of goods and services (Table 1.4). Councils in the Northern Territory are more reliant on government grants and subsidies than are councils in other jurisdictions as they raised only 72.9 per cent of their own revenue. For the remaining states, the proportion of revenue raised from own sources ranged from 82.3 per cent for Tasmanian councils to 93.3 per cent for Queensland councils (Table 1.4). Local government revenue—Australian Government grants The Australian Government supports local government through financial assistance grants, specific purpose payments and direct program funding. In 2010 –11, the Australian Government provided $2.09 billion in local government financial assistance grants to local governing bodies and the Australian Capital Territory. The means of distributing financial assistance grants is discussed in Chapter 2. The allocation of financial assistance grants is at Appendix D. The Commonwealth provides payments to the states for specific purposes to enable the pursuit of important national policy objectives in areas that may be administered by the states (see page 9). These payments cover most functional areas of state and local government activity—including health, education, skills and workforce development, community services, housing, indigenous reform, infrastructure and environment. 12 Chapter 1 • Local Government in Australia Under the Intergovernmental Agreement on Federal Financial Relations, the Australian Government continues to provide ongoing financial support to local government through: • National Specific Purpose Payments to be spent in key service delivery sectors • National Partnership payments to support delivery of specified outputs or projects, to facilitate reforms or to reward those jurisdictions that deliver on nationally significant reforms. • General revenue assistance, consisting of GST payments and other general revenue assistance. The National SPPs are distributed among the states in accordance with population shares based on the Australian Statistician’s determination of state population shares as at 31 December of that year. An equal per capita distribution of the National SPPs ensures that all Australians, regardless of the jurisdiction they live in, are provided with the same share of Commonwealth funding support for state service delivery. Total payments to the states for specific purposes constitute a significant proportion of Commonwealth expenditure. In 2010 –11, payments totalled $47.4 billion (Budget Paper No.3. Part 2, 2011–12), down from $53.3 billion in 2009‑10 (Budget Paper No.3, Part 2, 2010 –11), a decrease of $5.9 billion. Local government revenue—state and Northern Territory grants During 2010 –11, the states and the Northern Territory offered a variety of grants to local government for specific purposes and services, reflecting the different functions required of local governing bodies. In total the states and the Northern Territory provided $3.05 billion to local government out of their own funds (Table 1.6). On a per capita basis, state grants varied considerably from $67.98 per capita in South Australia to $441.35 per capita in the Northern Territory. Caution should be exercised when using the figures shown in Table 1.6 as state grants may increase or decrease from time to time. 13 2010–11 Local Government National Report Table 1.6: Grants from states and Northern Territory to local government, by purpose, 2009–10 Jurisdiction a Qld WA SA Tas. NT Total $m $m $m $m $m $m $m $m Agriculture, forestry, fishing and hunting – 1 – – 1 – – 2 Education 4 40 2 – – – – 46 Purpose Fuel and energy General public services Health Housing and community amenity NSW Vic. – – – – 3 – 34 25 52 27 2 3 32 175 3 2 11 4 3 1 1 1 23 19 13 47 635 148 68 319 21 Mining, manufacturing and construction - – 11 – – – 2 13 Public order and safety 47 4 13 18 1 – 3 86 Recreation and culture 63 166 69 65 27 8 8 406 Social security and welfare Transport and communications Other economic affairs Other purposes Total 85 409 25 38 21 2 3 583 429 282 407 189 70 43 18 1 438 4 14 27 36 4 1 6 92 573 355 271 137 105 36 2 1479 1 390 1 372 1 199 536 253 107 122 4 979 Less Australian Government financial assistance grantsb General purpose grants 443 336 272 138 101 31 14 1 335 Local road grants 175 124 113 92 28 32 14 578 – – – – 15 – – 15 772 912 814 306 109 44 94 3 051 110.54 171.63 194.82 140.94 67.98 88.44 Supplementary local road funding Net state grants Net state grants per capita 441.35 143.18 Notes: Figures may not add to totals due to rounding. Data for Victoria include commonwealth grants, as the Victorian Grants Commission source data do not differentiate between commonwealth and state government grants revenue. Sources: ABS unpublished data; Department of Infrastructure and Regional Development; ABS, Australian Demographic Statistics, Table 4 Estimated Resident Population, States and Territories, cat. No. 3101.0. 14 Chapter 1 • Local Government in Australia Local government expenditure Local government expenditure is dominated by transport and communication (22.6%) followed by housing and community amenities (22.0%) and general public services (19.1%) (Table 1.7). Table 1.7: Local government expenditure, by purpose, by jurisdiction, 2010 –11 Jurisdiction Expenditure Agriculture, forestry and fishing Education Fuel and energy General public services Health NSW Vic. Qld WA SA Tas. NT Total $m 1 5 14 – 9 – – 29 % 0.0 0.1 0.2 0.0 0.5 – – 0.1 $m 54 78 6 3 – – 3 144 % 0.6 1.2 0.1 0.1 0.0 0.0 0.7 0.5 $m – – 6 – 8 – 1 15 % – – 0.1 – 0.5 – 0.2 0.1 $m 1 663 861 2 194 374 253 101 166 5 611 % 18.3 13.2 27.4 12.9 14.4 16.7 37.0 19.1 $m 89 84 52 49 43 12 3 332 % 1.0 1.3 0.7 1.7 2.5 2.0 0.7 1.1 Housing and community amenities $m 2 349 1 412 1 590 508 379 126 86 6 451 % 25.8 21.6 19.9 17.6 21.6 20.9 19.2 22.0 Mining, manufacturing and construction $m 196 – 101 29 29 – – 356 % 2.2 – 1.3 1.0 1.7 – – 1.2 $m 291 336 166 88 67 31 38 1 016 % 3.2 5.1 2.1 3.0 3.8 5.1 8.5 3.5 $m 213 48 249 28 35 4 1 578 % 2.3 0.7 3.1 1.0 2.0 0.7 0.2 2.0 $m 308 143 162 103 32 6 17 769 Other economic affairs Public debt transactions Public order and safety Recreation and culture Social security and welfare Transport and communications Other Total % 3.4 2.2 2.0 3.6 1.8 1.0 3.8 2.6 $m 1 179 1 165 881 659 326 100 49 4 359 % 13.0 17.8 11.0 22.8 18.6 16.6 10.9 14.9 $m 343 998 64 138 94 24 24 1 684 % 3.8 15.3 0.8 4.8 5.4 4.0 5.3 5.7 $m 1 734 1 202 2 400 741 341 178 45 6 640 % 19.1 18.4 30.0 25.6 19.5 29.5 10.0 22.6 $m 666 214 112 169 138 21 16 1 336 % 7.3 3.3 1.4 5.8 7.9 3.5 3.6 4.6 $m 9 088 6 544 7 997 2 890 1 753 603 449 29 323 % 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 Note: Figures may not add to totals due to rounding. Source: ABS, Government Finance Statistics, Australia, 2010 –11, General Government Expenses by Purpose, cat. no. 5512.0. 15 2010–11 Local Government National Report Assets and liabilities Local government assets underpin delivery of vital services. A challenge facing local government is ensuring sufficient revenue to maintain these assets. In 2010 –11, local government in Australia had a net worth of $313.36 billion, with assets worth $328.27 billion and liabilities worth $14.91 billion (Table 1.8). At 30 June 2011, local government’s assets exceeded their liabilities, continuing the trend since 30 June 2000 of a net surplus position for local governments nationally. As at 30 June 2011 on a state basis, only councils in South Australia had a net debt position while all the other states had a net surplus (Table 1.8). 16 Chapter 1 • Local Government in Australia Table 1.8: Local government assets and liabilities, 2010 –11 Jurisdiction Assets Financial assets Cash and deposits Advances paid NSW Vic. Qld WA SA Tas. NT Total $m $m $m $m $m $m $m $m 2 032 1 155 2 882 1 355 69 88 123 7 704 0 2 0 2 0 2 0 6 Investments, loans and placements 4 351 1 163 3 631 572 125 285 114 10 240 Other non-equity assets 1 128 742 1 110 298 127 47 40 3 491 42 42 3 975 0 58 1 774 0 5 892 7 553 3 105 11 598 2 226 378 2 196 276 27 333 119 946 62 744 71 372 17 843 19 226 6 408 636 815 101 10 0 8 120 583 63 558 71 473 17 853 19 226 6 416 1 827 300 936 128 136 66 663 83 071 20 079 19 605 8 611 2 103 328 268 Deposits held 61 134 5 38 178 13 0 429 Advances received 16 4 0 2 32 6 0 60 Borrowing 3 155 702 2 683 455 721 66 11 7 793 Unfunded superannuation liability and other employee entitlements 1 218 566 470 175 138 70 22 2 660 11 41 67 6 3 13 0 142 1 061 684 1 348 371 207 69 81 3 821 115 14 905 Equity Total Non-financial assets Land and fixed assets Other non-financial assets Total Total assets 1 796 299 335 30 1 600 Liabilities Other provisions Other non-equity liabilities Total liabilities Net worth Net debt* Net financial worth # 5 523 2 132 4 573 1 048 1 278 237 122 613 64 531 78 498 19 032 18 326 8 375 -3 151 -1 480 -3 825 -1 433 737 -291 -225 -9 667 2 030 973 7 025 1 179 -900 1 959 162 12 428 1 988 313 364 Notes: These figures may not add to totals due to rounding. * Net debt figures are memorandum items for comparison only. They do not derive from the above calculations. Net debt is the sum of selected financial liabilities, deposits held, advances received, government securities, loans, and other borrowing; less the sum of selected financial assets, cash and deposits; advances paid; and investments, loans and placements. Net debt is a common measure of the strength of a government’s financial position. # Net financial worth is the difference between total financial assets and total liabilities. Source: ABS, Government Finance Statistics, Australia, 2010 –11, Main Features, Tables 331 to 337 and 339, cat. no. 5512.0. 17 CHAPTER 2 Financial assistance grants to local government For 2010 –11, the Australian Government provided a total of $2.09 billion in financial assistance grants to 566 local governing bodies and the Australian Capital Territory Government—an average of around $98.77 per capita. Australian Government financial assistance grants to local government comprise a general purpose component and a local road component. For 2010 –11 the general purpose entitlement was $1.45 billion while the local road entitlement was $642 million. Both components are paid to the states and territories to be passed on to local government. Financial assistance grants are untied in the hands of local governments, who are free to spend them according to local priorities. The objectives of the general purpose component include improving local governments’ capacity to provide their communities with an equitable level of services and increasing the efficiency and effectiveness of local government. General purpose grants commenced in 1974–75 with allocations distributed according to Commonwealth Grants Commission recommendations. This was followed, over the next two decades, by developments in legislative arrangements for providing financial assistance to local government. General purpose grants are currently provided under the Local Government (Financial Assistance) Act 1995 (Cwth), which replaced the Local Government (Financial Assistance) Act 1986 (Cwth) from 1 July 1995. The 1990 Special Premiers’ Conference determined that a local road component would be provided in addition to general purpose from July 1991. Local road grants are intended to help local government with the cost of maintaining their local roads. In 2002 the House of Representatives Standing Committee on Economics, Finance and Public Administration began an inquiry into local government. The committee released its report, Rates and Taxes: A Fair Share for Responsible Local Government (the Hawker Report), in October 2003. The Hawker Report identified that South Australia was disadvantaged in the interstate distribution of the local road grant. The Australian Government subsequently introduced supplementary funding to South Australian councils for local roads in 2004 – 05 for three years to 2006–07. The funding was extended for another four years from 2007– 08 to 2010 –11. In the 2011 Budget the Government announced that the SA supplementary local road funding would be extended for a further three years from 2011–12 to 2013 –14. 19 2010–11 Local Government National Report Overview of current arrangements In determining the distribution of financial assistance grants to local government, the current arrangements are: • Before the start of each financial year, the Australian Government estimates the quantum of general purpose and local road grants that local government is entitled to nationally. This is equal to the national grant entitlement for the previous financial year multiplied by the estimated escalation factor of changes in population and the consumer price index (CPI). • The states and territories are advised of their estimated quantum of general purpose and local road grants, calculated in accordance with the Local Government (Financial Assistance) Act 1995 (Cwth). • Local government grants commissions in each state and the Northern Territory recommend to their local government minister the distribution of general purpose and local road grants among local governing bodies in their jurisdiction. The Australian Capital Territory does not have a local government grants commission, because its government provides local government services in lieu of the territory having a system of local government. • The state and Northern Territory local government ministers forward the recommendations of the local government grants commission in their jurisdiction to the Australian Government Minister responsible for local government (the Minister). • When satisfied that all legislative requirements have been met, the Minister approves payment of the recommended grants. • The Australian Government pays the grants in quarterly instalments to the states and territories that, without undue delay, pass them on to local government as untied grants. • When updated changes in the CPI and population become available toward the end of the financial year, an actual escalation factor is calculated and the actual grant entitlement is determined. • Any difference between the estimated and actual grant entitlements is combined with the estimated entitlement in the next year to determine that next year’s cash payment. This is referred to as the adjustment. More details on each step are given below. Determining the quantum of the grant Section 8 of the Local Government (Financial Assistance) Act 1995 (Cwth) specifies the formula the Federal Treasurer (the Treasurer) is to apply each year for calculating the escalation factors used to determine the local government financial assistance grant. The escalation factors are based on changes in CPI and population, so that the value of the grant is maintained in real per capita terms. 20 Chapter 2 • Financial assistance grants to local government The Local Government (Financial Assistance) Act 1995 (Cwth) provides the Treasurer with discretion to increase or decrease the escalation factors in special circumstances. In applying this discretion, the Treasurer is required to have regard to the objects of the Local Government (Financial Assistance) Act 1995 (Cwth) (see ‘Objects of the Act’) and any other matter the Treasurer thinks relevant. The same escalation factor is applied to both the general purpose and local road components. OBJECTS OF THE ACT Subsection 3(2) of the Local Government (Financial Assistance) Act 1995 (Cwth) states the objects of the Act. T he Parliament wishes to provide financial assistance to the states for the purposes of improving: • the financial capacity of local governing bodies • t he capacity of local governing bodies to provide their residents with an equitable level of services • the certainty of funding for local governing bodies • the efficiency and effectiveness of local governing bodies • t he provision by local governing bodies of services to Aboriginal and Torres Strait Islander communities. Determining entitlements for 2010 –11 and 2011–12 Calculation of the 2010 –11 actual grant entitlement and the 2011–12 estimated grant entitlement using the final escalation factor (the final factor) and estimated escalation factor (the estimated factor) respectively are set out in Tables 2.1 and 2.2. In 2010 –11, the estimated grant entitlement was $1.546 billion. This comprised $1.071 billion in general purpose grants and $475.1 million in local road grants (Table 2.1). In June 2011, one-quarter of the budgeted allocation for the 2011–12 grant was brought forward and paid to provide local government with additional flexibility and assist them in responding to the widespread natural disasters in 2010 –11 and other pressures. The brought forward payment totalled $536.6 million, consisting of $371.7 million in general purpose grant and $164.9 million in local road grant (Table 2.1). The brought forward payment was provided for under amendments made to the Local Government (Financial Assistance) Act 1995 (Cwth) in 2009. The 2010 –11 final factor was calculated using the CPI for the year ending March 2011 and revised population growth figures to December 2009. To account for, and balance the effect of, the brought forward payment in June 2010, the Treasurer used his discretionary power provided under the Local Government (Financial Assistance) Act 1995 (Cwth) to consider the brought forward payment in determining the 2010 –11 final factor. The calculations for the 2010 –11 final factor are explained in ‘Determining the final factor for 2010 –11’. 21 2010–11 Local Government National Report The 2010 –11 final factor of 1.0494 resulted in the 2010 –11 actual entitlement being $2.09 billion, comprising $1.447 billion in general purpose grant and $642 million in local road grant (Table 2.1). As the 2010 –11 actual entitlement was more than the combination of the 2010 –11 estimated entitlement and the brought forward payment in June 2011, there was a positive adjustment of $6.6 million to the grant in the following year. The 2011–12 estimated factor was calculated using the projected CPI for the year ending March 2012 and revised population growth figures to December 2010. To account for, and balance the effect of, the brought forward payment in June 2011, the Treasurer used his discretionary power provided under the Local Government (Financial Assistance) Act 1995 (Cwth) to decrease the 2011–12 estimated factor. The calculations for the 2011–12 estimated factor are explained in ‘Determining the estimated factor for 2011–12’. The 2011–12 estimated factor of 0.7734 resulted in the estimated entitlement for 2011–12 being $1.616 billion, comprising $1.119 billion in general purpose grants and $496.5 million in local road grants (Table 2.2). Under financial assistance grants, the Australian Government paid $2.159 billion to local government in 2011–12. This is the combination of the 2011–12 estimated entitlement of $1.616 billion, the 2010 –11 adjustment of $6.6 million, and the brought forward payment of $536.6 million (Table 2.2). In addition to the general purpose and local road grant, South Australian councils received additional funding of $15.6 million for local roads in 2010 –11. 22 General purpose x 33 621 980 32 420 525 14 331 064 19 617 298 611 789 598 Tas. NT ACT Total Note: x 93 543 528 SA 1.0494 1.0494 1.0494 1.0494 1.0494 1.0494 = = = = = = = = 642 012 005 20 586 393 15 039 018 34 022 099 35 282 907 98 164 578 120 289 528 132 359 654 Bring forward amounts are included in the year in which they are entitled x x x x 1.0494 1.0494 186 267 828 WA x x = 23 188 665 1 446 854 689 114 626 956 x 354 988 22 149 445 126 128 887 Total 14 892 525 33 012 434 106 787 410 148 259 290 292 162 294 Qld 22 122 107 1 378 744 701 ACT 227 985 505 377 1 634 775 2 269 655 4 472 621 359 259 559 469 292 512 Vic. 14 141 655 NT 7 184 252 5 499 792 2010 –11 final factor 31 797 840 Tas. 2 088 866 694 1.0494 102 364 560 SA = 642 012 005 1 446 854 689 177 499 360 140 386 191 WA = = 31 Dec 2009 population 1.0494 1.0494 1.0494 NSW 277 165 683 Qld x x x $ 2010 –11 actual entitlement Local road 449 144 492 341 622 173 NSW 1 990 534 300 611 789 598 1 378 744 701 $ $ Vic. General purpose Total Local road 2010 –11 final factor 2009–10 actual entitlement less less less less less less less less less less less less less less less less less less less less less 475 054 624 15 232 832 11 128 071 25 174 538 26 107 468 72 636 550 89 007 831 97 939 081 137 828 253 1 070 595 260 17 150 994 11 004 913 24 423 537 78 959 804 109 716 448 216 166 209 265 626 895 347 546 460 1 545 649 884 475 054 624 1 070 595 260 $ 2010 –11 estimated entitlement Table 2.1: Calculation of financial assistance grants actual entitlements and adjustments for 2010 –11 less less less less less less less less less less less less less less less less less less less less less 164 915 212 5 288 077 3 863 110 8 739 341 9 063 207 25 215 778 30 899 069 33 999 552 47 847 078 371 657 142 5 962 099 3 817 631 8 421 978 27 302 274 38 285 978 75 235 409 92 347 207 120 284 566 536 572 354 164 915 212 371 657 142 $ 2011–12 early payment = = = = = = = = = = = = = = = = = = = = = 2 042 169 65 484 47 837 108 220 112 232 312 250 382 628 421 021 592 497 4 602 287 75 572 69 981 166 919 525 332 256 864 760 676 1 285 457 1 461 486 6 644 456 2 042 169 4 602 287 $ 2010 –11 adjustment Chapter 2 • Financial assistance grants to local government 23 24 292 162 294 148 259 290 106 787 410 33 012 434 14 892 525 23 188 665 1 446 854 689 Qld WA SA Tas. NT ACT Total x 120 289 528 98 164 578 35 282 907 34 022 099 15 039 018 20 586 393 642 012 005 Qld WA SA Tas. NT ACT Total Note: x 132 359 654 = = = 1 615 529 500 496 532 083 1 118 997 417 1 118 997 417 18 019 245 11 445 139 25 357 011 82 170 204 115 363 714 226 472 133 278 098 334 362 071 637 0.7734 0.7734 0.7734 0.7734 0.7734 0.7734 0.7734 0.7734 0.7734 = = = = = = = = = 496 532 083 15 921 516 11 631 176 26 312 691 27 287 800 75 920 485 93 031 921 102 366 956 144 059 538 2011–12 estimated factor 22 474 906 361 914 229 874 509 292 1 650 377 2 317 064 4 558 661 5 585 566 7 272 158 31 Dec 2010 population 0.7734 0.7734 0.7734 $ 2011–12 estimated entitlement Bring forward amounts are included in the year in which they are entitled x x x x x x 186 267 828 Vic. x x x x NSW Local road 292 512 359 259 559 Vic. 2 088 866 694 642 012 005 1 446 854 689 $ $ NSW General purpose Total Local road General purpose 2011–12 estimated factor 2010 –11 actual entitlement plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus 2 042 169 65 484 47 837 108 220 112 232 312 250 382 628 421 021 592 497 4 602 287 75 572 69 891 166 919 525 332 256 864 760 676 1 285 457 1 461 486 6 644 456 2 042 169 4 602 287 $ 2010 –11 adjustment plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus plus Table 2.2: Calculation of financial assistance grants estimated entitlements and actual cash paid for 2011–12 164 915 212 5 288 077 3 863 110 8 739 341 9 063 207 25 215 778 30 899 069 33 999 552 47 847 078 371 657 142 5 962 099 3 817 631 8 421 978 27 302 274 38 285 978 75 235 409 92 347 207 120 284 566 536 572 354 164 915 212 371 657 142 $ 2011–12 early payment = = = = = = = = = = = = = = = = = = = = = 663 489 464 21 275 077 15 542 123 35 160 252 36 463 239 101 448 513 124 313 618 136 787 529 192 499 113 1 495 256 846 24 056 916 15 332 751 33 945 908 109 997 810 153 906 556 302 468 218 371 730 998 483 817 689 2 158 746 310 663 489 464 1 495 256 846 $ 2011–12 actual cash payable 2010–11 Local Government National Report Chapter 2 • Financial assistance grants to local government DETERMINING THE FINAL FACTOR FOR 2010 –11 Under section 8 of the Act, the unadjusted factor for 2010 –11 was calculated as follows: Unadjusted factor = Population of Australia at 31 Dec 2009 Population of Australia at 31 Dec 2008 x CPI at March 2011 CPI at March 2010 That is: Unadjusted factor = 22 149 445 21 720 390 x 176.7 = 171.0 1.0537 However, to account for the Australian Government’s decision to bring forward one quarter of the budgeted allocation for 2011–12 ($536.6m) for payment in 2010 –11, the final factor was decreased in accordance with section 8(1)(c) of the Local Government (Financial Assistance) Act 1995 (Cwth), by the adjustment factor as follows: Adjustment factor = 2010 –11 unadjusted amount – 2009–10 adjustment amount + 2010 –11 adjustment amount 2009–10 final entitlement x 1 Unadjusted factor That is: Adjustment factor = 2 063 703 126 – 511 573 436 + 536 572 354 1 990 429 939 x 1 = 0.9959 1.0537 Therefore, the final factor for 2010 –11 was determined through the multiplication of the unadjusted factor and the adjustment factor as follows: Final factor = Unadjusted factor (1.0537) x Adjustment factor (0.9959) = 1.0494 25 2010–11 Local Government National Report DETERMINING THE ESTIMATED FACTOR FOR 2010 –11 Under section 8 of the Local Government (Financial Assistance) Act 1995 (Cwth), the unadjusted factor for 2011–12 was calculated as follows: Unadjusted factor = Population of Australia at 31 Dec 2010 x Population of Australia at 31 Dec 2009 CPI at March 2012 CPI at March 2011 That is: Unadjusted factor = 22 474 906 22 149 445 x 181.6 176.7 = 1.0428 However, to account for the Australian Government’s decision to bring forward one quarter of the budgeted allocation in 2011–12 ($511.6m) for payment in 2010 –11, the final factor was decreased, in accordance with section 8(1)(c) of the Local Government (Financial Assistance) Act 1995 (Cwth), by the adjustment factor as follows: Adjustment factor = 2011–12 unadjusted amount – 2010 –11 adjustment amount 2010 –11 final entitlement x 1 Unadjusted factor That is: Adjustment factor = 2 152 029 620 – 536 572 354 2 088 702 044 x 1 1.0428 = 0.7393 Therefore, the estimated factor for 2011–12 was determined through the multiplication of the unadjusted factor and the adjusted factor as follows: Estimated factor = Unadjusted factor (1.0428) x Adjusted factor (0.7417) = 0.7734 26 Chapter 2 • Financial assistance grants to local government VARIATIONS IN REPORTED GRANTS At the beginning of each financial year, the quantum of the grant to local government is estimated using the estimated factor, which is based on forecasts of the CPI and population increases for the year. At the end of each financial year the actual, or final, grant for local government is calculated using the final factor, which is based on updated CPI and population figures. Invariably there is a difference between the estimated and actual grant entitlements. This difference is combined with the estimated entitlement in the following financial year to provide the actual cash payment for the next year. Consequently, there are three ways in which the financial assistance grant can be reported: an estimated grant entitlement, an actual grant entitlement and the actual cash paid. Inter-jurisdictional distribution of grant The Local Government (Financial Assistance) Act 1995 (Cwth) specifies that the general purpose grant is to be divided among the jurisdictions on a per capita basis. The distribution is based on the Australian Bureau of Statistics’ estimate of each jurisdiction’s population and the estimated population of all states and territories as at 31 December of the previous year. By contrast, each jurisdiction’s share of the local road grant is fixed. The distribution is based on shares determined from the former, tied grant arrangements (see ‘History of the Interstate Distribution of Local Road Grants’ in the 2001–02 Local Government National Report, pp. 25-6). Therefore the local road grant share for each state and territory is determined by multiplying the previous year’s funding by the estimated factor as determined by the Treasurer. Table 2.3 shows the allocation of the actual entitlement for 2010 –11 among jurisdictions. Table 2.4 shows the allocation of the estimated entitlement for 2011–12 among jurisdictions and the percentage change in the grant from 2010 –11 to 2011–12. 27 28 292 162 294 148 259 290 106 787 410 33 012 434 14 892 525 23 188 665 1 446 854 689 Qld WA SA Tas. NT ACT Total 100.00 1.60 1.03 2.28 7.38 10.25 20.19 24.83 32.44 % of total general purpose pool 22 149 445* 354 988 227 985 505 377 1 634 775 2 269 655 4 472 621 5 499 792 7 184 252 31 Dec 2009 population General Purpose 65.32 65.32 65.32 65.32 65.32 65.32 65.32 65.32 65.32 $ per capita 642 012 005 20 586 393 15 039 018 34 022 099 35 282 907 98 164 578 120 289 528 132 359 654 186 267 828 Local Road actual entitlement $ 100.00 3.21 2.34 5.30 5.50 15.29 18.74 20.62 29.01 657 930 2 872 14 208 14 325 75 420 128 148 152 578 124 733 145 646 Local Road grant % of local road pool km 100.00 0.44 2.16 2.18 11.46 19.48 23.19 18.96 22.14 % of local road length 975.81 7 167.96 1 058.49 2 375.02 467.82 766.03 788.38 1 061.14 1 278.91 $ per km 2 088 866 694 43 775 058 29 931 543 67 03 4 533 142 070 317 246 423 868 412 451 822 491 619 213 655 560 340 Total actual entitlement $ Total grant 301 707 542 153 649 692 109 472 478 33 778 989 15 262 770 23 981 344 1 490 654 559 Qld WA SA Tas. NT ACT Total Source: 4.25 3.42 3.59 3.58 3.83 4.79 4.42 4.39 4.07 100.00 1.61 1.02 2.27 7.34 10.31 20.24 24.85 32.36 22 474 906* 361 914 229 874 509 292 1 650 377 2 317 064 4 558 661 5 585 566 7 272 158 66.33 66.26 66.40 66.33 66.33 66.31 66.18 66.32 66.33 $ per capita 661 447 295 21 209 593 15 494 286 35 052 032 36 351 007 101 136 263 123 930 990 136 366 508 191 906 616 Local Road 2011–12 estimated entitlement $ 4.23 3.03 4.28 4.28 4.28 4.28 4.28 4.28 4.28 % change from 2010 –11 actual grant 100.00 3.21 2.34 5.30 5.50 15.29 18.74 20.62 29.01 % of local road pool km 657 930 2 872 14208 14325 75420 128 148 152 578 124 733 145 646 Local Road $ per km 481.98 789.21 812.25 45 190 937 30 757 056 68 831 021 145 823 485 254 785 955 425 638 532 506 812 049 674 262 819 100.00 1 005.35 2 152 101 854 0.44 7 384.96 2.16 1 090.53 2.18 2 446.91 11.46 19.48 23.19 18.96 1 093.27 22.14 1 317.62 % of local road length Total 2011–12 estimated entitlement $ 4.25 100.00 1.43 2.10 3.23 3.20 6.78 11.84 19.78 23.55 31.33 % of total grant 3.93 3.93 3.94 4.59 4.38 4.36 4.13 % change from 2010 –11 actual grant Total grant 100.00 2.10 1.43 3.21 6.80 11.80 19.75 23.54 31.38 % of total grant ABS, Australian Demographic Statistics, Dec 2010, cat.no. 3101.0. Excludes other Territories comprising Jervis Bay Territory, Christmas Island and the Cocos (Keeling) Islands. Does not include brought forward (early) payment made in June 2010. Department of Infrastructure and Regional Development. 370 445 541 Vic. Notes: * 482 356 203 NSW State General Purpose 2011– 12 estimated entitlement $ General Purpose % change % of from total 2010 –11 general actual purpose 31 Dec 2010 grant pool population Table 2.4: 2011–12 allocation of estimated grant entitlement among jurisdictions and percentage change from 2010 –11 actual grant allocation ABS, Australian Demographic Statistics, Dec 2009, cat.no. 3101.0. Excludes other Territories comprising Jervis Bay Territory, Christmas Island and the Cocos (Keeling) Islands. Department of Infrastructure and Regional Development. 359 259 559 Vic. Notes: * Source: 469 292 512 NSW State General Purpose actual entitlement $ Table 2.3: 2010 –11 allocations of general purpose and local road grants among jurisdictions 2010–11 Local Government National Report Chapter 2 • Financial assistance grants to local government Quantum of financial assistance grant allocations Table 2.5 shows the aggregate level of financial assistance grants since the Australian Government’s provision of general purpose in 1974–75 and local road in 1991–92. Table 2.5: National financial assistance grant allocation, 1974–75 to 2011–12 Year 1974–75 1975–76 1976–77 1977–78 1978–79 1979–80a 1980–81 1981–82 1982–83 1983–84 1984–85 1985–86 1986–87 1987–88 1988–89 1989–90 1990–91 1991–92b 1992–93c 1993–94 1994–95 1995–96d 1996–97 1997–98 1998–99 1999–2000 2000–01 2001–02 2002–03 2003–04 2004–05 2005–06 2006–07 2007–08 2008–09 2009–10 2010 –11 2011–12e Total General purpose grants ($) 56 345 000 79 978 000 140 070 131 165 327 608 179 426 870 222 801 191 302 226 347 352 544 573 426 518 330 461 531 180 488 831 365 538 532 042 590 427 808 636 717 377 652 500 000 677 739 860 699 291 988 714 969 488 730 122 049 737 203 496 756 446 019 806 748 051 833 693 434 832 859 742 854 180 951 880 575 142 919 848 794 965 841 233 1 007 855 328 1 039 703 554 1 077 132 883 1 121 079 905 1 168 277 369 1 234 986 007 1 621 289 630 1 378 744 701 Local road grants ($) n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a 303 174 734 318 506 205 322 065 373 330 471 280 357 977 851 369 934 312 369 564 377 379 025 226 390 737 104 408 163 980 428 572 178 447 215 070 461 347 062 477 955 558 497 456 144 518 399 049 547 999 635 719 413 921 611 789 598 Total grants ($) 56 345 000 79 978 000 140 070 131 165 327 608 179 426 870 222 801 191 302 226 347 352 544 573 426 518 330 461 531 180 488 831 365 538 532 042 590 427 808 636 717 377 652 500 000 677 739 860 699 291 988 1 018 144 222 1 048 628 254 1 059 268 869 1 086 917 299 1 164 725 902 1 203 627 746 1 202 424 119 1 233 206 177 1 271 312 246 1 328 012 774 1 394 413 411 1 455 070 398 1 501 050 616 1 555 088 441 1 618 536 049 1 686 676 418 1 782 985 642 2 340 703 551 1 990 534 300 1 446 854 689 1 118 997 417 27 918 219 552 642 012 005 496 532 083 9 398 312 745 2 088 866 694 1 615 529 500 37 316 532 298 Note: a b c d e Source: Grants to the Northern Territory under the program commenced in 1979-80, with the initial allocation being $1 061 733. Prior to 1991–92 local road funding was provided as tied grants under different legislation (n/a = Not applicable). In 1992-93 part of the road grant entitlement of the Tasmanian and Northern Territory governments was reallocated to local government in these jurisdictions. Grants to the Australian Capital Territory under the program commenced in 1995-96, with the initial allocation being $13 572 165 in general purpose and $11 478 714 in local road. For 2011–12 the national grant allocation is the estimated entitlement. Department of Infrastructure and Regional Development. 29 2010–11 Local Government National Report National Principles for the allocation of grants under the Local Government (Financial Assistance) Act 1995 The Local Government (Financial Assistance) Act 1995 (Cwth) requires the Australian Government Minister to formulate national principles in consultation with state and territory ministers for local government and a body or bodies representative of local government. The National Principles provide guidance for the states and the Northern Territory in allocating financial assistance grants to local governing bodies within their jurisdiction. The National Principles came into effect in 1996–97. In 2005–06 the Minister formulated an additional national principle to take effect from 1 July 2006, with respect to local governing bodies formed as a result of amalgamation. The National Principles are set out in full at Appendix A. Determining the distribution of grants within jurisdictions Under sections 11 and 14 of the Local Government (Financial Assistance) Act 1995 (Cwth) financial assistance grants can only be paid to jurisdictions (other than the Australian Capital Territory) that have established a local government grants commission (see ‘Local government grants commissions’). The Australian Capital Territory does not have a local government grants commission, because its government provides local government services in lieu of the territory having a system of local government. The local government grants commissions make recommendations, in accordance with the National Principles, on the quantum of the financial assistance grant allocated to local governing bodies. The state and Northern Territory governments determine the membership of, and provide resources for, their respective local government grants commissions. 30 Chapter 2 • Financial assistance grants to local government LOCAL GOVERNMENT GRANTS COMMISSIONS Section 5 of the Local Government (Financial Assistance) Act 1995 (Cwth) specifies the criteria a body must satisfy to be recognised as a local government grants commission. These criteria are: • the body is established by a law of a state or the Northern Territory • t he principal function of the body is to make recommendations to the state or territory government about provision of financial assistance to local governing bodies in the state or territory • t he Australian Government minister is satisfied that the body includes at least two people who are or have been associated with local government in the state or territory, whether as members of a local governing body or otherwise. Section 11 of the Local Government (Financial Assistance) Act 1995 (Cwth) requires local government grants commissions to: • old public hearings in connection with their recommended h grant allocations • ermit or require local governing bodies to make submissions to the p commission in relation to the recommendations • make their recommendations in accordance with the National Principles. The legislation establishing local government grants commissions in each state and the Northern Territory are: New South Wales Local Government Act 1993 Victoria Victoria Grants Commission Act 1976 Queensland Local Government Act 1993 Western Australia Local Government Grants Act 1978 South AustraliaSouth Australian Local Government Grants Commission Act 1992 Tasmania State Grants Commission Act 1976 Northern Territory Local Government Grants Commission Act 1986 Once each local government grants commission determines the recommended allocation of grants to local governing bodies in its jurisdiction, the relevant state or Northern Territory minister recommends the allocation to the Australian Government Minister responsible for local government for approval. The Local Government (Financial Assistance) Act 1995 (Cwth) requires that the Minister is satisfied that the state or Northern Territory has adopted the recommendations of its local government grants commission. Section 15 of the Local Government (Financial Assistance) Act 1995 (Cwth) requires that, as a condition for paying the grants to the states and the Northern Territory, the states and the Northern Territory must pay the grants to local government without undue delay and without conditions, thus giving local government discretion to use the funds for local priorities. 31 2010–11 Local Government National Report Further, the Local Government (Financial Assistance) Act 1995 (Cwth) requires the state and Northern Territory treasurers to give the Minister, as soon as practicable after 30 June each year, a statement detailing payments made to local government during the previous financial year, including the date the payments were made, as well as a certificate from their respective Auditor-General certifying that the statement is correct. The grants are paid to the states and the Northern Territory in equal instalments each quarter. The first payment for each financial year is paid as soon as statutory conditions are met. One of the requirements of the Local Government (Financial Assistance) Act 1995 (Cwth) is that the first payment cannot be made before 15 August. Bodies eligible to receive financial assistance grants All local governing bodies constituted under state and territory local government Acts are automatically local governing bodies. In addition, section 4(2)(b) of the Local Government (Financial Assistance) Act 1995 (Cwth) provides for: a body declared by the minister, on the advice of the relevant state minister, by notice published in the Gazette, to be a local governing body for the purposes of this Act. In addition to the Australian Capital Territory, 566 local governing bodies, including 10 declared local governing bodies made eligible under section 4(2)(b), received grants in 2010 –11 (Table 2.6). Table 2.6: Distribution of local governing bodies, by type and jurisdiction, at 1 July 2011 Type Local governmentsa Declared local governing bodies b Total NSW Vic. Qld WA SA Tas. NTc Total 152 79 73d 139 68 29 16 556 3 0 0 0 6 e 0 1 10 155 79 73 139 74 29 17 566 Notes: a These are local governing bodies, eligible under section 4(2)(a) of the Local Government (Financial Assistance) Act 1995 (Cwth), as they are constituted under state or territory legislation. b These are declared local governing bodies under section 4(2)(b) of the Local Government (Financial Assistance) Act 1995 (Cwth). c Includes the amalgamations that took effect in the Northern Territory on 1 July 2008 (see ‘Efficiency and effectiveness reforms’ in Chapter 3) and includes the Northern Territory Road Trust Account. d Includes the two indigenous local governments established under distinct legislation as reported in Chapter 4, Table 4.1. e Includes the two indigenous local governing bodies established under distinct legislation as reported in Chapter 4, Table 4.1. Source: Department of Infrastructure and Regional Development. The Shires of Christmas Island and Cocos (Keeling) Islands are part of Australia’s Indian Ocean Territories. They are not entitled to receive funding under the Local Government (Financial Assistance) Act 1995 (Cwth) but receive the equivalent of financial assistance grant payments. For an explanation of the arrangements for these local governments and that of the Wreck Bay Aboriginal Community Council in the Jervis Bay Territory see page 35 (‘Financial assistance to Australia’s territories’). 32 Chapter 2 • Financial assistance grants to local government FINANCIAL ASSISTANCE TO AUSTRALIA’S TERRITORIES Under an arrangement between the Australian Government and the Western Australian Government, the Western Australian Local Government Grants Commission (WALGGC) provides an annual assessment of the general purpose and local road grants for the Shires of Christmas Island and Cocos (Keeling) Islands. The commission determines the grant allocations as if these areas were local governing bodies in Western Australia. This is done on the basis that funding from the Australian Government for these territories should allow them to provide municipal services that align with communities in Western Australia. Under an arrangement between the Australian Government and the New South Wales Government, the New South Wales Local Government Grants Commission provides an annual assessment of the funding that would be allocated for the Wreck Bay Aboriginal Community Council in the Jervis Bay Territory, as if that council was a local governing body in New South Wales. This is done on the basis that funding from the Australian Government to the Wreck Bay Aboriginal Community Council should allow it to provide municipal services that align with communities in New South Wales. On the basis of these assessments, the Australian Government provides funding for the shires of Christmas Island and Cocos (Keeling) Islands, as well as the Wreck Bay Aboriginal Community Council. The funding comes from a separate budget allocation to that provided under the Local Government (Financial Assistance) Act 1995 (Cwth). The funding provided in 2010 –11 was: • Jervis Bay Territory – $76 870 in general purpose grants • hristmas Island Shire Council – $2 719 371 in general purpose grants and C $335 091 in local road grants • ocos (Keeling) Islands Shire Council – $1 697 000 in general purpose grants C and $114 602 in local road grants. Methods of local government grants commissions Local government grants commissions each have their own methodology for allocating grants to local government in their jurisdiction. For allocating general purpose grants, local government grants commissions assess the amount each local government would need to be able to provide a standard range and quality of services, while raising revenue from a standard range of rates and other income sources. The local government grants commissions then develop recommendations taking account of each local governing body’s assessed grant need. The recommended allocation of the local road component is based on the local government grants commissions’ assessments of local governing bodies’ road expenditure need. The local government grants commissions are required to make their recommendations in line with National Principles for the allocation of grants under the Local Government (Financial Assistance) Act 1995 (Cwth). 33 2010–11 Local Government National Report Local government grants commissions meet annually at a national conference to share insights and discuss common issues. The 2010 conference was held in Melbourne with presentations made on the following topics: Financial Assistance Grants—35 years on, Liveability—the Role of Councils, Local Government in a Changing environment and state and local perspectives were provided on the Bushfire Response and Recovery. A detailed description of each local government grants commission’s methodology can be found in Appendix B under the headings ‘The methodology for distributing Australian Government Financial Assistance Grants for 2010 –11, including any changes in methodology from 2009–10’. In addition, local government grants commissions publish information about their methods in their annual reports and occasional publications. Copies of these are usually available on the Internet (see ‘Internet addresses for local government grants commissions’). A comparison of the methodologies the local government grants commissions used in 2010 –11 is in Appendix C. INTERNET ADDRESSES FOR LOCAL GOVERNMENT GRANTS COMMISSIONS Local government grants commission Internet address New South Wales www.dlg.nsw.gov.au/dlg/dlghome/dlg_CommissionTribunalIndex. asp?areaindex=GC&index=21 Victoria www.dpcd.vic.gov.au/localgovernment/ victoria-grants-commission Queensland www.qlggc.qld.gov.au Western Australia www.dlgrd.wa.gov.au/lggc South Australia www.localgovt.sa.gov.au/about_us/south_australian_local_ government_grants_commission Tasmania www.treasury.tas.gov.au/domino/dtf/dtf.nsf/v-stategrants/home Northern Territory www.grantscommission.nt.gov.au Allocation of grants to local government in 2010 –11 The Australian Government Minister approved the allocation of financial assistance grants to local governing bodies for 2010 –11, as recommended by local government grants commissions through state and Northern Territory ministers. Appendix D contains the actual entitlements for 2010 –11 and the estimated entitlements for 2011–12. Table 2.7 sets out the average general purpose grant per capita to local governing bodies by jurisdiction and the Australian Classification of Local Government, a description of which is in Appendix F, while Table 2.8 provides the average local road grant per kilometre by jurisdiction and classification. The Australian Classification of Local Government has been developed to aid comparison of similar local governing bodies, and is used here to indicate trends and allow comparison of grants to individual local governing bodies with the average for their category. 34 Chapter 2 • Financial assistance grants to local government The results in Table 2.7 and Table 2.8 suggest there are some differences in outcomes between jurisdictions. Notwithstanding the capacity of the classification system to group similar local governing bodies, it should be noted that considerable scope for divergence within these categories remains, and for this reason the figures should only be taken as a starting point for enquiring into grant outcomes. This divergence can occur because of factors including isolation, population distribution, local economic performance, daily or seasonal population changes, age of population and geographic differences. Divergence can also occur because of variations between jurisdictions of the relative ranking within the jurisdiction on the basis of need of the different classification categories. Table 2.7: A verage general purpose grant per capita to local governing bodies by jurisdiction and classification, 2010 –11 Classification Jurisdiction ($) NSW Vic. Qld WA SA Tas. NTa Average Urban Capital City (UCC) 25.46 19.56 19.60 19.59 19.48 19.44 20.22 20.48 Urban Developed Small (UDS) 19.49 n/a n/a 19.59 19.48 n/a n/a 19.52 Urban Developed Medium (UDM) 20.34 n/a n/a 19.59 19.48 n/a n/a 19.80 Urban Developed Large (UDL) 23.51 22.92 n/a 19.59 19.48 n/a n/a 21.38 Urban Developed Very Large (UDV) 66.33 36.70 20.73 19.59 59.41 n/a n/a 40.55 125.07 159.28 169.31 71.77 118.42 60.92 28.99 104.82 Urban Regional Medium (URM) 92.32 132.83 138.98 40.13 19.48 19.44 n/a 73.86 Urban Regional Large (URL) 73.81 104.55 50.02 n/a n/a n/a n/a 76.13 Urban Regional Very Large (URV) 66.33 73.15 36.21 n/a n/a n/a n/a 58.56 n/a 72.37 99.17 19.59 28.30 67.38 20.29 51.18 Urban Fringe Medium (UFM) 37.55 61.35 56.52 32.13 19.48 19.44 n/a 37.74 Urban Fringe Large (UFL) 84.93 86.49 n/a 19.59 97.91 n/a n/a 72.23 Urban Fringe Very Large (UFV) 38.71 53.11 n/a 19.59 38.50 n/a n/a 37.48 Rural Significant Growth (RSG) n/a n/a n/a 79.34 19.48 n/a n/a 49.41 Urban Regional Small (URS) Urban Fringe Small (UFS) Rural Agricultural Small (RAS) 691.66 n/a n/a 584.17 623.07 436.17 28.29 472.67 Rural Agricultural Medium (RAM) 399.15 556.18 939.54 186.73 313.43 148.97 n/a 424.00 Rural Agricultural Large (RAL) 282.00 357.74 n/a 203.19 194.88 167.23 n/a 241.01 Rural Agricultural Very Large (RAV) 189.79 192.55 371.15 113.86 166.60 111.17 20.22 166.48 Rural Remote Extra Small (RTX) 460.55 n/a 6 284.24 6 002.56 782.82 n/a n/a 3 382.54 n/a n/a 2 104.68 1 402.80 n/a n/a n/a 1 753.75 n/a 1 190.40 895.44 n/a n/a 86.93 803.68 n/a 1 151.71 308.67 355.64 n/a 212.84 500.36 65.31 64.94 64.80 67.39 65.42 Rural Remote Small (RTS) Rural Remote Medium (RTM) Rural Remote Large (RTL) Average 1 041.98 472.92 64.97 65.19 65.34 Notes: a Excludes the Northern Territory Trust Fund. n/a = not applicable. Source: Department of Infrastructure and Regional Development. 35 2010–11 Local Government National Report Table 2.8: A verage local road grant per kilometre to local governing bodies by jurisdiction and classification, 2010 –11 Classification Jurisdiction ($) NT Average Urban Capital City (UCC) 3 553.78 2 900.47 2 379.70 3 804.88 1 618.72 5 781.08 3 590.66 3 375.61 Urban Developed Small (UDS) 2 355.03 n/a n/a 1 986.69 2 051.45 n/a n/a 2 131.06 Urban Developed Medium (UDM) 2 734.34 n/a n/a 1 997.95 1 861.16 n/a n/a 2 197.82 Urban Developed Large (UDL) 2 554.62 1 417.00 n/a 1 789.76 1 759.63 n/a n/a 1 880.25 Urban Developed Very Large (UDV) 2 488.44 1 507.94 1 692.80 1 905.76 1 753.89 n/a n/a 1 869.76 Urban Regional Small (URS) 1 277.74 624.45 3 143.36 3 346.24 1 629.37 Urban Regional Medium (URM) 1 487.88 1 069.90 609.30 1 250.40 2 121.26 3 690.31 n/a 1 704.84 Urban Regional Large (URL) 1 967.73 1 159.79 875.01 n/a n/a n/a n/a 1 334.18 Urban Regional Very Large (URV) 2 101.14 1 326.13 951.15 n/a n/a n/a n/a 1 459.47 Urban Fringe Small (UFS) NSW Vic. 942.04 Qld WAa 570.05 1 501.68 SAa Tas. n/a 1 151.86 610.98 1 669.95 624.28 2 243.26 3 314.30 1602.44 Urban Fringe Medium (UFM) 1 758.75 1 280.81 709.88 1 622.37 814.77 3 179.15 n/a 1 560.95 Urban Fringe Large (UFL) 1 710.49 1 627.51 n/a 1 628.35 1 353.99 n/a n/a 1 580.09 Urban Fringe Very Large (UFV) 2 101.88 1 573.84 n/a 1 738.89 1 542.73 n/a n/a 1 739.34 n/a Rural Significant Growth (RSG) n/a n/a n/a 1 209.45 245.03 n/a 727.24 Rural Agricultural Small (RAS) 854.19 n/a n/a 562.89 293.34 1 453.90 1 643.81 961.62 Rural Agricultural Medium (RAM) 897.60 758.94 507.52 741.76 253.58 1 740.01 n/a 816.57 Rural Agricultural Large (RAL) 945.63 543.80 n/a 746.46 267.80 2 045.80 n/a 909.90 1 012.18 1 114.19 528.26 757.95 321.17 1 970.59 2 825.32 1 218.52 Rural Agricultural Very Large (RAV) Rural Remote Extra Small (RTX) n/a n/a 492.94 434.10 517.43 n/a n/a 481.49 Rural Remote Small (RTS) n/a n/a 497.57 316.21 n/a n/a n/a 406.89 Rural Remote Medium (RTM) 832.18 n/a 506.56 568.49 n/a n/a 876.70 695.98 Rural Remote Large (RTL) 857.30 n/a 511.98 726.57 n/a n/ a 711.87 701.93 n/a n/a n/a n/a n/a n/a 513.56 513.56 1 263.60 1 048.44 778.95 756.86 462.22 2 346.59 1 045.82 1 100.35 Northern Territory Trust fund Average Notes: a Averages for all classifications in these states includes special roads grants received by local government. not applicable n/a Source: Department of Infrastructure and Regional Development. 36 Chapter 2 • Financial assistance grants to local government Local governing bodies on the minimum grant Local governing bodies receiving the minimum grant entitlement generally fall within the classification of capital city, urban developed or urban fringe as described in the Australian Classification of Local Government. Local governing bodies on the minimum grant are identified with a hash (#) in Appendix D. The per capita grant of these local governing bodies in 2010 –11 was between $19 and $21, with slight differences between jurisdictions (see Appendix E). The differences arise from variations in data for population used by the Australian Government to calculate jurisdictions’ share of general purpose grants and those used by local government grants commissions for allocations to individual local governing bodies. The number of local governing bodies on the minimum grant, and the proportion of the general purpose grant local governing bodies on the minimum grant increased from 2009–10 to 2010 –11. This has resulted in an increase in the per capita grant to non-minimum grant local governments relative to that of minimum grant local governments. This trend is consistent with the Local Government (Financial Assistance) Act 1995 (Cwth) objective of horizontal equalisation. The proportion of the population covered by local governing bodies on the minimum grant varies widely between jurisdictions. In 2010 –11, the proportion ranged from 26.01 per cent in New South Wales to 75.32 per cent in Western Australia. This generally reflects the degree of concentration of a jurisdiction’s population in their capital city, but can also arise because of the geographic structuring of local government and differences in the methodologies local government grants commissions use. In 2010 –11, the proportion of the general purpose grant that went to local governing bodies on the minimum grant was 11.05 per cent nationally. It varied from 7.80 per cent in New South Wales to 22.60 per cent in Western Australia. Local governing bodies on the minimum grant are relatively affluent compared to the non-minimum grant local governing bodies in their jurisdiction. Local government grants commissions determine the level of assistance each local governing body requires to function, by reasonable effort, at a standard not lower than the average standard of other local governing bodies in the jurisdiction. In doing this they consider the revenue-raising ability and expenditure requirements of each local governing body in the jurisdiction. Where a local governing body is on the minimum grant, its local government grants commission has determined it requires less assistance to function, by reasonable effort, at a standard not lower than the average standard of other local governing bodies in the jurisdiction. 37 38 24.07 % of population in minimum grant councils 833 950 17.41 8/79 Population for minimum grant councils % of population in minimum grant councils Min grant councils/No. LGB’s 4 791 268 5.25 % to minimum grant councils Population per jurisdiction 12 553 936 239 054 282 $ to minimum grant councils $ general purpose grant Vic. 21/166 1 581 130 Population for minimum grant councils Min grant councils/No. LGB’s 6 568 902 7.53 % to minimum grant councils Population per jurisdiction 24 054 968 319 471 456 $ to minimum grant councils $ general purpose grant NSW 2001–02 6/79 11.58 559 791 4 836 196 3.48 8 681 598 249 588 629 21/166 24.32 1 607 137 6 608 792 7.57 25 175 682 332 621 822 2002–03 7/80 13.63 665 812 4 884 952 4.10 10 542 345 257 091 396 20/166 26.34 1 754 764 6 662 212 8.13 27 799 562 341 916 239 2003–04 8/80 13.56 670 083 4 941 398 4.09 10 883 040 266 191 972 20/155 24.33 1 632 677 6 710 408 7.38 26 481 959 358 832 105 2004–05 9/80 15.81 789 522 4 992 667 4.76 13 194 313 276 987 692 20/155 24.37 1 644 799 6 749 297 7.33 27 451 347 374 443 598 2005–06 10/80 18.25 928 552 5 088 427 5.55 16 041 360 289 188 062 21/155 25.22 1 712 959 6 790 811 7.59 29 279 694 385 938 812 2006–07 Table 2.9: Local governing bodies on the minimum grant, by jurisdiction, 2001–02 to 2010–11 7/79 14.30 738 401 5 163 649 4.35 13 310 089 305 906 191 21/155 25.18 1 725 814 6 854 067 7.58 30 793 666 406 050 359 2007–08 11/79 24.21 1 273 912 5 262 390 7.34 23 450 803 319 394 720 21/155 25.13 1 744 716 6 943 884 7.60 32 070 254 422 066 453 2008–09 12/79 27.24 1 447 208 5 313 734 8.17 27 458 066 336 060 498 21/155 25.19 1 759 235 6 983 605 7.56 33 460 548 442 758 903 2009–10 12/79 28.72 1 563 445 5 443 134 8.62 30 577 564 354 852 579 22/155 26.01 1 855 282 7 133 854 7.80 36 160 752 463 479 161 2010–11 2010–11 Local Government National Report 58.19 % of population in minimum grant councils 23/142 57.02 % of population in minimum grant councils Min grant councils/No. LGB’s 1 079 722 Population for minimum grant councils 17.19 % to minimum grant councils 1 893 490 16 244 304 $ to minimum grant councils Population per jurisdiction 94 473 299 $ general purpose grant WA 10/157 2 096 769 Population for minimum grant councils Min grant councils/No. LGB’s 3 603 043 17.65 % to minimum grant councils Population per jurisdiction 31 728 207 179 769 293 $ to minimum grant councils $ general purpose grant QLD 2001–02 27/142 67.15 1 285 089 1 913 850 20.19 19 939 143 98 770 852 11/157 60.90 2 231 630 3 664 284 18.34 34 681 718 189 108 056 2002–03 28/142 69.19 1 340 055 1 936 902 20.86 21 262 998 101 937 713 8/157 55.94 2 100 117 3 754 154 17.00 33 578 476 197 578 337 2003–04 28/142 69.32 1 363 077 1 966 410 20.95 22 188 029 105 930 054 7/157 54.14 2 081 206 3 844 405 16.45 34 075 645 207 097 211 2004–05 30/142 73.87 1 473 011 1 993 926 22.29 24 661 291 110 620 829 3/157 40.74 1 599 555 3 926 210 12.37 26 940 642 217 821 826 2005–06 30/140 73.51 1 498 209 2 038 209 22.36 25 901 130 115 836 527 2/157 35.91 1 454 323 4 049 647 11.01 25 346 303 230 151 592 2006–07 Table 2.9: Local governing bodies on the minimum grant, by jurisdiction, 2001–02 to 2010–11 cont. 31/140 74.21 1 544 602 2 081 303 22.59 27 858 876 123 301 075 2/157 35.99 1 486 720 4 131 389 10.98 26 876 194 244 752 786 2007–08 31/139 73.95 1 581 149 2 138 062 22.53 29 147 411 129 395 614 2/73 34.38 1 458 827 4 242 789 10.68 27 468 884 257 092 111 2008–09 31/139 75.22 1 633 126 2 171 197 22.57 31 045 359 137 579 902 2/73 35.66 1 489 934 4 178 232 10.70 29 098 788 272 006 416 2009–10 31/139 75.32 1 691 057 2 245 057 22.60 33 132 023 146 620 875 2/73 35.45 1 567 615 4 421 783 10.64 30 728 757 288 922 754 2010–11 Chapter 2 • Financial assistance grants to local government 39 40 13.60 7/74 % of population in minimum grant councils Min grant councils/No. LGB’s 472 288 89 801 19.01 2/29 Population for minimum grant councils % of population in minimum grant councils Min grant councils/No. LGB’s 5.73 % to minimum grant councils Population per jurisdiction 1 349 616 $ to minimum grant councils $ general purpose grant 23 564 217 205 519 Population for minimum grant councils TAS 1 511 183 4.12 % to minimum grant councils Population per jurisdiction 3 103 810 75 398 572 $ to minimum grant councils $ general purpose grant SA 2001–02 2/29 19.00 89 702 472 116 5.72 1 394 260 24 365 180 14/74 36.64 555 400 1 515 748 11.09 8 675 109 78 225 421 2002–03 2/29 19.31 91 602 474 305 5.80 1 448 298 24 962 320 17/74 44.38 675 601 1 522 475 13.33 10 679 916 80 126 729 2003–04 1/29 10.01 48 071 480 162 3.02 781 868 25 866 216 22/74 55.40 847 861 1 530 402 16.66 13 732 563 82 442 403 2004–05 1/29 10.03 48 533 483 813 3.02 810 666 26 841 415 22/74 55.36 850 511 1 536 333 16.63 14 175 161 85 234 073 2005–06 1/29 9.99 48 794 488 559 3.02 837 576 27 766 033 22/74 54.69 852 943 1 559 565 16.59 14 706 754 88 633 994 2006–07 Table 2.9: Local governing bodies on the minimum grant, by jurisdiction, 2001–02 to 2010–11 cont. 2/29 19.06 93 708 491 704 5.76 1 676 505 29 129 652 20/74 52.94 834 072 1 575 389 16.09 15 018 873 93 329 590 2007–08 3/29 32.08 158 901 495 377 9.66 2 914 651 30 163 788 21/74 54.99 876 276 1 593 494 16.59 16 084 800 96 948 206 2008–09 4/29 42.36 210 772 497 529 12.71 3 994 953 31 433 715 20/74 53.75 861 778 1 603 361 16.13 16 309 932 101 127 276 2009–10 5/29 48.81 245 667 503 292 14.64 4 775 551 32 611 864 21/74 55.48 900 691 1 623 590 16.64 17 542 801 105 434 395 2010–11 2010–11 Local Government National Report 30.92 % of population in minimum grant councils Source: 81/712 32.95 5 886 891 19 038 661 10.03 89 034 841 941 634 378 0/65 - - 198 487 - - 10 198 709 2002–03 0/63 - - 198 075 - - 10 713 889 2004–05 1/63 34.83 69 958 198 885 10.94 1 219 197 11 142 605 2005–06 0/62 - - 200 844 - - 11 865 377 2006–07 1/61 33.05 70 245 208 778 10.72 1 350 251 12 590 104 2007–08 2/16 8.21 17 856 212 519 13.42 1 772 176 13 203 569 2008–09 4/16 58.23 124 029 217 435 17.47 2 424 889 13 880 149 2009–10 4/16 57.82 126 424 212 983 17.35 2 555 872 14 733 572 2010–11 82/711 34.11 6 328 749 19 208 603 10.39 98 547 510 86/700 33.77 6 627 951 19 433 075 10.23 105 311 595 86/700 32.57 6 642 975 19 672 070 9.83 108 143 104 86/697 32.12 6 475 889 19 883 090 9.75 108 452 617 84/695 31.66 6 495 780 20 223 996 9.62 112 112 817 91/565 34.39 6 493 562 20 510 020 10.48 116 884 454 94/565 35.91 7 111 637 20 893 431 10.77 132 908 979 97/565 34.34 7 526 082 20 960 641 11.05 143 792 535 982 878 669 1 014 037 273 1 057 073 850 1 103 092 038 1 149 380 397 1 215 059 757 1 268 264 461 1 334 846 859 0/63 - - 197 617 - - 10 424 539 2003–04 Department of Infrastructure and Regional Development. 71/713 5 771 530 Population for minimum grant councils Min grant councils/No. LGB’s 18 738 875 9.46 % to minimum grant councils Population per jurisdiction 84 066 586 896 868 719 $ to minimum grant councils $ general purpose grant AUSTRALIA 0/66 - % of population in minimum grant councils Min grant councils/No. LGB’s - Population for minimum grant councils 194 297 - % to minimum grant councils Population per jurisdiction - 9 903 259 $ to minimum grant councils $ general purpose grant NT 2001–02 Table 2.9: Local governing bodies on the minimum grant, by jurisdiction, 2001–02 to 2010–11 cont. Chapter 2 • Financial assistance grants to local government 41 2010–11 Local Government National Report Reviews of grants commission methods Local government grants commissions have programs for monitoring grant outcomes and refining aspects of their allocation methodologies. However, from time to time it is appropriate for local government grants commissions to undertake a thorough review of their allocation methodologies. Since the Local Government (Financial Assistance) Act 1995 (Cwth) commenced in July 1995, most local government grants commissions have undertaken major reviews of their methodologies, are currently undertaking such examinations, or have such activities planned (Table 2.10). The need to review methodologies was reinforced by the 2001 Commonwealth Grants Commission review of the operations of the Local Government (Financial Assistance) Act 1995 (Cwth). The review identified the need to revise methodologies to achieve consistency with the principles of relative need, other grant support and Aboriginal peoples and Torres Strait Islanders (Commonwealth Grants Commission 2001). Table 2.10: Status of most recent major methodology reviews, by state as at 30 June 2011 State General purpose grants Local road grants NSW Revenue assessment during 2010 –11 None planned Vic. Completed in May 2001 and implemented from 2002–03. Review of revenue component completed in 2004 and implemented over four years from 2005–06 Completed in July 1999 and implemented from 2001–02 Qld Completed in 2010 and implemented from 2011–12 Completed in December 2002 and implemented from 2004–05 WA The current review is due for completion in December 2011. None planned SA Last review completed in 1996–97 and implemented in Major review planned for 2011–12 and 1997–98. Major review planned for 2011–12 and 2012–13. 2012–13. Tas. Last triennial review was implemented in 2009–10. Next review period will end during 2011–12 and be implemented in 2012–13. Last triennial review was implemented in 2009–10. Next review period will end during 2011–12 and be implemented in 2012–13. NT Review of methodology completed in 2004–05 and implemented over five years from 2005–06 None planned Source: Department of Infrastructure and Regional Development. 42 Chapter 2 • Financial assistance grants to local government Impact of local government grants commission capping policies Year-to-year variations in the data local government grants commissions use to determine allocation of grants can lead to significant fluctuations in grants for individual local governing bodies. Changes in local government grants commission methodologies for improving allocation of grants most likely to achieve horizontal equalisation can also lead to fluctuations. As unexpected changes in grants can impede local governments’ efficient planning, local government grants commissions have adopted policies to ensure changes are not unacceptably large. Many local government grants commissions average the data of several years to reduce fluctuations. Nevertheless, policies to limit changes, by capping increases or decreases, may be needed to limit year-to-year variations. No local governing body receives less than the minimum grant, so local governing bodies on the minimum grant are exempt from capping. In some circumstances, a local government grants commission may decide a local governing body’s grant should not be capped. Usually, this is to allow a larger grant increase than would otherwise be possible. 43 CHAPTER 3 Local government efficiency and performance Section 16 of the Local Government (Financial Assistance) Act 1995 (Cwlth) requires an annual report to Parliament on its operations, which includes an assessment based on comparable national data of the performance of local governments including their efficiency. Previous Local Government National Reports have identified the difficulty of basing an assessment on comparable national data, due in large part to the different arrangements each state has to collect and report on local government performance. In preparing this National Report, states and local government associations were asked to provide a report on their activities during 2010 –11 in the following areas: • developments in relation to local government’s use of long-term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks; • measures undertaken to develop and implement comparative performance measures between local governing bodies; and • reforms undertaken during 2010 –11 to improve the efficiency and effectiveness of local government service delivery. These reports are in Appendix B. This chapter will focus on progress as reported by the states and local government associations in relation to activities in these areas. 45 2010–11 Local Government National Report Long-term financial and asset management Across the three spheres of government in Australia, there is a clear focus to encourage local government to proactively manage its community’s assets and to improve its long-term financial planning. At the national level, the Local Government and Planning Ministers’ Council agreed to pursue nationally consistent approaches to the financial sustainability, asset management and financial reporting of local government. At its 2007 meeting, the Council committed to provide a consistent reporting mechanism for local government and to ensure state governments had a clearer picture of the financial and management health of the local government sector in their state. As part of this commitment, three Financial Sustainability Nationally Consistent Frameworks were developed for local government1. These were: • Framework 1: Criteria for Assessing Financial Sustainability • Framework 2: Asset Planning and Management • Framework 3: Financial Planning and Reporting At the Ministers’ Council meeting on 9 October 2009, the Australian Government announced arrangements for a Local Government Reform Fund. A focus of the Reform Fund was to improve infrastructure asset management and planning, and to build the sustainability and capacity of local government to meet community needs. Projects approved for funding under the Reform Fund would complement the development of this Nationally Consistent Framework. The Australian Government subsequently approved $16.521 million worth of projects under Phase 1 of the Reform Fund (see Table 3.1). These projects are expected to be completed in 2012. Further projects under Phase 2 of the Reform Fund are expected to be delivered in 2012 and 2013. 1 46 These three frameworks are available for download at www.lgpmcouncil.gov.au/publications/sus_framework.aspx. Chapter 3 • Local government efficiency and performance Table 3.1: Funding agreed under Phase 1 of the Local Government Reform Fund Recipient Purpose Australian Capital Territory Development of an asset and financial management planning framework 437 000 New South Wales Government Local government asset management and financial management project 3 250 000 Northern Territory Government and the Local Government Association of the Northern Territory Local Government capacity building project 1 350 000 Queensland Government and Local Government Association of Queensland Advancing asset management in local government 2 695 000 South Australian Government and Local Government Association of South Australia Improving South Australian councils’ asset and financial management practices 1 650 000 South Australian Government and local government bodies Adelaide integrated design strategy 1 000 000 Local Government Association of Tasmania Long term asset and financial management planning for all Tasmanian councils 870 000 Southern Tasmanian Councils Authority Independent review of structures for local governance and service delivery in southern Tasmania 150 000 Tasmanian Government and Southern Tasmanian Councils Authority Future-proofing Tasmania’s councils: a regional and land use based approach to climate change adaptation 400 000 Victorian Government and the Municipal Association of Victoria Local government sustainability project 964 000 Victorian Government and the Municipal Association of Victoria Local government regional asset management services project 1 404 000 Western Australian Government Integrated strategic planning, financial management and asset management in local government 2 351 000 Total Agreed funding 16 521 000 Source: Department of Infrastructure and Regional Development In April 2010, the Council of Australian Governments (COAG) decided to reform the system of Ministerial Councils so as to give a greater focus on national strategic priorities. As a result, the Local Government and Planning Ministers’ Council was wound up on 30 June 2011. Oversight of local government asset management and long-term financial planning is to be undertaken by the Local Government Ministers’ Forum. For this National Report, jurisdictions were asked to provide reports on the implementation of these Financial Sustainability Nationally Consistent Frameworks during 2010 –11. While the full reports are at Appendix B, a summary of the progress by state follows: In New South Wales, the State government is reforming the way councils plan and report to their communities. One element of this reform is to require councils to have a resourcing strategy that includes an asset management plan, a long-term financial plan and a workforce plan. Councils must also provide improved annual financial reporting on the condition of their assets and the cost to bring assets to a satisfactory standard. 47 2010–11 Local Government National Report Improving asset management practices within councils is expected to lead to a better understanding of: • their current assets and their condition; • how well the current assets meet the community’s current and future needs; and • the capacity of the council to change the assets available. Councils should therefore be better placed to determine whether additional funds are required for assets and how the funds could be sourced. These reforms are being introduced via a staged approach over three years beginning in 2010 –11 with councils self-selecting the year they begin implementation. In Victoria, an assessment by the Victorian Auditor-General found that councils have improved their financial performance and asset management over the past decade. The state has also provided additional funding to local government for infrastructure under: • the Regional Growth Fund where councils are eligible for grant funding over four years through the $100 million Local Government Infrastructure Account for road projects, bridges, new community assets and the upgrade of existing facilities; • the Country Roads and Bridges Fund where 40 rural councils are able to apply for funding to renew and maintain regional roads and bridges; and • the Public Libraries Capital Works Program to improve library infrastructure by delivering new or upgraded facilities. In Queensland, the local government legislation now requires councils to prepare long-term asset management plans, long-term financial forecasts and long-term community plans. This has shifted the planning process within councils from an annual focus on the budget to a longer term perspective with an emphasis on the ongoing sustainability of the council. In 2011, the state found that most councils can prepare long-term financial forecasts and develop sustainability strategies. However, further work is required to develop asset management plans and to integrate these with financial forecasts. The State has also been assessing the financial sustainability of councils and identifying those facing financial challenges. It is expected that all councils will have developed asset management plans for all infrastructure assets by March 2012. In Western Australia, an Integrated Strategic Planning Framework has been developed to improve the practice of strategic planning in local government. So that councils comply with the intent of state local government legislation, the Framework specifies the minimum requirements to be met by councils and outlines processes and activities for councils so that an integrated strategic plan can be developed. Key components of the Integrated Planning and Reporting Framework are the frameworks and guidelines for the long-term financial planning and for asset management. These components are aligned with the Financial Sustainability Nationally Consistent Frameworks. Training programs on integrated planning, asset management planning and long-term financial planning are being delivered to councils across the state. 48 Chapter 3 • Local government efficiency and performance Amendments have been drafted to regulations under the state local government legislation to require asset management planning and long-term financial planning to become standard practice for councils. In South Australia, all councils have developed and adopted long-term financial and asset management plans as required under State local government legislation. Funding under the Local Government Reform Fund will accelerate the implementation of the asset management and financial planning frameworks, build capacity in and resilience of councils and increase collaboration between councils in planning and service delivery. Additional work is underway to improve the rigour of existing infrastructure and asset management plans. This is because some councils have found their earlier plans had not been based on financially sustainable service levels. During 2010 –11, councils were advised of the importance of making careful decisions when proposing projects to be funded under the Australian Government’s Regional and Local Community Infrastructure Program (see description of program in box). They were reminded that decisions on infrastructure priorities need to be based on the long-term financial plans of the council. In Tasmania, a project approved under the Australian Government’s Local Government Reform Fund will provide funding to assist with the development of planning templates and the implementation of long-term financial and asset management plans in all Tasmanian councils. As part of this project, a local government asset management policy was developed to provide councils with high-level guidance in the development of their asset management policies. In the Northern Territory, all councils either have long term financial and asset management plans or are close to finalising them. Funding from the Australian Government’s Local Government Reform Fund was used in 2010 –11 for workshops on financial and asset management for council staff and elected members. In the Australian Capital Territory, the Territory and Municipal Services Directorate (TAMS) delivers a wide range of local government-type services such as roads, footpaths, public transport, public libraries as well as landfill, recycling and waste collection. Financial and asset management are core functions of the Directorate. Two projects in 2010 –11 focused on the financial and asset management of TAMS. These were to: • identify opportunities for improvement in its structure, processes and work practices of TAMS. An ACT Expenditure and Evaluation Committee worked with TAMS on this review; and • implement a Strategic Asset Management Framework for TAMS. This was facilitated by funding given under the Australian Government’s Local Government Reform Fund. A key output of this project is expected to be improvements in the life cycle management of assets. Both projects are expected to deliver more accurate and accessible information about the Territory’s assets. 49 2010–11 Local Government National Report REGIONAL AND LOCAL COMMUNITY INFRASTRUCTURE PROGRAM This program was part of the Australian Government’s Nation Building Economic Stimulus Plan. On 18 June 2010, the Federal Government announced further funding of $100 million to be made available in 2010 –11 under Round 3 of the program. Under this program, councils were funded to provide community infrastructure such as: • social and cultural infrastructure (e.g. art spaces, gardens); • recreational facilities (e.g. swimming pools, sports stadiums); • tourism infrastructure (e.g. walkways, tourism information centres); • hildren, youth and seniors facilities c (e.g. playgroup centres, senior citizens’ centres); • access facilities (e.g. boat ramps, footbridges); and • environmental initiatives (e.g. drain and sewerage upgrades, recycling plants). The program allowed for funding of new construction and major renovation of community infrastructure as well as the refurbishment of assets. When determining project proposals, councils were responsible for community consultation and for assessing the benefit to their community of potential infrastructure projects. Councils were encouraged to consider projects that: • addressed the needs of the local indigenous population; • ddressed environmental sustainability and how the projects they selected a promoted green building technologies, design practices and operations and prepared for climate change impacts; and • involved collaboration with neighbouring councils including by way of joint-projects. Funding under Round 3 was determined as follows: • each council received a minimum payment of $30 000; • ouncils with populations greater than 30 000 and categorised as urban c fringe or urban regional, according to the Australian Classification of Local Governments, received an additional growth component of $150 000; and • ll councils with at least 5 000 residents shared the remaining funds a proportionate to their 2009–10 general purpose financial assistance grant. Since its inception in November 2008, more than $1 billion has been available to local government under the Regional and Local Community Infrastructure Program. Further information on the program is available at: www.regional.gov.au/local/cip/index.aspx 50 Chapter 3 • Local government efficiency and performance Comparative performance indicators All local governments have a legal requirement, under their state local government Acts, to report on their performance. These reports may be in the form of annual reports, performance statements, financial statements and/or strategic planning reports. While not all performance information is publicly available, some states provide a comparative analysis of local governments under their jurisdiction. This information is collected by either the responsible state or territory agency or by grants commissions. An interesting development involving the Productivity Commission occurred in July 2011. The Commission was asked to assess the performance of local government as a regulator. The study is expected to develop indicators so that the performance of local government as a regulator can be benchmarked (see the Productivity Commission Business Regulation Benchmarking study on page 56). For this National Report, state governments and local government associations were asked to report on measures undertaken in 2010 –11 to develop and implement comparative local government performance indicators. A summary of these reports for each state follows. In New South Wales, 19 performance indicators for councils were published in the 2009–10 Comparative Information on New South Wales Local Government Councils. This is the 20th year of publication of this report. Time series data for each indicator, the raw data as well as the publication are available at: www.dlg.nsw.gov.au/dlg/dlghome/dlg_index.asp In Victoria, some exploratory work by the Essential Services Commission, a Victorian government statutory authority, was undertaken in 2009–10 to develop council performance measures. The Commission sought to develop indicators from the perspective of service recipients. This work will form the foundation of future developments in this area. In Queensland, the 2009–10 edition of the Queensland Local Government Comparative Information Report was released. The report includes efficiency, effectiveness and qualityof-service indicators for key functional and financial areas of local government. The report assists councils to monitor trends over time and to benchmark their performance both internally and with other councils. In addition, councils are required to provide information annually about asset management, community engagement, governance and financial sustainability. This information is used to evaluate and report on the financial sustainability of councils in Queensland. In Western Australia, the development of a Performance Measurement Framework for local government is being pursued. As a first step, performance measures have been developed to identify changes in local government capability in: • integrated planning; • workforce planning; • financial planning; and • asset management. 51 2010–11 Local Government National Report Using information collected from councils, a sector-wide Capability Index will be calculated showing the proportion of councils attaining the baseline level of capability. It is intended that councils will use these results to drive continuous improvement. In South Australia, the Local Government Association provides a report annually showing key financial indicators for the local government sector. The report provides the latest values for these indicators as well as historical values and comparisons across councils. For the 2010 –11 report, additional data showing differences between categories of councils for 2009–10 was provided. In Tasmania, to promote excellence in performance and to support long-term sustainability, a Sustainability, Objectives and Indicators project is being developed for the local government sector. Council performance will be measured against sustainability indicators. In the Northern Territory, comparative performance measurement for local government is not currently being pursued. The Australian Local Government Association identified the need to resolve data issues for local government. It outlined a case for Australian Government funding to assist in the measurement of local government service delivery, citing a finding in the 2008 Productivity Commission report Addressing Local Government Revenue Raising Capacity that ‘[t]here is a need for the Australian Bureau of Statistics and various grants commissions to improve the consistency and accuracy of the local government data collections’. PRODUCTIVITY COMMISSION BUSINESS REGULATION BENCHMARKING STUDY: ROLE OF LOCAL GOVERNMENT AS REGULATOR In July 2011, the Productivity Commission was asked to undertake a study into the performance of local government as a regulator. This study is the fourth in a series of Commission reviews to benchmark the regulatory burdens on Australian business. The Productivity Commission was asked to benchmark the extent to which approaches adopted by councils when exercising their regulatory responsibilities affects the costs incurred by business. Specifically, the Commission was asked to: • identify the scope of local government regulatory responsibilities in each state; • larify the extent to which the local government role includes implementing c policies of national and state governments; • ssess whether different responsibilities and the approach taken to their a exercise has a material impact on business costs; and • identify best practices which have the capacity to reduce unnecessary regulatory costs for business. The study will develop indicators so that the performance of local government can be benchmarked. It will also draw on leading practice approaches both in Australia and overseas. Further details on the study can be found at: www.pc.gov.au/ projects/study/regulationbenchmarking/localgov. 52 Chapter 3 • Local government efficiency and performance Efficiency and effectiveness reforms State governments and local government associations were asked to report on other reforms undertaken in 2010 –11 to improve the efficiency and effectiveness of local government service delivery. In New South Wales, one of the aims of that state’s Local Government Reform Program is to improve the efficiency and effectiveness of services provided by councils. The approaches being pursued with councils under this program are: • strengthening the strategic focus and the better integration of planning and reporting processes; • implementing an asset management framework, including long term financial planning; • promoting better council practices; and • encouraging greater cooperation between councils. An example of this is the formation of the Strategic Alliance Network to encourage greater cooperation between councils. The Network comprises key local government stakeholders and councils committed to developing and sharing initiatives involving council collaboration. The Division of Local Government within the New South Wales government, the Local Government and Shires Associations, Local Government Managers Australia and the Strategic Alliance Network are working to develop better ways to share information, build relevant skills and promote further council collaboration. In this regard, work has begun on preparing a discussion paper on strengthening the role of Regional Organisations of Councils. In Victoria, the Councils Reforming Business program helped councils to improve services, reduce costs and reduce red tape. For example, a project to harmonise engineering standards across regional councils was initiated under this program. Financial benefits, time savings and better outcomes were identified as potential outcomes if shared state-wide engineering and infrastructure standards were adopted. These engineering standards are being implemented in 24 councils and are available for adoption in other councils. Other projects under this program are the Local Government Procurement Strategy that sought to improve council procurement processes, and the Better Practice Local Laws Strategy that sought to help councils develop regulations in a robust and consistent manner. In Queensland, the focus in 2010 –11 was on improving the efficiency and effectiveness of local government through enhancements in financial management, sustainability and reporting requirements. 53 2010–11 Local Government National Report In Western Australia, assistance is provided to councils that are voluntarily participating in structural reform. The councils receiving assistance are directly pursuing amalgamations or joining a Regional Transition Group or a Regional Collaborative Group. As at June 2011, four councils were directly pursuing amalgamations. A further four councils had recommended an amalgamation to the Local Government Advisory Board but a poll of electors from one of these councils had overturned this. In addition, 16 councils have formed five Regional Transition Groups to work together on a Regional Business Plan to consider whether amalgamation would benefit their communities. A further 23 councils have formed five Regional Collaborative Groups to work together on a Regional Business Plan to consider whether a regional approach to service delivery would benefit their communities. The Regional Collaborative Groups approach is more suited to councils in regional areas where amalgamation is not a priority because of the distance between towns. In South Australia, the Governance Standards Advisory Committee of the Local Government Association provided advice on leading practice and continued governance improvement for the sector. Its focus in 2010 –11 was on: • legislative review; • governance within local government; • good governance assessment; and • a code of practice for access to meeting and associated documents. The Local Government Association Education and Training Service continued to provide training and support for councillors and council staff. The Association also funded two reports by the Australian Centre of Excellence for Local Government (for further information on ACELG, see page 56) on professional development in the local government sector: The Current State of Professional Development and Issues, Challenges and Professional Development Priorities. In 2010 –11, a paper on good administrative practice in managing a complaints and investigations process was produced as part of the Regulatory Services Program. Under this program, councils already had access to a model enforcement policy and a set of standard operating procedures for the regulatory powers commonly exercised by councils. In Tasmania, a review of valuation and local government rating processes is being undertaken to identify an approach that will be: • more efficient and more flexible for councils; • simpler and more easily understood; • cost-effective; • equitable for different classes of ratepayers; • less susceptible to market fluctuations; and • more sustainable in the long term. In the Northern Territory, the local government association has sought exemption for councils having to call tenders for a range of equipment so that access to such equipment can be obtained under the Local Government National Procurement Network tender using local suppliers. 54 Chapter 3 • Local government efficiency and performance Local government amalgamations Table 3.2 shows the change in the number of councils in Australia at various times since 1910. Table 3.2: Number of local governments, by state, 1910–2011 State Councils 1910a Councils 1991a Councils 2001b Councils 2008* Councils 2011* NSW 324 176 172 152 152 Vic. 206 210 79 79 79 Qld 164 134 125 73 73 WA 147 138 142 140 139 SA 175 122 68 68 68 Tas. 51 46 29 29 29 n/a n/a 7 61 16 1 067 826 622 602 556 NT Total Note: * n/a – New South Wales total excludes Silverton and Tibooburra villages and Lord Howe Island; –South Australian total excludes the five Indigenous local governing bodies and the Outback Areas Community Development Trust; – Northern Territory total excludes the Trust Account. not applicable. Sources: a K Sproats, 1996, Comparison of agendas and processes in Australian Local Government, a paper presented to the Local Government in Queensland Centenary Conference, p.5; b From information provided by state local government associations and individual councils (totals exclude Indigenous and other local governing bodies receiving federal financial assistance grants). In the last 20 years, local government structural reform processes have been implemented in most states. For Queensland and the Northern Territory, the structural reform programs have been implemented relatively recently and the new arrangements are being bedded down. Structural reform is now on the agenda for councils in Western Australia and council amalgamation is one possible outcome of this process. In May 2011, ACELG released a report on options for ‘consolidation’ in local government. Options considered for council consolidation included shared services delivery, regional collaboration, boundary adjustment as well as amalgamation of councils. The report, Consolidation in Local Government: A Fresh Look2, covers both Australia and New Zealand and it was a collaborative research project between ACELG, the Local Government Association of South Australia and the Local Government New Zealand. Significantly, one of the findings of the report is that (p 8): …consolidation…is an essential (but not exclusive) strategy to address the challenges facing local government and secure its place in the evolving Australian system of government. The evidence shows that significant benefits can be derived from all of the approaches to consolidation examined in this study. Equally there may be disbenefits, disruption, transition costs, weakening of loc al democracy, loss of local identity and employment that need to be weighed in any strategic approach to reform. 2 The full report and detailed case studies can be downloaded from the ACELG website at www.acelg.org.au 55 2010–11 Local Government National Report The study also found that (p 10): …consolidation provides important opportunities to capture economies of scope and enhance the strategic capacity of local government. Economies of scope increase the capacity of councils to undertake new functions and deliver new or improved services that previously were not possible. Significantly, they enable councils to shift their focus towards a more strategic view of their operations. We argue that this enhanced strategic capacity is in part a function of increased size and resource level, but it is also related to the potentialities that are created by the pooling of knowledge and expertise. The process of consolidation can generate a focus that transcends individual local government boundaries and encourages councils to operate in a broader context, one that is more regional or system-wide, enabling them to relate more effectively to central governments. Enhanced strategic capacity appears essential to local government’s long term success as a valued partner in the system of government, and this emerged as probably the most important issue for councils to consider in examining different modes of consolidation. AUSTRALIAN CENTRE OF EXCELLENCE FOR LOCAL GOVERNMENT During June 2009, the Australian Government announced the creation of the Australian Centre of Excellence for Local Government (ACELG), which is a collaboration of university and professional bodies committed to advancing local government3. At the end of its initial five years, the intention is that ACELG will have brought about enduring improvements in local government’s capacity and performance. ACELG’s vision is: World-class local government to meet the emerging challenges of 21st century Australia. To achieve this vision, the Centre’s mission is to provide: 3 56 • national network and framework within which local government a organisations, government agencies, academic institutions, training bodies and other key stakeholders can collaborate in areas of mutual interest; • research and development capacity to support policy formulation, drive innovation and help address the challenges facing local government; • leadership in promoting informed debate on key policy issues; • clearing house for the exchange of information and ideas, a identifying, showcasing and promoting innovation and best practice in local government; • inputs to capacity building programs across the local government sector, with an initial emphasis on long term financial sustainability and asset management; 2010 Annual Report for the Australian Centre of Excellence for Local Government at www.acelg.org.au/aboutacelg.php Chapter 3 • Local government efficiency and performance • orkforce development initiatives including education, training and skills w development for both staff and elected members; • leadership development programs for both senior and emerging leaders; and • specialist focus on the particular needs of local government in rural and a remote areas, including Indigenous local governance. The work of the consortium has six program areas. These are: • research and policy foresight; • innovation and best practice; • governance and strategic leadership; • organisation capacity building; • rural-remote and Indigenous local government; and • workforce development. All six program areas have the potential to improve the performance of local government. For example, in the innovation and best practice program, the objective is to promote exchange of information and ideas, and to identify, showcase and disseminate innovation and best practice in local government. Under this program, an interactive web-based system the Innovation and Knowledge Exchange Network or IKEN was launched in June 2011. It provides an online space where local government practitioners can interact with their peers and other stakeholders from across the nation for information exchange, collaboration, mutual learning and shared insights. 57 CHAPTER 4 Local government service provision to Indigenous communities Reporting requirements Section 16 of the Local Government (Financial Assistance) Act 1995 (Cwth) requires an assessment, based on comparable national data, of the delivery of local government services to Aboriginal and Torres Strait Islander communities. During 2010 –11, states and local governments pursued initiatives aimed at promoting the delivery of local government services to Indigenous people. Appendix B has reports prepared by state governments and local government associations on these initiatives. A summary of key initiatives is also provided later in this chapter. The Act requires a report on the delivery of services to Aboriginal and Torres Strait Islander communities rather than to Indigenous individuals. In 2006, the Australian Bureau of Statistics found 1,187 discrete Indigenous communities in Australia. About 90 per cent of the Aboriginal and Torres Strait Islander people living in these discrete communities resided in three jurisdictions, the Northern Territory, Queensland and Western Australia (see Figure 4.1). The delivery of services to Indigenous communities will therefore be particularly important for local government in these jurisdictions. 59 2010–11 Local Government National Report Figure 4.1: Map of discrete Indigenous communities by usual population, Australia 2006 500 people or more 200–499 50–199 Less than 50 people Source: Australian Bureau of Statistics 2007, Housing and Infrastructure in Aboriginal and Torres Strait Islander Communities, 2006 (Reissue), cat. no. 4710.0 (p. 121). Closing the gap Six targets were agreed at the October 2008 meeting of the Council of Australian Governments (COAG) for closing the gap between Indigenous and non-Indigenous Australians across urban, rural and remote areas. These were: • close the gap in life expectancy between Indigenous and non-Indigenous Australians by 2031; • halve the gap in mortality rates for Indigenous children under five by 2018; • ensure access to early childhood education for all Indigenous four year olds in remote communities by 2013; • halve the gap in reading, writing and numeracy achievement for Indigenous children by 2018; • halve the gap in Year 12 or equivalent attainment rates for Indigenous young people by 2020; and • halve the gap in employment outcomes between Indigenous and non-Indigenous Australians by 2018. 60 Chapter 4 • Local government service provision to Indigenous communities On 9 February 2011, the then Prime Minister Julia Gillard issued the third report to Parliament on progress in Closing the Gap4. The report fulfills the Australian Government’s commitment to table an annual report in Parliament on this initiative. The report identifies three important imperatives that need to be overcome. These are: • to overcome under-investment in services and infrastructure; • to encourage and support personal responsibility as the foundation for healthy, functional families and communities; and • to build new understanding and respect between Indigenous and non-Indigenous Australians. Seven key building blocks that target specific areas of Indigenous disadvantage are listed in the report. These are: • early childhood building block; • schooling building block; • health building block; • healthy homes building block; • safe communities building block; • economic participation building block; and • governance and leadership building block. The report indicates how each of these seven key building blocks works to make progress towards achieving the targets. Funding to make long-term improvements in each of these areas has been committed under the following specific National Partnership Agreements: • $5.5 billion on Remote Indigenous Housing; • $1.57 billion on Closing the Gap in Indigenous Health Outcomes; • $564.4 million on Indigenous Early Childhood Development; • $228.9 million on Indigenous Economic Participation; and • $291.2 million on Remote Service Delivery. The report states that tackling Indigenous disadvantages requires ongoing collaboration between all spheres of government working in partnership with Indigenous individuals and communities. It also stresses the important role that the corporate and community sectors have to play. The National Congress of Australia’s First Peoples is cited as an example of how this partnership approach is being pursued. The report acknowledges that in order to measure progress, the evidence base must be improved. The Government has therefore committed $46.4 million over four years from 2009–10 to improve the availability and reliability of data. 4 Department of Families, Housing, Community Services and Indigenous Affairs 2011, Closing the gap, Prime Minister’s report 2011, Department of Families, Housing, Community Services and Indigenous Affairs, Canberra 61 2010–11 Local Government National Report The Prime Minister, in tabling this Report in the House of Representatives5, said (p 127): I know we could never say mission accomplished three years into a 30-year process. But the message of this report is clear. Together, we can do this. Together, we have a plan for progress. We do see change for the better. And we know where we want change to continue. This is the power of Closing the Gap. We do not have a plan to do everything. Such plans rarely succeed. We do have a plan to meet six targets. Together, we can do this. With this evidence of where we have more work to do comes a responsibility to do more work now. In August 2011, the Steering Committee for the Review of Government Service Provision released the fifth edition of the report, Overcoming Indigenous Disadvantage: Key Indicators6. The Steering Committee found (p 4): Across virtually all the indicators in this report, there are wide gaps in outcomes between Indigenous and other Australians. The report shows that the challenge is not impossible, in a few areas, the gaps are narrowing. However, many indicators show that outcomes are not improving, or are even deteriorating. There is still a considerable way to go to achieve COAG’s commitment to close the gap in Indigenous disadvantage. Outcomes have improved in several areas. In those jurisdictions with long term data, the mortality rate for Indigenous people declined by 27 per cent between 1991 and 2009, leading to a narrowing (but not closing) of the gap with non-Indigenous people in those jurisdictions. In particular, Indigenous young child (0-4 years) and infant (0-12 months) mortality rates declined by over 45 per cent between 1991 and 2009 (in the three jurisdictions for which data are available: WA, SA and the NT). Nationally, Indigenous home ownership has increased, and Indigenous people are achieving better outcomes in post-secondary education, employment and income. However, outcomes in these areas have also improved for non-Indigenous people, leading to little or no closing of the gaps. In other areas, there has been less progress. There has been little change in literacy and numeracy, most health indicators and housing overcrowding for Indigenous people. Rates of child abuse and neglect substantiations and adult imprisonment have increased for Indigenous people but there has been recent improvement in juvenile detention rates. In addition to the substantial contributions of the Australian and state governments in achieving the Closing the Gap targets, local government has an important role to play. 5 Australia, House of Representatives 2011, Ministerial Statements: Indigenous Affairs, 9 February 2011, p 127. 6 Steering Committee for the Review of Government Service Provision 2011, Overcoming Indigenous Disadvantage: Key Indicators 2011, Productivity Commission, Canberra. 62 Chapter 4 • Local government service provision to Indigenous communities State and local government initiatives An outline of key activities undertaken by states and local government associations in improving the provision of local government services to Indigenous people in 2010 –11 is as follows: New South Wales A Social Justice Initiatives survey covering 2008 and 2009 asked councils questions about initiatives involving Indigenous people. Of the 122 councils that responded, • 15 councils have implemented the Aboriginal Mentoring Program; • 59 councils have an Aboriginal advisory or consultative committee; and • 35 councils have a formal agreement with an Indigenous group. The inaugural Census of Local Government Employees for New South Wales councils was conducted in July 2010. It found that Indigenous people make up 3.9 per cent of staff in rural councils, 1.2 per cent of regional councils and 0.6 per cent of metropolitan council7. Victoria The Victorian Government is funding an Aboriginal employment broker program to assist councils to employ Indigenous people and to support economic development initiatives. The Municipal Association of Victoria is acting as a local government industry broker in this program. The Local Government Aboriginal employment project was established in June 2011 to: • support local government in their active engagement with Indigenous communities; • support Indigenous communities as they strengthen their links with local government; • encourage partnerships between the state and local governments dealing with Indigenous issues; and • improve outcomes for Indigenous people and local government primarily in relation to reconciliation, service delivery, employment and cultural heritage. Queensland There are 14 Aboriginal Shire Councils and two Indigenous Regional Councils. The Queensland Department of Local Government and Planning is improving local government service delivery to Indigenous communities through enhancing financial and asset management of Indigenous councils as well as building their capacity. The Department is developing the capability of Indigenous councils in land use planning and development as well as supporting the delivery of essential services by these councils. Financial assistance and capacity building support has also been provided by the state to the Torres Strait Island Regional Council, recently created from the amalgamation of 15 smaller councils. 7 This compares with data from the 2006 Census showing that 2.2 per cent of the New South Wales population identified as being indigenous. 63 2010–11 Local Government National Report The Local Government Association of Queensland is assuming greater responsibility in representing and advocating on behalf of Queensland’s Indigenous councils following the demise of the Aboriginal Coordinating Council, their former peak organising body. An Indigenous Leaders’ forum has also been formed that meets twice a year to identify and discuss key issues affecting Indigenous councils. The Association notes that while good progress has been made since establishing the Indigenous councils with their status equal to that of other Queensland councils, the Indigenous councils face many challenges not faced by other councils because of their history, isolation and cultural environment. However, the Association reports that there is the emergence of strong and capable leadership in Indigenous councils that is beginning to tackle these challenges. Western Australia Work is proceeding on revised arrangements for the delivery of municipal services to Indigenous communities. This initiative stems from a Bilateral Agreement between the state and Australian governments as well as a subsequent National Partnership Agreement on Remote Indigenous Housing. Financial assistance from the state has been provided to a number of remote and regional councils for specialist consultants to undertake the scoping and costing of services in Indigenous communities using a template specifically developed for this project. South Australia Support continues to be provided to councils involved in Native Title processes. In particular, support is given to the 27 councils involved in Indigenous land use negotiations in the Kaurna region. Tasmania An arrangement to provide waste management to the Indigenous community on Cape Barren Island was agreed following a meeting, facilitated by the state, involving the Aboriginal Land Council of Tasmania, the Flinders Council and the Cape Barren Island Aboriginal Association. Northern Territory All councils are involved in service delivery to Indigenous communities. While municipal councils tend to only provide core local government services, the range of services provided by shire councils is more diverse and can include services provide on behalf of the Northern Territory Government as well as services funded by Northern Territory and Australian Government grants. 64 Chapter 4 • Local government service provision to Indigenous communities Australian Capital Territory The ACT Government has established two bodies dealing with provision of services to Indigenous people. These bodies are: • the ACT Aboriginal and Torres Strait Islander Elected Body to ensure participation by Indigenous people in the ACT in the formulation, coordination and implementation of government policies that affect them; and • the ACT Taskforce on Aboriginal and Torres Strait Islander Affairs comprising the heads of key ACT government directorates as well as the ACT Chief Police Officer to drive the delivery of improved services and outcomes for Indigenous people in the ACT. In 2010 –11, the Elected Body met formally six times and the Taskforce four times. The President of the Australian Local Government Association (ALGA) is a member of COAG. ALGA supports the Closing the Gap initiative and notes the important role local government plays in service delivery for Indigenous communities. ALGA welcomes the renewed focus of the Australian Government on service delivery for remote communities as well as the increased funding made available for it. AUSTRALIAN CENTRE OF EXCELLENCE FOR LOCAL GOVERNMENT (ACELG) INDIGENOUS PROGRAM ACELG’s mandate is to enhance professionalism and skills in local government, showcase innovation and best practice, and facilitate a better-informed policy debate. The rural-remote and Indigenous local government program is one of the six program areas being pursued by ACELG8. The objective of this program is to identify specific governance and capacity building issues facing rural, remote and Indigenous local government. This program began in 2009–10 when ACELG undertook scoping studies in Queensland, Western Australia and the Northern Territory to identify how best to frame the program. In July 2010, it convened a roundtable discussion to consider the findings of these scoping studies with the aim of formulating a national strategy for discussion with key stakeholders. Following the roundtable, ACELG put forward the following strategic priorities for capacity building in rural-remote and Indigenous local government9: 1 Role and expectations of local government 2 Local government service delivery 3 Financial capability and asset management 4 Statutory and administrative compliance 8 Australian Centre of Excellence for Local Government, 2010 Annual Report. 9 Australian Centre of Excellence for Local Government, A Capacity Building Strategy for Rural-Remote and Indigenous Local Government, March 2011. 65 2010–11 Local Government National Report 5 Governance development and community engagement 6 Senior management capacity and support 7 Workforce development 8 Regional collaboration and resource sharing 9 Appropriate operational systems 10 External engagement and relationship building ACELG proposed preparing a paper on roles and expectations of rural-remote and Indigenous local government as well as to undertake specific work on issues relevant to particular jurisdictions. In addition, ACELG proposed to build additional elements relating to rural-remote and Indigenous local government into its sector-wide Organisation Capacity Building and Workforce Development programs. These additional elements will be in areas such as guidelines for financial planning, Indigenous employment and the design of training programs. It also proposes to facilitate the sharing of the Western Australian experience resulting from the greater regional collaboration occurring in the Pilbara, Kimberley and Goldfields. Further, ACELG proposed that two further roundtable discussions be convened covering compliance and operational systems. ACELG believes that a partnership approach involving federal and state governments, local government associations and professional bodies, and other key stakeholders is essential to generate the funding and resources required to deliver the strategy. It is therefore proposing to establish a reference group to provide advice on priorities, to promote partnerships and to get projects agreed, funded and started. It is also looking to convene annual roundtables of stakeholders to review overall progress and consider next steps. ACELG is also seeking formal endorsement of its strategy by local government Ministers and local government associations. Australian Government expenditure and progress Financial assistance grants to Indigenous local governing bodies Of the 566 local governing bodies that received financial assistance grants in 2010 –11, 31 were Indigenous (Table 4.4). To be eligible to receive these grants, Indigenous local governing bodies must be established in one of three ways. The three ways are: • a state government’s normal local government legislation; for example, the Aurukun and Mornington local governments in Queensland and the Ngaanyatjarraku local government in Western Australia, or • a state government’s distinct legislation; for example, the Anangu Pitjantjatjara Yankunytjatjara (APY) and the Maralinga Tjarutja Councils in South Australia, or 66 Chapter 4 • Local government service provision to Indigenous communities • a declaration by the Australian Government minister, acting on advice from the state minister, that it is a local governing body for the purposes of the Local Government (Financial Assistance) Act 1995 (Cwth) so that it can receive financial assistance grants. Table 4.1 gives the distribution of the 31 Indigenous local governing bodies by jurisdiction and the means by which they became eligible for financial assistance grants. Table 4.1: D istribution of Indigenous local governing bodies, by eligibility type and jurisdiction, at July 2010 State Established under state Established under local government distinct state legislation legislation (no.) (no.) Declared local governing bodies (no.) Total Indigenous local governing bodies (no.) 0 0 16 Qld 16 WA 1 0 0 1 SA 0 2a 3 5 NT 9 0 0b 9 26 2 3 31 Total Note: a Established under the Anangu Pitjantjatjara Yankunytjatjara Land Rights Act 1981 (SA) and the Maralinga Tjarutja Land Rights Act 1984 (SA). b Does not include the Northern Territory Trust Account as it is not an Indigenous local governing body. Source: Department of Infrastructure and Regional Development During 2010 –11, $46.6 million in financial assistance grants was provided to these 31 Indigenous local governing bodies. Of this, $35.3 million was in general purpose grants and $11.3 million in local road grants. The details of the grant provided to these Indigenous local governing bodies are in Table D.1 of Appendix D. Indigenous local governing bodies are identified by an asterisk (*). Allocation of general purpose payments to mainstream local governing bodies in relation to their Indigenous population Some of the financial assistance grants funding received by mainstream local governing bodies in 2010 –11 is provided to reflect the number of Indigenous people within their boundaries. Local Government Grants Commissions determine an allocation of financial assistance grants to local governing bodies, which must comply with the National Principles (see Appendix A). For the general purpose grants, local government grants commissions apply cost adjusters where it has been determined that the cost of providing a local government service is affected by a recognisable factor, such as demographic profile, remoteness, or climate. In addition to a National Principle requiring grants commissions to allocate the general purpose grant on the basis of relative needs, Principle 5 relates specifically to Indigenous people: 67 2010–11 Local Government National Report Aboriginal Peoples and Torres Strait Islanders Financial assistance shall be allocated to councils in a way, which recognises the needs of Aboriginal peoples and Torres Strait Islanders within their boundaries. In complying with this National Principle, some grants commissions apply cost adjusters reflecting the size of the Indigenous population of a local governing body when assessing the cost of providing certain services. This may be the result of Indigenous people having a different average level of demand for certain services or there may be different costs associated with delivering the service to Indigenous people, perhaps for language, cultural reasons, or distance factors. Grants commissions also recognise that local governing bodies are often unable to charge rates for the land on which some Indigenous communities reside. This reduces the revenue they are able to raise. In this way grants commissions try to take into account the impact of Indigenous people on the finances of a local governing body, in terms of revenue received as well as expenditure requirements, when determining the financial assistance grant to be allocated. Grants commissions could determine the level of financial assistance grant that mainstream local governing bodies receive in respect of Indigenous people. However, there are conceptual difficulties in using these estimates as a measure of the financial assistance grants that the local governing bodies receive to provide local government services to Indigenous people as financial assistance grant is untied in the hands of local governing bodies. Whether that funding is used to achieve a particular outcome, for example to provide services for its Indigenous residents, is left to the local governing bodies to determine. National awards for local government Through the National Awards for Local Government, the Australian Government recognises, rewards and promotes the innovative work of local governments across Australia. In 2011, two of the award categories recognised councils that worked constructively with Indigenous people. One category, Engaging and Strengthening Indigenous Communities, was awarded for good practice in engagement with Indigenous Australians that strengthens Indigenous communities and actively encourages Aboriginal and Torres Strait Islander peoples to participate in decision making on issues that affect their lives. The other category, Promoting Reconciliation, was awarded for initiatives that strengthen reconciliation through mutual recognition, respect and participation between Indigenous and non-Indigenous Australians. Both awards were sponsored by the Australian Government Department of Families, Housing, Community Services and Indigenous Affairs. The 2011 Engaging and Strengthening Indigenous Communities category winners were: • City of Swan in Western Australia for their project: Yagan Memorial Park. This project highlights the results that can be achieved through partnerships between local government and the Indigenous community. The Yagan Memorial Park was initiated by the Derbarl Yerrigan Committee for the Reburial of Yagan’s Kaat (Kaat means ‘head’ in the Nyoongar language). By way of background, Yagan (c.1795, 11July 1833) was a great Nyoongar leader and warrior. Yagan’s body was buried on the site where he was killed in 1833 but his Kaat 68 Chapter 4 • Local government service provision to Indigenous communities was taken as a trophy to England. Since the early 1980s, a number of Nyoongar groups sought the return of Yagan’s Kaat. After 164 years, his Kaat was finally brought back to Australia for burial in accordance with Nyoongar custom. A unique Memorial Park has been created to commemorate the life and death of Yagan and as a burial site for Yagan’s repatriated Kaat. Now that the Kaat is respectfully laid to rest, the Elders believe Yagan’s spirit is set free to continue on its eternal journey. The project was a partnership between the Derbarl Yerrigan Committee for the Reburial of Yagan’s Kaat, the Department of Indigenous Affairs of Western Australia and the City of Swan. It involved not only the planning, designing and constructing the Memorial Park but also organising and conducting the burial and opening ceremony of the Memorial Park. • Victoria Daly Shire Council in the Northern Territory was the small council (less than 15,000 rateable properties) award winner with the project: Leadership for Indigenous Women The focus of the project has been to build Indigenous women’s capacity in leadership as well as their ability to influence governance in the remote communities of Victoria Daly Shire. The capacity building for the Indigenous women involved engagement, encouragement and empowerment through training and skills development. An initial consultative process provided all women with the opportunity to be represented in a community group. Approximately 50 women were identified who were expected to benefit from the program. As a result of the project, there is a higher level of representation of Indigenous women at local board levels within the shire. Approximately 25 women are currently on local boards and there are still many not involved in local government forums but who have the potential to be good leaders. The Leadership for Indigenous Women project benefits everyone: women, families, community, regional partnerships and the shire. It means having a more equitable representation of men and women on boards and a broader discussion of issues because Indigenous women are involved in the decision making processes. The project now extends across organisations and networks, bringing together Indigenous and non-Indigenous women to meet and develop the skills needed to improve community governance and service delivery arrangements. The 2011 Promoting Reconciliation category winners were: • Manningham City Council in Victoria for their program: Manningham Reconciliation Week Program and Exhibition This program covers a diverse range of projects that embody the themes of cultural education, improving understanding, celebration and action. The program has been evolving since 2006 and in this time has established itself as best practice for Indigenous engagement and promotion of reconciliation within the community. The program is delivered through community partnerships. Local community organisations (such as youth services, community health, education sector, police, environmental and heritage groups) all have a strong sense of ownership over delivery of 69 2010–11 Local Government National Report the program. Each partner has formed positive relationships with indigenous facilitators whereby a shared vision for reconciliation has been established. As a direct result of their participation in this program, many of these community partners have established key organisational objectives around reconciliation, and have expressed an ongoing commitment to continued learning and participation in the reconciliation process. Reconciliation messages are communicated through ceremony, the arts, culture, history, environment, literature and recreation. The messages reach a wide audience, with a strong focus upon youth engagement. This focus is based upon a belief that building awareness and respect in young people is the key to social change regarding issues such as Indigenous disadvantage, as well as enabling sustainable reconciliation. The success of the program arises primarily from the mentorship provided by the Wurundjeri people. As well, a strong relationship has been built over these years between local community organisations and the Indigenous community. This has allowed the Indigenous community to take leadership roles in the planning and delivery of all aspects of the reconciliation week program. • Narrabri Shire Council in New South Wales was the small council (less than 15,000 rateable properties) award winner for their project: Aboriginal Flag Raising Celebration. Narrabri Shire Council established a Yarnup Committee in April 2009 by way of an informal invitation extended to Councillors, local Aboriginal Elders and community members to discuss issues of mutual benefit. Numerous issues were raised at the initial meeting including the raising of the Aboriginal Flag. Subsequently, a request from the Narrabri Local Aboriginal Land Council was received in May 2009 by Council to raise for the first time the Aboriginal Flag at the Council Administration Building in conjunction with NAIDOC Week 2009. The year’s focus was ‘Honouring of Elders, Nurturing our Youth’. Council agreed to fly the Aboriginal Flag for NAIDOC Week and hold a civic reception during that week. The inaugural Aboriginal Flag raising at the Narrabri Shire Council took place on 1 July 2009. The celebration was embraced by the entire community with a march commencing at the Narrabri Local Aboriginal Land Council Building for all people wishing to be involved. The march proceeded along the main street of Narrabri which was closed to all traffic while the march took place. On arrival at the council building, a Welcome to Country and Smoking Ceremony was conducted by local Indigenous citizens followed by symbolic speeches by local identities and it concluded with the raising of the Aboriginal Flag. The raising of the Aboriginal Flag was seen as one simple way to recognise the status of the Aboriginal people and their contribution to Australia. Details of all winners of the 2011 Awards are in the Australian Government publication National Awards for Local Government: 2011 Winners. Further information on the Awards is available from the Department of Infrastructure and Regional Development. For example, further information is on the Department’s website at www.regional.gov.au 70 APPENDIX A National Principles for allocating general purpose and local road grants According to section 3 of the Local Government (Financial Assistance) Act 1995 (Cwth) (the Act), the Federal Parliament provides financial assistance grants to the states and self-governing territories for the purpose of improving: • the financial capacity of local governing bodies • the capacity of local governing bodies to provide their residents with an equitable level of services • the certainty of funding for local governing bodies • the efficiency and effectiveness of local governing bodies • the provision, by local governing bodies, of services to Aboriginal and Torres Strait Islander communities. The grants are provided to jurisdictions in the form of general purpose and local road grants. The intra-jurisdictional allocation of these grants to local governing bodies is made in accordance with recommendations of local government grants commissions with prior approval of the Australian Government Minister. In determining grant allocations, the commissions are required to make their recommendations in line with National Principles. The current National Principles are set out in Figure A.1. The main objective of having National Principles is to establish a nationally consistent basis for distributing financial assistance grants to local government under the Act. The Act includes a requirement, under section 6(1), for the Australian Government Minister responsible for local government to formulate National Principles after consulting with jurisdictions and local government. 71 2010–11 Local Government National Report The formulated National Principles are a disallowable instrument. As such, any amendments, including establishment of new principles, must be tabled in both Houses of Federal Parliament before they can come into effect. Members and Senators then have 15 sitting days in which to lodge a disallowance motion. If such a motion is lodged, the respective House has 15 sitting days in which to put and defeat the disallowance motion. If the disallowance motion is defeated, the amendment stands. If the disallowance motion is passed, the amendment will be deemed to be disallowed. Figure A.1: National Principles for allocating general purpose and local road grants A. GENERAL PURPOSE GRANTS The National Principles relating to allocation of general purpose grants payable under section 9 of the Act among local governing bodies are as follows: 1. Horizontal equalisation General purpose grants will be allocated to local governing bodies, as far as practicable, on a full horizontal equalisation basis as defined by the Act. This is a basis that ensures each local governing body in the State or Territory is able to function, by reasonable effort, at a standard not lower than the average standard of other local governing bodies in the State or Territory. It takes account of differences in the expenditure required by those local governing bodies in the performance of their functions and in the capacity of those local governing bodies to raise revenue.1 2. Effort neutrality An effort or policy neutral approach will be used in assessing the expenditure requirements and revenue-raising capacity of each local governing body. This means as far as practicable, that policies of individual local governing bodies in terms of expenditure and revenue effort will not affect grant determination. 3. Minimum grant The minimum general purpose grant allocation for a local governing body in a year will be not less than the amount to which the local governing body would be entitled if 30 per cent of the total amount of general purpose grants to which the State or Territory is entitled under section 9 of the Act in respect of the year were allocated among local governing bodies in the State or Territory on a per capita basis.1 4. Other grant support Other relevant grant support provided to local governing bodies to meet any of the expenditure needs assessed should be taken into account using an inclusion approach.2 5. Aboriginal peoples and Torres Strait Islanders Financial assistance shall be allocated to councils in a way, which recognises the needs of Aboriginal peoples and Torres Strait Islanders within their boundaries.3 72 Appendix A 6. Council amalgamation Where two or more local governing bodies are amalgamated into a single body, the general purpose grant provided to the new body for each of the four years following amalgamation should be the total of the amounts that would have been provided to the former bodies in each of those years if they had remained separate entities. B. IDENTIFIED LOCAL ROAD GRANTS The National Principle relating to allocation of the amounts payable under section 12 of the Act (the identified road component of the financial assistance grants) among local governing bodies is as follows: 1. Identified road component The identified road component of the financial assistance grants should be allocated to local governing bodies as far as practicable on the basis of the relative needs of each local governing body for roads expenditure and to preserve its road assets. In assessing road needs, relevant considerations include length, type and usage of roads in each local governing area. Notes: 1 Principles A1 and A3 reiterate principles that exist within the current legislation. Their inclusion in the National Principles contributes to the balance and completeness of the National Principles and allows for clarification of their definitions. The effect of Principle A3 is to provide each local governing body with a guaranteed minimum grant. 2 This Principle requires recognition and application of certain relevant grants from other sources against council expenditure needs. The issue here is to account for revenue from other sources provided for the purpose of delivering certain local government services. 3 This Principle addresses the specific need for provision of equitable council services to Aboriginal and Torres Strait Islander communities and indicates that the level of grants received by councils reflects the Aboriginal and Torres Strait Islander population within council boundaries. 73 2010–11 Local Government National Report WHAT IS HORIZONTAL EQUALISATION? Horizontal equalisation would be achieved if every council in a state, by means of reasonable revenue-raising effort, were able to afford to provide a similar range and quality of services. The Australian Government pursues a policy of horizontal equalisation when it distributes goods and services tax revenue to state and territory governments. The Act requires the Minister, in formulating the National Principles, to have regard to the need to ensure the funds are allocated, as far as is practicable, on a full horizontal equalisation basis. Section 6(3) of the Act defines horizontal equalisation as being an allocation of funds that: • nsures each local governing body in a state is able to function, by e reasonable effort, at a standard not lower than the average standard of other local governing bodies in the state • t akes account of differences in the expenditure required to be incurred by local governing bodies in the performance of their functions and in their capacity to raise revenue. Distribution of grants on the basis of horizontal equalisation is determined by estimating the costs each council would incur in providing a normal range and standard of services, and by estimating the revenue each council could obtain through the normal range and standard of rates and charges. The grant is then allocated to compensate for variations in expenditure and revenue to (ideally) bring all councils up to the same level of financial capacity. This means councils that would incur higher relative costs in providing normal services, for example, in remote areas (where transport costs are higher), or areas with a higher proportion of elderly or pre-school aged people (where there will be more demand for specific services) will receive relatively more grant monies. Similarly, councils with a strong rate base (highly valued residential properties, high proportion of industrial and/or commercial property) will tend to receive relatively less grant monies. 74 APPENDIX B State and territory government and local government association submissions This appendix contains the text of the reports submitted by state and territory governments and local government associations. Headings have been standardised and minor edits made to the texts to achieve style consistency in the report. The Local Government (Financial Assistance) Act 1995 (Cwth) requires that the relevant state and territory minister and bodies representative of local government be consulted when preparing this report. During preparation of this report, they were asked for input on: • methodology for distributing financial assistance grants for 2010 –11, including any changes in methodology from 2009–10 • developments in relation to local government’s use of long-term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks • measures undertaken to develop and implement comparative performance measures between local governing bodies • reforms undertaken during 2010 –11 to improve the efficiency and effectiveness of local government service delivery • initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities. All state governments and the Northern Territory Government responded by directly addressing each issue. 75 2010–11 Local Government National Report Due to its special status as both a territory and a local government, the ACT was not required to directly address the issues. However, it did group its response under two similar headings: the second, third and forth issues regarding improving efficiency and effectiveness, use of long-term financial and asset plans and comparative performance indicators; and the sixth regarding improvement of services to Aboriginal and Torres Strait Islander communities. While not required to do so, most local government associations also directly addressed the issues, except the first regarding methodology for distributing Australian Government financial assistance grants, which is primarily a state and Northern Territory government matter. Report from the New South Wales Division of Local Government of the Department of Premier and Cabinet Methodology for distributing financial assistance grants for 2010 –11, including any changes in methodology from 2009–10 The New South Wales Local Government Grants Commission methodology has not changed significantly since last year. The two components of the grants are distributed on the basis of principles developed in consultation with local government and consistent with the National Principles of the Local Government (Financial Assistance) Act 1995 (Cwth). General purpose component The general purpose component of the grant attempts to equalise the financial capacity of councils. The New South Wales Local Government Grants Commission uses the direct assessment method. The approach taken considers cost disabilities in the provision of services on the one hand (expenditure allowances) and an assessment of councils’ relative capacity to raise revenue on the other (revenue allowances). Expenditure allowances are calculated for each council for a selected range of council services. The allowances attempt to compensate councils for expected above average costs resulting from issues that are beyond their control. To be consistent with the effort neutral principle, council policy decisions concerning the level of service provided, or if there is a service provided at all, are not considered. Expenditure allowances are calculated for 21 council services. These services are: general administration and governance, aerodromes, services for aged and disabled, building control, public cemeteries, services for children, general community services, cultural amenities, control of dogs and other animals, fire control and emergency services, general health services, library services, noxious plants and pest control, town planning control, recreational services, stormwater drainage and national report flood mitigation, street and 76 Appendix B – NSW gutter cleaning, street lighting, and maintenance of urban local roads, sealed rural local roads, and unsealed rural local roads. An additional allowance is calculated for councils outside the Sydney statistical division that recognises their isolation. The general formula for calculating expenditure allowances is: No. of units × standard cost × disability factor where: • the number of units is the measure of use for the service for the council; for most services the number of units is the population; for others it may be the number of properties or the length of roads • the standard cost represents the state average cost for each of the 21 selected services. The calculation is based on a state-wide average of councils’ net costs, excluding extreme values, using selected items from Special Schedule 1 of councils’ financial reports, averaged over five years. • the disability factor is the measure of disadvantage for the council. A disability factor is the New South Wales Local Government Grants Commission’s estimate of the additional cost, expressed as a percentage, of providing a standard service due to inherent characteristics that are beyond a council’s control. For example, if it estimated that it would cost a council 10 per cent more than the standard for town planning, because of an issue such as population growth in the council area, the disability factor would be 10 per cent. Consistent with the effort neutral principle, the New South Wales Local Government Grants Commission does not compensate councils for cost differences that arise due to policy decisions of council, management performance or accounting differences. For each service the New South Wales Local Government Grants Commission has identified a number of variables that are considered to be the most significant in influencing a council’s expenditure on that particular service. These variables are termed ‘disabilities’. A council may have a disability due to inherent factors such as topography, climate, traffic, or duplication of services. In addition to disabilities identified by the New South Wales Local Government Grants Commission, ‘other’ disabilities relating to individual councils may be determined. These may arise where unique circumstances have been identified as a result of council visits or special submissions. The general approach to calculating a disability factor is to take each disability relating to a service and to apply the following formula: Disability factor = (council measure ÷ standard measure – 1) × 100 × weighting where: • the council measure is the individual council’s measure for the disability being assessed (for example, population growth) • the standard measure is the state standard (generally the average) measure for the disability being assessed 77 2010–11 Local Government National Report • the weighting is meant to reflect the significance of the measure in terms of the expected additional cost. The weightings have generally been determined by establishing a factor for the maximum disability based on a sample of councils or through discussion with appropriate peak organisations. Negative scores are not generally calculated. That is, if the council score is less than the standard, a factor of zero is substituted. The factors calculated for each disability are then added together to give a total disability factor for the service. The New South Wales Local Government Grants Commission uses the inclusion approach in the treatment of specific purpose grants for library services and local roads. This means the disability allowance is discounted by the specific purpose grant as a proportion of the standardised expenditure. The deduction approach is used for services where the level of specific purpose payment assistance is related to council effort. This method deducts specific purpose grant amounts from all councils’ expenditure before standard costs are calculated. The New South Wales Local Government Grants Commission considers the deduction approach to be more consistent with the ‘effort neutral’ requirement specified in the nationality principles. The New South Wales Local Government Grants Commission also calculates an allowance for additional costs associated with isolation. The isolation allowance is calculated using a regression analysis model based on the additional costs of isolation and distances from Sydney and major regional centres. Only councils outside the Sydney statistical division are included. Details of the formula are shown later in this section. An additional component of the isolation allowance is included which specifically recognises the additional industrial relations obligations of councils in western New South Wales. A pensioner rebate allowance is calculated which recognises that a council’s share of pensioner rebates is an additional cost. Councils with high proportions of ratepayers that qualify for eligible pensioner rebates are considered to be more disadvantaged than those with a lower proportion. Revenue allowances attempt to compensate councils for their relative lack of revenueraising capacity. Property values are the basis for assessing revenue-raising capacity because rates, based on property values, are the principal source of councils’ income. Importantly, property values are also considered to be a useful indicator of the relative economic strength of local areas. The New South Wales Local Government Grants Commission’s methodology compares land values per property for the council to a state standard value and multiplies the result by a state standard rate-in-the-dollar. For comparative purposes the New South Wales Local Government Grants Commission purchases valuation data that has been calculated to a common base date for all councils by the Valuer-General. To reduce seasonal and market fluctuations in the property market, the valuations are averaged over three years. In the revenue allowance calculation, councils with low values per property are assessed as being disadvantaged and are brought up to the average (positive allowances), while councils with high values per property are assessed as being advantaged and are brought down to the average (negative allowances). That is, the theoretical revenue-raising capacity of each council is equalised against the state standard. The New South Wales Local Government Grants Commission’s approach excludes the rating policies of individual councils (effort neutral). 78 Appendix B – NSW Separate calculations are made for urban and non-urban properties. Non-rateable properties are excluded from the New South Wales Local Government Grants Commission’s calculations because the calculations deal with relativities between councils, based on the theoretical revenue-raising capacity of each rateable property. In developing the methodology, the New South Wales Local Government Grants Commission was concerned that use of natural weighting would exaggerate the redistributive effect of the average revenue standards. That is, the revenue allowances are substantially more significant than the expenditure allowances. This issue was discussed with the Australian Government and the agreed principles provide that ‘revenue allowances may be discounted to achieve equilibrium with the expenditure allowances’. As a result, both allowances are given equal weight. The discounting helps reduce the distortion caused to the revenue calculations as a result of the property values in the Sydney metropolitan area. The objective approach to discounting revenue allowances reduces the extreme positives and negatives calculated, yet maintains the relativities between councils established in the initial calculation. During 2009–10 and 2010 –11 the New South Wales Local Government Grants Commission reviewed the appropriateness of moderating its revenue assessment outcomes using a range of socio-economic indicators. The Commission also examined the findings of the Productivity Commission’s 2008 research report on Assessing Local Government Revenue Raising Capacity. Because of the strong correlation between socio-economic indicators and property values none of the moderators examined were found to enhance the existing property based approach. Accordingly the New South Wales Local Government Grants Commission decided to maintain its assessment method, with its discounting mechanism. The commission does not specifically consider rate pegging, which applies in New South Wales. The property based calculations are essentially dealing with relativities between councils, and rate pegging affects all councils. Movements in the grants are generally caused by annual variations in property valuations, standard costs, road and bridge length, disability measures and population. The New South Wales Local Government Grants Commission, because of the practical and theoretical problems involved, does not consider the requirements of councils for capital expenditure. In order to assess capital expenditure requirements the New South Wales Local Government Grants Commission would have to undertake a survey of each council’s infrastructure needs and then assess the individual projects for which capital assistance is sought. This would undermine council autonomy, because the New South Wales Local Government Grants Commission, rather than the council, would be determining which projects were worthwhile. Further, councils that had failed to adequately maintain their assets could be rewarded at the expense of those that did maintain them. The issue of funding for local water and sewerage undertakings was examined during the process of consultation between the New South Wales Local Government Grants Commission, the Local Government and Shires Associations, and local government generally. 79 2010–11 Local Government National Report The associations and local government recommended to the New South Wales Local Government Grants Commission that water and sewerage services should not be included in the financial assistance grants distribution principles because: • not all general purpose councils in New South Wales perform such services • the level of funds available for other council services would be significantly diminished if such services were considered • inclusion would result in a reduced and distorted distribution of funds to general purpose councils • the state government makes other sources of funds and subsidies available to councils for such service. The New South Wales Local Government Grants Commission agreed with the submissions of the associations and local government. Accordingly, water and sewerage services are excluded from the distribution formula. The New South Wales Local Government Grants Commission views income from council business activities as a policy decision and, therefore, does not consider it in the grant calculations (effort neutral). Similarly, losses are not considered either. Debt servicing is related to council policy and is therefore excluded from the New South Wales Local Government Grants Commission’s calculations. In the same way, the consequences of poor council decisions of the past are not considered. Generally the levels of a council’s expenditure on a particular service do not affect grants. Use of a council’s expenditure is generally limited to determining a state standard cost for each selected service. The standard costs for these services are then applied to all councils in calculating their grants. What an individual council may actually spend on a service has very little bearing on the standard cost or its grant. Efficient councils are rewarded by the effort neutrality approach to the calculations. To illustrate this, two councils with similar populations, road networks, property values, and disability measures would receive similar grants. The efficient council can use its grant funds to provide better facilities for its ratepayers. The inefficient council cannot provide additional services to its ratepayers. Therefore, the efficient council will benefit from its efficiency. Council categories have no bearing on the grants. Categories simply provide a convenient method of grouping councils for analysis purposes. Effective from 1 July 2006, the national principles embodied an amalgamation principle that states: Where two or more local governing bodies are amalgamated into a single body, the general purpose grant provided to the new body for each of the four years following amalgamation should be the total of the amounts that would have been provided to the former bodies in each of those years if they had remained separate entities. Accordingly grants to councils affected by boundary changes are maintained at the previous year’s level if the outcome is a negative. No New South Wales councils currently require protection under this provision. 80 Appendix B – NSW Local road component The method of allocating the local road component is based on a simple formula developed by the New South Wales Roads and Traffic Authority. The formula uses councils’ proportion of the state’s population, local road length and bridge length. Details of the formula are discussed below under ‘Principles’. Formulae The formulae used to calculate expenditure and revenue allowances of the general purpose component follow. Expenditure allowances General Allowances for most services are calculated on the following general formula: Ac = Nc × Es × Dc where: Ac = allowance for the council for the expenditure service Nc = number of units to be serviced by council Es = standard expenditure per unit for the service Dc = disability for the council for service in percentage terms Road length allowances In addition to the disability allowances, road length allowances are calculated for each road type based on the following formula: Ac = Nc × Es × Lc Nc – Ls Ns where: Ac = allowance for road length allowance Nc = number of relevant properties for the council Es = standard cost per kilometre = council’s relevant length of road per relevant property = standard relevant length of road per relevant property Lc Nc Ls Ns 81 2010–11 Local Government National Report Isolation allowances Isolation allowances are calculated for all non-metropolitan councils based on the formula: Ac = Pc × ([Dsc × K1] + [Dnc × K2] + Ic) where: Ac = the isolation allowance for each council Pc = the adjusted population for each council Dsc = the distance from each council’s administrative centre to Sydney Dnc = the distance from each council’s administrative centre to the nearest major regional centre (a population centre of more than 20 000) Ic = the additional per capita allowance due to industrial award obligations (if applicable) K1 and K2 are constants derived from regression analysis Specific purpose payments Allowances for services are discounted where appropriate to recognise the contribution of specific purpose grants. The discount factor that generally applies is: 1– Gc (Nc x Es) + Ac where: Gc = the specific purpose grant received by the council for the expenditure service Nc = number of units to be serviced by council Es = standard expenditure per unit for the service Ac = allowance for the council for the expenditure service 82 Appendix B – NSW Revenue allowances General The general formula for calculating revenue allowances is: Ac = Nc × ts × (Ts – Tc) where: Ac = revenue allowance for the council Nc = number of properties (assessments) ts = standard tax rate (rate-in-the dollar) Ts = standard value per property Tc = council’s value per property The standard value per property (Ts) is calculated as follows: Ts = Sum of rateable values for all councils Sum of number of properties for all councils The standard tax rate (ts) is calculated as follows: ts = Sum of net rates levied for all councils Sum of rateable values for all councils Pensioner rebates allowances The general formula for the allowance to recognise the differential impact of compulsory pensioner rates rebates is: Ac = Rc × Nc × (Pc – Ps) where: Ac = the allowance for the council Rc = the standardised rebate per property for the council Nc = the number of residential properties Pc = the proportion of eligible pensioner assessments for the council Ps = the proportion of eligible pensioner assessments for all councils The standardised rebate for the council (Rc) is: Rc = 0.25 × Tc × ts where: Tc = the average value per residential property in the council = the standard tax rate (rate-in-the dollar) for residential properties ts The maximum value for Rc is set at $125. Tc and ts are calculated as for the revenue allowances except only residential properties are used. 83 2010–11 Local Government National Report Principles General purpose (equalisation) component These principles, consistent with the National Principles of the Local Government (Financial Assistance) Act 1995 (Cwth), are based on an extensive program of consultation with local government. The agreed principles are: 1General purpose grants to local governing bodies will be allocated as far as practicable on a full equalisation basis as defined in the Local Government (Financial Assistance) Act 1995 (Cwth); that is a basis which attempts to compensate local governing bodies for differences in expenditure required in the performance of their functions and in their capacity to raise revenue. 2The assessment of revenue and expenditure allowances of local governing bodies will, as far as is practicable, be independent of the policy or practices of those bodies in raising revenue and the provision of services. 3Revenue-raising capacity will primarily be determined on the basis of property values; positive and negative allowances relative to average standards may be calculated. 4Revenue allowances may be discounted to achieve equilibrium with expenditure allowances. 5Generally for each expenditure function an allowance will be determined using recurrent cost; both positive and negative allowances relative to average standards may be calculated. 6Expenditure allowances will be discounted to take account of specific purpose grants. 7Additional costs associated with non-resident use of services and facilities will be recognised in determining expenditure allowances. Local road component Financial assistance, which is made available as an identified local road component of local government financial assistance, shall be allocated so as to provide Indigenous communities equitable treatment in regard to their access and internal local road needs. 1Urban [metropolitan] area ‘Urban area’ means an area designated as an ‘urban area’: (a) the Sydney Statistical Division (b) the Newcastle Statistical District (c) the Wollongong Statistical District. 84 Appendix B – NSW 2 Rural [non-metropolitan] area ‘Rural area’ means an area not designated as an ‘urban area’. 3 Initial distribution (a) 27.54 per cent to local roads in urban areas (b) 72.46 per cent to local roads in rural areas. 4 Local road grant in urban areas Funds will be allocated: (a) 5 per cent distributed to individual councils on the basis of bridge length (b) 95 per cent distributed to councils on the basis of: (i) 60 per cent distributed on length of roads (ii) 40 per cent distributed on population. 5 Local road grant in rural areas Funds will be allocated: (a) 7 per cent distributed to individual councils on the basis of bridge length (b) 93 per cent distributed to councils on the basis of: (i) 80 per cent distributed on length of roads (ii) 20 per cent distributed on population. 6 Data Population shall be based on the most up-to-date Estimated Resident Population figures available from the Australian Bureau of Statistics (ABS). Road length shall be based on the most up-to-date data available to the Local Government Grants Commission of New South Wales for formed roads, which are councils’ financial responsibility. Bridge length shall be based on the most up-to-date data available to the Local Government Grants Commission of New South Wales for major bridges and culverts 6 metres and over in length, measured along the centre line of the carriageway, which are councils’ financial responsibility. The method of application of the statistics shall be agreed to between representatives of the Local Government Grants Commission of New South Wales and the Local Government and Shires Associations of New South Wales. 85 2010–11 Local Government National Report Developments in relation to local government’s use of long term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks The New South Wales Government is committed to improving local councils’ management of community assets. Under the umbrella of the National Frameworks for Financial Sustainability in Local Government, the New South Wales Government is advancing the implementation of a major reform to the way councils plan and report to their communities. This program is seeing the implementation of a long term, integrated approach to local government planning, operations and reporting (see Section 4 Measures to Improve the Efficiency and Effectiveness of Local Government, under Strengthening councils’ strategic focus and better integrating planning and reporting processes for more details). A key element of the reform is the requirement for councils to develop a resourcing strategy, which encompasses asset management planning, long term financial planning and workforce planning. The reforms also include changes to the way councils report on their performance, including improved annual financial reporting relating to the condition of council assets and the cost to bring assets up to a satisfactory standard. These reforms may present challenges to some councils, particularly in terms of acquiring the necessary skills and expertise. However the benefits to councils and their communities will far outweigh any short-term costs. By improving their asset management practices, councils will have a better understanding of: • the scope of assets under their control • the condition of those assets, including their maintenance requirements and when they will need to be renewed or replaced • whether their current asset stock matches their community’s current and future needs • their capacity to invest in new assets or dispose of surplus assets. In summary, the new system is opening the way for councils and their communities to have important discussions about funding priorities, service levels and preserving local identity and to plan in partnership for a more sustainable future. Councils will also be better placed to determine whether additional funds are required and how those funds might be sourced. In doing so, it will also improve the position of councils, both individually and as a sector, to lobby for and access funding from other levels of government. These reforms are being implemented on a staged basis over a three year period. Group 1 councils implemented the reforms in 2010 –11, with Group 2 councils to implement them in 2011–12 and Group 3 in 2012–13. Councils have self-selected the implementation group they are in. 86 Appendix B – NSW Measures undertaken to develop and implement comparative performance measures between local governing bodies Local Government performance indicators The New South Wales Division of Local Government, Department of Premier and Cabinet’s 2009–10 Comparative Information on New South Wales Local Government Councils marks the 20th year the publication has been produced. The report contains 19 performance indicators. Data sources include council financial reports, rating records and Australian Bureau of Statistics’ population data. The information collected has also been used to calculate financial assistance grants, analyse councils’ financial health and check compliance of rates collected. The 2009–10 publication continues to produce time series data for each indicator. New South Wales will continue to review and develop appropriate performance measures. To promote use, transparency and accountability the New South Wales Division of Local Government continues to make the publication and the raw data freely available and accessible through their website at www.dlg.nsw.gov.au. Measures undertaken during 2010 –11 to improve the efficiency and effectiveness of local government service delivery Local Government Reform Program An aim of the New South Wales Government’s Local Government Reform Program is to improve the efficiency and effectiveness of local government services provided to the people of New South Wales. The reform program includes a number of approaches: • Strengthening councils’ strategic focus and better integrating planning and reporting processes • Implementing an asset management framework, including long term financial planning. • Promoting better council practices • Encouraging greater cooperation between councils. 87 2010–11 Local Government National Report Strengthening councils’ strategic focus and better integrating planning and reporting processes Reforms to the Local Government Act 1993 (NSW) have introduced a new Integrated Planning and Reporting framework for local government in New South Wales. Councils which have commenced under the framework are required to prepare: • a Community Strategic Plan (for a minimum of ten years) • a Resourcing Strategy, comprising long term financial planning, workforce management planning, and asset management planning • a Delivery Program (a four year program identifying which principal activities the council will undertake to implement the strategies established by the CSP during its term of office) • an annual Operational Plan, which identifies the council’s proposed activities, projects, revenue policy and fees and charges. The new Integrated Planning and Reporting framework is consistent with the National Frameworks for Local Government Financial Sustainability, developed by the Local Government and Planning Ministers’ Council and endorsed by the New South Wales Government in 2008. Supporting guidelines and a manual have been provided to the sector, along with a website which includes a number of resources to support councils in their implementation of the Integrated Planning and Reporting framework. Seminars and workshops are being conducted with councils around New South Wales to provide information and an opportunity to discuss the requirements of the new framework. The new framework is being introduced over three years, with councils electing the most appropriate commencement date for their circumstances. The first group of councils commenced under the new framework on 1 July 2010. All councils will be operating under the new system from the commencement of the next local government electoral term in September 2012. The Promoting Better Practice Program Since 2004 the Promoting Better Practice Review Program has primarily focussed on generating a culture of continuous improvement and greater compliance across local government. The program is founded on extensive research into council performance measurements in Australia and overseas. Reviews involve officers evaluating the effectiveness and efficiency of key aspects of the council’s operations and giving feedback. This involves checking compliance, examining appropriate practices and ensuring that council has frameworks in place to monitor its performance. The results of reviews are analysed and fed back to the elected council and the New South Wales Minister for Local Government. Reviews act as a “health check” for councils, giving confidence about what is being done and helping to focus attention on key priorities for improvement. 88 Appendix B – NSW The New South Wales Division of Local Government has been proactive in encouraging councils to engage in ongoing self-assessment and performance improvement. The New South Wales Division continues to update its comprehensive self assessment checklist which is published on its website for free use of councils. The New South Wales Division is aware of a number of councils that have made good use of the self assessment process. To facilitate councils in identifying and sharing innovation and good practice in local government, completed council review reports are also available on the NSW Division’s website at www.dlg.nsw.gov.au. For the 2010 –11 financial year the Division completed 11 promoting better practice reviews. The reviews covered both city and country councils throughout New South Wales. As at 30 June 2011, a total of 100 reviews were fully completed and 11 were partially completed. In 2010 –11, the New South Wales Division undertook its first review of a county council. This council has responsibility for the delivery of the water supply functions to a number of local government authorities. A large amount of the promoting better practice format was applicable to the county council systems indicating the versatility of the program tools and processes in assessing the health of local government organisations in New South Wales. The New South Wales Division continues to implement a risk analysis approach to reporting on council performance and a revised reporting format which is shorter and more focussed. The New South Wales Division remains committed to ensuring that councils continue to improve performance and as such has undertaken follow up reviews with two councils in 2010 –11. A further follow up review was in progress as of 30 June 2011. These reviews focus on the implementation of previous recommendations and report on any emerging issues. These reports indicated a willingness by the councils to implement actions to address any identified deficiencies. Encouraging greater cooperation between councils The New South Wales Government encourages councils to consider collaborative arrangements such as strategic alliances where they can achieve better service outcomes and more efficient service delivery for their communities. Strategic Alliance Network A Strategic Alliance Network exists in New South Wales and consists of key local government stakeholders and councils committed to developing and sharing initiatives in council collaboration. The network is supported by an Executive Committee comprising representatives from the Local Government and Shires Associations of New South Wales, Local Government Managers Australia as well as interested Councils and County Councils. The emphasis of the Executive Committee has been on continuing the development of a strategic framework for council collaboration. 89 2010–11 Local Government National Report Survey on council resource sharing The New South Wales Division of Local Government surveyed councils in early 2010 to determine what collaborative arrangements exist between councils. The results of the survey are available on the Division’s website at www.dlg.nsw.gov.au. The New South Wales Division is continuing to work with the Local Government and Shires Associations of New South Wales, Local Government Managers Australia, and the Strategic Alliance Network to develop ways to share information, build relevant skills, and promote further council collaboration. This includes commencing preparing a discussion paper on strengthening the role of Regional Organisations of Councils. Initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities Social justice initiatives survey Since 2000 the New South Wales Division of Local Government, Department of Premier and Cabinet has conducted surveys to collect data on a range of specific social justice initiatives being undertaken by New South Wales councils, including in relation to Aboriginal people. Findings from the survey covering the period 2008 and 2009 to which 122 out of 152 councils responded (representing a response rate of 80%) regarding Aboriginal initiatives include: • 15 councils (12%) have implemented the Aboriginal Mentoring Program and 23 Aboriginal people have participated in the Program • 59 councils (48%) reported that they had an Aboriginal advisory or consultative committee • 35 councils (29%) reported that they have adopted a formal agreement or Memorandum of Understanding with an Aboriginal group. Publications to assist councils engage with Aboriginal communities As part of the New South Wales Government’s policy Two Ways Together, Partnerships: a new way of doing business with Aboriginal people 2003-2012, the NSW Division has prepared a resource kit to assist councils to work more effectively with local Aboriginal communities. Engaging With Local Aboriginal Communities: A Resource Kit For Local Government in New South Wales was developed in partnership with the Local Government and Shires Associations of New South Wales and informed by a reference group, including a number of Aboriginal and non-Aboriginal councillors and council staff. The Kit includes strategies and resources that councils can use to help empower Aboriginal communities to participate in council decision-making. It also includes examples of initiatives councils have developed in forming productive partnerships with Aboriginal communities. 90 Appendix B – NSW The Kit complements the Division’s publication Local Government in New South Wales: Issues and Information for Aboriginal Communities. This publication provides New South Wales Aboriginal communities with information about the role of local government and encourages Aboriginal people to communicate more with their local council and become involved in council activities. Both publications aim to develop common ground to facilitate productive partnerships between councils and Aboriginal communities that will unlock the potential for Aboriginal people to be involved in the development of sustainable communities and assist councils better meet the needs of Aboriginal people in their areas. Promoting diversity in local government The New South Wales Division of Local Government is undertaking the Promoting Diversity in Local Government project to develop and implement strategies to increase the representation of under-represented groups amongst elected representatives and senior staff, including Aboriginal people. The project is being implemented in conjunction with the Local Government and Shires Associations of New South Wales and Local Government Managers Australia (New South Wales Branch). Promoting Diversity webpage The project has included the development of a Promoting Diversity in Local Government webpage on the NSW Division’s website. The webpage includes information and resources for councils, as well as Aboriginal and Torres Strait Islander people and other under-represented groups, to achieve better representation in decision-making in local government. Information about Aboriginal scholarships; flexible work practices; resources to assist councils to employ, develop and retain Aboriginal and Torres Strait Islander employees; mentoring; and leadership development programs is provided on the webpage at www.dlg.nsw.gov.au. Workforce planning webpage Under the new Integrated Planning and Reporting Framework developed as part of the New South Wales Government’s commitment to a strong and sustainable local government system, councils are required to develop a workforce management strategy. To assist councils to meet this requirement; the New South Wales Division has developed a workforce planning webpage at www.dlg.nsw.gov.au which includes information, resources and key strategic issues to consider, such as workplace diversity and equity. Census of Local Government Employees To obtain information about the diversity of council staff and the initiatives councils are implementing to attract and retain diverse staff, the New South Wales Division conducted the inaugural Census of Local Government Employees in July 2010. A report on the findings from the Census has been completed and is now available at www.dlg.nsw.gov.au. The Census Report provides an initial snapshot of the demographic profile of local government employees and valuable baseline data in relation to the good practices used by councils to improve their workforce diversity. The Census will be conducted every four years to identify trends over time in the diversity of staff and the programs offered by councils to attract and retain diverse employees. 91 2010–11 Local Government National Report According to information provided by 140 (92%) general purpose councils and 9 (64%) county councils: • Aboriginal and Torres Strait Islander people make up 2.2% of the total local government workforce. In rural councils Aboriginal and Torres Strait Islander people make up 3.9% of staff, 1.2% of regional council staff and 0.6% of metropolitan council staff • While not a requirement, nearly one-quarter of councils have targets for certain groups of employees, most commonly Aboriginal and Torres Strait Islander people and women. Many councils offer a number of diversity programs, most commonly apprenticeships, traineeships and leadership development programs. The representation of Aboriginal participants in these programs is usually either about equal to or higher than their representation in the workforce. Report from Victorian Department of Planning and Community Development The Victoria Grants Commission allocates general purpose and local roads grants in accordance with the national principles formulated under the Commonwealth Local Government (Financial Assistance) Act 1995 (Cwth). Methodology for distributing financial assistance grants for 2010 –11, including any changes in methodology from 2009–10 General purpose grants For each council, a raw grant is obtained which is calculated by subtracting the council’s standardised revenue from its standardised expenditure. The available general purpose grants pool is then allocated in proportion to each council’s raw grant, taking into account the requirement in the Commonwealth legislation and associated national distribution principles to provide a minimum grant to each council. As outlined below, increases and decreases in general purpose grant outcomes have been capped, which also affects the relationship between raw grants and actual grants. Specific grants are allocated to a small number of councils each year in the form of natural disaster assistance. These grants are funded from the general purpose grants pool and so reduce the amount allocated on a formula basis. Details of natural disaster assistance grants allocated for 2010 –11 are found at the end of this section. 92 Appendix B – Vic. Standardised expenditure Under the Victoria Grants Commission’s general purpose grants methodology, standardised expenditure is calculated for each council on the basis of nine expenditure functions. Between them, these expenditure functions include virtually all council recurrent expenditure. The structure of the model ensures that the gross standardised expenditure for each function equals aggregate actual expenditure by councils, thus ensuring that the relative importance of each of the nine expenditure functions in the Victoria Grants Commission’s model matches the pattern of actual council expenditure. Aggregate gross recurrent expenditure by Victorian councils in 2009–10 equalled $5.165 billion. Total gross standardised expenditure in the Victoria Grants Commission’s allocation model for 2010 –11 therefore also equals $5.165 billion, with each of the nine expenditure functions assuming the same share of both actual expenditure and standardised expenditure. For each function, with the exception of local roads and bridges, gross standardised expenditure is derived by multiplying the relevant unit of need (eg: population) by: • the average Victorian council expenditure on that function, per unit of need; and • a composite cost adjustor which takes account of factors that make service provision cost more or less for individual councils than the state average. Major cost drivers (‘units of need’) The major cost drivers and average expenditures per unit for each expenditure function, with the exception of local roads and bridges. Table B.1: A verage expenditures per unit for each expenditure function, except local roads and bridges—Victoria Average expenditure per unit Expenditure function Major cost driver Governance Population (adjusted) Family & Community Services Population $116.24 Pop. > 60 years + Disability Pensioners + Carer’s Allowance Recipients $425.29 Aged & Disabled Services Recreation & Culture Population $206.10 Waste Management No. of Dwellings $218.38 Traffic & Street Management Population $99.80 Environmental Protection Services Population (adjusted) $55.33 Business & Economic Services Population (adjusted) $102.23 $47.01 Source: Victoria Grants Commission Several different major cost drivers are used. These are viewed by the Victoria Grants Commission as being the most significant determinant of a council’s expenditure need on a particular function. 93 2010–11 Local Government National Report For three expenditure functions (Family & Community Services, Recreation & Culture and Traffic & Street Management), the major cost driver is the council’s population. For Aged and Disabled Services it is the population aged over 60 years plus the number of people receiving a Disability Support Pension or a Carer’s Allowance, and for Waste Management it is the number of dwellings in the municipality. For the remaining three expenditure functions (Governance, Environmental Protection Services and Business & Economic Services), an adjusted population is used as the major cost driver to recognise the fixed costs associated with certain functional areas. The major cost driver used in assessing relative expenditure needs for the Governance function is population which takes account of high rates of vacant dwellings at the time the census is taken. Councils with a vacancy rate above the state average are assumed to have a population higher than the census-based estimate, for the Governance function. Councils with an actual population of less than 20 000 are deemed to have a population of 20 000. This year a review was undertaken of the utilisation of non-resident population within the formula. This review has resulted in a new major cost driver being applied to the Business & Economic Services function. The relative need assessment for the Business & Economic Services function has been changed to take into account high rates of vacant dwellings on census night. This reflects the Victoria Grants Commission’s assessment that some elements of this expenditure (including planning and building approvals) are driven by the size of a councils’ total population base (including non-residents). Therefore, the major cost driver now is population adjusted by half the vacancy rate in excess of state average. In addition, if the council’s population is less than 15 000, the population is doubled to a maximum of 15 000. Cost adjustors A number of cost adjustors are used in various combinations against each function. These allow the Victoria Grants Commission to take account of the particular characteristics of individual councils which impact on the cost of service provision on a comparable basis. Each cost adjustor has been based around a state weighted average of 1.00 with a ratio of 1:2 between the minimum and maximum values, to ensure that the relative importance of each expenditure function in the model is maintained. The 14 cost adjustors used in the calculation of the 2010 –11 general purpose grants were: • Aged Pensions • Population Less than 6 Years • English Proficiency • Regional Significance • Indigenous Population • Remoteness • Kerbed Roads • Scale • Population Density • Socio-Economic • Population Dispersion • Tourism • Population Growth • Environmental Risk. 94 Appendix B – Vic. Because some factors represented by cost adjustors impact more on costs than others, different weightings have been used for the cost adjustors applied to each expenditure function. There were no changes made to the cost adjustors for the 2010 –11 allocation. Net standardised expenditure Net standardised expenditure has been derived for each function by subtracting standardised grant support (calculated on an average per unit basis) from gross standardised expenditure. This ensures that other grant support is treated on an ’inclusion’ basis. Average grant revenue on a per unit basis (based on actual grants received by government in 2009–10). Table B.2: A verage grant revenue on a per unit basis, based on actual grants received in 2009–10—Victoria Average grants per unit Expenditure function Major cost driver Governance Population (adjusted) Family & Community Services Population Aged & Disabled Services Pop. > 60 years + Disability Pensioners + Carer’s Allowance Recipients Recreation & Culture Population $7.09 Waste Management No. of Dwellings $0.24 Traffic & Street Management Population $1.88 Environmental Protection Services Population (adjusted) $1.22 Business & Economic Services Population (adjusted) $2.81 $0.22 $30.15 $188.68 Source: Victoria Grants Commission Diagrammatically, the calculation of net standardised expenditure for each expenditure function is as follows: Net standardised expenditure (for each function) Unit of Need Average Expenditure Per Unit Gross Standardised Expenditure Cost Adjustors Unit of Need Less Standardised Grant Revenue Equals Net Standardised Expenditure Average Grant Revenue Per Unit 95 2010–11 Local Government National Report Standardised expenditure for the local roads and bridges expenditure function within the general purpose grants model is now based on the grant outcomes for each council under the Victoria Grants Commission’s local roads grants model. This incorporates a number of cost modifiers (similar to cost adjustors) to take account of differences between councils. Net standardised expenditure for this function for each council is calculated by subtracting other grant support (based on actual identified local roads grants and a proportion of Roads to Recovery grants) from gross standardised expenditure. The total standardised expenditure for each council is the sum of the standardised expenditure calculated for each of the nine expenditure functions. Standardised revenue A council’s standardised revenue is intended to reflect its capacity to raise revenue from its community. Relative capacity to raise rate revenue, or standardised rate revenue, is calculated for each council by multiplying its valuation base (on a capital improved value basis) by the average rate across all Victorian councils. The payments in lieu of rates received by some councils for major facilities such as power stations and airports have been added to their standardised revenue to ensure that all councils are treated on an equitable basis. Rate revenue raising capacity is calculated separately for each of the three major property classes (residential, commercial/industrial/other and farm) using a three year average of valuation data. Table B.3: Derivation of average rates for each property class—Victoria Category 3-year average valuations $ billions 3-year average rate revenue $ billions Average rate $ billions Residential $748.145 $2.210 $0.00295 Commercial/industrial/other $156.615 $0.563 $0.00360 $64.909 $0.193 $0.00297 Farm Source: Victoria Grants Commission As in recent years, the Victoria Grants Commission has again constrained increases in each council’s assessed revenue capacity to improve stability in grant outcomes. The constraint for each council has been set at the state-wide average increase in standardised revenue adjusted by the council’s own rate of population growth to reflect growth in the property base. A council’s relative capacity to raise revenue from user fees and charges, or standardised fees and charges revenue, also forms part of the calculation of standardised revenue. For each council, for each of the nine functional areas, the relevant driver (such as population) is multiplied by the median revenue from user fees and charges. For some functions, this is then modified by a series of “revenue adjustors” to take account of differences between municipalities in their capacity to generate fees and charges, due to their characteristics. 96 Appendix B – Vic. The standard fees and charges used for each function (based on median actual revenues generated by local government in 2008–09) are shown below, along with the revenue adjustors applied. Table B.4: Standard fees and charges per unit—Victoria Expenditure function Major driver (units) Governance Population $8.33 Family & Community Services Population $11.45 Aged & Disabled Services Population > 60 + Disability Pensioners + Carer’ Allowance Recipients $63.54 Recreation & Culture Population Waste Management No. of Dwellings Local Roads & Bridges Population Traffic & Street Management Other Infrastructure Services Business & Economic Services Population Population Population Standard fees & charges per unit Revenue adjustors Nil Socio-Economic Household Income $13.70 Valuations (% Commercial) $23.34 Nil $0.36 Nil $4.16 Valuations (% Commercial) $1.13 Nil $19.07 Tourism + Value of Development Source: Victoria Grants Commission The assessed capacity to generate user fees and charges for each council is added to its standardised rate revenue to produce total standardised revenue. Bushfire affected councils Following the February 2009 bushfires, the Victoria Grants Commission made a special allowance in the 2009–10 general purpose grant allocations for the ten councils that had more than ten properties destroyed in those fires. An adjustment was made to the valuations for those councils used in assessing their rate revenue raising capacity, to reflect the sudden loss of rate income. A similar adjustment has been made to the grant calculation for those ten councils for the 2010 –11 allocations, and appropriate adjustments will continue to be made until the impact of the bushfires fully flows through to the valuation data used by the Commission. In addition to this special allowance, the Victoria Grants Commission has recommended that the 2010 –11 general purpose grant for the most severely impacted municipality, Murrindindi Shire Council, be set at the same level as the 2009–10 final allocation, adjusted by the overall rate of growth in the funding pool. Between June 2008 and June 2009, Murrindindi suffered a reduction in population of an estimated 6.9%. Ordinarily, this would have led to a decrease in that Council’s general purpose grant for 2010 –11. The Victoria Grants Commission’s decision to set the Council’s grant at the previous level, adjusted for the overall growth in the funding pool, is designed to maintain support to the Council while the recovery and rebuilding process continues. 97 2010–11 Local Government National Report Minimum grants The available general purpose grants pool for Victorian councils represents, on average, $64.96 per head of population (using ABS population estimates as at 30 June 2009). The minimum grant national distribution principle requires that no council may receive a general purpose grant that is less than 30% of the per capita average (or $19.49 for 2010 –11). Without the application of this principle, general purpose grants for 2010 –11 for 13 councils – Bayside, Boroondara, Glen Eira, Hobsons Bay, Kingston, Manningham, Melbourne, Monash, Moonee Valley, Port Phillip, Stonnington, Whitehorse and Yarra, would have been below the $19.49 per capita level. The minimum grant principle has resulted in the general purpose grants to these councils being increased to that level. Capping The Victoria Grants Commission is conscious that large movements in general purpose grants can have a significant impact on a council’s financial position. In 2009–10, the Victoria Grants Commission set a limit of 10% as the maximum percentage any council’s general purpose grant could decrease by when compared with estimated entitlement for the previous year. However, if a decrease of 10% in the general purpose grant exceeded 1.0% of a council’s combined revenue from rates and financial assistance grants (“untied revenue”), the Victoria Grants Commission agreed to limit any decrease to 1.0% of that council’s untied revenue. These limits on downward movements in general purpose grant outcomes were retained for the 2010 –11 allocations. However, these limits were not reached by any council. The Victoria Grants Commission also limits upward movements in general purpose grant outcomes and caps such movements to 20% when compared with estimated entitlement for the previous year. This cap has been applied to one council (Queenscliffe) for the 2010 –11 allocations. Estimated entitlements 2010 –11 Table B.5 summarises the changes in estimated general purpose grant entitlements from 2009–10 to 2010 –11. Table B.5: Changes in general purpose grant entitlements from 2009–10 to 2010 –11—Victoria Change in general purpose grant No. of councils Increase of more than 10.0% 10 Increase of 5.0% to 10.0% 56 Increase of up to 5.0% 12 No change 0 Decrease of up to 10.0% 1 Decrease of 10.0% (capped) Total Source: Victoria Grants Commission 98 0 79 Appendix B – Vic. Natural disaster assistance The Victoria Grants Commission provides funds from the general purpose grants pool to councils which have incurred expenditure resulting from natural disasters. Grants of up to $35,000 per council per eligible event are provided to assist with repairs and restoration work. Five grants totalling $150 619 have been allocated for 2010 –11. Table B.6: Natural disaster assistance from general purpose grant pool 2010 –11—Victoria Council Natural Disaster Funding Alpine Shire Council Bushfire $35 000 Murrindindi Shire Council Bushfire $35 000 Nillumbik Shire Council Bushfire $35 000 Northern Grampians Shire Council Storm $10 619 Wellington Shire Council Bushfire $35 000 Total $150 619 Source: Victoria Grants Commission Local road funding The Victoria Grants Commission’s formula for allocating local roads grants is based on each council’s road length (for all surface types) and traffic volumes, using average annual preservation costs for given traffic volume ranges. The methodology also includes a set of five cost modifiers for freight loading, climate, materials, sub-grade conditions and strategic routes and takes account of the deck area of bridges on local roads. The formula is designed to reflect the relative needs of Victorian councils in relation to local roads funding consistent with the national principle relating to the allocation of local roads funding. Traffic volume data The allocation of local roads grants for 2010 –11 was based on traffic volume data collected by all councils during the 12 months to June 2009. Councils were asked to categorise their local road networks according to nine broad traffic volume ranges—four for kerbed roads and five for unkerbed roads. Victorian councils reported a total of 129 201 kilometres of local roads as at 30 June 2009, an increase of 540 kilometres or 0.4% over the length reported 12 months earlier (Table B.7). 99 2010–11 Local Government National Report Table B.7: Variations in local road length at 30 June 2009—Victoria Change in length of local roads No. of councils 4 Increase of more than 5.0% Increase of 1.0% to 5.0% 11 Increase of up to 1.0% 29 No change 25 Decrease of up to 1.0% 5 Decrease of 1.0% to 5.0% 5 Decrease of more than 5.0% 0 79 Total Source: Victoria Grants Commission Asset preservation costs Average annual preservation costs for each traffic volume range are used in the allocation model to reflect the cost of local road maintenance and renewal. The Victoria Grants Commission has stated that the data on which the local roads methodology is based will be reviewed periodically to maintain its relevance. The most recent review undertaken by the Australian Road Research Board (ARRB) in May 2009 has resulted in a revised set of asset preservation base costs being adopted for the 2009–10 allocations. These same asset preservation base costs were applied for the 2010 –11 allocations (Table B.8). Table B.8: Average annual costs used in allocating local road grants for 2010 –11—Victoria Road type Daily traffic volume range Standard annual asset preservation cost $/km < 500 $3 600 500 - <1000 $4 900 Kerbed Unkerbed Bridges Source: Victoria Grants Commission 100 1000 - <5000 $6 600 5000+ $10 700 Natural Surface $350 Natural Surface $350 < 100 $2 500 100 - <500 $5 200 500 - <1000 $5 800 1000+ $6 600 Concrete Deck $60 per sq metre Timber Deck $100 per sq metre Appendix B – Vic. Cost modifiers The allocation model uses a series of five cost modifiers to reflect differences in circumstances between councils in relation to: • the volume of freight generated by each council • climate • the availability of road-making materials • sub-grade conditions, and • strategic routes. Cost modifiers are applied to the average annual preservation costs for each traffic volume range for each council to reflect the level of need of the council relative to others. Relatively high cost modifiers add to the network cost calculated for each council, and so increase its local roads grant outcome. No changes were made to the cost modifiers for 2010 –11. The Victoria Grants Commission has undertaken to review four of the five cost modifiers including climate, materials and sub-grade condition cost modifiers over the coming two years. Grant calculation The Victoria Grants Commission calculates a total network cost for each council’s local road network. This represents the relative annual costs faced by the council in maintaining its local road and bridge networks, based on average annual preservation costs and taking account of local conditions, using cost modifiers. The network cost is calculated using traffic volume data for each council, standard asset preservation costs for each traffic volume range and cost modifiers for freight generation, climate, materials availability, sub-grade conditions and strategic routes. The deck area of bridges on local roads is included in the network cost at a rate of $60 per square metre for concrete bridges and $100 per square metre for timber bridges. Mathematically, the calculation of the network cost for a single traffic volume range for a council can be illustrated as follows: Length of local roads in category # X Standard asset preservation cost for category X Overall cost factor * = Network Cost Overall cost factor is calculated by multiplying the cost factors for freight loading, climate, materials, reactive sub-grades and strategic routes. The actual local roads grant is then determined by applying the available funds in proportion to each council’s calculated network cost. 101 2010–11 Local Government National Report Estimated entitlements 2010 –11 Local roads grant outcomes for most councils have stabilised following the phased introduction of the “network cost” allocation formula. In general, where a significant change has occurred in a council’s local roads grant for 2010 –11, this is due to changed road length and traffic volume data supplied by the council to the Victoria Grants Commission. Table B.9: provides a summary of the changes in estimated local roads grant entitlements from 2009–10 to 2010 –11. Table B.9: Changes in estimated local road grant entitlements from 2009–10 to 2010 –11—Victoria Change in local roads grant No. of councils Increase of more than 10.0% 6 Increase of 5.0% to 10.0% 60 Increase of up to 5.0% 12 Decrease Total 1 79 Source: Victoria Grants Commission Priorities for 2010 –11 Stated priorities for 2010 –11 were supporting councils to be more sustainable, resilient and responsive to: • Further develop the “borderless library” concept to improve public library service delivery • Provide targeted assistance to ensure councils’ sustainability and proper governance in response to identified circumstances e.g. bushfire impact. Reforming council systems and processes—linking to National Reform Agenda: • Embed the Council Reforming Business and Reducing the Regulatory Burden programs’ outcomes as core business practice in local government • Increase collaborative opportunities between councils, business and the community. Continuing legislative reform to strengthen accountability and transparency: • Ensure Victoria’s position as the leader in local government reform is maintained • Ensure conflict of interest provisions and guidance is strong, fair and clear. Strengthening councils’ capacity through training and system development: • Provide effective guidance content for councillors and council staff • Foster strong communications through Local Government Forums, regular information exchange and guidance materials for local government, which included monitoring councils’ financial sustainability and assisting councils to improve their asset management performance. 102 Appendix B – Vic. Developments in relation to local government’s use of long term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks A continued emphasis on assisting councils to reform their business practices has taken place over the year. Other initiatives to assist the sector to achieve microeconomic reforms and efficiencies included the establishment and implementation of the Victorian State-Local Government Agreement and efforts to achieve greater efficiencies in local government planning. The third meeting of the Australian Council of Local Government occurred in Canberra on 18 June 2010. The council, Australia’s largest gathering of mayors and shire presidents, agreed with the national government on a range of measures. These included goals to: • contribute to dialogue on issues of national significance that affect local government and local communities; • encourage innovation and best practice in local government; and • improve the provision of information and data to support the long term development of local government. Victorian councils are well placed to deliver on the national requirements, and have made substantial progress towards the agreed frameworks by the end of 2010. Indeed, both financial performance and asset management have improved considerably over the past decade. The Auditor-General audits each council’s accounts each year. Since 2003–04, the Auditor-General has reported the following major trends. Six years ago, Victorian councils were, on average, just breaking even on their operating result. Almost half of the councils had operating deficits. By 2010, only 13 councils had underlying deficits, and the average operating result was a surplus of 5.0 per cent of revenues. Within this significant improving trend, there was some deterioration since 2009 (when only six councils had deficits and the overall result was a surplus of 8.4 per cent). From the mid 2000s, many reports noted that councils across Australia were facing financial challenges, especially in funding community infrastructure. As well as documenting the physical need for infrastructure investment, the reports also recommended that councils should improve their information bases. Over the past four years, both the former national Local Government and Planning Ministers’ Council and the Australian Council of Local Government have encouraged councils to adopt national frameworks for asset management and financial planning. Local governments face significant challenges in managing their infrastructure. A number of programs have been established to address this issue. They include the Regional Growth Fund where local governments are eligible for grants funding over four years through the $100 million Local Government Infrastructure Account to support a range of council initiatives including roads projects, bridges, new community assets such as sporting grounds and libraries and upgrading existing facilities. Forty rural councils will also be able to apply for a share of $160 million of funding from a Country Roads and Bridges Fund over the next four years to ensure regional roads and bridges are renewed and maintained. 103 2010–11 Local Government National Report The Public Libraries Capital Works Program will further improve Victoria’s public library infrastructure, delivering new or upgraded library facilities. This will significantly improve community access to public libraries, which are one of the most highly-used and valued services in Victoria. This initiative will help build new libraries where one does not already exist, replace libraries that are too small or no longer meet the needs of the community, refurbish and modernise library buildings, and allow the replacement or refurbishment of mobile libraries. Measures undertaken to develop and implement comparative performance measures between local governing bodies The Essential Services Commission, a statutory authority of the Victorian Government undertook preliminary work in the development of performance measures in 2009–10. Their final report was launched in mid 2010. It sought to develop indicators that provided information about service delivery from the perspective of service recipients. The Commission took an empirically-based approach to identifying those services and indicators that are most relevant to most councils and their communities. The work was exploratory, and formed a foundation for future developments in council performance measurement. Measures undertaken during 2010 –11 to improve efficiency and effectiveness of service delivery The Councils Reforming Business (CRB) Program was delivered by Local Government Victoria (LGV) in partnership with the Municipal Association of Victoria (MAV). The CRB Program supported councils to improve services, reduce costs and reduce red tape for businesses through: • smarter procurement practices • greater use of shared services • reduced cost to business through better practice law making • improved processes for affordable housing. Implementation of the Local Government Procurement Strategy included the implementation of the Procurement Roadmaps. All 79 Victorian councils participated in the process to map their procurement processes. Councils, supported by LGV, developed a bespoke procurement improvement work plan to be endorsed by senior management. Each roadmap took the council on a two year journey aimed at embedding a strategic approach to procurement. Under the CRB, Victorian Councils also were granted access to State Government Purchasing Contracts and the Construction Suppliers Register. The Better Practice Local Laws Strategy prompted a suite of resources to support councils to develop regulation in a robust and consistent manner. This has introduced the concept of the Local Laws Community Impact Statement, which is envisaged as both a checklist tool for Council to work through the local law processes and an explanatory document to provide to the community about any proposed local law. Work also progressed in a project to harmonise the regulatory environment for building and construction site management. 104 Appendix B – Vic. The CRB program implemented a project to harmonise council engineering standards across regional councils. Consultations between local governments and developers identified the significant financial benefits, time savings and better outcomes that could be achieved with the adoption of shared state-wide engineering and infrastructure standards. These engineering standards are now being implemented in 24 councils across the Gippsland region, north-central Victoria and throughout Melbourne’s six Growth Area councils, with the assistance of the Councils Reforming Business program. The Growth Area councils have worked together to create an agreed set of standards, with joint funding from the Victorian Government and the Growth Areas Authority. The standards will be open for adoption by other urban and interface councils. The CRB also underwent an extensive evaluation in late 2011 to ascertain the savings generated for business and local government. The evaluation is to be concluded in 2012 and will be an input into future discussions around policy and program design. Bushfire and flood response Through LGV, Department of Planning and Community Development (DPCD) delivered a range of programs in 2010 –11 that supported councils in responding to natural disasters. These included: • the Bushfires Municipal Resourcing Program, which deploys additional emergency management capacity to councils in conjunction with the Municipal Association of Victoria • the Community Assistance Gift Program, which administers payments to councils made through the Victorian Bushfire Appeal Fund • the Murrindindi Assistance Package, which assists Murrindindi Shire Council in rebuilding its capacity following the Black Saturday bushfires • the Building Permit Fees Reimbursement Program, which reimburses building permit fees paid by property owners affected by the February 2009 bushfires • the $5 million Local Government Clean Up Fund, which provides assistance to councils affected by the floods in early 2011. Legislative reform The Local Government and Planning (Amendment) Act 2010 came into effect in September 2010. The legislation includes amendments to the conflict of interest provisions in the Local Government Act 1989 and changes to the provisions relating to local government electoral representation reviews. LGV has also prepared and released a short guide for councillors on the conflict of interest requirements in the Act and made comprehensive material available on the Department’s website. 105 2010–11 Local Government National Report Initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities There are a number of initiatives between local government and Aboriginal communities throughout Victoria. For example Glenelg Shire Council has developed a draft Aboriginal partnership agreement. There is also considerable sector-wide interest in developing stronger links with the Aboriginal community. Local Government Professionals recently established an Indigenous Special Interest Group and the 2010 Local Government Connecting with Aboriginal People Conference was well attended. The Victorian government is funding an Aboriginal employment broker housed in the Municipal Association of Victoria to assist local councils with employment and economic development initiatives. There have been strong partnerships with local government to deliver placed based initiatives, such as the establishment of Bubup Wilam (an early learning centre specialising in Aboriginal culture and identity) with Whittlesea City Council. Local Indigenous Networks are also working in partnership with local government with positive results, such as the establishment of the Bendigo Indigenous Homework Centre. The Victorian Government has also funded Reconciliation Victoria which is currently undertaking the Reconciliation in Local Government Victoria project. In June 2011, the Minister for Local Government and Aboriginal Affairs announced the establishment of the Local Government Aboriginal Partnership Project. The Partnership project has four main objectives: • To support local governments in their active engagement with Aboriginal communities • To support Aboriginal Communities as they strengthen their links with local government • To encourage partnerships between the two levels of government around Aboriginal issues • Improve and demonstrate outcomes for Aboriginal Victorians and local government in relation to reconciliation, service delivery, employment, cultural heritage and other opportunities as they emerge. The Steering Committee for this project has met on two occasions and agreed the Terms of Reference and developed the work plan for the next twelve months which includes addressing issues of: • Reconciliation, Respect and Recognition • Community engagement • Growing best practice • Good decision and policy making • Employment and economic development • Health and wellbeing • Land, heritage and culture. 106 Appendix B – Vic. Report from the Municipal Association of Victoria In preparing this submission, the Municipal Association of Victoria (the MAV) has focused on programs and reforms that are driven by councils or the Association, rather than state government reforms. Step planning improvement project The MAV has developed and commenced implementation of the STEP planning process improvement program, which aims to equip councils with the tools and skills to be able to improve their planning services. As an area of local government services that has been of central importance to discussion on red tape reduction and efficiency improvement, along with the inherent tensions involved in the development of the built environment, this program is making a significant difference to the standards delivered by councils in Victoria. The 22 councils involved in the program are showing leadership through self-reform; improved relationships within their organisations; greater understanding of workload; and improved negotiating ability. With their improvement plans in place they will be able to measure the efficiencies produced by the program. The development industry will benefit from the program through reduced timeframes for decisions, with initial analysis suggesting a reduction of up to 16 to 26 days possible, clearer communications with councils, and a focus of effort on the front end of processes. The MAV developed the STEP program to assist councils to: • Review planning processes and identify value and non-value adding tasks • Understand the complexity of transactions • Match skills to tasks • Improve the use of performance and workflow data • Reduce costs in administering permit processes • Manage risk and compliance • Set, monitor and improve levels of service • Share experiences and learn from other like councils • Access good practice ideas and procedures. The STEP program was formally launched in August 2010. STEP gives councils the ability to critically examine their processes and performance and take action. Background Planning decisions are often a source of conflict in the community as authorities balance the competing rights of property owners. While less than two per cent of decisions cause real controversy, planning decisions can impact on people’s enjoyment of their everyday lives. It is because of this that perceptions of councils and the planning system can be so polarised. The most common complaints about planning and councils’ involvement are about the timeliness and consistency of decision making and the level of community participation in the planning processes. 107 2010–11 Local Government National Report There is also increasing pressure from Australian and state governments for councils to demonstrate performance through national reporting standards and reviews by the Victorian Auditor General’s office and the Victorian Competition and Efficiency Commission. Some of the ‘speed humps’ that councils face are significant—the sheer cost and effort of strategic planning work and competing priorities make it difficult for councils to keep their planning schemes up to date; the variability of resources is dependent on the financial viability of councils; the range of competing policy objectives; and the constantly changing regulatory environment. There is also the volume, complexity and tension involved in the processing of planning permit applications. Complexities in the planning system The STEP program has confirmed that there are: • A high number of steps (179) in the planning scheme amendment process and even higher for planning permits (278) • A disproportionate number (66 per cent and 58 per cent) of non-value adding steps (A value adding step is one that the customer would pay for if they knew about it) • Not many technology enabled steps and those that are enabled do not lead to a sequence of steps • A high number of transfers to other team members and other organisational functions with each party only undertaking an average of two steps each • An average of 15 organisational functions involved in the planning processes. Other common issues are: • All planning scheme amendments and planning permit applications are treated the same but the scale and scope is very wide. This delays those amendments and applications that could have a much simpler process path • Most process steps are sequential when concurrent processing would speed them up significantly • Planning processes are work flow intensive but IT is generally a low priority • There is a lack of easily compiled key performance criteria • Significant downtime and rework are evidenced in planning processes • The failure demand is very high in planning processes—requests for further information, progress chasing and amendments to applications all demonstrate failures in process. What does the program look like? The STEP program operates on a voluntary basis through an expression of interest process twice a year (March and August). The program is ongoing and has an annual cost for each participating council based on volume of planning permit activity. The planning process improvement program will result in different outcomes for participating councils and result in progressive improvements over time. 108 Appendix B – Vic. Methodology The key components of the STEP program are: Audit and review – The audit and review happens when a council first enters the program to identify issues and improvement ideas. It then becomes a triennial exercise. The audit and review is guided by business analysts (appointed by the MAV) and based on a cyclical method of process review to define the review, measure changes, analyse data, improve the processes and continue to imbed improvements. Shared learning – In each intake to the STEP program councils work in a cooperative workshop environment to share their issues and ideas. This is followed by a series of seminars and an annual conference that bring together the results of the year, as well as the providing the opportunity to learn about new process improvement concepts. Management reports – Privileged access to analysed quarterly management information from the Planning Permit Activity Report. Improvement projects – MAV initiated sector-wide improvement projects based on issues that have broader application than individual councils and that have been raised through the STEP program. The first two projects were the introduction of management reports for STEP councils and the joint MAV/DPCD project to review the DPCD component of the planning scheme amendment process. A referral authority project is currently being scoped for the Gippsland region with the aim of applying the learnings more broadly. What are the benefits? The STEP program is expected to bring significant benefits to individual councils, customers, and the state government. The primary benefit of involvement for councils is improved efficiencies that allow resources to be focused on improving planning schemes and development outcomes. The program will also enable councils to better manage their risks, and improve levels of compliance and performance management. Importantly, the STEP program provides councils with access to good practice ideas through a network of planners and the ability to benchmark against other councils. It also puts participating councils in the box-seat to access e-planning improvements. Councils are expected to conservatively achieve annual savings per council of $26 000 to $147 000 based on their volume of activity. Benefits to the community of the STEP program include higher satisfaction levels, reduced costs and timeframes for decisions. While the benefits for all community are difficult to quantify, it is expected that the STEP program will bring $6.1 million in annual savings to the development industry. Sector benefits include increased credibility by taking a proactive sector-wide approach to improvement. This, aided by far greater access to information and data, gives the MAV the ability to respond to both government and media criticism. 109 2010–11 Local Government National Report The state government benefits from the STEP program in a number of different ways. Improved engagement and the identification of actions to improve the planning system at a regional and state level are critical to the partnership arrangements that should exist between state and local government. There is also the reduced need for Government intervention if the planning system is operating efficiently and effectively. STEP provides Government with a vehicle to achieve the consistent implementation of legislative changes or initiatives, and leverage their existing investment, particularly in e-planning. Councils face issues individual to their organisations and have targeted their improvement plans to those issues. Each will monitor the outcomes of their improvement plans. As the program is in its infancy the outcomes for each council have not yet been quantified. From the pilot program with the Growth Area councils it is estimated that modified procedures and an average time saving of 16 to 26 days can be expected. A number of common qualitative outcomes have emerged from the STEP program so far: Collaborative learning is effective and leads to convergence of practice – Collaborating in a workshop environment enabled councils to share experiences and to hear new ideas. Planning is recognised as a whole of council process – Planning needs to be treated as a cross-organisational process. It is known that there is an average of 278 steps in the planning permit process and 610 in the planning scheme amendment process—in both of these processes, an average of 15 functions of council are involved. One council’s process mapping revealed that it took three weeks from a planning permit application arriving until it reached a planners desk and in that time it had gone through five different organisational functions. A planning team alone can only go so far in improving processes—change requires a wholeof-council focus for significant improvements and for an application or amendment to be effectively ‘managed’ through council. Applications/amendments are streamed – While there are statutory directions about the processing of planning scheme amendments and planning permit applications, not all planning permit applications follow the same path. Councils are identifying the stream relevant to them, setting procedures and targets and monitoring the results. Failure demand no longer drives planning processes – Failure demand is a term used by process analysts to describe when something has gone wrong in the relationship between the customer and supplier—something that didn’t happen that created more work or rework to rectify. Both the planning scheme amendment and planning permit process evidence very high levels of failure demand. STEP councils are working on significantly reducing requests for information, amendments to permits and VCAT applications for review. Workflow systems help rather than hinder – The MAV found that the planning processes are workflow intensive but there is not a focus on how IT can help to manage the workflow or how performance can be monitored. Council systems are very much focused on the recording and storage of information and documents. Small improvements in this area can make significant improvements. 110 Appendix B – Vic. Engagement with Government and industry is improved – The MAV’s improvement projects are joint exercises with the state government and resulted in increased involvement in reform projects. Engagement with Government and industry is a key intent of the STEP program and consistently improving with the benefit of information and data. Performance based standards route assessment tool for heavy vehicles The MAV is currently working with groups of councils to identify draft regional strategic freight routes and the costs associated with works required to make these routes suitable for usage by heavy vehicles (up to level 2A). These draft regional plans will be aggregated and a state-wide funding proposal developed for Infrastructure Australia. This will focus on local roads and will complement the work currently being completed by VicRoads for arterial roads. The major drivers for reforms for strategic freight routes include a growing emphasis on national productivity, regional development and strategic connectedness. The MAV and Victorian councils are currently working with the Australian Department of Infrastructure and Transport and the National Heavy Vehicle Regulator (NHVR) to develop, through the ARRB Group, a Performance Based Standards (PBS) Route Assessment Tool for local roads. Victoria is the national pilot for this process which will be expanded nationally via the NHVR. The process will be delivered through a web-based tool that will assist councils to apply the complex, new PBS regulations in a user-friendly, timely and consistent manner. ARRB Group has been requested to scope, design and implement an expert software-based online tool and complementary assessment guidelines aimed at assisting council practitioners with the classification of their roads and heavy vehicle routes according to the PBSs. The software system consists of an online tool and dedicated website that allows a local government representative to input the necessary data for a particular route of interest. It is expected that the tool will analyse the information provided for the route and provide a detailed output on the PBS classification for the route, points of interest, assumptions and limitations of the classification. Concurrently, the project will develop local government specific guidelines for the PBS Network classification for heavy vehicles which shall be incorporated into the system. While still in the pilot phase, the project aims to reduce the red tape associated with heavy vehicle access to local roads and ensure strategic routes are able to be accessed in a simple and effective manner. The project aims to achieve this while identifying the infrastructure upgrades required to ensure the implementation is effective. Local government reform fund The MAV funded a pilot program to improve the quality of financial information produced by councils as a means of providing a more reliable basis for measuring their financial performance. An initial pilot program of 10 councils has been extended to include an additional 17 councils and a majority of remaining Victorian councils have expressed their support for the scheme. 111 2010–11 Local Government National Report A report submitted in 2008 to the Minister for Local Government highlighted several factors influencing the need to improve the quality financial information produced by councils. As has long been acknowledge, a number of councils, particularly small shires and rural cities, are experiencing financial sustainability challenges. Despite the general knowledge of this phenomenon, accurate assessment of financial position is limited by: • unreliable asset management information particularly relating to asset renewal; • inconsistencies in the calculation of depreciation; • insufficient attention given to predictions contained in Strategic Resource Plans; and • inadequate co-operation between financial and engineering staff involved in asset management. This leads to the production of financial and asset management data that are generally unreliable, undermining the claims of many councils that have identified financial difficulties. Further, there is a relatively recent focus on improving the collection of performance data on local government, with the now stalled Essential Services Commission performance monitoring framework, likely to be replaced by alternative Victorian Government initiatives. Further, there is a relatively recent focus on improving the collection of performance data on local government, with the now stalled Essential Services Commission performance monitoring framework, likely to be replaced by alternative Victorian Government initiatives. Strategic resource plan The project reviews and strengthens the suite of financial and corporate planning documents required by all Victorian councils under the Local Government Act. The review focuses on the Strategic Resources Plan, which is a requirement under the Act as a means of achieving the Council Plan outcomes, through the following actions: • review revenue raising strategies (rating, developer contributions, fees and charges, special rates and charges) • review 10 year financial plan, link to key performance indicators, service plans and incorporate accurate projections for whole-of-life asset costs • document the council’s strategy to fund renewal annuity • develop a 10 year capital works program • assess the opportunities of rate increases to fund the council’s asset renewal requirements • plan to achieve an underlying operating surplus in the short term. 112 Appendix B – Vic. Review of asset management strategy The participating councils’ asset management strategies are reviewed to ensure that: • asset management systems estimates whole of life costs, ensuring decision-making is based on the full cost of infrastructure • the strategic asset management plan is incorporated into the council planning process • elected representatives and senior officers are well briefed on the Moloney-modelling philosophy (condition ratings, standards of functionality and presentation, inventory, interventions, unit rates) and the implications for long-term financial sustainability as a means of building organisational knowledge of the asset management strategy • capital evaluation processes are reviewed so that new and renewal projects are considered in context of promoting long-term financial sustainability for council • processes are developed for determining asset rationalisation and redundancy so that assets with limited service potential are earmarked and partitioned from longterm modelling. Corporate approach The program also reviews corporate processes of councils, including: • the development of risk management framework through a corporate risk register and raised awareness through educating staff on the processes to ensure broad engagement in councils on the process • review the council’s sustainability including a statement of intent in the strategic resource plan and full disclosure of results in the Annual Report • better alignment between the Budget, Council Plan and the long-term financial plan • apply appropriate overhead allocation model to understand and justify fees and user charges. Project outcomes In the 27 councils already participating, the project has achieved greater accuracy, consistency and reliability in recording and evaluating financial and technical infrastructure information. This has led to a better understanding of the long-term financial sustainability of the councils, with the production of good quality and consistent data and better engagement with key decision-makers, both in and out of the councils. Service provision is also enhanced by this project, as better alignment is achieved between financial systems and infrastructure management, including a greater focus on whole-of-life asset costs. Decisions about service qualities, pricing strategies and alternative service options are better understood as better cost data are produced by councils. The ultimate the benefit of this approach is a better understanding of the position of the councils and the implications of various service delivery and infrastructure provision options it is facing. 113 2010–11 Local Government National Report Community engagement The MAV is undertaking research that aims to improve the design and delivery of government services such as Medicare, Centrelink and the Child Support Agency as part of the Australian Government-funded Community Engagement Co-Design Prototype Project. The research is the first phase of a co-design model used successfully overseas to engage local government, community organisations and end-use customers with the Australian and Victorian Governments to be part of the solution to improve delivery of services. The Department of Human Services (DHS) is funding this Australian Government initiative and research is being conducted at nine sites across Victoria. The MAV is managing six of these sites, which includes holding a series of workshops with DHS, the Victorian Government, councils, community organisations and residents. At these workshops, issues are discussed around the delivery of services, focusing on Medicare, Centrelink, the Child Support Agency and other services provided by government departments and agencies. The key questions being asked of the community at these workshops include: • Where can improvements to services be made? • Would co-located services improve delivery? • Do services require better design to respond to the needs of service users? The MAV has a key role to play in linking local government, community organisations and residents within the six locations into the project research, and ultimately its design. The involvement of all levels of government and the community is expected to result in options for service improvements. About co-design Co-design principles have international recognition, following the work of Canadian Dr Don Lenihan, who is advising the Australian Government on this project. In principal, co-design is a systematic approach to understanding customers of government services and working with them to design, shape and deliver these services better. The co-design project sits within the service delivery reform agenda established by the Australian Government and underpins DHS’ approach of putting people first to improve the quality of interactions between the community and the government. As well as engaging with customers, co-design draws on all key stakeholders’ combined knowledge, ideas and insights. 114 Appendix B – Vic. Project background In 2010, a series of community and service staff forums were conducted by the Australian Government to explore customer views and ideas for improving services. A range of communications was developed to build an understanding with managers and staff of government agencies about design philosophies and principles. International research on other models of co-design and community engagement has also been undertaken. In July 2011, a methodology that defined a consistent approach to co-design was developed. It includes governance, a resource toolbox, knowledge library, and training and development. During this process, the need to conduct site workshops to commence community engagement was agreed on. Community engagement The MAV is engaging councils, community organisations and residents by holding workshops within six allocated site areas. These workshops aim to identify how services delivered by Centrelink, Medicare, the Child Support Agency, state and local governments and community organisations can be improved. The sites focus on services delivered out of Benalla, Fountain Gate, Rosebud, Maryborough, Epping and Ballarat. Each of the sites is addressing a particular client group including: • older Australians (Rosebud) • families looking for work (Fountain Gate) • families (Epping) • young single parents (Benalla) • young people (Ballarat) • families (Maryborough) The process at each site began with a workshop with DHS customers who were residents within the site areas. These workshops were followed by a series of four facilitated sessions using information about services provided through earlier research undertaken by DHS, which forms a major part of the research. Once completed, an action plan for improving services, both short and long term, will be developed. Key outcomes will include identifying agreed actions in a number of areas that will enable governments and community agencies to respond in a more coordinated way to the specific service needs and expectations of those who use services in these locations. 115 2010–11 Local Government National Report It is expected that the workshops will also identify stand-alone improvements to DHS and other government services. Local government food safety reporting project Following changes to the Victorian Food Act 1984 in 2009, mandatory reporting of food safety regulatory activities is now required of councils. To minimise the cost impost to councils of these new reporting requirements, MAV managed a project, funded by the Department of Health, to pay council IT software vendors to make the adjustments to council system to enable councils to easily report their food safety regulatory activities. The technical changes are almost complete, however there is a considerable body of work still to be undertaken by council officers to bring their registration databases into line with the new definitions introduced by the Department of Health that are contained in a Data Dictionary that has been developed. Councils in Victoria register over 45,000 food businesses, and issue many more permits for temporary events. The data they are reporting to the Department of Health will be published in an annual report prepared by the Department. Councils also have access to the data to enable them to compare their performance with regional or state-wide data. The Department of Health has also developed an electronic classification tool which will assist achieving consistency of interpretation of food businesses by different councils. MAV assisted the Department in the development of this tool by project managing the contractor and ensuring there was relevant local government input to its development. Conclusion This submission has outlined several examples of Victorian councils and the MAV improving the efficiency of services and the production of comparative performance data. The MAV is able to provide further information about any of the issues raised in the submission, should the Commonwealth Government seek further clarifications. Report from Queensland Department of Local Government and Planning Methodology for distributing financial assistance grants for 2010 –11 in Queensland, including any changes in the methodology from 2009–10 Identified road component This component of the Financial Assistance Grant is allocated as far as practicable on the basis of relative need of each local government for roads expenditure and to preserve its road assets. In the opinion of the Queensland Local Government Grants Commission, a formula based on road length and population best meets this National Principle for Queensland. This formula is: • 62.85 per cent of the pool is allocated according to road length • 37.15 per cent of the pool is allocated according to population. 116 Appendix B – QLD General purpose component The Queensland Local Government Grants Commission complies with National Principles when developing and refining the methodology it uses to recommend the distribution of this component of the Financial Assistance Grant. Every local governing body in the state is entitled to a minimum grant under the National Principles. This minimum grant is equivalent to 30 per cent of the general purpose pool distributed on a per capita basis. In 2010 –11 this amount was $19.55 per capita. The remaining 70 per cent of the general purpose pool is distributed according to relative need, applying the national principle of horizontal fiscal equalisation. To determine relative need, the Queensland Local Government Grants Commission develops averages for revenue raising and expenditure on services to be applied to all local governments within the state. After averages for revenue and expenditure are applied to each local government, the Queensland Local Government Grants Commission alters the assessment for factors outside a council’s control which can affect its ability to rate at capacity or spend at average, in line with the effort neutrality principle. These factors are termed cost adjustors. Assessing revenue The Queensland Local Government Grants Commission has determined that the normal revenue functions of a council are: • rates • garbage charges • fees and charges • other grants. The rating assessment formula adopted by the Queensland Local Government Grants Commission in April 2004 was used again in allocating the 2010 –11 Financial Assistance Grant. Further information on the rating assessment formula is available at www.qlggc.qld.gov.au. The rating formula is: • 30 per cent weighting – A minimum rate ($400 for 2010 –11) applied to all rateable properties in a council area • 70 per cent weighting – An average cent in the dollar amount for a council’s unimproved valuation for rateable properties broken across residential, commercial/ industrial and rural land use categories. The result of the two parts above is adjusted for a council’s Index of Economic Resources, one component of the Socio Economic Index for Areas (SEIFA) produced by the Australian Bureau of Statistics. For 2010 –11 a maximum cap of 5 per cent increase in the rating assessment from the prior year was applied. Fees and charges are averaged on a per capita basis. Garbage revenue is averaged on the basis of the number of occupied urban properties. 117 2010–11 Local Government National Report In accordance with the National Principle for other grant support, grants relevant to the expenditure categories considered by the Queensland Local Government Grants Commission are included as revenue according to the actual amounts received by councils rather than a state average. Five grants are included by the Queensland Local Government Grants Commission, as follows: 1. Identified road grant (100 per cent) 2. Library grant (100 per cent) 3. Roads to recovery grant (50 per cent) 4. Aboriginal and Torres Strait Island operating grants (20 per cent) 5. Minimum general purpose grant (100 per cent). Assessing expenditure In assessing council expenditure, the Queensland Local Government Grants Commission includes eight (non-roads) service categories: 1.administration 2. public order and safety 3. education, health, welfare and housing 4. garbage and recycling 5. street lighting 6. community amenities, recreation, culture and libraries 7. building control and town planning 8. business and industry development. The Queensland Local Government Grants Commission considers which cost adjustors are relevant to which service categories. Table B.10 outlines the expenditure categories, the units of measure and the cost adjustors used in assessing services expenditure. 118 X $8.67 per urban capita $27 361base amount + $87.58 per capita $188.13 per residential property $50.26 per capita Street Lighting Community Amenities, Recreation, Culture and Libraries Building Control and Town Planning Business and Industry Development X X X Source: Queensland Local Government Grants Commission 1 N-RSE = non-resident service expenditure X $95.46 per urban capita Garbage and Recycling Note: X $25.10 per capita Education, Health Welfare and Housing X $27.07 per capita Public Order and Safety X $410 405 base amount + $395.52 per property +$377.27 per capita Administration Services expenditure category 2010 –11 Unit of measure Location X X X X X Dispersion X X X Demography age Table B.10: Outline of expenditure assessment: 2010 –11—Queensland X X Demography indigenous X X X X X X X X N-RSE1 X X X X X X X X Scale Services cost adjustors X X X Tourism X X X Growth X X X Urban density Appendix B – QLD 119 2010–11 Local Government National Report Actual expenditure Additionally, the Queensland Local Government Grants Commission considers each local government’s actual expenditure or ‘effort positive’ expenditure in the categories of environmental protection and other transport. The Queensland Local Government Grants Commission does not believe there is a current cost driver relevant to these categories from which an average can be determined. Roads The roads assessment model is based on an asset preservation assessment of the cost to maintain a council’s road network, including bridges and hydraulics, in average condition. The following two tables provide the standards used in the roads assessment model and the cost adjustors applied. For example, a road with a volume of 150-250 vehicles per day is assumed to be a sealed 4/8 road regardless of what is actually on the ground. Allowances are given for heavy vehicles, and for the provision and barging of plant and material to islands. The allowances are: Light to medium trucks, 2 axles = 1 vehicle Heavy rigid and/or twin steer tandem = 2 vehicles Semi trailers = 3 vehicles B Doubles = 4 vehicles Road trains = 5 vehicles Table B.11: Rural roads, standards and cost adjustors—Queensland Soil– subgrade Locality on-cost Climate Standard Traffic volume range (adjusted vehicles per day) Unformed Formed Paved Sealed 4/8 6/8 < 1.0 Base Favourperson cost able Adverse MR / per ($/km) (Th. –50) (Th. +100) reactive sq.km 250 - +25% Terrain < 0.1 person / per sq.km Undulating Hilly Mountains - +5% +10% +2% +5% - <40 500 - +20% - +5% +10% +2% +5% - 40-150 2 300 - +20% +10% +5% +10% +2% +5% - 150-250 4 650 -10% +15% +10% +2½ % +5% +2% +5% +10% 250-1 000 6 600 -7½ % +10% +10% +2½ % +2½ % +2% +5% +10% 7/10 1 000-3 000 8 100 -7½ % +10% +10% +2½ % +2½ % +2% +5% +10% 8/12 >3 000 11 000 -7½ % +10% +10% +2½ % +2½ % +2% +5% +10% Source: Queensland Local Government Grants Commission 120 Appendix B – QLD Table B.12: Urban roads, standards and cost adjustors—Queensland Climate Traffic volume range (adjusted vehicles per day) <500 Base cost ($/km) Soil– subgrade Locality on-cost < 1.0 Favour- Adverse person able (Th. MR / per (Th. –50) +100) reactive sq.km Terrain < 0.1 person / per sq.km Undulating Hilly Mountains 8 500 -7½ % +10% +5% +2½ % +2½ % - +2% +5% 500–1 000 15 500 -7½ % +10% +5% +2½ % +2½ % - +2% +5% 1 000–5 000 25 400 -7½ % +10% +10% +2½ % +2½ % - +2% +5% 5 000–10 000 41 800 -7½ % +10% +10% +2½ % +2½ % - +2% +5% >10 000 66 700 -7½ % +10% +10% +2½ % +2½ % - +2% +5% Source: Queensland Government Grants Commission Cost adjustors Cost adjustors are indices applied to expenditure categories to account for factors outside a council’s control, that impact on its ability to provide services. Table 1 above identifies which cost adjustors are applied to the service categories. Averaging The Queensland Local Government Grants Commission introduced averaging steps to increase confidence in the results obtained due to previous concerns about data limitations in the calculation methods for road expenditure assessment and rating capacity. Regression The first averaging step applies regression analysis to the results produced by the base methodology. Regression is a statistical tool for developing averages based on more than one variable. The Queensland Local Government Grants Commission has decided to average the outcomes of the methodology against population and road length. This reduces potentially wide variations occurring between councils and allows for comparability between councils based on population and road length. 121 2010–11 Local Government National Report Commission judgments The Queensland Local Government Grants Commission ensured that the Amalgamation Principle was applied i.e. no amalgamated Council from March 2008 dropped below its pre-amalgamation grant levels. Additionally an increase cap of 10 per cent was applied to councils, except for Indigenous councils, which had a increase cap of 20 per cent. The Queensland Local Government Grants Commission determined that two Queensland Councils will receive a minimum grant only. These are Brisbane City Council and Gold Coast City Council. Additionally, Ipswich City, Logan City, Redland City, Moreton Bay Regional, Sunshine Coast Regional, Cairns Regional and Townsville City Councils were held at their previous funding levels as they are tracking towards minimum grant. The Queensland Local Government Grants Commission this year decided to continue using 20 per cent of Indigenous Councils’ State Government Financial Aid grants as revenue, as a proxy for rate revenue. Methodology review In response to a recommendation of the Local Government Reform Commission’s report, the Queensland Local Government Grants Commission undertook a review of the methodology for the distribution of the Financial Assistance Grant. This process commenced late in 2008, with the assistance of Queensland Treasury Corporation (QTC). A discussion paper detailing the existing methodology and potential alternatives inputs and calculations was distributed in September 2009, with submissions due in November 2009. The Queensland Local Government Grants Commission expects an information paper to be released in 2011 and the new methodology to be in place for the distribution of the 2011–12 Financial Assistance Grant. Developments in relation to local government’s use of long term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks Across Australian local government at this time, there is now a clear focus on asset management planning and long term financial management planning. For the first time, the Local Government Act 2009 and Local Government (Finance, Plans and Reporting) Regulation 2010 require local governments to prepare long term asset management plans, long term financial forecasts and long term community plans. The emphasis of the Act is to shift local government planning processes from the short term (annual budget) focus to a longer term perspective on the ongoing sustainability of the local government. In 2011, local government in Queensland is managing some $96 billion in infrastructure assets. It also generates approximately $3.5 billion in net rates and utility charges per annum and $1.2 billion in depreciation expense. 122 Appendix B – QLD This is the second year of the state’s financial management (sustainability) evaluation process. In 2010 –11 it included for the first time all 73 local governments. The long term financial forecasts rely on a clear perspective of the long term infrastructure funding needs of the council, including maintenance, operations and infrastructure renewals. Without this, a long term financial forecast for a local government is indicative at best. The evaluation conducted by the Department of Local Government and Planning recognises the current developmental phase for long term financial sustainability strategies. The emphasis in 2010 was on assessing the capacity of local governments to develop long term financial forecasts, and based on those, to develop coherent long term sustainability strategies. The emphasis in 2011 has been on assessing the financial sustainability of local governments and those facing financial challenges. The evaluation conducted by the Department has shown that the vast majority of local governments are comfortable in preparing long term financial forecasts, and in developing sustainability strategies. However, there is some work to be done in further developing asset management plans and integrating these with the financial forecasts. Local governments should look to ensure that: • asset management plans are in place, and that the councillors have considered the services, service levels, costs and risks associated with the services offered • the financial forecasts associated with the assets have been linked to a long term financial forecast (very few councils in Queensland have done this to this point) • The council consistently reviews its operations, looking for more efficient ways of delivering the service. Financial sustainability is about local governments being able to maintain their infrastructure and remain financially viable over the long term. The essence of the new Local Government Act 2009 is achieving financial sustainability and improving planning in the long term. The Local Government (Finance, Plans and Reporting) Regulation 2010 includes a series of financial sustainability indicators that local governments calculate and disclose to the community on a regular basis. These indicators, calculated for ten forward years, also form the basis of the financial management (sustainability) evaluation process. 56 Local Governments submitted data and information to the Department in 2011 for evaluation. The Returns for 4 councils indicated that those councils are struggling to develop a reasonable financial forecast. 26 of the respondents have been identified as being in a strong financial position. A further 18 Councils are in a moderate position, with 12 facing financial challenges. 123 2010–11 Local Government National Report A comparison with prior year forecasts has also been undertaken. This evaluation has shown that: • The forecasts for small local governments identify an expected improvement in the financial sustainability outlook when compared to 2009–10 • The forecasts for medium-sized local governments identify a decline in the financial sustainability outlook when compared to 2009–10 • The forecasts for large local governments identify no change in the financial sustainability outlook when compared to 2009–10 • The forecasts for very large local governments identify no change in the financial sustainability outlook when compared to 2009–10. The data indicates that on average, all local governments are investing in infrastructure renewals over the forecast period. For very large local governments however, the data indicates that the level of investment reduces over time. Asset Management and Financial Management (Sustainability) remain the primary areas of evaluation, with most weighting of the overall sustainability evaluation given to results in these two areas. Currently the asset management evaluation emphasis is on the development of the asset management plans. Once the plans are in place, the emphasis needs to change to being an evaluation of the use of the data and information that is in the plans, e.g. the extent to which the council is planning to fund the required level of forecast expenditure and developing and assessing service level options. Overall the evaluation of asset management planning in Queensland indicates: • 12 councils have completed all asset management plans • 16 councils made significant progress since 2010 and are nearing completion • 16 councils have made some progress since 2010 • 11 councils have made no progress since 2010 • 18 councils did not provide information for evaluation. Large and very large local governments are well advanced in establishing asset management plans, and very large local governments have largely completed the task. Small and medium sized local governments have not yet established asset management plans for the significant infrastructure assets such as water, sewerage, roads, bridges and stormwater and this represents a significant deficiency in asset related data and information for these key assets. It is expected that all local governments in Queensland will have completed the process of developing asset management plans for all infrastructure assets by 31 March 2012. 124 Appendix B – QLD Measures undertaken to develop and implement comparative performance measures between local governing bodies The provision of information by the Queensland Government to the community through the Queensland Local Government Comparative Information Report continued in 2010 –11. This report assists local governments in their endeavours to develop new and more effective ways to deliver their services by providing an effective tool by which they can monitor trends over time and benchmark services performance both internally and with other councils. The Local Government (Finance, Plans and Reporting) Regulation 2010 includes the relevant measures of financial sustainability. These are also included in the City of Brisbane (Finance, Plans and Reporting) Regulation 2010. The measures are to be used to evaluate the financial sustainability of local governments in Queensland. These measures are separately categorised as being related to the sustainability of infrastructure capital and financial capital in accordance with the definition in the Local Government Act 2009 (Qld). Reforms undertaken to improve the efficiency and effectiveness of government service delivery The essence of the Local Government Act 2009 (Qld) is achieving financial sustainability and improving planning in the long term. Integrating the Council corporate planning process with robust long-term financial forecasts and comprehensive asset management plans strengthens a Council’s capacity to plan and determine the long-term requirements for services, service levels and associated costs. In the Auditor-General’s Report to Parliament No. 1 for 2009 detailing the results of local government audits for the 2007–08 financial year, the Auditor-General raised a number of significant issues. A particular concern was the obvious decline in the timeliness and quality of financial statements, highlighted by the fact that the financial statements of 10 of the 12 Aboriginal Shire Councils were overdue by more than six months. He further commented that, despite the strategies implemented by the former Department of Local Government, Sport and Recreation, there was little evidence of the success of these strategies in improving the standard of financial reporting in Aboriginal Shire Councils. In response to the Auditor-General’s Report, DLGP implemented a number of key initiatives the first of which was the establishment of an Indigenous Council taskforce. The taskforce comprised nine members, all with significant practical local government experience at a senior management level. 125 2010–11 Local Government National Report The short-term goals of the taskforce were to: • improve the number of Indigenous Councils achieving the statutory 15 September deadline for presentation of financial statements to their auditors • where possible, assist Councils in improving the quality of their financial statements in order for them to ultimately achieve an unqualified audit • assist the Department in the financial management of high risk Councils by supporting financial controllers that had been placed into the Lockhart River, Mapoon and Pormpuraaw Aboriginal Shire Councils. In addition to these short-term goals, the taskforce spent time assessing the governance arrangements and financial management capacity at each local government. Based on their experience, the taskforce was able to provide DLGP with advice and recommendations on a continuing strategy to assist these local governments. The key issues being progressed through the taskforce in 2010 –11 were: • focus on improving the quality of the financial statements being presented for audit. Whilst the Auditor-General has noted an improvement in the timeliness of statements, there are still quality issues. Queensland Audit Office staff recently reported that, out of a snapshot of eight financial statements presented for audit, one was rated as poor, five were rated as satisfactory, three were rated as good and none were rated as very good • the ‘Matters Arising Report’ provided to each local government by the Auditor-General is one of the key indicators that can be used to measure the effectiveness of a Council’s governance and financial systems. The taskforce will work with Councils to ensure that issues being identified in the audit are being cleared up and appropriate systems and processes are established to mitigate the risk of impacting future results • work with Councils with ‘controlled entities’ (i.e. commercial companies owned by Councils) to ensure they are operating those companies in accordance with relevant statutory obligations. This is a priority as Council-owned companies which are not performing will continue to affect the outcome of the local government audit results • assist local governments with implementation of asset management and long-term financial management planning requirements • encourage Indigenous local government’s participation in DLGP’s sustainability and reporting process. In addition, there are a number of other activities being undertaken by DLGP to support Indigenous local governments. The ability to attract and retain suitably qualified and experienced staff to work in remote areas continues to have a major impact on Councils’ performance. In order to address the issue of attraction and retention of experienced finance staff, particularly accountants, eight of the 16 Indigenous Councils have established remote offices in Cairns. A further two Councils have accountants working remotely from home offices. This initiative is also contributing to significant improvements shown by some of these Councils mainly because of the reduction in staff turnover in these critical positions. 126 Appendix B – QLD To support this, DLGP has worked with Councils to establish a Cairns based Finance Officers network. This network, which meets bi-monthly, is focused on building the capacity of Indigenous Council finance officers through encouraging information sharing and joint problem solving between the Councils as well as exploring and developing options for the sharing of systems and resources across the Councils. Options for sharing include office and IT facilities and possible staff exchange. The Local Government Act 2009 also introduced new planning requirements, such as community planning, asset management planning and long-term financial forecasts. To support the introduction of these requirements, Financial Management and Sustainability Workshops for Mayors, Councillors and CEOs were held across Queensland in 2009 and 2010. In 2009, workshops conducted in Cairns, Longreach, Redlands and Rockhampton emphasised the sustainability and reporting process, community planning, long-term financial planning and asset management. The 2010 workshops, conducted in Dalby, Emerald, Brisbane, Cairns and Yarrabah emphasised identifying services, service levels and costs, financial forecasts and integrated approaches to planning. Planning is currently underway to continue these workshops in 2011 with the focus of these workshops being to reinforce the previous messages and advancing the discussion in respect of the key themes. In addition, DLGP has published a number of publications to support local governments, these are available on DLGP’s website: • A guide to asset accounting in local governments • Asset management advancement program 2009–10 • Financial management (sustainability) guideline 2009 • Guidelines for local government administration of community grants • A guide to community planning • A guide to community engagement • A guide to the Local Government Act 2009 (Qld) for Mayors and Councillors. The Local Government Act 2009 (Qld) includes new planning requirements, such as community planning, asset management planning and long term financial forecasts. The Sustainable Planning Act 2009 (Qld) also includes planning requirements for local governments, such as priority infrastructure plans and planning schemes. The 2010 workshops emphasised the relationship between the Local Government Act 2009 (Qld) and the Sustainable Planning Act 2009 (Qld). In June 2009, the then Prime Minister, the Honourable Kevin Rudd MP, announced the $25 million Local Government Reform Fund to fast-track the implementation of nationally consistent local government infrastructure financial and asset management and planning. In November 2009, the state government in conjunction with the Local Government Association of Queensland, lodged a formal submission with the Commonwealth Government seeking funding from the Local Government Reform Fund. Funding of $2 695 000 was ultimately approved to support the development of core asset management plans for the key infrastructure assets managed by 45 non-Indigenous Queensland local governments and to assist 16 Indigenous local governments to improve their asset management capacity. 127 2010–11 Local Government National Report This significant project promotes and accelerates the implementation of integrated asset and financial management systems through the development of core asset management plans for key infrastructure assets. Initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities • The Queensland Government, through the Department of Local Government and Planning, administers the legislation for local governments, including fourteen Aboriginal Shire Councils and two Indigenous Regional Councils, and provides them funding and support. • A key role of the Department in helping improve local government service delivery to Aboriginal and Torres Strait Islander communities is to deliver a range of financial and asset management capacity building initiatives for Queensland’s Indigenous councils including: -- a high level task force, comprising local government industry professionals, which assists councils to plan and implement strategies that will lead to long-term financial sustainability -- enabling fourteen staff/councillors of Indigenous local governments to undertake accredited training (including Certificate IV, Local Government Administration) in 2010 –11 through the Community Governance Improvement Strategy, initiated in 2004 to build capacity and provide skills to improve management practices -- assisting councils, through the Local Government Reform Fund, to improve their asset management and financial management capacity; the Queensland Treasury Corporation (QTC) is working with Indigenous councils on development of 10 year financial forecasts, and conducts workshops and provides individual training for council staff as required • Developing Indigenous councils’ capability in land use planning and development is another key focus of the Department which: -- continued to work with the Indigenous Land and Infrastructure Program Office (Program Office) to assist Indigenous councils establish planning schemes for the orderly development of land and investment in their community -- participated with the Program Office and Infrastructure Australia on the development of a discussion paper exploring options for a new funding model for infrastructure planning and development in remote Indigenous communities • The Department supported the ongoing delivery of essential services by Indigenous local governments by: -- continuing to provide essential infrastructure for water supply, sewerage systems and waste management through the Indigenous Environmental Health Infrastructure program -- capacity building initiatives to assist Indigenous councils to plan for future asset needs and management of those assets -- partnering the Australian Government in the COAG Strategy on water and wastewater services in remote (including Indigenous communities) 128 Appendix B – QLD • The Department also provided (and will continue to provide) significant financial and capacity building assistance to the Torres Strait Island Regional Council to strategically: -- address operational and alignment issues arising from the amalgamation of 15 smaller councils into one regional council -- plan for improved and ongoing financial sustainability • The Director-General and Associate Director-General of the Department have adopted additional roles as Government Champions for the Indigenous communities governed by the Northern Peninsula Area Regional Council and the Mornington Shire Council respectively, their role being to partner with these communities to harness combined agency resources to deliver better targeted and more integrated services. Report from the Local Government Association of Queensland Background The Commonwealth Government has provided $2.695 million to Queensland councils through the Advancing Asset in Local Government Project. The outputs of the project are intended to meet the Commonwealth Government’s two main objectives (i.e. integration and collaboration) and will improve the capability of Queensland’s local governments to manage their assets to provide better outcomes for local communities through management of assets, financial planning processes, and anticipating infrastructure needs. The project’s implementation plan involves a program of activities to upgrade the asset management capabilities of a total of 61 Queensland councils, comprising 44 non-Indigenous local governments and 17 Indigenous local governments. (There are 12 Queensland local governments that do not receive Local Government Reform Fund (LGRF) funding under the project). The project, which is delivered by the Local Government Association of Queensland (LGAQ) in partnership with the Queensland Government, promotes and accelerates the implementation of integrated asset and financial management systems through developing core asset management plans for key infrastructure assets. The program of activities will: • Measure the asset management competence of each council • Develop action plans and core asset management plans (for key infrastructure assets) for each council and bring whole of life costing, community planning processes and asset management planning into council budgeting processes • Develop the asset management skills of councillors and council officers • Provide for specific activities, including the development of 10 year financial plans, targeted to Indigenous councils. The LGAQ has commenced the roll-out of the implementation plan under the conditions of a funding agreement between it and the Queensland Government. 129 2010–11 Local Government National Report Progress to date The project commencement was delayed and the first project day was achieved in January 2011. All of the Queensland Councils covered by the project have had disaster declarations during December 2010, and January / February 2011 which has impeded their ability to commence participating in the project. The project continued to work around the impacts of natural disasters, with basic communication only with the Councils severely impacted. Efforts have focused on engaging these Councils and bringing them into the project as they have progressed moving back to core business after the disaster declarations. The project has gained momentum as many of these councils are re-focusing on core business. Contact has been initiated with all Indigenous councils and the consultants engaged to roll-out the project are concurrently progressing Stages 1–3 of the visit days. It is expected the project will ultimately run to schedule. For both the Indigenous and non-Indigenous Councils that have been engaged, a significant amount of work has been undertaken to: • Complete the initial assessment of their status in the 11 key elements of the National Asset Management Assessment Framework (NAMAF). To date, 20 councils have completed this assessment; and • Progress the development of the Action Plans and Asset Management Plans (AMPs) for individual asset classes. Assets and Services Management Plans have been commenced for all Councils visited (where required). To date, 48 AMPs have been completed for Indigenous councils and 187 AMPs have been completed for non-Indigenous councils. (The number of AMPs to be prepared for each council will fluctuate as the project continues to roll-out and the consultants improve their understanding of the councils’ business). Queensland Treasury Corporation (QTC) has conducted information and training sessions across the state to assist the Indigenous Councils complete their 10-year financial models. 13 Indigenous Councils have commenced their 10-year financial models, with 2 Councils having completed their models and several others having progressed their models to a substantially advanced stage. Issues identified during the NAMAF assessments Through councils’ assessments against the NAMAF, the following systemic issues have been identified as being the most prevalent throughout the state: • Lack of Asset Data and Information Systems – there is lack of asset data and systems to collect the data • Questionable Data Quality – the quality and fitness for purpose of the data collected is questionable • Incorrect Classification and Recording of Asset Costs – Councils struggle with correctly classifying and recording asset expenditures • Lack of Corporate Direction On Asset Sustainability – there is a lack of corporate direction being provided by Councils regarding long-term sustainability of assets 130 Appendix B – QLD • Lack of Business Processes Incorporating AMPs into Councils’ Business – Few Councils have business processes ensuring that once AMPs are developed, maintaining and managing them is imbedded into their culture and everyday business • Lack of Performance Reporting – There is very little performance reporting on assets at both the strategic or operational level, and little evidence that councils analyse and use asset performance data to drive organisational decisions. Issues identified during the NAMAF assessments will be addressed as the project rolls out. Independent evaluation of the project The project has appointed an independent project evaluator. The independent project evaluation report will be a stand-alone document that can be used for public information dissemination purposes regarding the project. The report will evaluate the project and will describe the conduct, benefits and outcomes of the project as a whole. The evaluation will assess the extent to which the project objectives have been achieved and explain why any aspects were not achieved. The LGAQ regularly meets and/or communicates with Mayors, councillors and senior council officers of Queensland’s Aboriginal and Torres Strait Island councils. Moreover, following the demise of their peak organising body (the Aboriginal Coordinating Council), these Councils have relied on LGAQ assuming a greater responsibility and a more visible presence in representing and advocating on their behalf to other spheres of government and in the public forum generally. LGAQ has also formed an Indigenous Leaders Forum comprising Mayors of all Aboriginal and Torres Strait Island councils with this forum convening twice a year to identify and discuss key issues affecting their councils. The inaugural Indigenous Leaders Forum was convened in 2011 and identified the following key issues: • Sustainability of Aboriginal and Torres Strait Island Councils. Councils seek an alternative funding model which they consider essential to secure their sustainable future. In particular they seek funding certainty, a reduction in government resource wastage, and more targeted spending on demand areas. Key to this model is greater self-determination by Councils, enhanced local prioritisation of areas that attract spending and service delivery managed and operated by Councils rather than for councils. • The significant reforms to CDEP without being critical of the reforms or reasons for the reforms has lead to unintended consequences, social and employment, that need to be addressed. • Greater focus on economic development is needed that will lead to job creation and in turn skill development through employment in lieu of current perceived focus on “training” for jobs that in most cases do not exist. • Greater recognition is needed for the additional roles that local government councils play in Aboriginal and Torres Strait Island communities. These additional roles cover not only the myriad of additional services that fall within the responsibility of these councils e.g. health , policing and so on but also the cultural leadership roles expected of, and adopted by, the elected members particularly the Mayor within these communities. 131 2010–11 Local Government National Report LGAQ has advanced these matters to various stages with relevant government agencies with the understanding that these changes require fundamental changes to the way that federal and state government authorities perceive and interact with these councils. In addition, Indigenous Leaders have raised the following areas of concern with other Queensland local government councils seeking (and receiving) support for the Association to raise these concerns with the various state and federal authorities as they are seen to impact not only upon Indigenous councils but also directly or indirectly on adjoining non-indigenous councils: • Review of the Alcohol Management Plans imposed upon their communities. Councils, while not trying to resile from the concerns that motivated the intervention in the first place, vehemently oppose this imposition on their communities on the basis that it firstly discriminates against their communities but moreover that it has failed to adequately resolve the initial concerns and has lead to other negative social outcomes for members of their communities. • Less reliance by state and federal government on high-profile indigenous “experts” and more heed given to democratically-elected indigenous leaders on indigenous reform issues. Councils argue that as democratically-elected members who continue to live and work in their communities, they are more suited to be able to provide legitimate advice to governments on what works and what won’t work than some of the current indigenous leaders who enjoy media acclaim but sometimes have lost touch with the communities and often represent a minority view of reform needs. • Greater involvement in land reform. The one size fits all approach to land reform does not recognise the diversity that exists across Aboriginal and Torres Strait Island councils. More dialogue and genuine consideration of the community views needs to be undertaken to ensure this crucial reform is managed correctly. • Law and order remains an issue with greater collaboration on the issue of community policing sought between councils and law enforcement authorities. Aboriginal and Torres Strait Island councils continue to struggle with the sheer magnitude of governance requirements thrust upon this group of small local governments who rely so heavily on a plethora of grants, each of which require different forms of resource-intensive acquittal. In too many cases, the level of acquittal requirements is discouraging councils from accepting grants which are intended to benefit the community. Councils continue to struggle to attract and retain high-level skilled personnel in key jobs which impacts upon their capacity to deliver to the community. Reasons for this include their remoteness and isolation, the working environment (absence of key resources, technology etc) as well as the lack of capacity of the isolated councils to pay remuneration necessary to attract skilled professionals. This in turn also impacts negatively on the capacity of council to meet their governance obligations. While there is ample evidence of improvements in many areas such as corporate governance, most reviews indicate that the significant investment in government initiatives in these communities is not matched with the recorded improvements in quality of life or diminution in disadvantage for members of these communities. A re-think in strategy in so many areas is clearly required and is being demanded by local government leaders of these communities. 132 Appendix B – WA In summary then, while they have made significant inroads and progress since being established as local government councils with equal status as every other Queensland local government council, Aboriginal and Torres Strait Island Councils continue to face many challenges as local governments, over and above those of other local governments as a direct consequence of their history, isolation and cultural environment. However, there is a clear burgeoning emergence of strong and capable leadership in these local governments that is taking up these challenges. This needs to be recognised and acknowledged by all spheres of government and in particular requires the government bureaucracy to review their perception of these local government authorities from budget-dependent resource-intensive limited organisations to government councils in their own right responsible for and capable at delivering a plethora of services to their communities. Report from Western Australian Department of Local Government Methodology for distributing financial assistance grants for 2010 –11, including any changes in methodology from 2009–10 General purpose grants The Western Australian Local Government Grants Commission (WALGGC) uses the balanced budget method for allocating General Purpose Grants and an Asset Preservation Model for allocating the Identified Local Road Grant component. The ‘balanced budget’ approach to horizontal equalisation is based on the formula: assessed expenditure need – assessed revenue capacity = assessed equalisation requirement This applies to all 139 local governments in Western Australia. Calculation of assessed revenue capacity is based on standardised mathematical formulae, and involves assessing the revenue-raising capacity of each local government in the categories of: • Residential and commercial/industrial rates • Agricultural rates • Pastoral rates • Mining rates • Recreation and culture charges • Building charges • Investment earnings • Other revenue 133 2010–11 Local Government National Report Assessed expenditure need is based on standardised mathematical formulae, involving the assessment of each local government’s operating expenditures in the provision of core services and facilities under the ‘standard’ categories of: • Governance • Law, order and public safety • Education, health and welfare • Community amenities • Recreation and culture • Building control • Transport. For the 2010 –11 grant determinations, 31 local governments received the Minimum Grant entitlement. Local governments that received a Minimum Grant in 2010 –11 had their grant calculated on a per capita basis, in accordance with the Minimum Grant Principle established under the Local Government (Financial Assistance) Act 1995 (Cwth). The WALGGC is still in the process of completing its review of the General Purpose Grant methodology and, as such, the General Purpose Grants for 2010 –11 were pegged at 2009–10 levels, with an escalation factor applied, equivalent to the percentage increase in the total WA pool, after deducting the Minimum Grant local governments. For the 2010 –11 grant determinations, the WALGGC used the latest Australian Bureau of Statistics’ estimated residential population data. Methodology review The methodology review is due for completion in December 2011 and will be applied to the 2012–13 grant determinations. The Commission will reduce the number of disabilities it currently applies to determinations. The balanced budget approach will be retained albeit with some changes to the overall application of disabilities. Local road grant funding Under the current principles, 7 per cent of the Commonwealth funds provided for local roads are allocated for special projects (one-third for roads servicing remote Indigenous communities and two-thirds for bridges). The remaining 93 per cent is distributed in accordance with road preservation needs, as determined by the WALGGC’s Asset Preservation Model (APM). The model assesses the average annual costs of maintaining each local government’s road network and has the capacity to equalise road standards through the application of minimum standards. These standards help local governments that have not been able to develop their road systems to the same standard as more affluent local governments. The road data used for the Asset Preservation Model is obtained from Main Roads WA and is of a consistently high standard. 134 Appendix B – WA For the 2010 –11 determinations, the average increase in local road grants for all governments was 8.5 per cent. One hundred and twelve local governments received an increase of less than 10 per cent, while 26 local governments received an increase of more than 10 per cent, the largest being 17.1 per cent. One local government incurred a decrease of 1.07 per cent in its Local Road Grant. Table B.13: Local road funding allocations, 2010 –11—Western Australia Allocation Value ($) Roads servicing remote Indigenous communities $2 243 824 Bridges $4 487 649 Distributed according to the APM* $89 946 051 Total $96 677 524 Source: Western Australia Local Government Grants Commission Special Projects—Roads Servicing Remote Indigenous Communities Table B.14: Special projects funds for indigenous access roads, 2010 –11—Western Australia Special Project funds Commonwealth funds from WALGGC Value ($) $2 243 824 State funds from Main Roads WA $1 121 912 Total $3 365 736 Source: Western Australia Local Government Grants Commission The Indigenous Roads Committee advises the WALGGC on procedures for determining the allocations of Commonwealth road funds for roads servicing remote Indigenous communities, and recommends the allocations that are made each year. Membership of the Committee is made up of one representative of each of the following: • Western Australian Local Government Association (WALGA) • Main Roads WA • Department of Indigenous Affairs • Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) • WALGGC. The Committee has established funding criteria based on factors including the number of Indigenous people serviced by a road, the distance of a community from a sealed road and the proportion of traffic servicing remote Indigenous communities. These criteria provide an effective method of assessing priorities in developing a five-year program. 135 2010–11 Local Government National Report Special projects—bridges The WALGGC’s policy for allocating funds for bridges is influenced by the fact that there are many local government bridges that are in poor condition, and that the preservation of these bridges must be given a high priority. The Special Project funds for bridges are allocated only to preservation type projects, recognising that some of these projects may include some upgrading, and that preservation includes replacement when the existing bridge has reached the end of its economic life. Main Roads WA contributes a third of the cost of all projects funded under the Special Projects program. Table B.15: Special project funds for bridge works 2010 –11—Western Australia Special Project funds Value ($) Special project funds from WALGGC $4 487 649 State funds from Main Roads WA $2 243 824 Total $6 731 473 Source: Western Australia Local Government Grants Commission A Bridge Committee advises the WALGGC on priorities for allocating funds for bridges. Membership of the Committee is made up of representatives of: • Western Australian Local Government Association • Main Roads WA • WA Local Government Grants Commission. The Committee receives recommendations from Main Roads WA on the priorities of projects under consideration. Main Roads WA has an ongoing program of inspecting and evaluating the condition of local government bridges and has the expertise to assess priorities and make recommendations on remedial measures. As part of the process, local governments make applications to the WALGGC for bridge funding each year. Developments in relation to local government’s use of long-term financial and asset management plans The Department of Local Government (the Department) has developed an Integrated Planning and Reporting Framework and Guidelines that provide for the development of key strategic management and planning tools informing core local government functions, including long term financial and asset management planning. In addition, grant funding was provided to local governments participating in structural reform within the state to assist in the development of Strategic Community Plans, Long Term Financial Plans and Asset Management Plans. In 2011, local government responses to a survey relating to local government capability indicated that: • 83.6 per cent of local governments met the baseline level for Financial Planning • 40.7 per cent of local governments met the baseline level for Asset Management. 136 Appendix B – WA Developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks The Department has developed the Long Term Financial Framework and the Asset Management Framework, and supporting guidelines, two key components of the Integrated Planning and Reporting Framework. These are aligned with the Local Government Financial Sustainability Consistent Frameworks. In partnership with Local Government Managers Australia WA Division (LGMA), the Department has commenced a series of Master Classes relating to Integrated Planning, Asset Management Planning and Long Term Financial Planning. These are being delivered across the state to local government executives and officers. Further, the Department has drafted amendments to a number of regulations under the Local Government Act 1995 (Cwth), with a view to ensuring that asset management planning and long term financial planning, as described in the Integrated Planning and Reporting Framework, become standard business practices for all local governments. It is envisaged that these statutory enhancements, coupled with the range of Integrated Planning and Reporting tools now available, will assist local governments to become better aligned with the Local Government Financial Sustainability Consistent Frameworks, and other strategic planning improvements planned under the Reform Program. Measures undertaken to develop and implement comparative performance measures between local governing bodies In response to recommendations in the May 2010 Local Government Reform Steering Committee report, the Department, in collaboration with the local government sector, has developed a Performance Measurement Framework for local governments. This will align with the proposed National Sustainability Framework, and will help guide improvements in three key areas. The Framework will: • help individual local governments monitor and manage their own progress in delivering community services and meeting community needs • provide a common, reliable method of measuring progress sector-wide • allow trends over time to be reliably measured • provide information to direct state government capability building activities • identify the changes arising from capacity building reforms. 137 2010–11 Local Government National Report As a first step in implementing the Framework, Working Groups with membership from local governments, WALGA, LGMA, other key stakeholders and the Department developed four sets of performance measures to identify changes in local government capability in: • integrated planning • workforce planning • financial planning • asset management. These measures will be used to collect information from every local government, which can be aggregated to form a sector-wide Capability Index, showing the proportion of local governments attaining the baseline level of capability. In subsequent years, more detail will be collected, particularly from local governments who have more sophisticated performance measurement processes in place. This will identify the proportion of local governments able to demonstrate a higher level of capability. It is intended that the measures will provide valuable information to the individual local governments to drive continuous improvement, as well as showing sector-wide performance. Reforms undertaken during 2010 –11 to improve the efficiency and effectiveness of local government service delivery The Western Australian Government has continued to provide assistance to those local governments that are voluntarily participating in structural reform, either through directly pursuing amalgamations, or by joining a Regional Transition Group (RTG) or a Regional Collaborative Group (RCG). At the end of this reporting period, four local governments were directly pursuing amalgamations, whilst another four had recommended amalgamation to the Local Government Advisory Board but this was overturned through a poll. Sixteen local governments had formed five RTGs, and a further 23 local governments had formed five RCGs. RTGs and RCGs are two distinct models where partnerships are formed between two or more local governments to explore the costs and benefits of local government reform. RTGs were offered to local governments that had seen the need for reform but were not able to formalise amalgamation agreements with their proposed partners. Local governments that form an RTG work together on a Regional Business Plan to consider whether amalgamation would benefit their communities. Any local government resolution to proceed with amalgamation is subject to review and recommendation by the Local Government Advisory Board. Local governments that form an RCG receive state government funding and support to develop a Regional Business Plan, which examines whether a shared service arrangement would benefit their communities. This model has been offered to local governments in regional areas where vast distances between towns mean amalgamation is not a priority. RCGs have been established in the Kimberley, Pilbara, Murchison and Goldfields regions. 138 Appendix B – WA Initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities The Department continued to progress arrangements during 2010 –11 towards the planning of local government services in Indigenous communities. This initiative stems from the Bilateral Agreement on Indigenous Affairs 2006-10, in which the state and the Commonwealth Government agreed to work towards a transition of responsibilities for municipal services to the local government sector. Further to the Bilateral Agreement, the state and Commonwealth Governments signed a National Partnership Agreement on Remote Indigenous Housing (2009), which commits the governments to work together towards new arrangements for municipal services in Indigenous communities, including clearer roles and responsibilities and funding. The Western Australian Government, through its Royalties for Regions program, made Financial Assistance Grants to a number of local governments in remote and regional Western Australia for the purpose of engaging specialist consultants to undertake the scoping and costing of services in Indigenous communities, using the template developed for the project. Progress during the year included: • the commissioning of a consulting firm, CAM Management Solutions Pty Ltd, to produce a scoping and costing template for the project, designed to comprehensively identify the likely costs, together with delivery mechanisms that could be used, in relation to local government service delivery in Indigenous communities; • the completion of a pilot scoping and costing report by the Pilbara Regional Council, which produced extensive information on local government service delivery in a number of Indigenous communities across the region; and provided feedback on the template to enable adjustments; • funding has been provided to other remote area local governments to undertake similar scoping and costing of services for their Indigenous communities; and • the commissioning and completion of a research paper by the Australian Centre of Excellence for Local Government into funding models for local government services in Indigenous communities. The report will review service delivery models and approaches in various jurisdictions and outline current responsibilities and options for future funding and service delivery. The development of these Scoping and Costing reports is being managed by a Planning Committee, comprised of senior representatives of the State Departments of Local Government, Indigenous Affairs, and Housing; FaHCSIA; local governments and WALGA. The Department has also appointed specialist staff in policy and project management. These appointments have been extended through the 2011–12 financial year due to the increased work arising from the project and the importance of engaging with local governments on these issues. 139 2010–11 Local Government National Report Report from the South Australian Local Government Grants Commission and the Local Government Association Methodology for distributing financial assistance grants for 2010 –11, including any changes from 2009–10 General purpose grant The methodology used to assess the general-purpose component of the Local Government Financial Assistance Grants is intended to achieve an allocation of grants to local governing bodies in the state consistent with the National Principles. The over-riding principle is one of Horizontal Fiscal Equalisation, which is constrained by a requirement that each local governing body must receive a minimum entitlement per head of population as prescribed in the Commonwealth legislation. The South Australian Local Government Grants Commission uses a direct assessment approach to the calculations. This involves the separate estimation of a component revenue grant and a component expenditure grant for each council, which are aggregated to determine each council’s overall equalisation need. Available funds are distributed in accordance with the relativities established through this process and adjustments are made as necessary to ensure the per capita minimum entitlement is met for each council. For local governing bodies outside the incorporated areas (the Outback Areas Community Development Trust and five Aboriginal Communities) allocations are made on a per capita basis. A standard formula is used as a basis for both the revenue and expenditure component grants. 140 Appendix B – SA Formulae General financial assistance The formula for the calculation of the raw revenue grants can be expressed as: Similarly, the formula for the calculation of the raw expenditure grants can be expressed as: Subscripts of s or c are used to describe whether it applies to the state or a particular council. G = council’s calculated relative need assessment P = population U = unit of measure. Some units of measure are multiplied by a weight. Expenditure or income standard, be it cost or revenue = U S = RRI = Revenue Relativity Index CRI = Cost Relativity Index (previously known as the disability factor). They are centred around 1.00, i.e. RRIs or CRIs equals 1.00. If more than one CRI exists for any function then they are multiplied together to give an overall CRI for that function. In the revenue calculations for both residential and rural assessments, the Commission has calculated a revenue relativity index based on the SEIFA Index of Economic Resources (from the Australian Bureau of Statistics). Where no revenue relativity index exists the RRIc = 1.0. Currently in all expenditure calculations with the exception of roads and stormwater there are no disability factors applied and consequently, CRIc = 1.0. The raw grants, calculated for all functions using the above formulae, both on the revenue and expenditure sides, are then totalled to give each council’s total raw grant figure. Any council whose raw calculation per head is less than the per capita figure, ($19.38 for 2010 –11), then has the per capita figure applied. The balance of the allocated amount is then apportioned to the remaining councils based on their calculated proportion of the raw grant. Commission determined limits are then applied to minimise the impact on council’s budgetary processes. In the calculation of the 2010 –11 grants, the Commission constrained changes to Councils grants to between minus 5 and positive 12 percent. Changes in grant for the majority of Councils were in the range of minus 1.5 per cent and positive 9 percent. Grants to three councils were reduced at higher levels of minus 3, 3 and 5 percent as part of a process of decreasing grants in a manageable way for these councils. An iterative process is then undertaken until the full allocation is determined. 141 2010–11 Local Government National Report Component revenue grants Component revenue grants compensate or penalise councils according to whether their capacity to raise revenue from rates is less than or greater than the state average. Councils with below average capacity to raise revenue receive positive component revenue grants and councils with above average capacity receive negative assessments. The Commission estimates each council’s component revenue grant by applying the state average rate in the dollar to the difference between the council’s improved capital values per capita multiplied by the RRIc and those for the state as a whole, and multiplying this back by the council’s population. The state average rate in the dollar is the ratio of total rate revenue to total improved capital values of rateable property. The result shows how much less (or more) rate revenue a council would be able to raise than the average for the state as a whole if it applied the state average rate in the dollar to the capital values of its rateable properties. This calculation is repeated for each of five land use categories, namely: • residential • commercial • industrial • rural • other. To overcome fluctuations in the base data, valuations, rate revenue and population are averaged over three years. Revenue Relativity Indices (RRIc) are only applied to the residential and rural valuations. Subsidies Subsidies that are of the type that most councils receive and are not dependent upon their own special effort i.e. they are effort neutral, are treated by the “inclusion approach”. That is, subsidies such as those for library services and roads are included as a revenue function. 142 Appendix B – SA Component expenditure grants Component expenditure grants compensate or penalise councils according to whether the costs of providing a standard range of local government services can be expected to be greater than or less than the average cost for the state as a whole due to factors outside the control of councils. The Commission assesses expenditure needs and a component expenditure grant for each of a range of functions and these are aggregated to give a total component expenditure grant for each council. The methodology compares each council per capita against the state average. This enables the comparison to be consistent and to compare like with like. A main driver or unit of measure is identified for each function. This is divided into the total expenditure on the function for the state as a whole to determine the average or standard cost for the particular function. For example, in the case of the expenditure function built-up sealed roads, “kilometres of built-up sealed roads” is the unit of measure. Using this example, the length of built-up sealed roads per capita for each council is compared with the state’s length of built-up sealed road per capita. The difference, be it positive, negative or zero, is then multiplied by the average cost per kilometre for construction and maintenance of built up sealed roads for the state as a whole (standard cost). This in turn is multiplied back by the council’s population to give the component expenditure grant for the function. As already indicated this grant can be positive, negative or zero. In addition, it is recognised that there may be other factors beyond a council’s control which require it to spend more (or less) per unit of measure than the state average, in this example to reconstruct or maintain a kilometre of road. Accordingly, the methodology allows for a cost relativity index (CRI), to be determined for each expenditure function for each council. Indices are centred around 1.0, and are used to inflate or deflate the component grant for each council. In the case of roads, CRI’s measure relative costs of factors such as material haulage, soil type, rainfall and drainage. 143 2010–11 Local Government National Report Table B.16: Expenditure functions, standard cost and units of measure—South Australia Expenditure function Standard cost Units of measure Waste Management Reported expenditures Aged Care Services Reported expenditures 1 Services to Families and Children Reported expenditures 1 Health Inspection Reported expenditures 1 Establishments to inspect Libraries Reported expenditures Number of library visitors Sport and Recreation Reported expenditures 1 Sealed Roads – Built-Up 5 Reported expenditures 1 Sealed Roads – Non-built-up 5 Reported expenditures 1 Sealed Roads – Footpaths etc Reported expenditures 1 Unsealed Roads – Built-up 5 Reported expenditures 1 Unsealed Roads – Non-built-up 5 Reported expenditures 1 Unformed Roads 5 Reported expenditures 1 Kilometres of unformed road as reported in GIR Stormwater Drainage Maintenance 2, 3 Reported expenditures 1 Number of urban properties 4 Community Support Reported expenditures 1 3 year average population * SEIFA Advantage/ Disadvantage CRI Jetties and Wharves Reported expenditures 1 Number of Jetties and Wharves Public Order and Safety Reported expenditures 1 Total number of properties Planning and Building Control Reported expenditures 1 Number of new developments and additions Bridges Reported expenditures 1 Number of bridges Other Needs Assessments Set at 1.00. 1 1 Number of residential properties Population aged 65+ per ABS Census and estimated resident population Population aged 0-14 yrs per ABS Census and estimated resident population Population aged 5-49 years per ABS Census and estimated resident population Kilometres of built-up sealed road as reported in GIR Kilometres of non-built-up sealed road as reported in GIR Kilometres of built-up sealed road as reported in GIR Kilometres of built-up unsealed road as reported in GIR Kilometres of non-built-up unsealed road as reported in GIR Based on Commission determined relative expenditure needs in a number of areas 6 To overcome fluctuations in the base data, inputs into the expenditure assessments (with the exception of the newly revised road lengths) are averaged over three years. The following table details the approach taken to expenditure functions included in the methodology. 1 Council’s expenditures reported in the Commissions’ Supplementary returns. 2 Includes both construction and maintenance activities. 3 The Commission has also decided, for these functions, to use CRI’s based on the results of a previous consultancy by BC Tonkin and Associates. 4 Urban properties = sum [residential properties, commercial properties, industrial properties, exempt residential properties, exempt commercial properties, exempt industrial properties]. 5 The Commission has for these functions, used CRI’s based on the results of a consultancy led by Emcorp and Associates, in association with PPK Environment and Infrastructure. Tonkin Consulting has since refined the results. 6 Comprises Commission determined relative expenditure needs with respect to the following: • Non-Resident Use/Tourism / Regional Centre – assessed to be high, medium or low; •Duplication of Facilities – identified by the number of urban centres and localities (as determined by the Australian Bureau of Statistics (ABS); •Isolation – measured as distance from the GPO to the main service centre for the Council (as determined by the RAA); •Additional recognition of needs of Councils with respect to Aboriginal people – identified by the proportion of the population identified as Aboriginal or Torres Strait Islander; • Unemployment – identified by the proportion of the population unemployed; Source: 144 •Capital City status – gives recognition to such things as the ability of the council to raise revenue from sources other than rates i.e. car parking and from the Wingfield dump, and their extraordinary expenditure need i.e. due to the requirement that they maintain the entire road network within the City, and due to the daily influx of non-resident population; • Environment and Coastal Protection – assessed to be high, medium or low; and •The Provision of Cultural and Tourist Facilities – assessed to be high, medium or low. This final factor Other Needs Assessment (also known as Function 50) originates from awareness by the Commission that there are many non-quantifiable factors, which may influence a council’s expenditure, and that it is not always possible to determine objectively the extent to which a council’s expenditure is affected by these factors. The Commission is aware that there are many factors, which may influence a council’s expenditure and that it is not always possible to determine objectively the extent to which a council’s expenditure is affected by inherent or special factors. Therefore, in determining units of measure and cost relativity indices, the Commission must exercise its judgement based on experience, the evidence submitted to the Commission, and the knowledge gained by the Commission during visits to council areas and as a result of discussions with elected members and staff. South Australian Local Government Grants Commission. Appendix B – SA Table B.17: Calculated standards, by function—South Australia Summary of figures by function Total Population = 1 603 361 Function Standard in Dollars Unit of Measure per Capita Total Units of Measure Unit of Measure Waste Management 139.32 0.40739 650 777 No of residential properties Aged Care Services 113.07 0.15356 245 297 Population aged more than 65 Services To Families And Children 49.20 0.18072 288 697 Population aged 0 to 14 296.22 0.01282 20 472 Establishments to inspect 5.46 7.46612 11 926 736 135.76 0.59868 956 364 Sealed Roads – Built Up 8 464.62 0.00644 10 282 Sealed Roads – Non Built Up 8 464.62 0.00452 7 218 Sealed Roads – Footpaths etc 10 322.25 0.00644 10 282 Unsealed Roads – Built Up 1 397.56 0.00047 746 Kilometres of formed and surfaced, and natural surface formed builtup road Unsealed Roads – Non Built Up 1 397.56 0.02955 47 197 Kilometres of formed and surfaced, and natural surface formed non-builtup road 313.35 0.00566 9 048 Kilometres of natural surfaced unformed road Stormwater Drainage – Maintenance 51.60 0.44003 702 921 Community Support 25.95 0.99980 1 597 133 3yr average population * SEIFA Advantage Disadvantage CRI Jetties and Wharves 16 897.44 0.00005 78 Number of jetties and wharves 15.92 0.56130 896 644 741.59 0.03434 54 857 Expenditure Functions Health Inspection Libraries Sport and Recreation Roads – Unformed Public Order and Safety Planning And Building Control Bridges Other Special Needs 2 984.62 0.00073 1 166 1.00 28.50364 45 533 100 Number of visitors Population aged 5 to 49 Kilometres of sealed builtup Kilometres of sealed non-builtup Kilometres of sealed builtup No of urban, industrial and commercial properties including exempt Total no of properties No of new developments and additions Number of bridges Total of dollars attributed Revenue Functions Rates – residential 0.0029 132 315 210 457 607 100 • commercial 0.0055 16 669 26 627 532 550 • industrial 0.0079 2 620 4 185 804 787 • rural 0.0030 19 279 30 448 830 144 Valuation of rural • other 0.0020 9 237 14 755 350 412 Valuation of other 1.00 25.41816 40 604 211 Subsidies Valuation of residential Valuation of commercial Valuation of industrial The total of the subsidies Source: South Australian Local Government Grants Commission 145 2010–11 Local Government National Report Calculated standards by function The South Australian Local Government Grants Commission uses the above table to enable it to calculate a council’s raw grant for each of the given functions. To do this we calculate each individual councils unit of measure per capita, compare it with the similar figure from the table and then multiply the difference by the standard from the table and its own population. If CRIs are applicable then they must be included as a multiplier against the council’s unit of measure per capita. It must be stressed that this only allows the calculation of the raw grant for the individual function, not the estimated grant. The calculation of the estimated grant is not possible as per capita minimums need to be applied and the total allocation apportioned to the remaining councils. Aggregated revenue and expenditure grants Component grants for all revenue categories and expenditure functions, calculated for each council using the method outlined above, are aggregated to give each council’s total raw grant figure. Where the raw grant calculation per head of population for a council is less than the per capita minimum established as set out in the Local Government (Financial Assistance) Act 1995 (Cwth), ($19.38 for 2010 –11), the grant is adjusted to bring it up to the per capita minimum entitlement. The balance of the allocated amount, less allocation to other local governing bodies outside the incorporated areas, is then apportioned to the remaining councils based on their calculated proportion of the raw grant. Limits determined by the South Australian Local Government Grants Commission may then be applied to minimise the impact on council’s budgetary processes. In the calculation of the 2010 –11 grants, constrained changes to Councils to between minus 5 and positive 12 per cent. An iterative process is then undertaken until the full allocation is determined. Identified local road grant In South Australia, the identified local road grants pool is divided into formula grants (85%) and special local road grants (15%). The formula component is divided between metropolitan and non-metropolitan councils on the basis of an equal weighting of road length and population. In the metropolitan area, allocations to individual councils are determined again by an equal weighting of road length and population. In the non-metropolitan area, allocations are made on an equal weighting of road length, population and the area of each council. Distribution of the special local road grants is based on recommendations from the Local Government Transport Advisory Panel. This Committee is responsible for assessing submissions from regional associations on local road projects of regional significance. 146 Appendix B – SA Outback communities authority The Outback Areas Community Development Trust was replaced by the Outback Communities Authority from 1 July 2010, and is prescribed as a local governing body for the purposes of the Grants Commission’s recommendations, in the same way as the previous Trust. The Outback Communities Authority was established in July 2010 under legislation of the South Australian Parliament. It has a broad responsibility for management and local governance of the unincorporated areas of South Australia. The Authority has a particular emphasis providing assistance in the provision of local government type services normally undertaken by local councils elsewhere in the state. Due to the lack of comparable data, the Commission is not able to calculate the grant to the Authority in the same manner as grants to other local governing bodies. Rather, a per capita grant has been established. The 2010 –11 per capita grant was $353.87. Aboriginal communities Since 1994–95 the Grants Commission has allocated grants to 5 Aboriginal communities recognised as local governing authorities for the purposes of the Commonwealth Local Government (Financial Assistance) Act 1995 (Cwth). The Aboriginal communities are Anangu Pitjantjatjara Yankunytjatjara, Gerard Community Council Inc., Maralinga Tjarutja, Nepabunna Community Council Inc., and Yalata Community Council Inc. Again due to the unavailability of data, grants for these communities are not calculated in the same manner as grants to other local governing bodies. Initially, the Commission utilised the services of a consultant, Alan Morton, of Morton Consulting Services, who completed a study on the expenditure needs of the communities and their revenue raising capacities. Comparisons were made with communities in other states and per capita grants were established. Grants have gradually been increased in line with the increase in the general purpose pool of funding for South Australia since the initial study. For the 2010 –11 financial year, the per capita grant varied from $315.04 for the Nepabunna community to $1 393.82 for the Yalata Community Council. Changes to methodology for 2010 –11 In relation to updates for changes to the Commission’s methodology for the 2010 –11 year (compared to 2009–10), there are no changes to any of tables 2.9, C3 or C4. 147 2010–11 Local Government National Report Developments in relation to local government’s use of long- term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks All SA Councils have developed and adopted Long-term Financial and Asset Management Plans as required by the Local Government Act 1999 (SA). Many councils have found that significant additional work is required to improve the rigour of their Asset Management Plans. The Local Government Association of South Australia (LGASA) has assisted councils by arranging and subsidising the cost of the Institute of Public Works Engineering Australia (IPWEA SA) providing training and additional support material for those councils. Regional and local community infrastructure program Throughout the year the LGASA continued to support councils’ efforts to access much valued Australian Government funding for community infrastructure works. Round 3 of the Regional and Local Community Infrastructure Program RLCIP) was announced by the Prime Minister in June 2010. SA councils shared $3.2 million of the $100 million national pool of funding that was provided on an allocated basis to councils. A particular emphasis in LGASA support information has been consistent reminders of the importance of making careful decisions regarding infrastructure priorities based on longterm financial plans and the crucial difference between projects creating new infrastructure (which involve additional ongoing operating expenses, including depreciation) and projects renewing existing infrastructure (which do not involve any increase in operating expenses). Financial sustainability The LGASA maintained a focus on assisting councils with their financial sustainability reform work, through its Financial Sustainability Program. Significant improvements have been made in South Australia as a result of the introduction of the legislative requirement in 2005 for councils to adopt long-term financial plans and infrastructure asset management plans. In late 2009 the LGASA worked closely with the Office for State/Local Government to submit a funding proposal to the Commonwealth Government’s Local Government Reform Fund. The proposal sought $2.5 million (supported by funding from the LGASA, councils and the Office for State/Local Government Relations (OSLGR)) to implement an extensive program aimed at improving councils’ asset and financial management practices. In February 2010 the Hon Anthony Albanese MP, Minister for Infrastructure, Transport, Regional Development and Local Government, announced stage 1 funding of $1.65 million towards three of the six components of this project. 148 Appendix B – SA Local government financial sustainability nationally consistent frameworks In May 2009, the Local Government Planning Ministers’ Council (LGPMC) agreed to enhance the nationally consistent frameworks on local government asset and financial management to assist councils improve their asset and financial management and planning. It also committed to the acceleration of the implementation of the frameworks. The LGA’s Financial Sustainability Program is entirely consistent with the enhanced national frameworks and SA is extremely well placed to ensure that all local governments fully implement them. Funding received from the Australian Government’s Local Government Reform Fund program (see below) will accelerate the implementation of the LGPMC agreed asset management and financial planning frameworks, build capacity and resilience in local government and increase collaboration between councils in planning and service delivery. Legislative reforms The Local Government (Accountability Framework) Amendment Act 2009 (SA), contained a range of amendments designed to ensure that Councils meet the standards of accountability appropriate for public administration. The amendments came into effect on 1 July 2010. The Local Government (Accountability Framework) Amendment Act (SA) makes it clear that councils must achieve and maintain standards of good public administration, and provides guidance about what council policies, procedures and practices should be implemented to comply in key areas such as prudential management and procurement as well as council audits and internal controls. The measures will be progressively introduced. During 2010 –11, the Local Government (Financial Management) Regulations were completely remade. The revised Regulations simplified and rationalised many of the previous requirements on councils. Infrastructure The LGASA in consultation with IPWEA SA and with support from councils and OSLGR, continues to help councils to develop infrastructure and asset management plans. As noted above, significant additional work is underway to improve the rigour of existing plans. Some councils have found that their earlier plans had not been based on financially sustainable service levels. Local government reform fund As mentioned above, OSLGR/LGASA was successful in obtaining stage 1 funding of $1.65 million from the Reform Fund. All of the projects in the OSLGR/LGASA proposal come together in a planned approach using the principles of continuous improvement to ensure their ongoing relevance. They include: • The development of accepted standards of good asset and financial management practices • An audit of all South Australian councils based upon those standards 149 2010–11 Local Government National Report • The development of individual improvement plans emphasising the principles of financial and asset management, collaboration, workforce planning and climate change adaptation • The development of solutions based upon the results of the audit and content of improvement plans. While projects will be carried out under the auspices of the LGASA, OSLGR will have oversight of funding outputs and outcomes to ensure projects are progressed according to the submission. The projects are consistent with legislative changes introduced in this state to improve the financial and asset management of councils and with the broader policy approaches to build capacity in the local government sector through collaborative approaches. Any measures undertaken to develop and implement comparative performance measures between local governing bodies Easy data The Easy Data website, which provides access to comparative information on economic, social and environmental information at Council, regional and state levels, was updated during the year. The project was part funded by the Local Government Research and Development Scheme in partnership with the Australian Bureau of Statistics (ABS) and the State Department of Trade and Economic Development (DTED), which hosts the site. With an easy to use software application, the site provides an entry point to a range of Australian, state and local government information with both graphic and tabular report downloads available to users. Regular updates of data are provided to refresh the site. The software application is also regularly updated to meet the increasing demands of users. The site won a 2009 South Australian Premier’s Award. Workforce planning The LGA conducts a sector wide workforce data collection on a three yearly cycle. Outside of this workforce planning statistics continue to be regularly extracted from Local Government Grants Commission data and presented in graph and table from for Councils seeking comparative statistics for their workforce planning. Financial indicators Each year, the LGA assembles an update report providing the latest values, history and comparisons of key financial indicators for the local government sector as a whole. During 2010 –11, the update report was enhanced so as to provide additional data on the differences between categories of councils in respect of 2009–10 actual results against each key indicator. 150 Appendix B – SA Reforms undertaken during 2010 –11 to improve the efficiency and effectiveness of local government service delivery Governance The LGA’s Governance Standards Advisory Committee (GSAC) continued to provide advice on leading practice and continuing governance improvement across the Local Government sector. It undertook a wide range of projects this financial year with emphasis on the following areas: • Legislative Review Program • Local Government Governance Panel • Good Governance Assessment Program • Code of Practice for Access to Meetings and Associated Documents. Education and training During the year the LGASA Education and Training Service continued to provide its extensive training and support program with 2142 council members and staff attending face to face programs, 374 council member enrolments for the online training modules and 141 council members using our online self assessment tool. An expanded range of events and training courses were held in 2010 –11. The LGASA also works with other service providers to promote programs that are of interest and benefit to council staff and council members. Regulatory services program Councils now have access to a model Enforcement Policy and 11 standard operating procedures for regulatory powers commonly exercised by council authorised persons. The LGASA has enabled the development of procedures that not only comply with the legal requirements but also with good administrative practice. In 2010 –11, a new Information Paper: ‘Good Administrative Practice in Managing a Complaints and Investigations Process’ was produced as part of this program. Libraries During the year the LGASA endorsed a Libraries Board initiated project to explore the costs and benefits of a common library management system across South Australia. The LGASA began a program of consultation with councils based on the business case from the project which was due to be concluded in July, 2010. The LGASA also worked with Public Library Services and the Department of Education and Children’s Services in the development of a draft agreement to cover arrangements for joint-use school-community libraries. Libraries continue to be one of councils most important services with more than 11.5 million visits and 18.5 million items borrowed each year. Libraries rely on a high level of networking through the professional body Public Libraries South Australia and support based on the five-year Library funding agreement between the LGASA and the South Australian Government. In 2009–10 this agreement delivered $17.2 million of state funding for public libraries. 151 2010–11 Local Government National Report Public lighting savings SA Councils annually contribute to community safety through public lighting on roads, footpaths and local parks at a cost of over $12.6 million. Following negotiations with ETSA Utilities, the LGA has been able to achieve significant savings for Councils. Electronic services program The Electronic Services Program continued its involvement in the eDAIS Land Division Pilot Project delivering on the first stage of automation between the Department for Planning and Local Government and South Australia Water. In addition the highly successful SA Council Maps, winner of the Australian Government “Excellence in eGovernment Awards”, was incorporated into the Electronic Services Program providing a sustainable pathway for this valuable shared service. Local government research and development scheme The Local Government Research and Development Scheme continued to be a primary source of funding for research in the Local Government sector. Funded through tax equivalent payments by the LGFA, it is managed by an Advisory Committee comprising representatives from the LGASA State Executive Committee, Metropolitan CEOs, Country CEOs, Local Government Trade Unions, South Australian Universities, Office for State / Local Government Relations, and the LGASA Secretariat. Since its inception the Scheme has approved 449 projects with total approved funding of $19.5 million and has attracted significant matching funds and in-kind support from other sources. Australian Centre of Excellence for Local Government Following the funding and establishment of the Australian Centre of Excellence for Local Government (ACELG) in mid 2009 by the Australian Government, the LGASA recognised its significance by commissioning two reports: • a ‘Current State of Professional Development’ paper providing a ‘map’ of recent past and current education, training and research activities being undertaken with, for and about local government • an ‘Issues, Challenges and Professional Development Priorities’ paper that identified the current key issues, changes and challenges facing the local government sector and their professional development priorities. The LGASA contributes input on issues and priorities for ACELG to address. This is done through consultation meetings with ACELG staff and through representation on the ACELG Research Forum whose members include currently active local government researchers from more than a dozen universities together with representatives from local government associations and professional bodies, Commonwealth and local governments and the Australian Services Union. 152 Appendix B – SA Planning review Reforms to the State’s Planning and Development system and the implementation of the various volumes of the State’s Planning Strategy were again at the forefront of the LGA’s planning agenda during the past 12 months. LG Corporate Services LGCS Pty Ltd trading as Local Government Corporate Services continued to make progress over the past 12 months with a number of initiatives providing Councils with access to a wide variety of value-added products and services. LG Mutual Liability Scheme The Local Government Association Mutual Liability Scheme continues to provide premium civil liability protection for all Councils and other eligible members, in South Australia, through a self-managed fund. LG Workers Compensation Scheme The LGA Workers Compensation Scheme has continued to deliver benefits to Councils, both financially and operationally. The number of Local Government employees injured at work continues to reduce which has assisted Councils deliver a more productive workforce. Management of Trees on Public Land Inquiry The Report from the Inquiry into the Management of Trees on Public Land was presented to the LGA State Executive Committee in January 2011. The report contains 20 recommendations for the future management of trees on public land. The LGA has deferred final determination on implementation strategies pending outcome of a Coronial Inquest into the death of a citizen struck by a tree branch in January 2011. Improvements in local government service delivery to Aboriginal and Torres Strait Islander Communities The LGA continue to provide support to Councils involved in Native Title processes—in particular the 27 Councils involved in Indigenous Land Use Negotiations in the Kaurna region. 153 2010–11 Local Government National Report Report from Tasmanian Department of Premier and Cabinet The following information has been prepared in consultation with the Local Government Association of Tasmania (LGAT). Methodology for distributing financial assistance grants for 2010 –11, including any changes in methodology from 2009–10 The Tasmanian State Grants Commission operates a triennial review policy whereby major changes to its assessment methodology are implemented every three years. Changes identified during the previous review were implemented for the 2009–10 distribution. The current review will therefore be implemented for the 2012–13 distribution. The 2010 –11 distribution was a between-year assessment, meaning the Tasmanian State Grants Commission only allowed data updates and minor method changes in both the general purpose and road grant assessments. Most councils grants changed using this methodology due to relative movements in the data used to assess councils. The scope of equalisation of the Tasmanian State Grants Commission general purpose models and grants treated by inclusion in general purpose grant allocations has not changed since 2009–10. Measures undertaken to develop and implement comparative performance measures between local governing bodies As I advised previously, the Measuring Council Performance in Tasmania report is no longer published. It is being replaced with the Sustainability Objectives and Indicators (SOI) project. The SOI project is a key initiative of the Tasmanian Government to drive sustainability reform and performance improvement, and to support and encourage councils to do the same. The overall objective of the project is to promote excellence in council performance and to support the long-term sustainability of the local government sector. The project will allow councils to assess their performance in key strategic priority areas of financial management, asset management, planning and development and community satisfaction. It will enable better engagement between councils and communities. It will also assist the state and local governments to set priorities for improved performance within the sector. Councils’ performance will be measured against sustainability indicators that have been jointly developed through a comprehensive consultation process. Councils will be supported and encouraged to continually improve performance by achieving the following outputs: • identify and share best practice after analysing their performance against the indicators • track their performance over time, and against other similar councils • communicate with their communities about their performance. 154 Appendix B – Tas. The sustainability indicators for this project were approved by the Premier’s Local Government Council at its meeting on 13 December 2011. Core local government data continues to be provided to the Australian Bureau of Statistics for its Local Government Finance Statistics and to the Tasmanian State Grants Commission for its distribution of Australian Financial Assistance Grants, and Identified Local Roads Funds to local government. Developments in relation to local government’s use of long-term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks Tasmania received $870 000 under the Commonwealth Government’s Local Government Reform Fund to assist with the development of a long-term financial and asset management planning templates and the implementation of long-term financial and asset management plans in all Tasmanian councils. The project is being delivered through LGAT. Stage 1 of the project, the development of long-term financial and asset management planning templates, was finalised in 2011. Stage 2, implementation of financial and asset management plans in all Tasmanian councils, is scheduled to be completed by March 2012. As a part of the same project, the Tasmanian Government, in association with LGAT, has developed a local government asset management policy. The purpose of the policy is to provide Tasmanian councils with high-level guidance in the development of their asset management policies. The templates and policy will form part of a broad framework for long-term financial and asset management planning in the local government sector. Initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander Communities The Local Government Division (LGD) of the Department of Premier and Cabinet facilitated a forum involving the Aboriginal Land Council of Tasmania, the Flinders Council and the Cape Barren Island Aboriginal Association to discuss the provision of services to the Aboriginal community on Cape Barren Island. A key outcome of the forum was agreement on waste management for Cape Barren Island. Women in Local Government The Tasmanian Government continued to work with local government to promote women in senior management and leadership roles and to raise community and council awareness of the importance of gender balance and diversity in councils. This was achieved by: • supporting the 2010 Year of Women in Local Government to raise awareness of the value and contribution of all women employed, elected and involved in Local Government in Tasmania 155 2010–11 Local Government National Report • providing support for the Tasmanian WomenCan campaign for the 2011 Tasmanian local government elections to increase the number of women standing in local government elections • participating in the national strategy for increasing women’s representation in Local Government—50:50: Councils for Gender Equity. Report from Northern Territory Department of Local Government and Housing Methodology for distributing financial assistance grants for 2010 –11, including any changes in methodology from 2009–10 The Northern Territory Grants Commission’s methodology conforms to the requirement for horizontal equalisation as set out in section 6 (3) of the Commonwealth Local Government (Financial Assistance) Act 1995 (Cwth). The Northern Territory Grants Commission, in assessing relative need for allocating general purpose funding, uses the balanced budget approach to horizontal equalisation based on the formula: assessed expenditure need - assessed revenue capacity = assessed equalisation requirement. The methodology calculates standards by applying cost adjustors and average weightings to assess each local government’s revenue raising capacity and expenditure need. The assessment is the Northern Territory Grants Commission’s measure of each local government’s ability to function at the average standard in accordance with the national principles. Changes to the methodology In 2005, the Northern Territory Grants Commission corrected a number of inconsistencies in its methodology that had previously been identified by the Commonwealth Grants Commission. These corrections included the manner in which the cost adjustors were applied, the introduction of a budget term and the elimination of an economy of scale factor. As well as the foregoing revisions, an improved data gathering process first introduced in 2004 for the collection of 2002–03 financial data enabled the Northern Territory Grants Commission to use real financial information in the assessments. During the 2005–06 year, the Northern Territory Grants Commission also looked at the expenditure categories and cost adjustors in use in order to conclude the review of the methodology. It was resolved that the expenditure categories be expanded to the nine ABS categories and that the cost adjustors be re-arranged to apply to those categories. 156 Appendix B – NT In 2006, the Minister for Local Government announced New Local Government in the Northern Territory. As a result, the Northern Territory Grants Commission issued a discussion paper to invite comments from interested local governing bodies on the options available to the Commission in developing a methodology that adapts to the changed structure. The paper highlighted the need for the Commission to re-visit and amend the cost adjustors used in the methodology. The Northern Territory Grants Commission determined that the cost adjustors of location, dispersion and Aboriginality were to be used following an extensive review and data collection process to ensure the adjustors could be explained and supported by meaningful and relevant information. These new cost adjustors will be used for the 2008–09 allocations in the fourth year of the phase-in period for the new methodology. In previous years the methodology included 50 per cent of the Northern Territory Operational Subsidy grants. During 2008, the Commission unanimously decided to cease using the Northern Territory Operational Subsidy grants as part of the other grant support principle. The Commission considered the Northern Territory Operational Subsidy was a special measure to overcome disadvantage and consequently should not be assessed in a way that would reduce the financial assistance grants entitlement. When the grants were calculated for the 2009–10 year using the ‘pure’ methodology, the trend continued of directing money from the ‘bitumen to the bush’, as well as reducing the grants to small councils in the Top End. As the Northern Territory Grants Commission was of the belief that these losses were too great for the councils to absorb in one year, it implemented a three year phase-in arrangement. The rationale for implementing the phasein was that it was only applied to councils that stood to receive a 30 per cent or greater loss in grant funding. The 2010 –11 grant calculations once again placed the Katherine and Alice Springs councils on the minimum per capita grant. The Northern Territory Grants Commission agreed that a phase-in arrangement was again required to reduce the impact of the large losses on these two councils. Population In previous years the Northern Territory Grants Commission has, where possible, used the latest ABS estimated residential population figures. Where no estimated residential population figures are available, the Commission uses figures obtained from local government by annual survey. For the 2008–09 allocations the Commission resolved to use the latest ABS usual resident population figures and then adjusts the figures for estimated residency to align with the population total advised to Canberra from Northern Territory Treasury. The Northern Territory’s funding is based on this total population figure. The same rationale was used for the 2010 –11 calculations. Revenue raising capacity As the ownership of the land on which many communities are located is vested in Land Trusts established pursuant to the Commonwealth Aboriginal Lands Rights (Northern Territory) Act 1976, it is not, for all intents and purposes, feasible to use a land valuation system solely as the means for assessing revenue raising capacity. 157 2010–11 Local Government National Report The advent of actual accurate financial data enabled the Northern Territory Grants Commission to dispense with the use of average annual incomes, which had been used since 1992, for establishing a Northern Territory average revenue unit. Instead, a number of revenue categories were introduced, including rates where applicable, domestic waste, service charges and interest. In addition, to accord with the National Principles, other grant support to local governing bodies by way of the Roads to Recovery, library and local roads grants were considered in the methodology. In the case of recipients of the Roads to Recovery grants, 50 per cent of the grant was included. Recipients of library grants and local roads grants have the total amount of the grant included. The Northern Territory Grants Commission considers that, given unique circumstances within the Territory, this overall revenue raising capacity approach provides a reasonable indication of a council’s revenue raising capacity. For the 2010 –11allocations, financial data in respect of the 2008–09 financial year was used. Expenditure needs The assessment of standard expenditure is based on the Territory average per capita expenditure within the expenditure categories to which cost adjustors reflecting the assessed disadvantage of each local government are applied. As a result of the availability of actual accurate financial data, the Northern Territory Grants Commission, beginning with the 2005–06 assessment, was able to use actual expenditure within categories rather than a hypothetical spread across categories, to establish the total standardised expenditure for each local governing body. In assessing the previous allocations up to and including the assessment for the 2005–06 financial year, six expenditure categories were taken into account by the Commission. As a result of the methodology review, the Northern Territory Grants Commission resolved that the nine ABS expenditure categories be applied. Consequently, from the 2006–07 assessment and onwards, these nine categories have been used. Cost adjustors The Northern Territory Grants Commission uses cost adjustors to reflect a local government’s demographics, geographical location, its external access, and the area over which it is required to provide local government services. All these influence the cost of service delivery. As a result of the methodology review the Northern Territory Grants Commission, effective from the 2005–06 assessments, changed the manner in which the cost adjustors were applied. Expenditure assessments have as an outcome total standardised expenditure equal to total actual expenditure, or ‘natural weighting’. Natural weighting is achieved in the Northern Territory Grants Commission’s methodology by re-scaling cost adjustors around one to ensure that total calculated standardised expenditure does not exceed the total actual expenditure. 158 Appendix B – NT Minimum grants For most local governments, the assessed expenditure needs exceed the assessed revenue capacity, meaning there is an assessed need. In seven cases, assessed revenue capacity is greater than assessed expenditure need, meaning that there is no assessed need. However, as the Commonwealth legislation requires that local governments cannot get less than 30 per cent of what they would have been allocated had the funding been distributed solely on the basis of population, seven local government councils still receive a grant, or what is referred to as the minimum grant. Formulae Revenue component All councils: Assessed revenue raising capacity = Total identified local government revenue Total local government revenue = Assessed NT average revenue + other grant support + budget term Revenue category = Domestic waste, garbage, general rates, general rates other, special rates parking, special rates other, fines and interest Domestic waste = Per capita Garbage other = Actual General rates = Average rate Poll tax = Per capita Interest = Actual State income by revenue category 2006–07 = Actual state local government gross income Actual state local government gross income 2006–07 = $103 040 417 Other grant support = Roads to Recovery Grant 2009-2010 50%, Library Grant 2009–10 + Roads Grant 2009–10 Where Budget term Total local government revenue 2010 –11 Population x per capita amount = $252 966 148 159 2010–11 Local Government National Report Expenditure components Total local government expenditure of $252 966 148 is apportioned over each expenditure component. (a) General public services ($103 681 041) Community population/Northern Territory population x general public services expenditure x Aboriginality (b) Public order and safety ($11 995 255) Community population/Northern Territory population x public order and safety expenditure x (location + dispersion + Aboriginality) (c) Economic affairs ($35 461 621) Community population/Northern Territory population x economic affairs expenditure x (location + dispersion) (d) Environmental protection ($4 613 764) Community population/Northern Territory population x environmental protection expenditure (e) Housing and community amenities ($44 928 844) Community population/Northern Territory population x Housing and Community Amenities expenditure x (location + dispersion + Aboriginality) (f) Health ($585 231) Community population/Northern Territory population x health expenditure x (location + dispersion + Aboriginality) (g) Recreation, culture and religion ($34 502 453) Community population/Northern Territory population x recreation, culture and religion expenditure x (location + dispersion) (h) Education ($849 299) Community population/Northern Territory population x education expenditure x (location + dispersion + Aboriginality) (i) Social protection ($16 348 640) Community population/Northern Territory population x social protection expenditure x (location + dispersion + Aboriginality) Local road grant funding To determine the local road grant, the Northern Territory Grants Commission applies a weighting to each council by road length and surface type. These weightings are: Road type Kerbed and sealed Weighting 10 Sealed 8 Gravel 4 Cycle path 2 Formed 1 Unformed 160 0.4 Appendix B – NT Developments in relation to local government’s use of long term financial and asset management plans, including any developments implementing the Local Government Financial Sustainability Nationally Consistent Frameworks There has been significant advancements in asset management practices for local government authorities in line with the National Partnership Agreement to Support Local Government and Regional Development. The Commonwealth has approved financial assistance of $1 350 000 to accelerate the implementation of frameworks to improve financial sustainability and financial and asset management of Northern Territory councils. Milestones achieved towards implementing an asset management framework include: • The appointment of the Institute of Public Works Engineering Australia Ltd as program managers and key training delivery agency • The procurement of NAMS.PLUS asset management software for all councils • The facilitation of five workshops involving municipal and shire staff on NAMS.PLUS software and Australian Infrastructure Financial Management Guidelines • The organisation of seven “Sustainable Communities” workshops to elected members of municipal and shire councils. The project is continuing into 2012 with further workshops being hosted in remote communities, additional training of relevant council staff and the collection and gap analysis of data on council assets. The project in its entirety is expected to be completed by May 2012. The project meets many of the objectives outlined in Framework 2 Asset Planning and Management of the Local Government Financial Sustainability Nationally Consistent Frameworks. Framework 1 Criteria for Assessing Financial Sustainability provides indicators that are used in analysing council’s financial reports. These indicators and others will be utilised in analysing the performance of councils in the Northern Territory since the local government reforms and the establishment of the new shires as of 1 July 2008. Framework 3 Financial Planning and Reporting details the elements of reporting for a council’s strategic long term plans, budgets and annual reports. These elements were embodied in the Northern Territory Local Government Act, which came into force 1 July 2008, as minimum requirements for reporting by local government bodies. 161 2010–11 Local Government National Report Measures undertaken to develop and implement comparative performance measures between local governing bodies Most municipal and shire councils in the Northern Territory are currently working together on a regional basis to develop regional management plans (RMP) which will come into effect in July 2012. The Northern Territory has been divided into three regions and each region is required to have a RMP which will be relevant for four years. The RMPs are statutory plans that list the core services each shire council is to provide and the communities where they will be supplied. As part of the development of these plans, local governments in the Northern Territory are developing a common set of key performance measures for each core service. The core services will be described in each shire council’s shire plan and the performance of the council’s provision of the service will be reported on in the annual report using the common set of key performance indicators. Reforms undertaken during the 2010 –11 to improve the efficiency and effectiveness of local government service delivery Through the Regional Management Planning processes councils are cooperatively working together to identify ways to improve the efficiency and effectiveness of service delivery. Each of the three regions will have different strategies to do this however there are some common themes. These include; • Joint procurement of insurance services, specialised machinery, building and maintenance services and consultancy services • Shared service delivery arrangements such waste management and animal management services • Sharing of specialised staff across a number of local governments. • Joint tending for contacted services • Reducing the need for cross subsidisation due to inadequate agency management fees through joint negotiations with government service funders • Jointly sharing administrative services such as human resources and financial services. 162 Appendix B – NT Initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities The majority of shire service delivery in the Northern Territory is to remote communities whose population is nearly entirely Indigenous. A large number of these communities are on Aboriginal land. A key reason for implementing local government reform was to improve the quality of service delivery to these communities and anecdotal evidence to date indicates that service delivery in many locations has improved significantly. More recently, the funding guidelines for the special purpose and closing the gap grants have been revised to achieve greater alignment with council strategic and operational plans in relation to the delivery of core local government services. This has seen increased funding being provided to councils for the replacement of plant and equipment, the provision of key staff housing in remote communities and the resourcing of more strategic projects such as feasibility studies into regional waste management facilities between shire councils. Report from the Local Government Association of the Northern Territory Measures undertaken during 2010 –11 to improve the efficiency and effectiveness of local government to deliver services Some of the more significant measures undertaken during the year were to do with: • progressed the development of a template for shires to use to establish workforce development plans for their employees • engaged consultants to progress the development of rates impact statements for councils to use as a means of better informing ratepayers of the rationales for council rating strategies • delivered training in September and November 2010 and April 2011 to 14 local government employees who completed a Certificate IV in Workplace Training and Assessment. The purpose of this training is to bring more resources to the effort of delivering elected member training in-house in specific areas of need such as induction training for new councillors • organised for all 16 member councils to attend individual Emergency Management and Disaster Recovery workshops and forums as part of the Northern Territory Emergency Services “Natural Disaster Resilience Program” to assist member councils to develop Emergency Recovery Plans • continued to coordinate the delivery of waste management training to employees in shires together with Charles Darwin University and Batchelor Institute of Indigenous Tertiary Education 163 2010–11 Local Government National Report • progressed the development of urban and rural subdivision guidelines to assist councils to make assessments about standards at which infrastructure is required to be built for local government to assume responsibility for it in new subdivisions • progressed the development of swimming pool guidelines to assist councils with the management of such facilities • delivered training for airport reporting officers in shires to better handle their responsibilities. Developments in relation to local government’s use of long-term financial and asset management plans Asset and financial management and planning workshops for council staff were delivered to six councils under the Commonwealth Government’s Local Government Reform Fund. Training sessions were also organised for the elected members of five councils on long term financial and asset management plans. All councils in the Northern Territory either have long term financial and asset management plans in place or are close to completing them. Measures undertaken to develop and implement comparative performance measures between local governing bodies All councils are required under the Local Government Act 2008 (NT) to report on their service delivery efforts in their annual reports and all have done so. Some of the data reported is comparable between councils and much of it was collected by the Northern Territory Grants Commission. Examples of continuous improvement that deliver significant cost savings for local government LGANT sought an exemption under Regulation 31 of the Local Government (Accounting) Regulations from councils having to call tenders (and therefore incur savings) for mobile garbage bins/industrial containers and associated products and services as well as tractors, slashers, ride-on mowers and other associated equipment and to access such equipment under the Local Government National Procurement Network tender using local suppliers. 164 Appendix B – ACT Improvements in local government service delivery to Aboriginal and Torres Strait Islander communities All Northern Territory councils are involved in service delivery to Aboriginal and Torres Strait Islander communities. Municipal councils tend to provide core local government services (for example, waste management, road construction and maintenance, public libraries and swimming pools) whereas for shires the range of services is more diverse and includes: • services provided under contract on behalf of the Northern Territory government (for example, power, water and sewerage services in remote towns) • services funded from grants provided by the Territory or Commonwealth Governments (for example, aged care, child care, public housing and Centrelink). All councils were involved to differing extents in improving in service delivery including: • organisational changes including reviews of systems and processes that increase councils’ capacities and efficiencies in delivering services • the facilitation and involvement in National Aboriginal and Torries Stait Islander Observance Day celebrations, local festivals and sporting days • the upgrade or maintenance of community facilities including halls, offices, multi-purpose centres and broadcasting facilities • the upgrade and maintenance of public housing stock • the upgrade and maintenance of local roads and causeways. Report from the Australian Capital Territory Department of Territory and Municipal Services Developments in relation to local government’s use of long-term financial and asset management plans, including any developments in implementing the Local Government Financial Sustainability Nationally Consistent Frameworks Within the Australian Capital Territory, the Territory and Municipal Services Directorate (TAMS) delivers a wide range of local government services. These include roads, footpaths, cycle paths, a public transport system (ACTION), landfills, waste collection, recycling, public libraries, parks and reserves, cemeteries and crematoria. Financial and asset management are therefore core functions of the Directorate. During 2010 –11 an Australian Capital Territory Expenditure Review and Evaluation Committee engaged with TAMS to identify opportunities for improvements in its structure, processes and work practices. The review consisted of four parts: TAMS overall structures and processes; the underlying budget drivers; parks and city services; and expenditure and contracts. Implementation of the recommendations has resulted in a more robust financial framework and improved fiscal control throughout the Directorate. A number of recommendations provide for a longer-term focus and have been incorporated into the Directorate’s broader improvement program. 165 2010–11 Local Government National Report In addition, during 2010 –11 TAMS commenced implementation of its Strategic Asset Management Framework, which is overseen by a Strategic Asset Management Committee. The goal is to implement a best practice approach to asset management that will deliver greater transparency on the contribution of assets to service delivery, supporting more optimal asset planning and investment decisions. A key deliverable of the project is to ensure asset management plans are prepared and implemented across the Directorate. The commencement of the project has been facilitated through a commitment of $0.437 million from the Local Government Reform Fund of the Australian Government Department of Regional Australia, Regional Development and Local Government. The agreement signed with the Australian Government in April 2011 requires the completion of the framework by May 2012. The project is currently on track to meet this schedule. Further Australian Capital Territory Government support will see the project continue into 2012–13 with the implementation of the framework and its integration into TAMS’ business practices. The output from the project will be improved asset management by TAMS, particularly in the life cycle management of assets. Additionally, it will assist in future capital investment decisions by articulating the service level to be delivered by the asset. The principal asset management tool within TAMS is the Integrated Asset Management System (IAMS), which is the repository of the majority of TAMS asset data within Roads ACT, ACT NOWaste and Parks and City Services. In 2010 –11 there was further growth in the rollout and utilisation of the system. IAMS now has 303 asset types and manages information about nearly two million assets. A number of specific projects have continued migration to the new system. Most notably 17 158 assets and 8 888 networks have been entered into the system, in addition to an update of ownership information for Roads ACT. Collectively these projects deliver more accurate and accessible information which supports efficient reporting and management. Further projects such as the integration and rollout of an electronic field capture device are expected to deliver increased benefits over the next 12 months as the full capacity of IAMS is realised. Reforms undertaken during 2010 –11 to improve the efficiency and effectiveness of service delivery Significant achievements for TAMs in 2010 –11 include the management one of the largest infrastructure capital works programs since self government. TAMS delivered a significant portion of the Australian Capital Territory Government’s Capital Program, with works totalling $187 million. Transport programs were designed to enhance traffic movement, improve safety and provide access to new housing estates. Projects included completing the multimillion-dollar Belconnen town centre improvements in partnership with Westfield, completing the duplication of Lanyon Drive (stage 2) from Sheppard Street to Tompsitt Drive and commencing stage 1 of road works for the Molonglo Valley development, including the construction of the arterial road John Gorton Drive. Several projects were also undertaken to improve sustainable transport options. In November 2010 ACTION implemented a new network (Network 10), which included the continuation and extension of the popular REDEX service, renamed Red Rapid. Public transport in the 166 Appendix B – ACT Australian Capital Territory was enhanced with the successful implementation of the new MyWay smartcard ticketing system on ACTION buses. The environment continued to be a key area of focus. Work progressed on the One Million Trees initiative, with over 6 250 trees and shrubs planted in streets, parks and along suburban roads during 2010 –11. The Directorate also continued to work with the Commissioner for Sustainability and the Environment to improve processes for removing dead and hazardous trees. In response to strong grass-growing conditions as a result of above-average rainfall during spring and summer, over 56 000 hectares of public land was mown across the Australian Capital Territory, 75 per cent more than previous years. The Directorate also completed or commenced 95 per cent of its bushfire management plan during 2010 –11. A 12-month bulky waste collection trial was launched in April 2011. Under the trial, bulky waste collection is provided to households on a fee-for-service basis, with one free collection offered to eligible households and pensioners. Another highlight for the year was the opening of the state-of-the-art new Gungahlin Library. This new community facility is now the largest public library in the Australian Capital Territory, holding over 70 000 books, magazines and DVDs. The Directorate also worked with the Australian Government on numerous projects in 2010 –11 under the Nation Building Program, including: • constructing a new skate park in Belconnen and upgrading the immediate surrounding public realm (stage 1) • installing new picnic facilities and shade structures at John Knight Memorial Park and Western Foreshores District Park • constructing two new bicycle cages and 31 bicycle parking rails as part of the bike>park>ride initiative • installing new traffic signals at the intersection of Anzac Parade and Blamey Crescent as part of the Australian Government funded Black Spot Program to improve traffic safety. 167 2010–11 Local Government National Report Roads Through Roads ACT, TAMS manages the construction, operation and maintenance of roads and associated infrastructure such as bridges, community paths, driveways, street signs, line marking, traffic signals, street lighting and stormwater. During 2010 –11 Roads ACT carried out work funded under the Australian Government’s Black Spot Program. The Australian Government provided $966 000 in 2010 –11 to the Australian Capital Territory Government as part of the ongoing funding for the Black Spot Nation Building Program package. Roads ACT used the funding to install traffic lights at the intersection of Anzac Parade and Blamey Crescent to improve traffic safety. Several other intersections across Canberra were upgraded under the Black Spot Program, including Athllon Drive–Drakeford Drive–Isabella Drive; Ginninderra Drive–Tillyard Drive; Belconnen Way–Springvale Drive; and Mugga Lane–Long Gully Road. The works at these locations ranged from improvements to signage, line marking to surface upgrades, street lighting infrastructure improvements, intersection realignments and traffic light improvements. During 2010 –11 Roads ACT managed one of the largest road infrastructure capital works programs since self-government. This program was designed to reduce road congestion, improve safety and provide more housing options for Canberrans. Highlights included: • continuing the Gungahlin Drive extension stage 2 works to complete the duplication from Barton Highway to Glenloch Interchange; this included the construction of nine major bridges and a number of overpasses • completing Lanyon Drive duplication stage 2 works from Sheppard Street to Tompsitt Drive • completing stage 2 of the Tharwa Bridge upgrade to strengthen its foundations and commencing stage 3 to replace bridge decking and timber trusses • starting stage 1 of road works for the Molonglo Valley development, including constructing John Gorton Drive and the North Weston Pond and pedestrian bridge • completing the Flemington Road duplication from Wells Station Drive to Hibberson Street at the gateway to the Gungahlin town centre • completing the Belconnen town centre improvements in partnership with Westfield; this included demolishing the old Belconnen bus interchange, extending Cohen Street through to Emu Bank and constructing a new pedestrian bridge providing access from the Churches Centre to Westfield Belconnen • completing the construction of the Flemington Road and Barry Drive bus lanes • continuing the Fyshwick stormwater works • commencing the construction of the Monaro Highway duplication from Canberra Avenue to Newcastle Street • commencing the construction of roads associated with the land release program in Canberra’s north, including the Jacka–Bonner Distributor and Mulligans Flat Road and completing the construction of the Forde access road and the Braybrooke Street extension 168 Appendix B – ACT • construction of intersections associated with the Lawson estate development including the Ginninderra Drive–Alawoona Street intersection (completed); Baldwin Drive–Maribyrnong Avenue intersection (nearing completion); the Aikman Drive– Ginninderra Drive intersection (recently commenced); and associated signalisation of the Aikman Drive–Joy Cummings Place intersection • commencing the construction of the Kings Highway upgrade • progressing the design of the Cotter Road upgrade, the Phillip Avenue–Majura Avenue and Barry Drive–Clunies Ross Street intersection upgrades and the Namadgi School pedestrian bridge • progressing public transport infrastructure projects including those associated with initiatives aimed at encouraging public transport patronage such as park and ride and bike and ride, and the installation of bus shelters • continuing the bridge-strengthening program and the installation of bridge safety screens. The 2010 –11 Australian Capital Territory Budget included additional funding for walking and cycling infrastructure as part of the Transport for Canberra program. Projects implemented included: • directional signage, seats and drinking fountains around Lake Burley Griffin, Lake Ginninderra, Lake Tuggeranong and Yerrabi Pond • a link through Mouat Street–Ginninderra Drive–Riggall Place–Ellenborough Street intersection to the existing path on the northern side of Ellenborough Street as part of the Lyneham Sporting Precinct project upgrade of Riggall Place • new signs on main community paths from the City to Belconnen, including around Lake Ginninderra • off-road community paths along Aikman Drive connecting Joy Cummings Place to Ginninderra Drive, completing the circuit around Lake Ginninderra • commencing the installation of community path lighting on key trunk routes into the City and around Lake Ginninderra. Roads ACT undertook a broad range of maintenance during 2010 –11, including assessment of the condition of local streets and main roads, unsealed roads, community paths, bridges, streetlights, road barriers and dams. Using this information, it identified defects and set work priorities. In November 2010 an updated asset management plan outlining how road assets will be managed and maintained for the period 2010–13 was produced. New technical innovations were also introduced in 2010 –11 which included the use of a water-based, environmentally-friendly road resealing product. This product is safer for users and the public and the Australian Capital Territory leads the country in the use of this technology. Roads ACT also introduced the use of foamed bitumen stabilisation, which enabled existing gravels on London Circuit to be reused. 169 2010–11 Local Government National Report Public transport TAMS administers many aspects of transport in the Australian Capital Territory, including public transport services (ACTION) and infrastructure management (roads, bridges and stormwater). ACTION runs regular bus services and dedicated school services in Canberra suburbs. It operates a special needs transport service for clients of the Education and Training Directorate as well as charter services for schools, sporting bodies and other organisations hosting events and festivals in the Australian Capital Territory. ACTION’s objective is to deliver safe, reliable, accessible and responsive public transport in the Australian Capital Territory. In August 2010 ACTION received an Auditor-General’s report on Canberra’s bus services. The report’s 12 recommendations identified areas for improvement, primarily related to compliance, safety and governance. ACTION has worked throughout the remainder of 2010 –11 to implement the recommendations within operational and budgetary constraints. In 2010 –11 ACTION received $6.143 million over four years as part of the Transport for Canberra program to deliver additional bus services. This funding assisted ACTION in implementing a new network (Network 10) on 15 November 2010. The new network continues and extends the popular REDEX service, renamed Red Rapid. This service travels every 15 minutes from 7am to 7pm weekdays from Gungahlin through the City, Barton and Kingston to Fyshwick. With the introduction of this new network, the following improvements were also made: • Westfield and Belconnen bus station was opened, providing direct and convenient access to the Belconnen community precinct and the Westfield shopping centre • new weekday routes were introduced for Franklin and West Macgregor • additional trips were made to meet increased demand • improved alignment of routes allowed for 15-minute departures from Kippax to Belconnen • wheelchair accessible buses were in greater use • a ten minute driver comfort break was introduced on shifts of over three hours • integration of minor network changes identified throughout the life of the previous network. The rapid growth in services associated with Transport for Canberra posed challenges for ACTION during 2010 –11. Meeting service delivery targets, particularly at the start of the new school year in 2011, tested all aspects of operations. A rolling recruitment program helped to ease the pressure and service delivery results returned to target late in 2010 –11. ACTION and the Australian Capital Territory Government continued their focus on asset management and safety with investments of $1.565 million over two years. In 2010 –11, $0.670 million of this was used to retro-fit parkbrake alarm devices to 393 buses; replace 40 driver seats; replace bus wash facilities at Tuggeranong to improve water efficiency; and commission a review of depots to establish a robust management plan for these major assets into the future. 170 Appendix B – ACT The new $8 million MyWay smartcard ticketing system was successfully implemented on 11 April 2011. This system will improve boarding times, deliver greater flexibility for patrons and give ACTION the ability to better monitor passenger trends and adjust services accordingly. As at 30 June 2011 ACTION had 458 buses in service, including 200 wheelchair accessible buses and 155 Euro 3 or better emissions buses. During 2010 –11 ACTION continued its 100 bus replacement program for which the Australian Capital Territory Government has provided $49.5 million. As at 30 June 2011, 40 buses had been purchased as part of this program, including 32 MANs and eight Euro 5 Scania steer tag buses. ACTION is aiming to achieve the Commonwealth Disability Discrimination Act 1992 requirement that 55 per cent of the fleet be accessible by December 2012. Parks and city services TAMS is responsible for the management of the majority of Australian Capital Territory parks, reserves, public open spaces and city places, including lakes and Canberra’s urban trees. TAMS also manages Libraries ACT, biosecurity, the Domestic Animal Services (DAS) and other licensing and compliance services, including ranger services and permits for public land use. Following public comment and with the involvement of the Tidbinbilla Board of Management, the Tidbinbilla revised draft plan of management was prepared. It was then referred to the Legislative Assembly Standing Committee on Planning, Public Works and Territory and Municipal Services in April 2011. The committee will conduct an inquiry into the plan, which will be completed in October 2011. The plans of management for Namadgi National Park and Jerrabomberra Wetlands Nature Reserve were finalised, coming into effect in September and December 2010. A revised draft management plan for Googong Foreshores, which is expected to be finalised early in 2011–12, has been prepared following public comment. In 2010 –11 the Urban Forest Renewal Program was suspended while the Commissioner for Sustainability and the Environment (CSE) investigated the Australian Capital Territory Government’s management of urban trees and the need for an enhanced program of urban tree renewal. The CSE’s report made 12 recommendations which highlighted the need for improved maintenance of urban trees, including integrated programs of tree planting and removal; clear notification procedures when trees require maintenance works; and review of legislation, procedures and policies on tree management issues. The report was tabled in the ACT Legislative Assembly on 7 April 2011. A Government response is to be prepared by September 2011. During 2010 –11 TAMS implemented a number of the CSE’s recommendations in respect of community notification on tree removal and planting. In 2010 –11 TAMS undertook a Canberra-wide audit of street and park trees to better understand conditions and maintenance requirements. An additional tree maintenance team was established in Gungahlin to improve the life and safety of trees in the region. In the 2011–12 ACT Budget an additional $1.150 million has been provided to improve tree care, strategic planning and tree planting and removal activities. As part of the One Million Trees initiative, 6 250 trees and shrubs were planted in streets, parks and along suburban roads in 2010 –11. Approximately 4 000 more trees were planted around Canberra’s lakes and in streets and parks to replace trees that were removed due to poor condition, for safety reasons or to improve the amenity of the areas. 171 2010–11 Local Government National Report Projects in 2010 –11 included: • constructing a new Belconnen Skate Park in the Eastern Valley Way Inlet as part of a jointly funded project by the Australian and Australian Capital Territory Governments • improving picnic facilities at John Knight Memorial Park and Western Foreshores District Park as part of a jointly funded project by the Australian and ACT Governments • completing the construction of eight community parks at former school sites; including Macarthur, Holt, Cook, Weston, Rivett, Mount Neighbour, Chifley and Village Creek • completing the Lyons shopping centre upgrade: significant improvements were made including better pedestrian access; more parking, including additional disabled parking; and the introduction of seating, bins, a drinking fountain, bike racks and a new shade structure; and lighting and bollards to enhance public security and safety • completing the Ainslie shopping centre upgrade: improvements were made to stormwater management, pedestrian access and parking arrangements; the public toilet facility was upgraded; new public artworks, public seating, bins, drinking fountains, bike racks, landscaping, tree planting and new shade structure; and lighting and bollards were introduced to enhance public security and safety • replacing Glebe Park pavement to improve public access, safety and drainage • completing the first phase of works in Tuggeranong Town Park, which included construction of the stage platform, access path, drainage, electrical works and surrounding landscaping • progressing the first-stage upgrades of public parkland at Emu Inlet Precinct on the Ginninderra Lake shore, which includes extension of stormwater pipes; construction of a new curved lake wall to improve water circulation; more accessible recreational space; new paths, lights, irrigation, and bollards; and tree planting • commencing construction of the Gibraltar Trail, which will create a greater diversity of day walking opportunities in the Tidbinbilla Nature Reserve • landscape upgrades, including rehabilitation of the track on Casuarina Trail Mount Majura and Mugga Way to Summit Trail Red Hill; upgrade of Bonython underpass; improvements to Eddison Park stormwater and softfall upgrades; construction of Tidbinbilla Flints picnic area shelter and barbeque; installation of a new shade sail at Tidbinbilla Nature Reserve Sheedy’s playground; construction of the Oaks Estate community notice board; and upgrades to Woods Reserve campground • planting over 2 000 trees, shrubs and native wild flowers on Mount Painter Nature Reserve as part of a revegetation program • a rabbit and fox control program at East and West Jerrabomberra Grasslands and rabbit control programs at Jerrabomberra Wetlands and Mount Painter Nature Reserve • weed control focusing on St Johns Wort, Patterson’s Curse and woody weeds, including willows seed collection, plant production and planting of 5 500 Drooping She-oak trees within nature reserves to create Glossy Black Cockatoo habitat 172 Appendix B – ACT • releasing six Southern Brush-tailed Rock Wallabies, captive bred at Tidbinbilla, into the wild in Victoria as part of a national breeding program • the first successful translocation phase of Tasmanian Bettongs to Tidbinbilla to commence the critical captive breeding program • research and logistical planning for the reintroduction of the Tasmanian Bettong into the Mulligans Flat Woodland Sanctuary • completing feral horse, wild dog and pig control programs in Namadgi National Park. Libraries ACT Libraries ACT (formally ACT Library and Information Services) is made up of nine public libraries, two mobile libraries, the home library service and the ACT Heritage Library (ACTHL). In 2010 –11 Libraries ACT membership was 58 per cent of the Canberra population. Libraries ACT continues to build a new model of library services, increasingly focusing attention on literacy and lifelong learning made possible through books, electronic resources and programs. There was a 10 per cent increase in loans in 2010 –11 compared to the previous year—evidence that the ACT Government’s investment in the library collection is being realised. The use of online library resources is also growing. Libraries ACT offered a wide range of programs in 2010 –11 on topics such as health and wellness, writing, parenting, art, poetry and literature as well as an early literacy program called Giggle and Wiggle for babies. In early 2011 Libraries ACT launched its new website, which is designed to make full use of social media sites. It contains prominent links to the library’s blog, Twitter account, YouTube account and Flicker photosharing site. The website also has an events calendar and an electronic newsletter. In May 2011 the new Gungahlin Library opened. The library is a centre for lifelong learning and offers a range of programs and experiences for the community. The library is collocated with the new secondary college and the Canberra Institute of Technology Gungahlin Flexible Learning Centre. The ACTHL continues to implement the recommendations of the 2009–10 digital preservation audit. This year the ACTHL has added 14 archival collections to its holdings including: • personal papers of Robert Boden – forester, Director of the Australian National Botanic Gardens and eucalypt expert • archives of Canberra’s first bush regeneration group the ACT Red Hill Bush Regenerators • bushfire photographer Jeff Cutting’s photographic record and field journal of the 2003 Canberra bushfires • records of Wrap Up Canberra – a group formed to organise hand-knitted rugs for the 2003 Canberra bushfire victims. 173 2010–11 Local Government National Report The ACTHL was one of two state/territory libraries trialling improvements to archival collection search ability in the National Library of Australia’s Trove Discovery Service. The trial has now been taken up by all other state and territory libraries and many national institutions. ACT NOWaste ACT NOWaste manages the domestic rubbish and recycling collections for over 137 000 Canberra households. It manages three resource management centres, including Canberra’s domestic Materials Recovery Facility and landfill at Mugga Lane and four regional recycling centres that contain waste and recycling drop-off facilities. It supports the recycling sector and helps Canberrans recycle more effectively through its industry support programs, collection and analysis of data about waste and recycling, education and promotional activities and the development of new recycling initiatives and facilities. Resource recovery activities by the Australian Capital Territory Government and private sector delivered excellent results in 2010 –11. 807 000 tonnes of material were recovered and 268 000 tonnes sent to landfill, with the overall recovery of 75 per cent of all waste generated, up from 72 per cent the previous year. Both resource recovery and overall waste generation were significantly higher than predicted. One contributing factor was the increase in garden waste generation and recycling, with the recovery of over 280 000 tonnes of garden waste reported, 50 per cent higher than last year. Overall waste generation is increasing. According to the Environment Protection and Heritage Council’s National Waste Report 2010, the Australian Capital Territory is one of the highest generators of waste per capita in Australia, second only to Western Australia. Over the last ten years, total waste generation in the Australian Capital Territory has grown at over 5 per cent per annum on average, outstripping population growth. Increasing waste generation leads to increases in both resource recovery and waste to landfill. This year’s figures represent part of that trend. The resource recovery targets set in the ACT Sustainable Waste Strategy 2010–2025 were for 80 per cent recovery by 2015, 85 per cent recovery by 2020 and 90 per cent recovery by 2025. Resource recovery will need to be expanded to offset city growth and increasing waste generation. ACT NOWaste provides information and education aimed at increasing recycling and ensuring services and facilities are used correctly. In 2010 –11, ACT NOWaste upgraded its information page on the TAMS website (which received 12 per cent of all TAMS hits over the year with over 234 000 page views), delivered presentations and tours to over 8 000 visitors and provided around 1,000 email responses to waste and recycling queries. Data from the Materials Recovery Facility that processes our kerbside recycling indicates that education has been effective. Results for 2010 –11 show a recycling rate of 92 per cent of all material collected, with over 50 000 tonnes of material despatched for recycling. The education strategy is being revised in line with recent strategic work to further improve these results. Overall community satisfaction with waste and recycling services remained high in 2010 –11 at 92 per cent. Programs to make better use of landfill space at the Mugga Lane Resource Management Centre (MLRMC) were implemented through the 2010 –11 capital works program. One of these programs involved using a heavier compactor so that more waste can be buried in the remaining space and the other involved a more efficient use of existing landfill areas to create more space. The capital works program also completed several technical, feasibility 174 Appendix B – ACT and design reports examining future landfill options for the coming decades as well as two strategic master plans for the resource management centres at Mugga Lane and West Belconnen. Major remediation and closure works were conducted at the West Belconnen Resource Management Centre (WBRMC): old sullage ponds and the old borrow pit area were remediated and old landfill cells were capped and closed to ensure this facility meets best practice and environmental standards. Waste disposal and resource recovery facilities were also improved by the installation of a hazardous waste facility at the MLRMC for the appropriate disposal of paints, aerosols and household chemicals and the improvement of leachate and grey water systems; and the construction of an enlarged and improved resource recovery building at the Mitchell Resource Management Centre. The 12-month Bulky Waste Collection Service trial was launched in April 2011. The service provided bulky waste collections to households on a fee-for-service basis, with one free collection for eligible households. As of 30 June 2011, 413 free collections were provided under the trial. The Australian Capital Territory Government will review the results of this trial when considering whether to offer the service on a permanent basis. Highlights in 2010 –11 included: • the call for tenders to establish a dry commercial waste processing facility at the Hume Resource Recovery Estate, which is expected to divert over 40,000 tonnes per annum of commercial waste from landfill • establishing land farming operations in the WBRMC to remediate material from old service station sites around Canberra, freeing up those sites for future development • seeking tenders to establish new contract arrangements at the Mitchell Transfer Station site for reuse services and resource recovery, with new arrangements to commence in 2011. Initiatives undertaken in relation to local government service delivery to Aboriginal and Torres Strait Islander communities Aboriginal and Torres Strait Islander people remain the most disadvantaged group in Australian society. Life expectancy for Aboriginal and Torres Strait Islander Australians is shorter, health is worse, incomes are lower, education achievements are lower and crime statistics are higher. The Australian Capital Territory Government is committed to continuing its work in partnership with the local Aboriginal and Torres Strait Islander community to promote social inclusion, and to deliver services more equitably and effectively to improve life outcomes in critical areas such as economic opportunity, health, education, early childhood and family safety. Within the Australian Capital Territory, the Community Services Directorate has a leading role in Aboriginal and Torres Strait Islander affairs. The ACT is the only jurisdiction with an elected Indigenous representative body which is involved in the full spectrum of program delivery from advice to Government on the early design of services right through to a review of their effectiveness through an estimates process. 175 2010–11 Local Government National Report In addition, an ACT Taskforce on Aboriginal and Torres Strait Islander Affairs drives the delivery of improved services and outcomes for Aboriginal and Torres Strait Islander people of the Australian Capital Territory. The Taskforce is chaired by the Director-General or the Community Services Directorate and includes the Directors-General from the Directorates of Health; Education and Training; and Justice and Community Safety, as well as the ACT Chief Police Officer. The Taskforce provided five bi-monthly reports to the Minister for Aboriginal and Torres Strait Islander Affairs and met four times in 2010 –11. The ACT Aboriginal and Torres Strait Islander Elected Body was established in May 2008 to ensure maximum participation by Aboriginal and Torres Strait Islander people in the Australian Capital Territory, in the formulation, coordination and implementation of government policies that affect them. In 2010-11, the Elected Body met formally on six occasions. In September 2010, the Elected Body conducted the second ‘estimates style’ hearings with senior executives and provided the then Minister for Aboriginal and Torres Strait Islander Affairs with 16 key recommendations as an interim action pending the finalisation of their full report. In April 2011, the Chair of the Elected Body provided the Minister for Aboriginal and Torres Strait Islander Affairs a copy of the final report which contained 30 recommendations. The key features of the report were: • ensuring ongoing consultation with the Aboriginal and Torres Strait Islander Elected Body for early involvement in policy development • providing feedback to the Elected Body on the evaluation and monitoring of programs and services have been embedded in high level frameworks including the ACT Aboriginal and Torres Strait Islander Justice Agreement, Community Services, Education and Training and Health Directorates and Reconciliation Action Plans • recommending a range of initiatives such as creating scholarships and or cadetships for Aboriginal and Torres Strait Islanders in the areas of childcare, preschool, teaching and nursing. 176 APPENDIX C Comparison of local government grants commission distribution models Local government grants commissions in each state and the Northern Territory use distribution models to determine the grant they recommend be allocated to councils. They use one model for allocating the general purpose grant among councils and a separate model for allocating the local road grant. This appendix provides a comparison of the approaches the grants commissions used in 2010 –11. General purpose grants In allocating the general purpose grants between councils within a jurisdiction, commissions are required under the Local Government (Financial Assistance) Act 1995 (Cwth) (the Act) to comply with agreed National Principles (see Appendix A). These Principles require commissions to satisfy two main objectives: • to allocate the general purpose grant pool between councils on a horizontal equalisation basis (National Principle A1) • to ensure that, when allocating the general purpose grant pool between councils, all councils receive at least the minimum grant (National Principle A3). In practice, commissions determine an allocation that ensures all councils receive at least the minimum grant with the remaining grants allocated, as far as practicable, on a horizontal equalisation basis. 177 2010–11 Local Government National Report Usually, this results in commissions adopting a three-step procedure to determine general purpose grant allocations. Step 1Commissions determine an allocation of the general purpose grant between councils on a horizontal equalisation basis. Step 2All councils receive at least the minimum grant. In most jurisdictions, in order for all councils to receive at least the minimum grant, grants to some councils have to be increased relative to their horizontal equalisation grant. Step 3If grants to some councils are increased in step two, grants to other councils must decrease relative to their horizontal equalisation grant. This is achieved by a process called ‘factoring back’. In Step 3, because grants to some councils are decreased, the resultant grant may be less than the minimum grant. As a result, Steps 2 and 3 of this procedure may need to be repeated until all councils receive at least the minimum grant and the general purpose grant pool for the jurisdiction has been completely allocated. More details on the approaches grants commissions use for Steps 1 and 3 are below. Allocating on a horizontal equalisation basis An allocation on a horizontal equalisation basis is defined in section 6 of the Act. Horizontal equalisation: … ensures that each local governing body in a State [or Territory] is able to function, by reasonable effort, at a standard not lower than the average standard of other local governing bodies in the State [or Territory]. [It] takes account of differences in the expenditure required to be incurred by local governing bodies in the performance of their functions and in their capacity to raise revenue. The ‘average standard’ is a financial standard. It is based on the expenditure undertaken and revenue obtained by all councils in the jurisdiction. Horizontal equalisation, as defined in the Act, is about identifying advantaged and disadvantaged councils and bringing all the disadvantaged councils up to the financial position of a council operating at the average standard. This means the task of the commissions is to calculate, for each disadvantaged council, the level of general purpose grants it requires to balance its assessed costs and assessed revenues. When determining grant allocations on a horizontal equalisation basis, commissions use one of two distribution models: • balanced budget – based on the approach of assessing the overall level of disadvantage for a council using a notional budget for the council; or • direct assessment – based on the approach of assessing the level of disadvantage for a council in each area of expenditure and revenue. 178 Appendix C Table C.1 shows the type of distribution model used by each grants commission. Table C.1: D istribution models used by grants commissions for general purpose grants for 2010 –11 allocations State Model used NSW Direct Assessment Model Vic. Balanced Budget Model after assistance for natural disaster relief is taken out of the pool Qld Balanced Budget Model WA Balanced Budget Model SA Direct Assessment Model after allocations for the Outback Areas Community Development Trust and five Indigenous local governing bodies are determined separately and taken out of the pool Tas. Balanced Budget model NT Balanced Budget model Source: Table 11–1 in Commonwealth Grants Commission Working Papers for the Review of the Local Government (Financial Assistance) Act 199510 updated for subsequent changes based on information provided by local government grants commissions. The balanced budget model Victoria, Queensland, Western Australia, Tasmania and the Northern Territory use the balanced budget approach. Their models are based on making an assessment of each council’s costs of providing services and its capacity to raise revenue, including its capacity to obtain other grant assistance. The balanced budget model can be summarised as: general purpose grant 10 equals assessed costs of providing services plus assessed average operating surplus/deficit less assessed revenue less actual receipt of other grant assistance The Commonwealth Grants Commission Working Papers are available at: http://www.cgc.gov.au/publications2/other_inquiries2/local_government_inquiry2/final_report_of_the_local_government_inquiry 179 2010–11 Local Government National Report The direct assessment model New South Wales and South Australia use the direct assessment approach. Their models are based on making an assessment of the level of advantage or disadvantage in each area of expenditure and revenue and summing these assessments over all areas of expenditure and revenue for all councils. In each area of expenditure or revenue, an individual council’s assessment is compared to the average council. The direct assessment model calculates an individual council’s level of disadvantage or advantage for each area of expenditure and revenue, including for other grant assistance. It can be summarised as: general purpose grant equals an equal per capita share of general purpose grants plus expenditure needs plus revenue needs plus other grant assistance needs The balanced budget and direct assessment models will produce identical assessments of financial capacity for each council, if the assessed average operating surplus or deficit is included in the balanced budget model. Scope of equalisation The scope of equalisation is about the sources of revenue raised and the types of expenditure activities that a commission includes when determining an allocation of the general purpose grants on a horizontal equalisation basis. Table C.2 shows the differences in the scope of equalisation of the commissions. 180 Appendix C Table C.2: The scope of equalisation in grants commissions’ models for general purpose grants Function Jurisdiction NSW Vic. Qld WA SA Tas. NT Administration Yes Yes Yes Yes Yes Yes Yes Law, order and public safety Yes Yes Yes Yes Yes Yes Yes Education, health and welfare Yes Yes Yes Yes Yes Yes Yes Community amenities Yes Yes Yes Yes Yes Yes Yes Recreation and culture Yes Yes Yes Yes Yes Yes Yes Transport: – local roads Yes Yes Yes Yes Yes Yes Yes – airports Yes Yes Yes Yes No Yes No – public transport No No Yes No No Yes No Expenditure – other transport Yes Yes Yes Yes Yes Yes Yes Building control Yes Yes Yes Yes Yes Yes No Garbage No Yes Yes No Yes Yes Yes Water No No No No No No No Sewerage No No No No No No No Electricity No No No No No No No Capital No No No No No No No Depreciation Yes Yes Yes Yes Yes Yes No Debt servicing No Yes No No No Yes No Entrepreneurial activity No No No No No No No Agency arrangements No No No No No No No Rate revenue Yes Yes Yes Yes Yes Yes Yes Operation subsidies No No No No Yes Yes Yes Garbage charges No Yes Yes No Yes Yes Yes Water charges No No No No No No No Sewerage charges No No No No No No No Airport charges No No Yes No No Yes No Parking fees and fines No Yes Yes Yes No No Yes Other user charges No Yes Yes Yes No Yes Yes Revenue Note: Functions for which a ‘Yes’ is provided above are not necessarily separately assessed by the relevant commission but may be included as part of another, assessed function. For example, depreciation might be included as a cost under the category for which the relevant asset is provided. Similarly, revenue functions might be included as reductions in the associated expenditure function. In addition Queensland also uses two expenditure categories that are not included in the above table. These are Environment and Business and Industry Development. Potentially, Business and Industry Development could fall under Entrepreneurial Activity. Source: Table 11–2 in the Commonwealth Grants Commission Working Papers for the Review of the Local Government (Financial Assistance) Act 1995 updated for subsequent changes based on information provided by local government grants commissions. 181 2010–11 Local Government National Report Revenue assessments Sources of revenue for local government are rates, user charges and government grants. The treatment of government grants is discussed in the section below on the other grants support National Principle. New South Wales distinguishes between urban and non-urban properties. Non-rateable properties are excluded from the calculations. Land values per property for the council are compared to a state standard value and the result is multiplied by a state standard rate-in-the-dollar. To reduce seasonal and market fluctuations in the property market, the valuations are averaged over three years. In the revenue allowance calculation, councils with low values per property are assessed as being disadvantaged and are brought up to the average. Councils with high values per property are assessed as being advantaged and are brought down to the average. Under this approach, the revenue raising capacity of each council is equalised against the state standard. Victoria applies an average state-wide rate in the dollar to capital improved values, averaged every three years. Each council’s relative revenue raising capacity is determined by multiplying this average rate by each council’s valuation base on a capital improved value basis. The rate revenue raising capacity is calculated separately for each of the three major property classes, that is, residential, commercial / industrial / other, and farm. The payments in lieu of rates received by some councils for major facilities such as power stations and airports have been added to their standardised revenue to ensure that all councils are treated on an equitable basis. For each of the nine areas of expenditure assessed, a separate assessment is made of each council’s relative capacity to generate revenue from government recurrent grants. This is incorporated on the expenditure side of the method and treated as negative expenditure. On the revenue side of the method, an assessment is made of each council’s capacity to generate own source revenue from user fees and charges for each of the nine functional areas. Queensland assesses rating revenue by using a state average cent in the dollar of valuation figure multiplied by the total valuation of properties in each council. This rating figure is then adjusted by an index derived from each council’s Socio-Economic Indexes for Areas (SIEFA) rank. As Indigenous councils do not receive rate revenue, 20 per cent of the State Government Financial Aid grant they receive is used as a proxy for rating revenue. User fees and charges, and garbage revenue is also assessed using state averages. The state average (using population and bins serviced as the unit of measure) is multiplied by each council’s population and number of bins serviced respectively. Grants relevant to the expenditure categories are included as revenue according to the actual amounts received by each council rather than a State average. 182 Appendix C Western Australia distinguishes urban properties, agricultural properties, pastoral properties and mining property, and assesses the rate revenue capacity by different methods for each. The rate revenue capacity of urban properties is estimated as the sum of two components: • the product of gross rental values, averaged over three years, and a constant more or less like an average rate in the dollar; and • the number of rateable assessments and a corresponding constant value per assessment. The agricultural rate capacity for each council is based on its improved capital value of agricultural land averaged over three years, the number of agricultural properties and area of agricultural land. Pastoral rate capacity is based on unimproved capital values averaged over three years. Mining rate capacity is estimated with reference to mining unimproved capital value and a per assessment component. Western Australia also makes an assessment of revenue capacity for recreation and culture; building control fees and charges; and transport. South Australia estimates each council’s revenue raising capacity for each of five land use categories: residential, commercial, industrial, rural, and other. To make these estimates, the state average rate in the dollar is used, i.e. the ratio of total rate revenue to total improved capital values of rateable properties. This result shows how much rate revenue a council is able to raise relative to the average. To overcome fluctuations in the base data, valuations, rate revenue and population are averaged over three years. Tasmania applies a state wide average rate in the dollar to each council’s total assessed annual value (AAV) of rateable properties, averaged over three years. Individual council shares of the state total AAV are used to distribute the total assessed revenue between councils. For 2010 –11, water and sewerage revenue is excluded from the total assessed revenue. This is because from 1 July 2009, responsibility for the provision of water and sewerage services in Tasmania was transferred from councils to three council-owned regional corporations. In the Northern Territory, the local government amalgamations resulted in eight new shire councils providing services almost exclusively to Aboriginal communities. Land trusts own the land in the majority of Aboriginal communities and it is difficult determining distinct properties and values for the assessment of rate revenue raising capacity. A number of revenue categories are used, including rates where applicable, as well as domestic waste, service charge and interest. 183 2010–11 Local Government National Report Other grants support National Principle The fourth National Principle for general purpose grants involves the revenue assessment and states: Other relevant grant support provided to local governing bodies to meet any of the expenditure needs assessed should be taken into account using an inclusion approach. (National Principle A4) This National Principle requires commissions, when determining the allocation of grants on a horizontal equalisation basis, to include all grants that are provided to councils from governments as part of the revenue that is available to councils to finance their expenditure needs. Only those grants that are available to councils to finance the expenditure of a function that is assessed by commissions should be included. Both the grants received and the expenditure it funds should be included in the allocation process. Table C.3 provides details on the grants included by commissions in allocating the general purpose grants in 2010 –11. Table C.3: G rants treated by inclusion in general purpose grant allocations for 2010 –11, by jurisdiction State Grants treated by inclusion NSW Local road grant, Roads to Recovery grant and library grant. For other recurrent grant support the grant is deducted from the council’s expenditure before standard costs are calculated. Vic. All Australian and State Government recurrent grants. This includes each council’s local road grant and 77 per cent of Roads to Recovery funding. Qld Allocation of previous year’s general purpose grant, 50 per cent of previous years local road grant, 20 per cent of the state Aboriginal and Torres Strait Islander councils State Government Financial Aid grant. WA 93 per cent of the local road grant, 63 per cent of the Roads to Recovery grant, as well as other relevant operating grants provided by the Australian and State Governments for community amenities, recreation and culture, and education health and welfare. SA 85 per cent of the local road grants, library grants, and the Roxby Downs unique extraordinary grant. Tas. Local road grant, Roads to Recovery grant and State motor taxes collected on the registration of heavy vehicles. NT Local road grant, library grant, and 50 per cent of the Roads to Recovery grant. Source: Based on information provided by local government grants commissions. Expenditure assessments In addition to expenditure on local roads, local governments’ main expenditures are on general public services, including the organisation and financial administration of councils; recreation facilities; and sanitation and protection of the environment, including disposal of sewerage, stormwater drainage and garbage. Assessing local road expenditure needs for the general purpose grant is discussed in the section below. New South Wales assesses 21 expenditure categories, including three classes of road maintenance. Additionally, more than 40 disability factors are considered among the expenditure categories. A disability factor is the estimate of the additional cost of providing a standard service, due to inherent characteristics beyond a council’s control. 184 Appendix C A standard expenditure is calculated based on average expenditures, excluding extreme values. Differential expenditure needs are equal to the standard per service unit, most commonly population, multiplied by the average number of service units and the disability factors for the category. In most cases, if the differential expenditure needs per unit is assessed to be negative, zero is substituted, so generally no reductions are made to the standard assessments. Victoria assesses nine expenditure categories, including recurrent expenditure and work undertaken on behalf of and funded by VicRoads. These expenditure categories are Governance, Family and Community Services, Aged and Disabled Services, Recreation and Culture, Waste Management, Traffic and Street Management, Environmental Protection Services and Business and Economic Services. With the exception of local roads and bridges, standardised expenditure in each category is calculated by multiplying the relevant unit of need, such as, population, by the average council expenditure on that category. A composite cost adjuster is also applied, which takes into account factors that make service provision cost more or less for individual councils. Queensland assesses eight categories of expenditure in addition to local road needs. These categories include Administration; Public Order and Safety; Education, Health Welfare and Housing; Garbage; Building Control; Community Amenities, Recreation and Culture; and Business and Industry Development. Water and sewerage services are not included in the process. In addition, a combination of up to three cost adjustors are applied to expenditure amounts, including one for indigenous descent. Western Australia assesses seven expenditure categories. These categories include Governance; Law, Order and Public Safety; Education, Health and Welfare; Community Amenities; Recreation and Culture; Building Control; and Transport. South Australia, in addition to assessing local road needs, assesses 13 expenditure categories. These categories include Waste Management; Aged Care Services; Services to Families and Children; Health Inspection; Libraries; Sport and Recreation; Stormwater Drainage Maintenance; Community Support; Jetties and Wharves; Public Order and Safety; Planning and Building Control; Bridges; and Other Needs Assessment. Under the direct assessment method the available grant is initially allocated to councils in proportion to their population and positive or negative adjustments are calculated for each category. These adjustments are for factors outside the control of the council. Tasmania assesses seven expenditure categories as well as assessing local road needs. These categories include General Administration; Health, Housing and Welfare; Waste Management and the Environment; Planning and Community Amenities; Recreation and Culture; Law, Order and Public Safety; and Other. Also a range of cost adjustors are applied that take into account factors that influence the cost of service provision for individual councils. The Northern Territory assesses nine expenditure categories, including one for local roads. Cost adjustors are also used to reflect local governing bodies’ demographics, geographical location, its external access, and the area over which it is required to provide local government services. 185 2010–11 Local Government National Report Assessing local road expenditure needs under the general purpose grants As part of the expenditure needs assessment for determining general purpose grants, commissions also assess each council’s local road needs. Some commissions use the same methodology as for the local road grants (discussed below), while others use a different methodology. The main features of the models commissions use for assessing local road needs when allocating general purpose grants in 2010 –11 are: New South Wales uses a different model for assessing local road needs in the general purpose grant to the model used for the local road grant. Expenditure allowances are allocated for urban local roads, sealed rural local roads, and unsealed rural local roads. Calculating these expenditure allowances involves the application of disability factors for topography, climate, soils, materials, drainage, heavy traffic, travel, and development. It also assesses needs with reference to the length of each type of road per urban or rural property, as applicable, and with provision for bridge and culvert needs per kilometre of local roads. Victoria uses the same model for assessing local road needs in the general purpose grant as for the local road grant. The net standardised expenditure for local roads is calculated by subtracting other grant support from gross standardised expenditure. Other grant support may come in the form of the local road grant discussed in the next section and a proportion of Roads to Recovery funding. Queensland uses a different model for assessing local road needs in the general purpose grant to the model used for the local road grant. The asset preservation model uses costs to maintain a council’s road network, including bridges and hydraulics, in average condition. It takes into account traffic volume, including heavy vehicles; type of construction; and cost adjusters, such as, climate, soil, terrain and location. Western Australia uses the same model for assessing local road needs in the general purpose grant as for the local road grant. The asset preservation model takes into account annual and recurrent maintenance costs and the costs of reconstruction at the end of the road’s useful life. Roads are divided into two categories, urban and rural, because the former requires greater spending due to more traffic, more intersections and the need for kerbing and longitudinal drainage. The model takes the road surface into account, such as, sealed, gravel, formed and unformed; and the contribution that bridges make to the cost of local roads. Other expenditure needs that are transport-related, such as street lighting and aerodromes, are also taken into account. 186 Appendix C South Australia uses a different model for assessing local road needs in the general purpose grant to that used for the local road grant. Roads are divided into five categories: sealed roads – built-up; sealed roads – non built-up; unsealed roads – built-up; unsealed roads – non built-up; and unformed roads. With road lengths as the units of measure, cost relativity indices have been developed for each road category. These indices are used to determine why it costs one council more than another to reconstruct or maintain a kilometre of road. These indices involve factors such as soil, terrain, drainage and materials haulage. Tasmania uses the same model for assessing local road needs in the general purpose grant as for the local road grant. The road preservation component is assessed using four road classes: urban sealed, urban unsealed; rural sealed, and rural unsealed. Based on councils’ self-reported road lengths in each road class, performance standards and specific costs are applied in relation to maintenance, rehabilitation and reconstruction tasks. Four cost adjusters (for rainfall, terrain, traffic and remoteness) are then applied, as well as an allowance to account for increased costs due to urbanisation. The bridge expenditure component is based on relative bridge deck areas, including all concrete and wooden bridges, and culverts over three metres total span. The Northern Territory uses the same model for assessing local road needs in the general purpose grant as for the allocation of local road grants. Local road needs are assessed by calculating weighted road lengths. This is done by applying different weights to different road types where the road types are sealed, kerbed and guttered; sealed; gravel; formed; unformed; and cycle paths. Weighted road lengths are calculated by applying these weightings to the road length of each road type. Needs of Indigenous communities The fifth National Principle for distribution of general purpose grants states: Financial assistance shall be allocated to councils in a way which recognises the needs of Aboriginal peoples and Torres Strait Islanders within their boundaries (National Principle A5). All commissions allocate funding to councils taking into account their population. The Commonwealth Grants Commission (2001)11 stated that, in relation to this National Principle, ‘assessments [by commissions] should reflect differences in the demand for services by Indigenous people, the cost of providing services to them and the capacity to raise revenue from them—regardless of whether they live in a discrete community or in a mainstream community’ (p. 27). New South Wales councils with an above State-average proportion of Indigenous Australians, receive recognition for the additional costs of providing services. This cost adjustor is applied to its General Administration and Governance; and General Community Services expenditure assessments. 11 Commonwealth Grants Commission 2001, Review of the Operation of the Local Government (Financial Assistance) Act 1995, Commonwealth of Australia, Canberra. 187 2010–11 Local Government National Report Victoria applies a cost adjustor reflecting the proportion of each council’s population that is Indigenous. This cost adjuster is applied to its Governance; and Family and Community Services expenditure assessments. Queensland applies a cost adjustor to both Indigenous and non-Indigenous councils for Indigenous descent whereby the assessed expenditure per capita is increased in accordance with the proportion of Indigenous population and, additionally, for Indigenous people aged over 50. The larger indigenous communities are located within the 16 Indigenous councils (including Aurukun and Mornington Shires). Indigenous councils are assessed as having zero rating capacity as the land in their areas is not rateable. In 2010 –11, 20 per cent of the State Government Financial Aid grant for Aboriginal and Torres Strait Islander councils was included as revenue as a proxy for rate income. Western Australia applies three cost adjustors—Indigenous, socio-economic disadvantage and population dispersion—to their expenditure assessments. In addition, 16 councils receive an allowance that recognises the additional costs of providing environmental health services (such as the inspection of food premises, water supply, waste disposal and dog control) to remote Indigenous communities. In addition, 2.3 per cent of the local road grant is allocated for roads servicing Indigenous communities. The Indigenous Roads Committee advises on procedures for determining the allocations of these funds. In South Australia, the needs of Indigenous communities within mainstream councils are addressed through allocating additional funding per capita. Additionally, special consideration is given to councils that have a high non-resident use of their facilities, such as, those councils that have high seasonal influxes of Indigenous Australians. The five Indigenous local governing bodies also receive financial assistance grants. Due to a lack of comparable data, general purpose grants for these communities cannot be calculated in the same way as grants to other councils. In 1994–95, a study was undertaken to determine the appropriate level of funding for these communities, which determined a per capita funding level for each community. These per capita amounts were established after comparisons were made with communities in other jurisdictions and per capita grant funding provided to councils closest to each community. More recently, general purpose funding has increased in line with increases in the pool of funds for the state. For 2010 –11, the per capita grant varied from $316.61 for Nepabunna to $1400.80 for Yalata Community Council. Tasmania makes no special allowance for Indigenous people as there are very few separately identifiable Indigenous communities in that State and there are no targeted services provided by councils for these communities that are not also provided to other residents. The Northern Territory applies a cost adjustor based on the proportion of the population that is Indigenous Australian to its expenditure assessments for General Public Services; Public Order and Safety; Housing and Community Amenities; Health; Education; and Social Protection. The majority of shire service delivery in the Northern Territory is to remote communities whose population is almost entirely Indigenous Australian. 188 Appendix C In all jurisdictions, while the special needs of Indigenous Australians are recognised when assessing the expenditure of councils on services, it remains the decision of each council as to how the grant will be spent and what services will be provided for its Indigenous residents. Council Amalgamation National Principle A sixth National Principle for general purpose grants applies to councils that amalgamate. It took effect on 1 July 2006 and states: Where two or more local governing bodies are amalgamated into a single body, the general purpose grant provided to the new body for each of the four years following amalgamation should be the total of the amounts that would have been provided to the former bodies in each of those years if they had remained separate entities (National Principle A6). In addition to complying with the other National Principles for the general purpose grant, grants commissions are required to treat the general purpose grant allocated to councils formed as the result of amalgamation in a way that is consistent with this National Principle. Factoring back and satisfying the Minimum Grant Principle Once the revenue capacity and expenditure needs have been determined for each council, the raw grant can be calculated by subtracting its revenue capacity from expenditure needs. There are two situations that require commissions to apply a ‘factoring back’ process to obtain the assessed grants from the raw grants. The first situation is when the total raw grant does not equal the available grant for the jurisdiction. This can occur when the commission: • has not assessed all revenue and expenditure categories for councils in the jurisdiction; • has not ensured that the total assessed revenue and expenditure across all councils in the jurisdiction equals the total actual revenue and expenditure for all councils in the jurisdiction; or • has not used a budget result term for each council when applying the balanced budget approach. This situation would not arise if commissions adopted the approach used by the Commonwealth Grants Commission for allocating grants. The second situation occurs when the raw grant allocation for a council does not comply with the Minimum Grant National Principle. This Principle requires: The minimum general purpose grant allocation for a local governing body in a year will be not less than the amount to which the local governing body would be entitled if 30 per cent of the total amount of general purpose grants to which the State or Territory is entitled under section 9 of the Act in respect of the year were allocated among local governing bodies in the State or Territory on a per capita basis (National Principle A3). Grants to councils with raw grant allocations below the minimum grant (including negative grants) are increased to comply with the minimum grant National Principle. This requires grants to other councils in the jurisdiction to be reduced through a factoring back process. 189 2010–11 Local Government National Report Should the grant to one or more councils following the initial factoring back process reduce their grant below the minimum grant, the factoring back process would be repeated. This process would have to be repeated until both the minimum grant and available grant constraints are simultaneously met. Two approaches are used by commissions for factoring back the raw grant: • The proportional method—each council’s raw grant is reduced by the same proportion so that the total of the grants equals the available grant. • The equalisation ratio method—each council’s grant is reduced such that all councils can afford to fund the same proportion of their expenditure needs with their total income (assessed revenue capacity plus other grant support and general purpose grant). Local road grants The National Principles require the local road grants to be allocated so that, as far as practicable, the grants are allocated to councils … on the basis of the relative needs of each council for roads expenditure and to preserve its road assets. In assessing road needs, relevant considerations include length, type and usage of roads in each council area (National Principle B1). For the local road needs assessment, the models are either relatively simple constructs or more complex asset preservation models. New South Wales, Queensland, South Australia and the Northern Territory use relatively simple models to allocate the local road grant. New South Wales and South Australia firstly classify local roads as either metropolitan or non-metropolitan, and then allocate funding based mainly on the factors of population and road length. Queensland allocates funding directly based on the factors of population and road length. The Northern Territory allocated funding based on road length and road surface type. These approaches appear to have been based on arrangements that were in place before 1991–92 when these grants were paid to councils as tied grants. Victoria, Western Australia, and Tasmania use asset preservation models to allocate local road grants. The asset preservation model attempts to measure the annual cost of maintaining a council’s road network. It takes into account recurrent maintenance costs, and the cost of reconstruction at the end of the road’s useful life. It can also take other factors into account such as: • the costs associated with different types of roads (sealed, gravel and formed roads) • the impact of weather, soil types and materials availability on costs and • the impact of traffic volume on the cost of maintaining these roads. Prior to applying their grant allocation methodologies, Western Australia and South Australia quarantine seven and 15 per cent respectively for funding priority local road projects. Expert committees advise on the projects to be funded. 190 Appendix C Table C.4 summarises the main features of the models used by the commissions for allocating local road grants in 2010 –11. Table C.4: F eatures of local government grants commission models for allocating local road grants, 2010 –11 State Features of the distribution model NSW Based on a model developed by the NSW Roads and Traffic Authority, councils in the Sydney, Newcastle and Wollongong metropolitan areas receive 27.54 per cent of the grant pool with 38 per cent of this portion allocated on the basis of population, 57 per cent on the basis of road length and 5 per cent on the basis of bridge length. The remaining 72.46 per cent is allocated to councils outside the above metropolitan areas, with 19 per cent of the remaining portion allocated on the basis of population, 74 per cent on the basis of road length and 7 per cent on the basis of bridge length. Vic. Allocation is based on an asset preservation model. Qld Allocation for 62.85 per cent of the pool is based on road length and 37.15 per cent on population. WA Allocation of 93 per cent of the road grant pool is based on an asset preservation model. The remaining 7 per cent is set aside for special projects—with two-thirds of this portion for bridges and one-third for access roads serving remote Indigenous communities. SA Allocation of 85 per cent of the road grant pool is split between metropolitan and nonmetropolitan councils based on population and road length. Allocations for metropolitan councils are based on an equal weighting of population and road length while allocations for nonmetropolitan councils are based on an equal weighting of population, road length and council area. The remaining 15 per cent of the pool is set aside for special projects. Tas. Allocation of 95 per cent of the road grant is based on an asset preservation model. The remaining 5 per cent of the grant allocated on the basis of bridge deck area. NT Allocation is based on weights applied to road length and surface type. Source: Information provided by local government grants commissions. 191 APPENDIX D Distribution of financial assistance grants to local governing bodies in 2010 –11 Table D.1 shows the distribution of local government financial assistance grants and some basic information, such as population, area in square kilometres and road length in kilometres for each local governing body in Australia. For the financial assistance grants, the table shows the actual total grant entitlement for 2010 –11 and the estimated total grant entitlement for 2011–12. For each of these years, the components of the financial assistance grants, including the general purpose grant and the local road grant, are also given. The councils are listed alphabetically by state and the Northern Territory. The Australian Classification of Local Governments (ACLG) category for each council is listed in the second column. An explanation of the ACLG is at Appendix F. To facilitate comparison, the general purpose grant per capita and the local road grant per kilometre are provided for 2010 –11. Additional comparative information on grants received is provided in Chapter 2 as follows: • Table 2.7 provides the average general purpose grant per capita for councils, grouped by state and by ACLG. • Table 2.8 provides the average local road grant per kilometre for councils, grouped by state and by ACLG. Councils receiving the minimum per capita grant in 2010 –11 are indicated with a hash (#) beside their entry in the ‘General purpose grant per capita’ column. The per capita grant of these councils differs slightly between jurisdictions because of different data sources for population used by the Australian Government to calculate the state share of general purpose grants and those used by the local government grants commissions for allocations to individual councils. For further information on the minimum grant entitlement, see ‘What is the minimum grant?’ and ‘Councils on the minimum grant’ in Chapter 2. Indigenous local governing bodies are identified by an asterisk (*) against the name of the council. The source of the data is the relevant state or territory local government grants commission. 193 194 URM URS UDM UDL URM RAM UDV URM URM RAV RAL UDV RAL RAL UFL RAM RAM RAM UDM RAM RAS URS UDM URM Albury (C) Armidale Dumaresq Ashfield (M) Auburn (C) Ballina (S) Balranald (S) Bankstown (C) Bathurst Regional Bega Valley (S) Bellingen (S) Berrigan (S) Blacktown (C) Bland (S) Blayney (S) Blue Mountains (C) Bogan (S) Bombala Boorowa Botany Bay (C) Bourke (S) Brewarrina (S) Broken Hill (C) Burwood Byron (S) New South Wales Council Name ACLG category 32 126 33 678 19 960 1 911 3 070 39 664 2 452 2 615 3 003 77 784 7 180 6 407 299 797 8 591 13369 33 481 39 339 186 108 2 479 42 432 76 519 4 2541 25 696 50 522 No. Populationa 567 7 170 19 188 41 679 22 2 579 3 944 14 609 1 432 1 526 8 560 240 2 066 1 602 6 278 3 818 77 21 699 485 32 8 4 236 306 sq km 530 82 211 1 272 1 883 89 639 629 1 407 720 682 2 923 1 169 1 260 498 1 167 1 151 541 1 326 560 203 91 936 502 km Council Total Road Area Length 1 022 821 226 438 449 458 1 096 059 1 601 404 255 169 574 393 607 438 1 232 377 1 231 556 710 253 2 481 659 2 675 722 1 154 426 742 316 1 651 132 1 612 116 1 386 537 1 109 174 1 097 542 539 376 271 166 1 198 320 1 174 501 $ Local Roads grant 2 420 867 882 847 4 638 161 2 440 015 3 702 432 1 039 655 1 325 611 1 597 277 2 767 993 7 837 714 2 117 362 5 427 567 17 873 619 3 900 930 3 010 227 6 457 358 5 831 016 6 720 995 2 596 517 3 259 587 2 975 915 1 311 455 3 992 483 6 160 095 $ Total grant 43.52 19.49 # 209.85 703.27 684.37 19.78 306.37 378.52 511.36 84.93 195.98 459.80 50.69 319.70 169.64 143.55 107.24 28.66 599.98 50.95 31.84 24.45 108.74 98.68 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 929.85 2 761.44 2 130.13 861.68 850.45 2 867.07 898.89 965.72 875.89 1 710.49 1 041.43 849.01 2 288.90 916.21 1 490.59 1 414.85 1 400.62 2 562.91 836.48 1 959.90 2 657.02 2 979.85 1 280.26 2 339 64 $ per km Local Roads grant 1 385 341 676 371 4 302 200 1 390 880 2 170 839 809 633 799 139 1 036 029 1 598 186 6 794508 1 490 976 3 053 218 16 151 651 2 882 680 2 381 748 4 943 066 4 430 693 5 749 256 1 545 232 2 216 172 2 657 738 1 030 835 2 815 827 5 139 229 $ General Purpose grant 1 085 179 233 980 464 034 1 143 611 1 673 495 267,374 599 416 632 913 1 285 603 1 273 649 739 838 2 590 110 2 802 296 1 204 640 807 366 1 721 918 1 718 927 1 440 346 1 158 666 1 174 636 554 907 280 476 1 248 884 1 227 205 $ Local Roads grant $ Total grant 2 470 520 910 351 4 766 234 2 534 491 3 844 334 1,077,007 1 398 555 1 668 942 2 883 789 8 068 157 2 230 814 5 643 328 18 953 947 4 087 320 3 189 114 6 664 984 6 149 620 7 189 602 2 703 898 3 390 808 3 212 645 1 311 311 4 064 711 6 366 434 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 2010–11 Local Government National Report ACLG category RAV UFM UFV UDL UDV RAM RTM URM URM RTL URL RAS RAM RAV RAM RAL RAV RAV URS URM RAL URM UDV RAL Council Name Cabonne Camden Campbelltown (C) Canada Bay (C) Canterbury (C) Carrathool (S) Central Darling (S) Cessnock (C) Clarence Valley Cobar (S) Coffs Harbour (C) Conargo (S) Coolamon (S) Cooma-Monaro (S) Coonamble (S) Cootamundra (S) Corowa (S) Cowra (S) Deniliquin Dubbo (C) Dungog (S) Eurobodalla (S) Fairfield (C) Forbes (S) 9 744 194 543 37 442 8 646 41 211 7 693 12 945 11 685 7 703 4 306 10 416 4 219 1 700 71 677 5 166 52 054 50 834 2 019 2 964 143 111 75 999 152 107 55 243 13 246 No. Populationa 4 720 102 3 428 2 252 3 428 143 2 810 2 329 1 523 9 925 5 183 2 432 8 738 1 175 45 609 10 441 1 966 53 509 18 939 34 20 312 201 6 027 sq km 1 649 608 932 592 1 187 141 1 201 1 324 571 1 392 934 1 275 1 284 726 1 693 2 087 886 1 602 2 300 313 186 633 362 1 825 km Council Total Road Area Length 1 558 987 1 517 723 1 391 720 760 185 1 577 683 230 120 1 228 089 1 264 836 624 355 1 242 999 961 083 1 093 554 1 085 438 1 733 097 1 451 410 2 783 518 1 456 937 1 333 148 1 936 257 920 159 520 332 1 469 473 766 178 1 769 082 $ Local Roads grant 4 293 992 10 545 846 5 971 343 2 013 658 6 519 280 2 192 633 3 840 294 4 038 780 2 415 978 2 982 604 3 268 136 2 712 658 2 299 445 6 585 010 3 894 525 9 900 168 6 460 814 3 436 897 3 866 398 5 449 737 2 001 606 9 747 392 2 209 027 3 944 278 $ Total grant 280.69 46.41 122.31 144.98 119.91 255.10 201.79 237.39 232.59 404.00 221.49 383.76 714.12 67.69 472.92 136.72 98.44 1,041.98 651.19 31.65 19.49 # 54.42 26.12 164.22 $ per capita General Purpose grant # 2010 –11 actual entitlement 945.41 2 496.25 1 493.26 1 284.10 1 329.13 1 632.06 1 022.56 955.31 1 093.44 892.96 1 029.00 857.69 845.36 2 387.19 857.30 1 333.74 1 644.40 832.18 841.85 2 939.81 2 797.48 2 321.44 2 116.51 969.36 $ per km Local Roads grant 2 792 855 9 364 204 4 771 954 1 333 787 5 133 899 2 061 319 2 740 569 2 870 087 1 898 066 1 817 598 2 389 200 1 689 216 1 270 780 5 042 579 2 560 346 7 185 531 5 305 846 2 178 688 2 001 623 4 697 902 1 575 424 8 482 244 1 573 837 2 300 748 $ General Purpose grant 1 631 547 1 573 321 1 468 062 790 809 1 645 362 247 328 1 279 257 1 285 629 650 195 1 296 532 1 001 460 1 141 441 1 084 934 1 821 880 1 514 854 2 904 945 1 517 957 1 391 646 2 020 824 964 540 546 721 1 525 895 860 015 1 853 866 $ Local Roads grant $ Total grant 4 424 402 10 937 525 6 240 016 2 124 596 6 779 261 2 308 647 4 019 826 4 155 716 2 548 261 3 114 130 3 390 660 2 830 657 2 355 714 6 864 459 4 075 200 10 090 476 6 823 803 3 570 334 4 022 447 5 662 442 2 122 145 10 008 139 2 433 852 4 154 614 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 195 196 ACLG category RAM RAL RAL UFV URS URM RAV URM URS RAM RAV RAM RAL RAM UFM RAM UFV UDL UFV UDS UDL RAV RAS RAL URS Council Name Gilgandra (S) Glen Innes Severn Gloucester (S) Gosford (C) Goulburn Mulwaree Great Lakes Greater Hume (S) Greater Taree (C) Griffith (C) Gundagai (S) Gunnedah (S) Guyra (S) Gwydir (S) Harden (S) Hawkesbury (C) Hay (S) Hills (S) Holroyd (C) Hornsby (S) Hunters Hill (M) Hurstville (C) Inverell (S) Jerilderie (S) Junee (S) Kempsey (S) 29 331 6 283 1 676 16 703 79 648 14 467 162 216 100 122 176 487 3 370 63 552 3 624 5 380 4 521 12 162 3 870 25 703 48 503 10 400 35 487 28 349 166 626 5 094 9 257 4 669 No. Populationa 3 379 2 031 3 372 8 606 23 6 462 40 401 11 328 2 776 1 869 9 274 4394 4 993 2 458 1 640 3 732 5 749 3 375 3 206 940 2 952 5 487 4 836 sq km 1 032 822 998 1 775 209 61 620 320 832 777 898 768 1 898 841 1 348 689 1 242 1 594 1 772 969 1 128 947 640 1 082 1 245 km Council Total Road Area Length 1 537 625 774 285 855 732 1 757 045 550 491 133 041 1 384 186 804 252 1 722 079 683 299 1 531 027 718 478 1 693 295 785 332 1 324 800 695 017 1 365 557 2 241 030 1 684 067 1 409 119 1 404 888 1 913 798 767 734 1 161 045 1 127 034 $ Local Roads grant 5 195 127 2 364 028 1 881 505 4 888 858 2 102 886 415 014 4 545 889 3 875 711 5 161 934 2 243 978 4 427 432 1 964 700 3 438 153 1 925 849 3 690 942 1 666 892 4 012 679 6 729 293 4 843 261 6 166 296 4 417 895 8 687 109 1 908 407 3 348 263 2 580 152 $ Total grant 124.70 253.02 612.04 187.50 19.49 # 19.49 # 19.49 # 30.68 19.49 # 463.11 45.58 343.88 324.32 252.27 194.55 251.13 102.99 92.54 303.77 134.05 106.28 40.65 223.92 236.28 311.23 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 489.95 941.95 857.45 989.88 2 633.93 2 181.00 2 232.56 2 513.29 2 069.81 879.41 1 704.93 935.52 892.15 933.81 982.79 1 008.73 1 099.48 1 405.92 950.38 1 454.20 1 245.47 2 020.91 1 199.58 1 073.05 905.25 $ per km Local Roads grant 3 808 385 1 668 307 1 075 555 3 202 692 1 617 203 291 955 3 282 188 3 350 299 3 595 972 1 638 554 2 870 084 1 293 323 1 755 595 1 130 152 2 430 935 1 049 252 2 887 439 4 700 897 3 130 485 4 993 908 3 166 097 6 711 758 1 204 489 2 231 788 1 513 993 $ General Purpose grant 1 597 599 809 086 892 917 1 807 276 572 159 137 793 1 434 191 824 348 1 796 685 712 582 1 581 722 749 572 1 766 680 831 802 1 381 865 724 234 1 424 258 2 334 441 1 787 458 1 481 261 1 477 799 1 978 240 800 197 1 209 159 1 175 719 $ Local Roads grant $ Total grant 5 405 984 2 477 393 1 968 472 5 009 968 2 189 362 429 748 4 716 379 4 174 647 5 392 657 2 351 136 4 451 806 2 042 895 3 522 275 1 961 954 3 812 800 1 773 486 4 311 697 7 035 338 4 917 943 6 475 169 4 643 896 8 689 998 2 004 686 3 440 947 2 689 712 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category URS UDM UDL RAL RAL URV UDM RAV UDM URM URS UFV RAL RAM RTX URM UDM UDL URS RAV UDS RAL RAM RAV RAV Council Name Kiama (M) Kogarah (C) Ku-ring-gai Kyogle Lachlan (S) Lake Macquarie (C) Lane Cove (M) Leeton (S) Leichhardt (M) Lismore (C) Lithgow (C) Liverpool (C) Liverpool Plains (S) Lockhart (S) Lord Howe Island (Bd) Maitland (C) Manly Marrickville Mid-Western Regional Moree Plains (S) Mosman (M) Murray (S) Murrumbidgee (S) Muswellbrook (S) Nambucca (S) 19 186 16 391 2 556 7 236 28 767 14 406 22 677 78 271 40 939 69 154 364 3 299 7 941 182 261 20 980 45 645 54 525 11 906 32 501 199 277 6 872 9 824 111 400 58 137 20 641 No. Populationa 1 493 3 406 3 507 4 344 9 17 929 8 758 16 14 392 16 2 895 5 087 306 4 514 1 290 11 1 167 10 648 14 973 3 589 85 16 258 sq km 649 575 590 1 363 85 2 640 1 913 190 105 602 - 1 483 1 200 766 877 1 125 134 876 92 1 254 3 460 1 083 444 153 258 km Council Total Road Area Length 1 007 189 770 831 515 941 1 297 309 210 793 2 443 260 2 011 008 521 618 279 900 1 099 615 - 1 345 619 1 164 117 1 730 473 1 060 919 1 730 777 371 620 877 425 233 080 2 422 097 2 936 998 1 413 283 978 044 402 377 464 728 $ Local Roads grant 3 366 055 3 140 875 1 479 248 3 314 134 771 483 5 492 548 5 485 924 3 194 714 1 077 830 6 286 749 164 318 3 022 194 2 909 159 7 684 160 4 300 037 6 402 821 1 434 351 3 430 301 866 548 15 182 610 6 399 209 3 624 365 3 149 308 1 535 508 1 273 195 $ Total grant 122.95 144.59 376.88 278.72 19.49 # 211.67 153.24 34.15 19.49 # 75.01 451.42 508.21 219.75 32.67 154.39 102.36 19.49 # 214.42 19.49 # 64.03 503.81 225.07 19.49 # 19.49 # 39.17 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 551.91 1 340.58 874.48 951.80 2 479.92 925.48 1 051.23 2 745.36 2 665.71 1 826.60 - 907.36 970.10 2 259.10 1 209.71 1 538.47 2 773.28 1 001.63 2 533.48 1 931.50 848.84 1 304.97 2 202.80 2 629.92 1 801.27 $ per km Local Roads grant 2 448 883 2 465 641 1 021 606 2 190 902 584 909 3 176 574 3 601 822 2 648 804 838 886 5 315 397 171 080 1 726 491 1 788 262 6 492 916 3 366 488 4 675 985 1 112 432 2 735 399 667 007 13 223 391 3 585 633 2 245 372 2 283 889 1 184 545 801 120 $ General Purpose grant 1 057 814 808 696 538 336 1 363 339 219 200 2 542 638 2 080 841 541 434 292 346 1144388 - 1 403 295 1 208 243 1 837 811 1 103 397 1 769 461 394 445 914 601 244 845 2 524 977 3 064 861 1 452 549 1 019 770 418 976 482 542 $ Local Roads grant $ Total grant 3 506 697 3 274 337 1 559 942 3 554 241 804 109 5 719 212 5 682 663 3 190 238 1 131 232 6 459 785 171 080 3 129 786 2 996 505 8 330 727 4 469 885 6 445 446 1 506 877 3 650 000 911 852 15 748 368 6 650 494 3 697 921 3 303 659 1 603 521 1 283 662 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 197 198 URM URL RTX URS RAL UDM Shellharbour (C) Shoalhaven (C) Silverton Village (VC) Singleton Snowy River (S) Strathfield (M) 36 489 8 061 23 822 57 95 812 66 905 104 955 102 211 22 934 131 714 40 661 UDL 58 818 Ryde (C) Pittwater 184 611 UDL UDM Penrith (C) 167 431 URS UFV Parramatta (C) 15 052 Rockdale (C) UDV Parkes (S) 14 323 Richmond Valley RAV Palerang 5 391 38 685 UDV RAV Orange (C) Randwick (C) URM Oberon 63 914 URM RAL North Sydney 154 777 Queanbeyan (C) UDM Newcastle (C) 6 818 6 262 66 754 URV Narromine (S) URM RAL Narrandera (S) 13 693 Port Stephens RAL Narrabri (S) No. 75 104 RAV Council Name Port Macquarie-Hastings URL ACLG category Populationa 14 6 029 4 896 - 4 531 147 40 28 3 051 36 172 859 3 686 90 405 61 5 958 5 161 284 3 628 10 187 5 264 4 117 13 028 sq km 86 742 736 - 1 585 353 310 262 1 005 273 263 607 1 219 235 967 517 1 797 1 044 408 909 143 746 1 337 1 463 2 114 km Council Total Road Area Length 245 133 757 416 1 043 296 - 2 778 243 743 825 791 129 712 686 1 345 773 821 803 784 242 1 035 385 2 301 882 529 355 1 977 888 1 363 840 1 685 324 1 151 466 897 934 835 970 410 656 1 608 469 1 189 409 1 297 078 1 956 504 $ Local Roads grant 956 330 2 812 883 3 098 858 27 275 1 0072 383 4 539 964 2 836 776 2 704 850 4 494 720 3 389 001 2 980 525 5 099 323 8 163 352 1 675 760 11 196 562 7 786 383 4 977 419 2 634 618 4 475 784 2 062 017 1 656 385 12 573 193 3 423 214 3 472 460 5 434 855 $ Total grant 19.49 # 254.99 86.29 478.51 76.13 56.74 19.49 # 19.49 # 137.30 19.49 # 54.01 60.88 78.04 19.49 # 49.94 38.36 218.71 103.55 92.49 227.42 19.49 # 70.84 327.63 347.39 254.02 $ per capita General Purpose grant # 2010 –11 actual entitlement 2 850.38 1 020.78 1 417.52 - 1 752.83 2 107.15 2 552.03 2 720.18 1 339.08 3 010.27 2 981.91 1 705.74 1 888.34 2 252.57 2 045.39 2 637.99 937.85 1 102.94 2 200.82 919.66 2871.72 2 156.12 889.61 886.59 925.50 $ per km Local Roads grant 738 560 2 164 601 2 126 208 28 386 7 761 485 3 938 351 2 126 757 2 064 228 3 222 426 2 663 544 2 176 324 4 361 123 6 177 270 1 197 491 9 134 899 7 005 609 3 412 740 1 518 292 3 683 212 1 307 845 1 296 496 11 445 302 2 336 121 2 255 717 3 619 507 $ General Purpose grant 254 331 797 456 1 081 175 - 2 900 927 780 438 818 460 741 150 1 404 019 852 419 825 654 1 099 026 2 445 820 550 199 2 056 270 1 424 937 1 759 118 1 212 299 942 712 833 051 426 697 1 668 125 1 241 083 1 353 318 2 042 358 $ Local Roads grant $ Total grant 992 891 2 962 057 3 207 383 28 386 10 662 412 4 718 789 2 945 217 2 805 378 4 626 445 3 515 963 3 001 978 5 460 149 8 623 090 1 747 690 11 19169 8 430 546 5 171 858 2 730 591 4 625 924 2 140 896 1 723 193 13 113 427 3 577 204 3 609 035 5 661 865 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category UDV UCC URM RAL RAL RTX RAM RAV URL RAV RAL RAL RAS URM RAM RAM RAL RAM UDV RAV UDM RAM RAL RAL UDM Council Name Sutherland (S) Sydney (C) Tamworth Regional Temora (S) Tenterfield (S) Tibooburra (VC) Tumbarumba (S) Tumut (S) Tweed (S) Upper Hunter (S) Upper Lachlan (S) Uralla (S) Urana (S) Wagga Wagga (C) Wakool (S) Walcha Walgett (S) Warren (S) Warringah Warrumbungle (S) Waverley Weddin (S) Wellington Wentworth (S) Willoughby (C) 69 269 7 127 8 904 3 751 68 316 10 323 144 092 2 833 7 209 3 286 4 427 62 904 1 269 6 238 7 512 14 043 88 993 11 396 3 735 128 7 024 6 158 58 515 177 920 219 828 No. Populationa 22 26 268 4 112 3 410 9 12 381 149 10 763 22 335 6 267 7 521 4 825 3 357 3 230 7 128 8 103 1 309 4 566 4 392 - 7 332 2 802 9 892 27 334 sq km 199 1 941 1 236 968 113 2 276 473 960 1 950 792 1 274 2 131 881 818 1 706 1 577 1 091 563 473 - 1 456 1 134 2 974 301 781 km Council Total Road Area Length 516 463 1 702 397 1 163 003 852 828 388 812 2 076 100 1 144 090 871 590 1 771 371 762 515 1 232 595 2 766 879 751 094 817 488 1 590 945 1 635 879 2 364 620 687 141 499 846 - 1 413 457 1 036 399 3 526 236 1 069 687 1 803 589 $ Local Roads grant 1 866 564 4 338 864 3 336 778 2 227 945 1 993 677 5 543 175 3 952 544 2 020 541 4 795 784 1 521 446 3 131 486 9 491 454 1 701 854 2 020 164 3 461 795 3 872 142 8 747 991 3 001 457 1 712 703 61 249 3 711 255 2 729 121 9 735 873 5 600 138 6 088 190 $ Total grant 19.49 # 369.93 244.13 366.60 23.49 335.86 19.49 # 405.56 419.53 230.96 428.93 106.90 749.22 192.80 249.05 159.24 71.73 203.08 324.73 478.51 327.14 274.88 106.12 25.46 19.49 # $ per capita General Purpose grant # 2010 –11 actual entitlement 2 595.29 877.07 940.94 881.02 3 440.81 912.17 2 418.79 907.91 908.40 962.77 967.50 1 298.39 852.55 999.37 932.56 1 037.34 2 167.39 1 220.50 1 056.76 - 970.78 913.93 1 185.69 3 553.78 2 309.33 $ per km Local Roads grant 1 400 804 2 726 541 2 256 283 1 428 420 1 590 281 3 546 800 2 918 641 1 228 738 3 154 953 773 515 1 993 694 7 043 931 990 749 1 235 140 1 984 705 2 302 530 6 509 046 2 439 486 128 8449 63 744 236 8754 1 782 562 6 317 583 4 506 254 4 418 729 $ General Purpose grant 535 482 1 775 984 1 204 162 890 108 404 755 2 164 949 1 187 076 912 360 1 847 468 811 507 1 289 512 2 854 405 689 390 852 227 1 657 521 1 705 504 2 459 261 730 178 513 117 - 1 470 302 1 081 563 3 641 640 1 118 163 1 865 100 $ Local Roads grant $ Total grant 1 936 286 4 502 525 3 460 445 2 318 528 1 995 036 5 711 749 4 105 717 2 141 098 5 002 421 1 585 022 3 283 206 9 898 336 1 680 139 2 087 367 3 642 226 4 008 034 8 968 307 3 169 664 1 801 566 63 744 3 839 056 2 864 125 9 959 223 5 624 417 6 283 829 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 199 200 ACLG category URM UFM URV UDM UFV RAV RAV RAV RAV URL UDV UFS URM UDL RAV UDV UDV RAL URM UFM UDV RAV URS Council Name Wingecarribee (S) Wollondilly (S) Wollongong (C) Woollahra (M) Wyong (S) Yass Valley Young (S) Victoria Alpine (S) Ararat (RC) Ballarat (C) Banyule (C) Bass Coast (S) Baw Baw (S) Bayside (C) Benalla Boroondara (C) Brimbank (C) Buloke (S) Campaspe (C) Cardinia (S) Casey (C) Central Goldfields (S) Colac Otway (S) 21 817 12 899 247 357 68 641 38 790 7 078 185 890 168 090 14 208 96 329 41 335 29 584 123 521 94 088 11 913 13 191 12 861 14 796 149 382 55 228 201 438 43 278 46 364 No. Populationa 3 433 1 534 813 1 281 4 519 8 004 123 60 2 352 37 4 028 864 63 740 4 210 4 787 2 694 3998 740 12 684 2 557 2 689 sq km 1 675 1 129 1 366 1 389 4 137 5 313 874 578 1 336 354 1 779 1 041 544 1 309 2 286 788 1 035 1 049 1 016 140 885 706 1 028 km Council Total Road Area Length 2 278 169 953 894 1 918 847 2 309 762 3 620 720 1 921 888 1 436 963 750 366 1 218 697 449 197 2 425 147 1 262 000 810 804 1 796 044 1 987 553 1 015 655 1 066 948 1 109 852 1 953 097 386 627 2 031 226 1 160 490 1 529 668 $ Local Roads grant 5 602 197 3 191 483 15 508 122 8 320 766 9 748 672 4 814 013 12 676 621 4 037 839 3 392 286 2 333 182 7 568 034 5 124 096 4 215 398 10 301 162 4 965 224 3 331 008 3 220 199 2 672 533 10 562 690 1 463 060 15 154 266 2 906 952 3 980 918 $ Total grant 152.36 173.47 54.94 87.57 157.98 408.61 60.46 19.56 # 152.98 19.56 # 124.42 130.55 27.56 90.40 249.95 175.53 167.42 105.62 57.63 19.49 # 65.15 40.35 52.87 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 360.10 844.90 1 404.72 1 662.90 875.20 361.73 1 644.12 1 298.21 912.20 1 268.92 1 363.21 1 212.30 1 490.45 1 372.07 869.45 1 288.90 1 030.87 1 058.01 1 922.34 2 761.62 2 295.17 1 643.75 1 488.00 $ per km Local Roads grant 3 436 563 2 321 153 1 4213 936 6 596 992 6 675 708 2 970 385 11 703 793 3 396 770 2 272 142 1 949 465 5 473 226 4 207 028 3 426 197 8 761 866 3 068 397 2 377 882 2 249 678 1 604 857 9 332 109 1 120 615 14 134 990 1 894 184 2 542 456 $ General Purpose grant 2 362 270 1 026 957 1 984 640 2 416 270 4 085 870 1 987 239 1 497 953 775 881 1 252 908 464 471 2 536 167 1 309 922 837492 1 879 264 2 055 256 1 074 814 1 131 227 1 157 060 2 041 155 401 596 2 143 698 1 194 656 1 598 111 $ Local Roads grant $ Total grant 5 798 833 3 348 110 16 198 576 9 013 262 10 761 578 4 957 624 13 201 746 4 172 651 3 525 050 2 413 936 8 009 393 5 516 950 4 263 689 10 641 130 5 123 653 3 452 696 3 380 905 2 761 917 11 373 264 1 522 211 16 278 688 3 088 840 4 140 567 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category RAV UDV URM UDV RAV UDV URS RAV URL UDV URV URM RAV RAL UDL URS UFV RAV UDV UDV URL RAL URM Council Name Corangamite (S) Darebin (C) East Gippsland (S) Frankston (C) Gannawarra (S) Glen Eira (C) Glenelg (S) Golden Plains (S) Greater Bendigo (C) Greater Dandenong (C) Greater Geelong (C) Greater Shepparton (C) Hepburn (S) Hindmarsh (S) Hobsons Bay (C) Horsham (RC) Hume (C) Indigo (S) Kingston (C) Knox (C) Latrobe (C) Loddon (S) Macedon Ranges (S) 42 015 8 079 75 259 155 969 147 214 15 945 167 540 20 042 87 486 6 202 14 803 62 368 216 330 137 600 102 373 18 173 21 146 136 354 11 665 128 576 43 615 139 608 17 500 No. Populationa 1 747 6 694 1 426 114 91 2 044 504 4 249 64 7 550 1 470 2 422 1 247 130 2 999 2 703 6 210 39 3 732 130 2 0931 53 4 404 sq km 1 552 4 717 1 535 708 594 1 859 1 028 2 942 421 3 257 1 395 2 497 2 019 636 3 013 1 843 2 649 428 - 663 2 881 508 2 723 km Council Total Road Area Length 1 837 394 2 926 236 2 194 830 965 954 1 141 856 1 497 710 1 673 778 1 830 678 615 734 1 446 242 1 268 456 2 637 586 2 677 465 1 185 955 2 802 022 1 827 071 2 934 044 517 661 1 779 205 1 062 744 4 104 061 810 880 2 984 358 $ Local Roads grant 5 958 580 6 645 252 11 032 272 7 591 114 4 021 040 4 043 269 11 183 081 5 102 716 2 326 769 3 797 088 3 787 638 9 830 041 18 502 789 10 361 939 13 866 454 4 688 292 6 689 141 3 184 446 4 590 066 8 521 470 12 872 492 4 647 156 6 458 282 $ Total grant 98.09 460.33 117.43 42.48 19.56 # 159.65 56.76 163.26 19.56 # 379.05 170.18 115.32 73.15 66.69 108.08 157.44 177.58 19.56 # 240.97 58.01 201.04 27.48 198.51 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 183.89 620.36 1 429.86 1 364.34 1 922.32 805.65 1628.19 622.26 1462.55 444.04 909.29 1 056.30 1 326.13 1 864.71 929.98 991.36 1 107.60 1 209.49 - 1 602.93 1 424.53 1 596.22 1 095.98 $ per km Local Roads grant 4 279 152 3 805 130 9 015 785 6 662 771 2 982 421 2 616 805 10 431 728 3 431 388 1 764 504 2 410 392 2 614 600 7 551 287 16 285 953 9 223 174 11 332 070 2 982 332 3 948 724 2 759 627 2 953 718 7 569 268 9 150 007 3 910 666 3 618 300 $ General Purpose grant 1 941 262 3 021 895 2 280 494 1 002 067 1 196 809 1 548 940 1 748 831 1 898 284 636 672 1 508 983 1 311 587 2 730 136 2 766 488 1 235 048 2 896 728 1 884 419 3 144 201 535 262 1 880 984 1 092 908 4 365 036 838 453 3 113 308 $ Local Roads grant $ Total grant 6 220 414 6 827 025 11 296 279 7 664 838 4 179 230 4 165 745 12 180 559 5 329 672 2 401 176 3 919 375 3 926 187 10 281 423 19 052 441 10 458 222 14 228 798 4 866 751 7 092 925 3 294 889 4 834 702 8 662 176 13 515 043 4 749 119 6 731 608 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 201 202 ACLG category UDL RAL UDL UDL UCC UFL URM URM URS UDV UDL URS UDV UFV RAV RAV RAV UFM RAV UDL RAL UFS URS Council Name Manningham (C) Mansfield Maribyrnong (C) Maroondah (C) Melbourne (C) Melton (S) Mildura (RC) Mitchell (S) Moira (S) Monash (C) Moonee Valley (C) Moorabool (S) Moreland (C) Mornington Peninsula (S) Mount Alexander (S) Moyne (S) Murrindindi (S) Nillumbik (S) Northern Grampians (S) Port Phillip (C) Pyrenees (S) Queenscliffe (B) South Gippsland (S) 27 776 3 318 6 885 96 110 12 340 63 827 13 377 16 684 18 293 148 394 149 122 27 896 111 268 176 069 29 127 34 119 53 877 100 000 93 105 106 224 71 523 8 151 118 544 No. Populationa 3 295 36 3 433 21 5 728 433 3 873 5 478 1 529 723 51 2 110 44 81 4 045 2 862 22 087 527 36 61 31 3 843 113 sq km 2 099 46 2 026 212 3 420 782 1 223 2 961 1 303 1 691 516 1 481 411 727 3 626 1 393 5 185 810 203 476 276 844 592 km Council Total Road Area Length 3 011 668 51 723 1 912 995 349 044 2 299 044 1 072 918 1 546 602 3 580 718 1 289 790 2 181 128 836 875 1 730 827 584 431 1 002 666 3 077 979 1 580 967 3 178 665 1 269 143 588 795 680 306 425 275 871 455 733 182 $ Local Roads grant 7 627 321 241 346 4 555 319 2 228 745 5 785 373 2 941 550 4 159 079 6 972 028 3 842 304 5 525 909 5 465 122 5 285 080 2 760 590 4 446 190 8 269 082 5 778 017 11 371 649 9 843 407 2 409 725 4 735 280 2 753 484 2 561 049 3 051 644 $ Total grant 166.17 57.15 383.78 19.56 # 282.52 29.28 195.30 203.27 139.54 22.54 31.04 127.41 19.56 # 19.56 # 178.22 123.01 152.07 85.74 19.56 # 38.17 32.55 207.29 19.56 # $ per capita General Purpose grant # 2010 –11 actual entitlement 1 434.81 1 124.41 944.22 1 646.43 672.24 1 372.02 1 264.60 1 209.29 989.86 1 289.85 1 621.85 1 168.69 1 421.97 1 379.18 848.86 1 134.94 613.05 1 566.84 2 900.47 1 429.21 1 540.85 1 032.53 1 238.48 $ per km Local Roads grant 4 744 416 226 723 2 735 877 1 952 391 3 532 883 1 867 444 2 732 557 3 531 682 2 585 404 3 813 875 4 660 800 3 768 127 2 260 492 3 561 472 5 283 678 4 414 744 8 553 628 9 408 410 1 934 817 4 156 246 2 422 430 1 737 819 2 388 462 $ General Purpose grant 3 114 910 53 482 1 966 566 360 912 2 377 219 1 104 842 1 614 977 3 718 760 1 331 965 2 286 731 845 315 1 802 551 606 170 1 036 121 3 111 814 1 655 888 3 300 110 1 350 402 610 213 703 464 430 386 903 672 762 819 $ Local Roads grant $ Total grant 7 859 326 280 205 4 702 443 2 313 303 5 910 102 2 972 286 4 347 534 7 250 442 3 917 369 6 100 606 5 506 115 5 570 678 2 866 662 4 597 593 8 395 492 6 070 632 1 1853 738 10 758 812 2 545 030 4 859 710 2 852 816 2 641 491 3 151 281 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report UDL RAV UFS URS RAL URS URM URM RAM UDV UFV URM UFV UDL UFV RAL Stonnington (C) Strathbogie (S) Surf Coast (S) Swan Hill (RC) Towong (S) Wangaratta (RC) Warrnambool (C) Wellington (S) West Wimmera (S) Whitehorse (C) Whittlesea (C) Wodonga Wyndham (C) Yarra (C) Yarra Ranges (S) Yarriambiack (S) RTM RAM RAV RTL Aurukun* Balonne Banana Barcaldine Queensland RAV Southern Grampians (S) Council Name ACLG category 3 376 15 597 4 847 1 209 7 681 148 912 78 041 143 879 35 733 146 132 155725 4613 43 197 33 374 28 663 6 340 22116 25 458 9974 99 110 17 564 No. Populationa 53705 28 628 31 136 7 402 7 310 2 470 20 542 433 490 64 9 106 10 809 121 3 639 6 673 6 117 1 552 3 302 26 6 652 sq km 3 156 3 749 2 319 184 4 814 1 762 216 1 016 480 940 609 2 810 3 114 310 1 925 1 217 3 486 1 047 - 257 2 661 km Council Total Road Area Length 1 578 801 1 990 928 1 183 717 102 153 1 686 211 3 368 176 359 883 1 438 534 790 535 1 469 217 754 405 2 132 634 4 194 436 589 161 2 048 009 1 300 750 1 819 237 1 207 257 1 809 202 358 611 2 715 534 $ Local Roads grant 7 009 724 6 990 797 4 510 862 1 491 094 4 266 163 13 190 826 1 886 194 10 608 145 4 283 406 9 709 626 3 800 045 4 698 310 11 046803 3 408 767 6 019 467 3 462 536 5 765 448 3 100 140 4 243 274 2 296 986 6 401 274 $ Total grant 1 608.69 320.57 686.43 1 148.83 335.89 65.96 19.56 # 63.73 97.75 56.39 19.56 # 556.18 158.63 84.49 138.56 340.98 178.43 74.35 244.04 19.56 # 209.85 $ per capita General Purpose grant # 2010 –11 actual entitlement 500.25 531.06 510.44 555.18 350.27 1 911.56 1 666.13 1 415.88 1 646.95 1 563.00 1 238.76 758.94 1 346.96 1 900.52 1 063.90 1 068.82 521.87 1 153.06 - 1 395.37 1 020.49 $ per km Local Roads grant 5 416 624 5 734 711 3 643 843 1 593 077 2 709 145 10 160 867 1 593 911 10 484 290 3 631 271 9 157 761 3 142 073 2 637 755 6 970 228 2 880 311 4 086 988 2 266 727 4 013 364 2 026 489 2 493 301 2 010 945 3 754 433 $ General Purpose grant 1 636 023 2 223 669 1 226 065 105 768 1 753 057 3 489 818 372 120 1 565 379 849 215 1 577 423 780 057 2 209 379 4 312 233 612 301 2 132 074 1 350 171 1 878 772 1 269 274 1 860 976 370 805 2 807 996 $ Local Roads grant $ Total grant 7 052 647 7 958 380 4 869 908 1 698 845 4 462 202 13 650 685 1 966 031 12 049 669 4 480 486 10 735 184 3 922 130 4 847 134 11 282 461 3 492 612 6 219 062 3 616 898 5 892 136 3 295 763 4 354 277 2 381 750 6 562 429 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 203 204 ACLG category RTX RTM RTS UCC RTX URL RAV RTS URV RTM URS URS RAV URS RTL RTL RTX RTX RTM RTS RTM URL URM Council Name Barcoo Blackall-Tambo Boulia Brisbane Bulloo Bundaberg Burdekin Burke Cairns Carpentaria Cassowary Coast Central Highlands Charters Towers Cherbourg* Cloncurry Cook Croydon Diamantina Doomadgee* Etheridge Flinders Fraser Coast Gladstone 59 644 99 514 1 834 939 1 240 319 273 3 899 3 380 1 215 12 696 30 403 30 992 2 123 164 356 555 18 431 95 132 374 10 52 458 448 2 069 353 No. Populationa 10 874 7 166 41 501 39 352 1 862 94 853 29 575 106 387 48 161 32 68 345 59 960 4 678 64 403 4 115 40 245 5 049 6 458 73 859 1 350 61 139 30 476 62 002 sq km 2 612 2 213 2 273 1 657 45 1 039 861 2 590 1 836 70 4 371 4 666 1 210 1 685 1 649 1 191 1 161 3 078 2 087 5 560 1 321 1 867 1 768 km Council Total Road Area Length 1 874 325 2 077 098 1 131 111 820 598 34 413 511 851 424 248 1 306 875 932 605 46 402 2 266 620 2 587 927 901 846 846 129 2 448 447 588 622 752 432 2 456 825 1 025 672 13 231 113 650 954 934 691 869 089 $ Local Roads grant 6 288 523 6 928 917 4 081 385 3 078 311 795 106 4 649 157 2 155 233 6 463 865 3 841 375 365 519 7 038 502 9 715 959 2 953 693 4 046 566 6 024 290 2 688 695 2 497 154 7 806 303 3 985 137 33 861 641 2 920 026 3 835 230 3 228 783 $ Total grant 74.01 48.76 1 608.66 2 404.38 613.46 12 969.61 6 340.60 1 322.64 860.58 262.65 375.86 234.45 66.21 1 507.51 21.76 3 783.92 94.66 56.23 7 913.01 19.60 # 5 064.89 1 401.90 6 684.69 $ per capita General Purpose grant # 2010 –11 actual entitlement 717.58 938.59 497.63 495.23 764.73 492.64 492.74 504.58 507.95 662.89 518.56 554.64 745.33 502.15 1 484.81 494.23 648.09 798.19 491.46 2 379.70 492.77 500.64 491.57 $ per km Local Roads grant 4 987 217 4 058 558 3 383 883 2 589 534 872 494 1 992 997 1 985 392 5 914 925 3 336 279 366 019 5 284 279 7 109 265 2 353 412 3 619 307 3 566 429 2 408 726 2 001 147 5 659 860 3 394 424 21 417 054 2 037 517 2 892 902 2 652 254 $ General Purpose grant 1 857 199 2 984 348 1 173 867 850 152 35 948 530 717 439 631 1 409 060 966 071 48 377 2 348 027 2 693 234 1 075 733 896 234 2 556 078 609 931 778 208 2 611 013 1 062 930 13 742 696 675 022 975 146 900 561 $ Local Roads grant $ Total grant 6 844 416 7 042 906 4 557 750 3 439 686 908 442 2 523 714 2 425 023 7 323 985 4 302 350 414 396 7 632 306 9 802 499 3 429 145 4 515 541 6 122 507 3 018 657 2 779 355 8 270 873 4 457 354 35 159 750 2 712 539 3 868 048 3 552 815 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category URV RAV URM RAV RTS UFV URS RTM RTS URM UFV RTL URL RTX RAV RTS UFV RTM URS RTL RTS RAV Council Name Gold Coast Goondiwindi Gympie Hinchinbrook Hope Vale* Ipswich Isaac Kowanyama* Lockhart River* Lockyer Valley Logan Longreach Mackay Mapoon Aboriginal Council* Maranoa McKinlay Moreton Bay Mornington* Mount Isa Murweh Napranum* North Burnett 10 787 930 4 871 21 838 1 103 371 162 944 13 223 266 116 123 4 298 277 568 35 633 619 1 156 22 417 162 383 832 12 283 48 282 11 188 515 157 No. Populationa 19 708 1 995 40 760 43 312 1 274 2 032 40 883 58 823 530 7 613 40 608 959 2 273 3 595 2 576 59 904 1 089 1 118 2 809 6 900 19 314 1 312 sq km 5 062 63 2 750 2 033 560 3 297 1 978 6 777 35 2 461 3 193 2 115 1 354 323 352 3 455 1 465 100 700 2 370 2 486 3 284 km Council Total Road Area Length 2 585 926 40 129 1 394 962 1 213 359 285 174 5 320 276 977 800 3 449 867 19 792 2 364 359 1 606 122 3 807 040 1 018 687 164 313 184 098 1 915 072 2 338 663 57 265 465 360 1 642 396 1 328 792 6 751 744 $ Local Roads grant 10 355 233 648 386 5 521 979 3 781 213 1 853 079 13 016 556 3 709 528 12 911 485 739 521 6 774 477 6 877 892 9 759 265 3 010 711 1 053 288 1 137 796 6 840 027 5 969 056 788 645 1548157 5 484 997 6 463 132 16 849 973 $ Total grant 720.25 654.04 847.26 117.59 1 421.49 20.74 2 893.78 715.54 2 705.75 37.98 1 226.56 21.44 55.90 1 436.15 825.00 219.70 22.36 879.06 88.15 79.59 458.91 19.60 # $ per capita General Purpose grant # 2010 –11 actual entitlement 510.85 636.97 507.26 596.83 509.24 1 613.67 494.34 509.06 565.49 960.73 503.01 1 800.02 752 508.71 523.01 554.29 1 596.36 572.65 664.80 692.99 534.51 2 055.95 $ per km Local Roads grant 6 540 925 697 654 4 679 128 2 945 257 1 741 737 7 671 201 3 133 216 10 319 024 825 509 4 398 507 5 693 556 5 686 555 2 284 796 1 019 630 1 093 865 4 911 989 3 373 879 645 493 1 241 938 3 832 484 5 120 822 10 591 908 $ General Purpose grant 2 678 593 41 671 1 449 741 1 255 982 295 365 5 603 275 1 013 212 2 827 548 20 483 2 461 697 1 579 767 3 948 788 1 072 652 170 423 191 056 1 983 694 2 464 034 59 383 471 280 1 704 512 1 370 206 7 026 315 $ Local Roads grant $ Total grant 9 219 518 739 325 6 128 869 4 201 239 2 037 102 13 274 476 4 146 428 13 146 572 845 992 6 860 204 7 273 323 9 635 343 3 357 448 1 190 053 1 284 921 6 895 683 5 837 913 704 876 1 713 218 5 536 996 6 491 028 17 618 223 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 205 206 2 282 2 187 RTM URS RTM RTS RTM UDV RTS URL UFM UFS URM URM URV URM URV RTL RTL URV URM URM RTM RTS URS RTM Peninsula Area* Palm Island* Paroo Pormpuraaw* Quilpie Redland Richmond Rockhampton Scenic Rim Somerset South Burnett Southern Downs Sunshine Coast Tablelands Toowoomba Torres Torres Strait Island* Townsville Western Downs Whitsunday Winton Woorabinda* Wujal Wujal Yarrabah* 2 628 352 965 1 407 34 195 31 469 181 743 4 913 3 642 159 098 46 366 323 423 35 456 32 495 21 608 37 419 114 105 962 140 691 1 016 676 1 946 No. Council Name Northern ACLG category Populationa 158 11 391 53 964 23 905 37 981 3 738 483 691 12 972 65 001 3 136 7 122 8 399 5 382 4 256 18 949 26 614 524 67 568 4 433 47 719 72 1 030 sq km 50 20 80 2 566 1 805 7 555 1 607 213 84 7 673 4 235 3 671 3 055 3 241 1 779 1 696 3 255 1 385 1 026 2 041 570 2 138 39 363 km Council Total Road Area Length 50 720 13 307 48 753 1 270 292 1 225 124 4 012 945 2 601 498 153 190 77 490 5 345 126 2 536 316 5 026 690 1 849 681 1 911 176 1 086 942 1 203 953 2 732 928 687 664 1 907 141 1 009 307 285 806 1 066 137 40 784 200 281 $ Local Roads grant 550 773 278 695 338 276 5 974 370 3 964 176 16 314 254 7 305 346 7 210 388 2 491 750 15 356 649 9 780 351 11 792 233 7 381 663 8 165 190 3 229 815 3 318 784 9 375 679 2 865 922 4 875 858 4 068 803 1 053 145 4 332 489 721 841 2 680 000 $ Total grant 190.28 753.94 300.02 3 343.34 80.10 390.90 25.88 1 436.43 662.89 62.93 156.24 20.92 156.02 192.46 99.17 56.52 58.22 2 264.30 21.10 3 011.31 1 135.12 1 678.50 311.41 1 086.64 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 014.40 665.35 609.41 495.05 678.74 531.16 1 618.85 719.20 922.50 696.61 598.89 1 369.30 605.46 589.69 610.98 709.88 839.61 496.51 1 858.81 494.52 501.41 498.66 1 045.74 551.74 $ per km Local Roads grant 573 546 304 392 332 075 3 748 209 3 141 617 13 740 392 4 691 464 8 094 411 2 769 090 11 272 671 7 224 963 6 640 842 6 345 030 6 237 548 2 137 231 2 109 263 6 625 262 2 498 401 2 866 005 3 509 157 880 117 3 619 331 781 154 2 844 169 $ General Purpose grant 53 153 13 761 50 756 1 305 688 1 270 660 4 132 121 2 711 542 194 881 80 386 5 585 269 2 580 118 5 240 512 1 903 704 2 001 929 1 156 106 1 251 480 2 903 762 712 413 1 984 484 1 046 262 296 325 1 103 655 42 306 208 332 $ Local Roads grant $ Total grant 626 699 318 153 382 831 5 053 897 4 412 277 17 872 513 7 403 006 8 289 292 2 849 476 16 857 940 9 805 081 11 881 354 8 248 734 8 239 477 3 293 337 3 360 743 9 529 024 3 210 814 4 850 489 4 555 419 1 176 442 4 722 986 823 460 3 052 501 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category URM UFM RTL RAL UDS UDM UDM RAS RAS RAS RAM RAS URS RAS RAS URM URM UDS UDL RSG RAS Council Name Western Australia Albany (C) Armadale (C) Ashburton (S) Augusta-Margaret River (S) Bassendean (T) Bayswater (C) Belmont (C) Beverley (S) Boddington (S) Boyup Brook (S) BridgetownGreenbushes (S) Brookton (S) Broome (S) Broomehill Tambellup (S) Bruce Rock (S) Bunbury (C) Busselton (S) Cambridge (T) Canning (C) Capel (S) Carnamah (S) 763 12 687 87 562 26 622 30 514 33 979 1 033 1 282 15 857 1 031 4 466 1 624 1 581 1 749 34 466 61 264 14 508 12 212 6 674 58 153 35 550 No. Populationa 2 835 554 65 22 1 454 61 2 772 2 810 56 000 1 626 1 691 2 838 1 900 2 310 40 33 11 2 370 105 647 560 4 315 sq km 642 477 561 172 1 074 322 1 175 971 834 529 707 1 030 260 690 225 345 95 879 2 186 584 1 616 km Council Total Road Area Length 353 347 574 859 1 178 510 335 058 1 266 901 815 713 697 498 568 213 829 052 610 515 708 762 638 185 168 878 408 706 456 627 677 455 195 705 910 382 1 187 005 1 031 096 1 686 145 $ Local Roads grant 973 772 1 437 378 2 894 067 856 650 1 864 746 1 481 446 1 752 191 1 388 892 3 542 256 1 036 674 1 572 747 934 939 430 470 1 007 975 1 131 902 1 877 770 479 953 1 149 645 4 490 479 3 278 837 3 400 465 $ Total grant 813.14 67.98 19.59 # 19.59 # 19.59 # 19.59 # 1 021.00 640.16 171.10 413.35 193.46 182.73 165.46 342.64 19.59 # 19.59 # 19.59 # 19.59 # 494.98 38.65 48.22 $ per capita General Purpose grant # 2010 –11 actual entitlement 550.38 1 205.16 2 100.73 1 948.01 1 179.61 2 533.27 593.62 585.18 994.07 1 154.09 1 002.49 619.60 649.53 592.33 2 029.45 1 963.64 2 060.05 1 035.70 543.00 1 765.58 1 043.41 $ per km Local Roads grant 650 088 903 757 1 777 324 541 821 638 452 695 852 1 105 119 859 917 2 842 927 446 534 905 293 310 942 274 099 627 921 705 077 1 243 361 297 249 251 406 3 461 418 2 355 209 1 796 285 $ General Purpose grant 367 089 509 020 1246 072 352 595 1 694 145 821 849 725 128 553 347 879 506 300 738 614 752 622 702 175 531 1 247 924 478 990 705 329 203 564 898 800 1 245 195 1 123 519 2 018 859 $ Local Roads grant $ Total grant 1 017 177 1 412 777 3 023 396 894 416 2 332 597 1 517 701 1 830 247 1 413 264 3 722 433 747 272 1 520 045 933 644 449 630 1 875 845 1 184 067 1 948 690 500 813 1 150 206 4 706 613 3 478 728 3 815 144 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 207 208 ACLG category RAL RAS RAM UDS UDL RAL URS RAS RAS UDS RAS RAS RTX RAS RAS RAM RSG RAL RTL RAL RAS RAS RTM UDS Council Name Carnarvon (S) Chapman Valley (S) Chittering (S) Claremont (T) Cockburn (C) Collie (S) Coolgardie (S) Coorow (S) Corrigin (S) Cottesloe (T) Cranbrook (S) Cuballing (S) Cue (S) Cunderdin (S) Dalwallinu (S) Dandaragan (S) Dardanup (S) Denmark (S) Derby-West Kimberley (S) DonnybrookBalingup (S) Dowerin (S) Dumbleyung (S) Dundas (S) East Fremantle (T) 7 448 1 204 669 765 5 360 7 940 5 322 12 709 3 252 1 352 1 263 302 866 1 144 8 152 1 275 1 185 3 968 9 332 88 702 9 822 4 310 1 069 6 166 No. Populationa 3 92 725 2 553 1 867 1 541 102 706 1 842 518 6 934 7 187 1 872 13 716 1 250 3 390 4 3 095 4 137 30 400 1 685 148 5 1 220 4 007 53 000 sq km 37 624 988 939 660 1 807 617 393 1 231 1 910 781 744 558 1 015 47 1 076 876 843 413 726 47 401 872 1 525 km Council Total Road Area Length 66 414 439 855 512 861 478 330 661 424 1 011 205 409 887 417 950 1 072 873 1 001 594 468 839 403 337 357 679 576 837 91 969 690 951 502 033 444 085 407 153 1 186 356 92 801 508 586 439 799 991 152 $ Local Roads grant 212 339 1 385 603 1 154 357 1 071 625 1 526 190 6 070 228 1 079 275 1 134 896 1 600 221 1 967 769 1 114 546 1 231 152 905 810 997 345 251 687 1 480 790 1 185 612 829 714 2 129 347 2 924 250 285 238 986 990 659 695 3 971 889 $ Total grant 19.59 # 785.50 958.89 775.55 161.34 637.16 125.78 56.41 162.16 714.63 511.25 2 741.11 632.95 367.58 19.59 # 619.48 576.86 97.18 184.55 19.59 # 19.59 # 111.00 205.70 483.42 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 794.97 704.90 519.09 509.40 1 002.16 559.60 664.32 1 063.49 871.55 524.39 600.31 542.12 641.00 568.31 1 956.79 642.15 573.10 526.79 985.84 1 634.10 1 974.49 1 268.29 504.36 649.94 $ per km Local Roads grant 151 418 990 965 672 167 621 662 906 112 5 300 902 701 392 751 224 552 561 1 012 369 676 579 867 394 574 338 440 613 165 246 827 602 716 261 404 066 1 804 535 1 835 206 198 789 501 277 230 410 3 123 250 $ General Purpose grant 69 138 455 882 535 302 528 436 640 869 996 344 465 526 877 067 887 049 1 044 092 477 844 419 701 807 463 1 013 492 96 284 600 268 521 492 464 065 424 618 1 308 618 97 939 404 398 453 617 1 036 111 $ Local Roads grant $ Total grant 220 556 1 446 847 1 207 469 1 150 098 1 546 981 6 297 246 1 166 918 1 628 291 1 439 610 2 056 461 1 154 423 1 287 095 1 381 801 1 454 105 261 530 1 427 870 1 237 753 868 131 2 229 153 3 143 824 296 728 905 675 684 027 4 159 361 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report RAV RTM UDS URM RAM RAS RAS UDL URM RTL URS RAM RAS UDV UFM URM RAM RAS RAS RAM RAS East Pilbara (S) Esperance (S) Exmouth (S) Fremantle (C) GeraldtonGreenough (C) Gingin (S) Gnowangerup (S) Goomalling (S) Gosnells (C) Greater Geraldton (C) Halls Creek (S) Harvey (S) Irwin (S) Jerramungup (S) Joondalup (C) Kalamunda (S) Kalgoorlie/ Boulder (C) Katanning (S) Kellerberrin (S) Kent (S) Kojonup (S) Kondinin (S) RAS RTL Council Name Koorda (S) ACLG category Population 473 1 035 2 228 601 1 324 4 653 32 365 54 729 162 195 1 162 3 595 23 468 3 349 - 104 022 1 044 1 393 4 983 37 895 28 105 2 424 14 553 7 954 No. a 2 662 7 340 2 937 6 552 1 852 1 523 95 229 349 99 6 540 2 223 1 766 143 025 - 127 1 845 5 000 3 325 1 776 19 6 261 44 500 371 696 sq km 1 088 1 334 1 133 1 305 939 693 1 341 601 1 007 1 093 430 836 1 414 - 721 587 1 010 850 790 167 287 4 233 3 237 km Council Total Road Area Length 595 844 652 666 605 080 594 390 498 009 444 600 1 510 495 953 380 1 947 747 518 336 347 947 1 214 695 939 078 - 1 338 934 332 314 543 026 773 738 1 151 549 342 925 364 615 2 400 954 2 079 084 $ Local Roads grant 1 576 686 1 215 474 1 096 639 919 303 1 420120 1 543 972 2 544 607 2 025 658 5 125 551 903 444 723 844 2 339 219 4 812 980 - 3 376 984 654 041 975 319 1 444 336 3 972 980 893 572 1 619 315 3 912 737 5 406 400 $ Total grant 2 073.66 543.78 220.63 540.62 696.46 236.27 31.95 19.59 # 19.59 # 331.42 104.56 47.92 1 156.73 - 19.59 # 308.17 310.33 134.58 74.45 19.59 # 517.62 103.88 418.32 $ per capita General Purpose grant # 2010 –11 actual entitlement 547.65 489.25 534.05 455.47 530.36 641.56 1 126.39 1 586.32 1 934.21 474.23 809.18 1 452.98 664.13 - 1 857.05 566.12 537.65 910.28 1 457.66 2 053.44 1 270.44 567.20 642.29 $ per km Local Roads grant 1 027 738 589 717 515 061 340 448 966 199 1 151 935 1 083 554 1 121 748 3 305 012 403 520 393 869 1 178 289 4 059 119 3 219 345 2 144 936 337 109 452 962 702 660 - 575 325 1 314 689 1 584 064 3 486 400 $ General Purpose grant 619 174 678 600 634 034 617 792 520 599 463 938 1 579 293 1 014 589 2 029 846 539 332 309 615 902 705 889 110 1 801 011 1 419 880 331 544 567 137 808 363 - 373 692 378 678 2 497 707 2 052 594 $ Local Roads grant $ Total grant 1 646 912 1 268 317 1 149 095 958 240 1 486 798 1 615 873 2 662 847 2 136 337 5 334 858 942 852 703 484 2 080 994 4 948 229 5 020 356 3 564 816 668 653 1 020 099 1 511 023 - 949 017 1 693 367 4 081 771 5 538 994 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 209 210 ACLG category RAS UDS RAS RTS RTM UFM RAL RTM UDL RTX RAM RAS RAM RAS UDS RTM RAS RAS RAS UFM RTX RSG RAS RAS RAS URS UDS Council Name Kulin (S) Kwinana (T) Lake Grace (S) Laverton (S) Leonora (S) Mandurah (C) Manjimup (S) Meekatharra (S) Melville (C) Menzies (S) Merredin (S) Mingenew (S) Moora (S) Morawa (S) Mosman Park (T) Mount Magnet (S) Mount Marshall (S) Mukinbudin (S) Mullewa (S) Mundaring (S) Murchison (S) Murray (S) Nannup (S) Narembeen (S) Narrogin (S) Narrogin (T) Nedlands (C) 22 404 4 731 909 854 1 304 14 763 114 38 264 878 568 686 664 9 392 882 2 575 457 3 362 250 101 052 1 218 10 162 68 269 1 666 760 1 482 28 044 902 No. Populationa 21 13 1 618 3 821 2 953 1 821 49 500 644 10 707 3 414 10 134 13 877 4 3 528 3 788 1 927 3 372 128 353 53 100 733 7 028 174 31 743 183 198 10 747 118 4 790 sq km 150 67 724 1 412 436 706 1 860 650 1 176 905 1 719 707 43 950 937 456 1 282 2 087 529 2 524 1 305 627 1 332 4 113 2 282 331 1 438 km Council Total Road Area Length 280 649 141 323 370 483 714 874 436 902 930 909 727 028 916 815 589 742 468 378 825 716 422 227 75 506 498 636 813 041 279 321 745 431 835 688 992 360 994 698 1 315 683 1 092 975 616 285 787 423 1 084 921 552 754 700 106 $ Local Roads grant 719 599 1 040 768 818 803 1 553 507 1 063 964 2 344 436 2 556 968 3 308 055 840 758 1 248 253 1 821 209 1 565 773 259 518 1 213 100 1 324 663 546 744 1 839 550 2 094 333 2 972 221 2 718 509 3 171 479 2 430 535 1 039 850 1 935 864 1 713 554 1 102 206 1 224 904 $ Total grant 19.59 # 190.12 493.20 982.01 480.88 95.75 16 052.11 62.49 285.90 1 373.02 1 451.16 1 722.21 19.59 # 810.05 198.69 585.17 325.44 5 034.58 19.59 # 1 415.28 182.62 19.59 # 254.24 1 511.11 424.18 19.59 # 581.82 $ per capita General Purpose grant # 2010 –11 actual entitlement 1 870.99 2 109.30 511.72 506.28 1 002.07 1 318.57 390.88 1 410.48 501.48 517.54 480.35 597.21 1 755.95 524.88 867.71 612.55 581.46 400.43 1 875.92 394.10 1 008.19 1 743.18 462.68 191.45 475.43 1 669.95 486.86 $ per km Local Roads grant 452 365 942 449 469 755 878 729 657 042 1 481 110 1 917 432 2 505 569 - 817 162 1 043 089 1 198 221 189 725 748 623 536 084 280 209 1 146 430 1 318 823 2 058 716 1 806 229 1 944 525 1 415 159 443 816 1 203 350 658 689 583 424 549 890 $ General Purpose grant 293 428 149 227 386 151 746 085 434 650 755 412 745 475 926 827 - 488 076 858 261 296 590 78 481 519 156 616 567 451 843 775317 855 990 1 029 258 1 019 980 1 440 248 1 155 725 555 711 754 793 1 126 377 605 405 727 701 $ Local Roads grant $ Total grant 745 793 1 091 676 855 906 1 624 814 1 091 692 2 236 522 2 662 907 3 432 396 - 1 305 238 1 901 350 1 494 811 268 206 1 267 779 1 152 651 732 052 1 921 747 2 174 813 3 087 974 2 826 209 3 384 773 2 570 884 999 527 1 958 143 1 785 066 1 188 829 1 277 591 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category RTM RAM RAM RAS UDS RAS UCC RAS RAM URS RAS RAM UDL URS RTX RSG RTS UDM UDV UDS UFL RAS RAS Council Name Ngaanyatjarraku (S)* Northam (S) Northampton (S) Nungarin (S) Peppermint Grove (S) Perenjori (S) Perth (C) Pingelly (S) Plantagenet (S) Port Hedland (T) Quairading (S) Ravensthorpe (S) Rockingham (C) Roebourne (S) Sandstone (S) SerpentineJarrahdale (S) Shark Bay (S) South Perth (C) Stirling (C) Subiaco (C) Swan (S) Tammin (S) Three Springs (S) Population 732 460 110 051 18 625 198 803 43 776 962 16 492 133 18 828 100 231 2 402 1 129 14 072 5 064 1 260 17 093 536 1 741 241 3 541 11 044 1 559 No. a 2 629 1 087 1 043 7 100 20 25 000 905 28 218 15 196 261 12 872 2 000 11 844 4 792 1 223 9 8 214 2 1 145 12 499 1 443 159 948 sq km 713 504 1 293 89 1 024 191 573 651 1 152 601 879 1 295 891 649 1 299 566 91 1 444 9 506 1 047 740 1 317 km Council Total Road Area Length 376 871 262 316 1 940 562 201 363 1 922 851 355 112 367 602 769 717 585 803 1 034 389 1 466 176 662 623 503 781 630 600 760 635 316 051 346 244 665 459 18 220 262 273 575 944 797 602 1 043 232 $ Local Roads grant 804 807 820 288 4 096 735 566 273 5 817 898 1 212 793 1 404 949 2 271 468 1 823 389 3 670 657 3 429 951 1 304 250 1 277 346 2 758 996 1 213 825 885 608 681 139 1 375 337 52 331 926 015 1 135 761 2 652 862 3 922 483 $ Total grant 584.61 1 212.98 19.59 # 19.59 # 19.59 # 19.59 # 1 078.32 91.06 9 305.16 140.02 19.59 # 267.12 685.18 151.25 89.49 452.03 19.59 # 1 324.40 19.59 # 2 754.12 158.10 167.99 1 846.86 $ per capita General Purpose grant # 2010 –11 actual entitlement 528.57 520.47 1 500.82 2 262.51 1 877.78 1 859.23 641.54 1 182.36 508.51 1 721.11 1 668.00 511.68 565.41 971.65 585.55 558.39 3 804.88 460.84 2 024.44 518.33 550.09 1 077.84 792.13 $ per km Local Roads grant 448 396 584 649 2 270 267 379 088 4 060 072 882 462 1 086 944 1 573 552 1 296 757 2 762 312 2 092 802 672 304 810 551 2 230 157 474 858 596 788 360 859 743 818 35 151 695 476 586 582 1 943 963 3 016 912 $ General Purpose grant 391 719 268 916 2 067 580 207408 2 018 062 380108 381602 797 041 421 578 785 050 1 581 986 688 617 518 487 966 756 818 725 378 399 358 900 783 756 18 937 273 299 649 165 753 019 1 126 684 $ Local Roads grant $ Total grant 840 115 853 565 4 337 847 586 496 6 078 134 1 262 570 1 468 546 2 370 593 1 718 335 3 547 362 3 674 788 1 360 921 1 329 038 3 196 913 1 293 583 975 187 719 759 1 527 574 54 088 968 775 1 235 747 2 696 982 4 143 596 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 211 212 ACLG category RAM RAS RTX UDM RAS UDM RAS RAS UFV RAM RAS RAS RAS RAS RTS RAS RAS RAS RTL RTX RAS RAM Council Name Toodyay (S) Trayning (S) Upper Gascoyne (S) Victoria Park (T) Victoria Plains (S) Vincent (T) Wagin (S) Wandering (S) Wanneroo (C) Waroona (S) West Arthur (S) Westonia (S) Wickepin (S) Williams (S) Wiluna (S) Wongan-Ballidu (S) Woodanilling (S) Wyalkatchem (S) Wyndham-East Kimberley (S) Yalgoo (S) Yilgarn (S) York (S) 3 539 1 544 265 7 863 533 452 1 469 755 1 006 771 208 900 3 772 144 148 422 1 910 30 870 941 32 256 313 400 4 629 No. Populationa 2 010 30 720 33 258 121 189 1 743 1 126 3 368 184 000 2 295 1 989 3 268 2 850 835 688 1 955 1 950 11 2 563 18 46 602 1 632 1 683 sq km 674 2 713 1 188 1 082 721 521 1 321 1 943 488 873 882 850 335 1 170 356 786 143 804 160 1 867 764 635 km Council Total Road Area Length 570 663 1 064 176 558 255 1 038 752 389 001 262 981 704 425 742 473 700 667 462 994 443 990 785 381 361 391 2 034 504 868 162 432 665 317 037 419 556 319 585 752 486 409 244 594 098 $ Local Roads grant 1 186 019 1 517 143 1 776 604 4 312 732 1 080 775 631 853 1 517 607 1 819 404 771 773 1 127 288 941 006 1 064 184 1 035 380 4 858 723 1 039 325 1 096 242 921 858 665 736 951 560 2 645 681 1 121 315 1 311 154 $ Total grant 173.88 293.37 4 597.54 416.38 1 297.89 816.09 553.56 1 426.40 70.68 861.60 2 389.50 309.78 178.68 19.59 # 405.60 347.42 19.59 # 261.62 19.59 # 6 048.55 1 780.18 154.91 $ per capita General Purpose grant # 2010 –11 actual entitlement 846.68 392.25 469.91 960.03 539.53 504.76 533.25 382.13 1 435.79 530.35 503.39 923.98 1 078.78 1 738.89 2 438.66 550.46 2 217.04 521.84 1 997.41 403.05 535.66 935.59 $ per km Local Roads grant 644 779 474 626 1 276 603 3 430 515 724 849 386 509 852 061 1 128 420 74 505 696 055 520 779 292 133 706 213 3 016 827 179 346 695 303 627 238 257 951 662 389 1 983 711 746 117 751 340 $ General Purpose grant 565 241 1 130 045 580 250 1 074 596 405 790 648 077 733 974 782 551 284 392 469 080 461 622 975 417 352 762 2 216 763 201 708 450 514 330 533 469 896 329 622 869 695 426 585 509 120 $ Local Roads grant $ Total grant 1 210 020 1 604 671 1 856 853 4 505 111 1 130 639 1 034 586 1 586 035 1 910 971 358 897 1 165 135 982 401 1 267 550 1 058 975 5 233 590 381 054 1 145 817 957 771 727 847 992 011 2 853 406 1 172 702 1 260 460 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category UCC UFM UFS URS UFS RAM RAV UDM UDV RAM UDL RAL RAS URS RAL RAV RAS RAS RAS UFS RTX Council Name South Australia Adelaide (C) Adelaide Hills Alexandrina Anangu Pitjantjatjara* Barossa Barunga West (DC) Berri Barmera Burnside (C) Campbelltown (C) Ceduna (DC) Charles Sturt (C) Clare and Gilbert Valleys Cleve (DC) Coober Pedy (DC) Coorong (DC) Copper Coast (DC) Elliston (DC) Flinders Ranges Franklin Harbour (DC) Gawler (M) Gerard* 83 20 730 1 355 1 784 1 169 12 901 5 825 1 913 1 908 8 743 106 995 3 797 49 281 44 300 11 240 2 631 22 514 2 388 23 160 39 852 19 444 No. Populationa 0 41 3 278 4 106 6 679 776 8 863 78 4 488 1 886 56 5 433 24 27 507 1 581 891 0 1 826 792 15 sq km 10 178 935 1 261 1 147 943 1 884 421 1 395 1 826 565 1 709 254 233 414 1 014 963 707 1 337 1 088 130 km Council Total Road Area Length 17 467 654 729 227 962 267 180 364 341 271 041 590 226 42 430 1 083 650 341 097 1 033 888 393 806 471 612 427 977 197 162 183 414 403 990 131 101 488 241 886 470 210 433 $ Local Roads grant 57 941 1 592 363 1 132 346 1 323 664 1 115 466 1 926 279 2 673 930 806 799 1 998 634 737 113 3 117 834 2 491 679 1 431 460 1 290 810 2 396 157 508 505 842 496 1 168 190 991 359 1 662 669 589 145 $ Total grant 487.64 45.23 667.44 592.20 642.54 128.30 357.72 399.57 479.55 45.30 19.48 # 552.51 19.48 # 19.48 # 195.64 123.56 19.48 # 434.29 21.72 19.48 # 19.48 # $ per capita General Purpose grant # 2010 –11 actual entitlement 1 746.70 3 678.25 243.81 211.88 317.65 287.42 313.28 100.78 776.81 186.80 1 829.89 230.43 1 856.74 1 836.81 476.24 1 80.88 419.51 185.43 365.18 814.77 1 618.72 $ per km Local Roads grant 42 024 1 022 021 985 779 1 151 568 739 858 1 630 410 2 143 827 833 162 952 796 443 538 2 163 390 2 159 968 992 829 887 647 2 274 657 354 349 457 473 1 076 810 563 492 800 238 396 924 $ General Purpose grant 18 203 267 678 237 429 959 143 379 121 295 990 613 646 44 099 773 685 355 810 1 078 328 410 578 489 249 443 295 203 987 184 735 422 654 136 626 514 588 659 745 214 587 $ Local Roads grant $ Total grant 60 227 1 289 699 1 223 208 2 110 711 1 118 979 1 926 400 2 757 473 877 261 1 726 481 799 348 3 241 718 2 570 546 1 482 078 1 330 942 2 478 644 539 084 880 127 1 213 436 1 078 080 1 459 983 611 511 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 213 214 82 UDM RAM RAS RAS RAM RSG RAM RAV RAL RTX UDL RAL UDM URS URS RAM RAV RAL RTX Grant (DC) Holdfast Bay (C) Kangaroo Island Karoonda-East Murray (DC) Kimba (DC) Kingston (DC) Light Lower Eyre Peninsula (DC) Loxton Waikerie (DC) Mallala (DC) Maralinga* Marion (C) Mid Murray Mitcham (C) Mount Barker (DC) Mount Gambier (C) Mount Remarkable (DC) Murray Bridge Naracoorte Lucindale Northern Areas * RAM RAL Goyder Nipapanha 8 489 RAM Council Name 4 866 19 402 2 951 25 216 29 864 65 315 8 511 84 142 110 8 385 12 043 4 820 13 658 2 469 1 125 1 193 4 612 35 683 8 652 4 285 No. ACLG category Populationa 2 974 - 4 531 1 824 3 412 27 593 76 6 252 56 - 932 7 964 4 755 1 273 3 351 3 966 4 409 4 434 14 1 924 6 688 sq km 2 197 10 1 614 974 2 064 198 724 395 3 381 470 147 955 2 315 1 378 1 453 741 1 716 1 298 1 363 171 1 598 3 247 km Council Total Road Area Length 361 001 1 7391 430 739 405 333 324 849 337 433 1 535 791 671 787 576 186 835 194 46 905 220 635 1 424 421 361 502 356 029 223 735 268 726 492 849 1 152 772 330 665 481 435 600 620 $ Local Roads grant 1 481 218 43 353 2 170 094 3 291 932 1 787 751 2 072 457 2 117 453 1 943 931 3 396 908 2 474 032 131 474 1 113 866 4 424 650 735 377 622 046 814 536 1 146 314 1 588 386 2 523 748 1 025 665 1 236 856 2 916 237 $ Total grant 230.21 316.61 204.90 148.78 495.73 68.81 19.48 # 19.48 # 331.42 19.48 # 768.81 106.53 249.13 77.57 19.48 # 239.29 780.08 918.30 297.26 19.48 # 87.31 540.40 $ per capita General Purpose grant # 2010 –11 actual entitlement 164.32 1 739.10 266.88 416.15 157.39 1 704.21 2 121.26 1 700.73 170.42 1 777.01 319.08 231.03 615.30 262.34 245.03 301.94 156.60 379.70 845.76 1 933.71 301.27 184.98 $ per km Local Roads grant 1 221 036 26 957 1 895 897 3 081 327 1 594 563 1 891 176 609 884 1 311 869 3 074 587 1 705 398 87 808 973 621 3 270 249 407 524 279 260 583 378 956 571 1 164 732 1 370 976 717 382 823 409 2 524 022 $ General Purpose grant 375 056 18 124 563 910 421 926 338 130 567 698 1 589 402 697 826 600 255 870 238 48 881 418 628 1 301 362 377 238 373 344 232 791 279 845 315 018 1 014 390 343 080 312 683 625 016 $ Local Roads grant $ Total grant 1 596 092 45 081 2 459 807 3 503 253 1 932 693 2 458 874 2 199 286 2 009 695 3 674 842 2 575 636 136 689 1 392 249 4 571 611 784 762 652 604 816 169 1 236 416 1 479 750 2 385 366 1 060 462 1 136 092 3 149 038 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report UDM UFV RAS RTL RTL RAM UFL UDL URS URS RAV UDS RAL RAS URS UDV RAM RAM RAL UDL RAM Norwood Payneham and St Peters (C) Onkaparinga Orroroo/ Carrieton (DC) Outback Areas Community Developm’t Trust* Outback Communities Authority Peterborough (DC) Playford (C) Port Adelaide Enfield (C) Port Augusta (C) Port Lincoln (C) Port Pirie Prospect (C) Renmark Paringa (DC) Robe (DC) Roxby Downs (M) Salisbury (C) Southern Mallee (DC) Streaky Bay (DC) Tatiara (DC) Tea Tree Gully (C) Tumby Bay (DC) Council Name ACLG category 2 757 1 00 155 7 118 2 181 2 189 130 022 4 484 1 480 9 882 20 910 18 076 14 593 14 669 111 455 77 469 1 973 - 3 690 938 160 404 36 128 No. Populationa 2 670 95 6 525 6 241 5 702 158 109 1 098 900 8 1 783 32 1 189 94 344 3 006 - - 3 306 519 15 sq km 1 108 586 1 932 1 729 1 335 744 38 434 495 87 1 173 157 408 664 776 1 230 - - 1 627 1 436 157 km Council Total Road Area Length 233 959 1 011 136 854 475 409 375 358 168 1 304 893 64 268 96 915 201 534 182 351 388 332 199 900 259 923 1 140 538 1 050 693 247 346 - - 227 032 2 215 362 321 390 $ Local Roads grant 784 514 2 961 860 2 710 688 1 683 208 1 394 152 9 029 382 151 603 125 741 2 361 038 589 616 4 230 303 1 067 101 3 147 692 3 311 352 8 635 979 144 7397 - 1 312 312 995 985 8 390 749 1 025 057 $ Total grant 199.69 19.48 # 260.78 584.06 473.27 59.41 19.48 # 19.48 # 218.53 19.48 # 212.55 59.43 196.86 19.48 # 97.91 608.24 - 355.64 819.78 38.50 19.48 # $ per capita General Purpose grant # 2010 –11 actual entitlement 211.15 1725.49 442.27 236.77 268.29 1 753.89 1 691.26 223.31 407.14 2 095.99 331.06 1 273.25 637.07 1 717.68 1 353.99 201.09 - - 139.54 1 542.73 2 047.07 $ per km Local Roads grant 542 297 2 008 842 2 023 272 1 388 478 1 084 744 7 338 261 89 426 29 995 2 353 859 421 467 4 075 442 945 249 2 844 453 2 261 742 7 697 165 1 298 110 1 362 573 - 838 159 5 990 126 728 865 $ General Purpose grant 243 363 1 053 491 522 246 900 614 372 518 1 366 003 66 178 101 009 208 643 189 479 404 157 207 711 270 034 1 189 984 1 629 635 229 167 - - 611 251 2 129 480 334 135 $ Local Roads grant $ Total grant 785 660 3 062 333 2 545 518 2 289 092 1 457 262 8 704 264 155 604 131 004 2 562 502 610 946 4 479 599 1 152 960 3 114 487 3 451 726 9 326 800 1 527 277 1 362 573 - 1 449 410 8 119 606 1 063 000 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 215 216 UDM URS RAL UDS RAV UDM URS RAS RTX RAM RAV Council Name Unley (C) Victor Harbor (C) Wakefield Walkerville (M) Wattle Range West Torrens (C) Whyalla (C) Wudinna (DC) Yalata Yankalilla (DC) Yorke Peninsula (DC) RAL URS URS URS RAM RAL UFM RAV URS RAL RAS RAL RAM Break O’Day (M) Brighton (M) Burnie (C) Central Coast (M) Central Highlands (M) Circular Head (M) Clarence (C) Derwent Valley (M) Devonport (C) Dorset (M) Flinders (M) George Town (M) Glamorgan Spring Bay (M) Tasmania ACLG category 4 500 6 830 897 7 377 25 518 10 036 52 140 8 300 2 324 21 732 19 877 15 807 6 410 11 736 4 577 104 1 345 23 028 55 620 12 554 7 338 6 756 13 608 38 465 No. Populationa 2 587 653 1 994 3 223 111 4 103 377 4 891 7 976 931 610 171 3 521 5 928 757 - 5 369 1 072 37 3 946 4 3 462 386 14 sq km 354 273 385 739 249 330 456 769 752 663 346 171 547 3 884 543 64 1 707 280 290 2 456 35 2 682 376 164 km Council Total Road Area Length 901 839 709 536 551899 1 469 552 1 092 200 604 225 1 516 980 1 449 078 1 053 856 1 761 247 1 152 212 486 208 1 283 825 727 188 134 380 37 764 350 587 356 890 534 226 491 605 67 926 686 707 222 254 339 321 $ Local Roads grant 1 107 024 1 590 028 1 139 737 2 880 994 1 942 893 1 701 130 2 530 536 2 428 981 1 790 139 3 723 401 2 269 719 1 607 881 2 264 252 2 005 241 241 557 183 447 1 614 546 4 543 255 1 617 540 1 949 774 210 848 2 084 184 487 298 1 088 506 $ Total grant 45.60 128.92 655.34 191.33 33.34 109.30 19.44 118.06 316.82 90.29 56.22 70.96 152.95 108.90 23.42 1 400.80 939.75 181.79 # 19.48 # 116.15 19.48 # 206.85 19.48 # 19.48 # $ per capita General Purpose grant # 2010 –11 actual entitlement 2 547.57 2 599.03 1 433.50 1 988.57 340 272 908 362 630 088 1 438 504 828 957 1 216 054 1 830.98 4 386.35 1 056 702 891 669 731 983 2 101 693 1 341 650 1 107 301 1 026 231 1 385 313 105 569 151 263 1 304 387 4 123 569 1 121 695 1 589 405 147 938 1 523 250 279 001 774 177 $ General Purpose grant 3 326.71 1 884.37 1 401.40 2 656.48 3 330.09 2 843.32 2 347.03 187.23 247.48 590.06 205.38 1 274.61 1 842.16 200.16 1 940.74 256.04 591.10 2 069.03 $ per km Local Roads grant 869 727 732 872 588 041 1 502 793 1 236 791 631 875 1 585 203 1 491 826 1 099 445 1 826 945 1 177 548 500 139 1 322 524 756 529 140 366 39 355 365 536 370 661 554 807 511 059 70 554 465 593 234 153 425 279 $ Local Roads grant $ Total grant 1 209 999 1 641 234 1 218 129 2 941 297 2 065 748 1 847 929 2 641 905 2 383 495 1 831 428 3 928 638 2 519 198 1 607 440 2 348 755 2 141 842 245 935 190 618 1 669 923 4 494 230 1 676 502 2 100 464 218 492 1 988 843 513 154 1 199 456 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report ACLG category UFM UCC RAV RAL RAS UFM RAL URM RAV RAV RAV RAL RAM RAV RAL UFS Council Name Glenorchy (C) Hobart (C) Huon Valley (M) Kentish (M) King Island (M) Kingborough (M) Latrobe (M) Launceston (C) Meander Valley (M) Northern Midlands (M) Sorell (M) Southern Midlands (M) Tasman (M) Waratah Wynyard (M) West Coast (M) West Tamar (M) 22 223 5 242 14 117 2 374 6 054 13 127 12 602 19 547 65 548 9 616 33 464 1 700 6 281 15 134 49 887 44 628 No. Populationa 690 9 574 3 526 659 2 611 583 5 126 3 320 1 411 600 719 1 094 1 155 5 497 78 121 sq km 454 195 529 257 803 396 982 846 732 286 534 436 443 775 312 311 km Council Total Road Area Length 1 018 439 596 830 1 132 732 415 939 1 183 808 825 510 2 016 571 1 882 681 2 701 310 687 674 1 185 124 641 749 915 430 1 140 806 1 803 697 1 433 976 $ Local Roads grant 2 515 758 1 907 290 2 922 614 844 669 2 757 170 2 241 747 3 525 399 3 799 695 3 975 505 1 497 820 1 835 636 1 186 650 2 352 726 2 812 442 2 773 456 2 301 505 $ Total grant 67.38 249.99 126.79 180.59 259.89 107.89 119.73 98.07 19.44 # 84.25 19.44 # 320.53 228.83 110.46 19.44 # 19.44 # $ per capita General Purpose grant # 2010 –11 actual entitlement 2 243.26 3 060.67 2 141.27 1 618.44 1 474.23 2 084.62 2 053.53 2 225.39 3 690.31 2 404.45 2 219.33 1 471.90 2 066.43 1 472.01 5 781.08 4 610.86 $ per km Local Roads grant 1 346 705 1 273 111 1 850 372 535 682 1 591 522 1 719 323 1 500 056 1 934 900 1 589 871 714 058 682 130 577 076 1 449 393 1 503 022 999 670 892 632 $ General Purpose grant 1 056 883 614 402 1 190 228 434 424 1 228 915 881 242 2 097 612 1 950 191 2 817 068 705 247 1 225 040 670 551 980 876 1 232 587 1 930 590 1 470 447 $ Local Roads grant $ Total grant 2 403 588 1 887 513 3 040 600 970 106 2 820 437 2 600 565 3 597 668 3 885 091 44 06 939 1 419 305 1 907 170 1 247 627 2 430 269 2 735 609 2 930 260 2 363 079 2011–12 estimated entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. Appendix D 217 218 RTL RAS RTL RAS UCC RTL URS RAV RTL UFS RTL RTM n/a RTL UFS RTL Alice Springs Barkly* Belyuen* Central Desert* Coomalie Darwin East Arnhem* Katherine Litchfield MacDonnell* Palmerston Roper Gulf* Tiwi Islands* Trust Account Victoria – Daly* Wagait West Arnhem* 6 862 335 6 924 - 2 546 6 962 29 587 7 200 19 001 10178 9 967 76 530 1 306 4 782 207 8 143 28 105 No. 49 698 6 167 575 - 7 501 185 176 56 268 784 3 072 7 421 33 302 142 1 512 282 090 42 322 693 327 sq km 1 065 620 51 309 1 405 409 1 116 985 810 952 873 595 654 636 745 940 2 232 003 561 449 1 032 648 1 780 967 377 495 793 574 30 169 438 812 887 472 $ Local Roads grant 2 070 888 60 337 2 658 796 1 116 985 1 032 265 2 438 943 1 252 786 2 495 052 2 616 140 972 163 3 673 738 3 328 149 403 898 1 845 780 46 572 1 993 379 1 586 736 $ Total grant 146.50 26.95 181.02 - 86.93 224.84 20.22 # 242.93 20.22 # 40.35 264.98 20.22 # 20.22 # 220.03 79.24 190.91 24.88 $ per capita General Purpose grant # 903.83 3 946.85 1 249.25 513.56 876.70 937.33 3 273.18 433.43 2 825.32 3 119.16 834.13 3 590.66 2 301.80 375.75 359.15 706.62 3 507.79 $ per km Local Roads grant 1 091 829 6 824 1 312 779 - 268 986 1 667 251 625 616 1 800 604 402 973 373 982 2 795 405 1 604 322 27 441 1 070 006 23178 1 610 635 580 939 $ General Purpose grant 1 085 371 52 260 1 454 449 1 177 632 825 984 898 900 713 561 958 302 2 269 352 571 857 1 051 789 1 843 248 384 493 816 165 30 728 451 574 908 621 $ Local Roads grant $ Total grant 2 177 200 59 084 2 767 228 1 177 632 1 094 970 2 566 151 1 339 177 2 758 906 2 672 325 945 839 3 847 194 3 447 570 411 934 1 886 171 53 906 2 062 209 1 489 560 2011–12 estimated entitlement C = CityS= Shire# = Minimum Grant DC = District Council CG = Community Government M = Municipal T = Town B = Borough RC = Regional City R = Regional Bd = Board n/a = not applicable * = Indigenous local governing body 1 179 13 1 125 2 175 925 932 200 1 721 790 180 1 238 496 164 2 112 84 621 253 km Council Total Road Area Length Population estimates are as at 31 December 2009 URS Northern Territory Council Name Key to symbols in Table D.1 a ACLG category Populationa 2010 –11 actual entitlement Table D.1: Distribution of financial assistance grants to local governing bodies by classification and population 2010 –11 and 2011–12 cont. 2010–11 Local Government National Report APPENDIX E Ranking of local governing bodies on a relative needs basis 2010 –11 Councils often compare the grant they receive with the grants of other councils in their state and assume that if another council gets a similar sized grant, then both councils have been assessed as having similar relative needs. Such an assumption can be incorrect. In determining the allocation of general purpose grants and the local road grants to councils, local government grants commissions implicitly determine a ranking for each council in their state on the basis of relative needs. A comparison of councils on the basis of relative needs is preferred to a comparison on the basis of the actual grant they receive. In this appendix, the grant per capita is used as the basis for comparing relative need for the general purpose grants. For local road grants, allocation of grants for each council is divided by their length of local roads to obtain a relative expenditure needs measure. In tables E.1 to E.7, councils within a state are sorted on the value of: • the general purpose grant per capita • the local road grants per kilometre. For each council, the table gives the ranking obtained for both grants. Each council’s Australian Classification of Local Government (ACLG) category is also provided (see Appendix F). Councils are ranked from the council in the greatest assessed relative need to the council in the least assessed relative need. For each state and the Northern Territory, the position of the average general purpose grant per capita and the average local road grant per kilometre are also shown within the ranking of councils. These state averages are taken from Tables 2.9 and 2.10 except in Western Australia and South Australia where special local road grants have been excluded from the local road grant per kilometre calculation for each council and the state average. Councils should use these rankings when comparing their financial assistance grants with those other councils in their state. For instance, Appendix D shows that in Victoria, Banyule City Council received $3 404 594 in general purpose grants in 2010 –11 while Frankston 219 2010–11 Local Government National Report City Council received $7 458 726. This translates in to Banyule’s grant being $27.56 per capita, while Frankston’s grant $58.01. This suggests that while the two councils have similar populations and similar locations, the Victorian Grants Commission has assessed Frankston City as having the greater relative need. In Table E.2, Frankston is shown to rank 54th among Victoria’s councils for general purpose grants while Banyule is ranked 64th. Key to symbols used in Tables E.1 to E.7. See Appendix F for a full explanation. RAL Rural Agricultural Large RAM Rural Agricultural Medium RAS Rural Agricultural Small RAV Rural Agricultural Very Large RSG Rural Significant Growth RTL Rural Remote Large RTM Rural Remote Medium RTS Rural Remote Small RTX Rural Remote Extra Small UCC Urban Capital City UDL Urban Developed Large UDM Urban Developed Medium UDS Urban Developed Small UDV Urban Developed Very Large UFL Urban Fringe Large UFM Urban Fringe Medium UFS Urban Fringe Small UFV Urban Fringe Very Large URL Urban Regional Large URM Urban Regional Medium URS Urban Regional Small URV Urban Regional Very Large 220 Hay (S) Bland (S) Lord Howe Island (Bd) Wakool (S) Walgett (S) Warren (S) Coonamble (S) Coolamon (S) Bombala Murrumbidgee (S) Wentworth (S) 15 16 17 18 19 20 21 22 23 24 25 Weddin (S) Cobar (S) 26 Tibooburra (VC) Bogan (S) 9 14 Balranald (S) 8 13 Jerilderie (S) 7 Silverton Village (VC) Carrathool (S) 6 12 Bourke (S) 5 Lachlan (S) Brewarrina (S) 4 11 Conargo (S) 3 Lockhart (S) Urana (S) 2 10 Central Darling (S) RAM RAL RAM RAM RAM RAM RAM RAL RAM RTX RAL RAM RTL RTX RTX RAL RAM RAM RAM RAS RAM RAM RAS RAS RAS RTM Classification 366.60 369.93 376.88 378.52 383.76 404.00 405.56 419.53 428.93 451.42 459.80 463.11 472.92 478.51 478.51 503.81 508.21 511.36 599.98 612.04 651.19 684.37 703.27 714.12 749.22 1 041.98 $ per capita 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Rank Fairfield (C) Holroyd (C) Lane Cove (M) Ryde (C) Bankstown (C) Willoughby (C) Kogarah (C) Hurstville (C) Parramatta (C) Auburn (C) Manly Rockdale (C) Marrickville Burwood Woollahra (M) Leichhardt (M) Canada Bay (C) Strathfield (M) Botany Bay (C) North Sydney Canterbury (C) Ashfield (M) Queanbeyan (C) Randwick (C) Waverley Sydney (C) Council name UDV UDL UDM UDL UDV UDM UDM UDL UDV UDL UDM UDL UDL UDM UDM UDM UDL UDM UDM UDM UDV UDM URM UDV UDM UCC Classification Roads Grant Council name General Purpose Grant 1 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.1: New South Wales councils ranked by financial assistance grant funding 2010 –11 2 496.25 2 513.29 2 533.48 2 552.03 2 562.91 2 595.29 2 629.92 2 633.93 2 637.99 2 657.02 2 665.71 2 720.18 2 745.36 2 761.44 2 761.62 2 773.28 2 797.48 2 850.38 2 867.07 2 871.72 2 939.81 2 979.85 2 981.91 3 010.27 3 440.81 3 553.78 $ per km Appendix E 221 222 Narrandera (S) Harden (S) Warrumbungle (S) Narromine (S) Tenterfield (S) Tumbarumba (S) Gwydir (S) Berrigan (S) Gilgandra (S) Boorowa Greater Hume (S) Forbes (S) Murray (S) Temora (S) Deniliquin Snowy River (S) Narrabri (S) Junee (S) Guyra (S) Gundagai (S) Upper Lachlan (S) Wellington Corowa (S) Glen Innes Severn Cootamundra (S) Walcha Oberon 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 RAL RAM RAL RAL RAV RAL RAL RAM RAM RAL RAV RAL URS RAL RAL RAL RAV RAM RAM RAL RAL RAM RAL RAL RAV RAM RAL Classification 227.42 230.96 232.59 236.28 237.39 244.13 249.05 251.13 252.27 253.02 254.02 254.99 255.10 274.88 278.72 280.69 303.77 306.37 311.23 319.70 324.32 324.73 327.14 327.63 335.86 343.88 347.39 $ per capita 53 52 51 50 49 48 47 46 45 44 43 42 41 40 39 38 37 36 35 34 33 32 31 30 29 28 27 Rank Port Macquarie-Hastings Wyong (S) Byron (S) Lake Macquarie (C) Ballina (S) Gosford (C) Penrith (C) Hills (S) Shellharbour (C) Camden Broken Hill (C) Newcastle (C) Tweed (S) Hunters Hill (M) Orange (C) Ku-ring-gai Hornsby (S) Pittwater Liverpool (C) Blacktown (C) Wollongong (C) Sutherland (S) Campbelltown (C) Albury (C) Coffs Harbour (C) Warringah Mosman (M) Council name URL UFV URM URV URM UFV UFV UFV URM UFM URS URV URL UDS URM UDL UFV UDM UFV UDV URV UDV UFV URM URL UDV UDS Classification Local Roads Grant Council name General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.1: New South Wales councils ranked by financial assistance grant funding 2010 –11 cont. 1 888.34 1 922.34 1 929.85 1 931.50 1 959.90 2 020.91 2 045.39 2 069.81 2 107.15 2 116.51 2 130.13 2 156.12 2 167.39 2 181.00 2 200.82 2 202.80 2 232.56 2 252.57 2 259.10 2 288.90 2 295.17 2 309.33 2 321.44 2 339.64 2 387.19 2 418.79 2 479.92 $ per km 2010–11 Local Government National Report Parkes (S) Leeton (S) Moree Plains (S) Broken Hill (C) Tumut (S) Cowra (S) Blayney (S) Gunnedah (S) Uralla (S) Inverell (S) Bellingen (S) Young (S) Cabonne Upper Hunter (S) Lithgow (C) Mid-Western Regional Dungog (S) Muswellbrook (S) Bega Valley (S) Richmond Valley Clarence Valley 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 Kempsey (S) Liverpool Plains (S) 57 80 Cooma-Monaro (S) 56 Great Lakes Gloucester (S) 55 79 Kyogle 54 URS URM URM URS URM RAV RAL URS URS RAV RAV RAV RAV RAV RAL RAV RAL RAV RAV URS RAV RAV RAV RAL RAV RAL RAL Classification 124.70 134.05 136.72 137.30 143.55 144.59 144.98 153.24 154.39 159.24 164.22 167.42 169.64 187.50 192.80 194.55 195.98 201.79 203.08 209.85 211.67 214.42 218.71 219.75 221.49 223.92 225.07 $ per capita 80 79 78 77 76 75 74 73 72 71 70 69 68 67 66 65 64 63 62 61 60 59 58 57 56 55 54 Rank Dungog (S) Wagga Wagga (C) Kyogle Dubbo (C) Clarence Valley Richmond Valley Muswellbrook (S) Bathurst Regional Greater Taree (C) Bega Valley (S) Singleton Great Lakes Wingecarribee (S) Kempsey (S) Bellingen (S) Eurobodalla (S) Lismore (C) Nambucca (S) Deniliquin Wollondilly (S) Cessnock (C) Hawkesbury (C) Port Stephens Blue Mountains (C) Shoalhaven (C) Kiama (M) Maitland (C) Council name RAL URM RAL URM URM URS RAV URM URM URM URS URM URM URS RAV URM URM RAV URS UFM URM UFM URM UFL URL URS URM Classification Local Roads Grant Council name General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.1: New South Wales councils ranked by financial assistance grant funding 2010 –11 cont. 1 284.10 1 298.39 1 304.97 1 329.13 1 333.74 1 339.08 1 340.58 1 400.62 1 405.92 1 414.85 1 417.52 1 454.20 1 488.00 1 489.95 1 490.59 1 493.26 1 538.47 1 551.91 1 632.06 1 643.75 1 644.40 1 704.93 1 705.74 1 710.49 1 752.83 1 801.27 1 826.60 $ per km Appendix E 223 224 Orange (C) Singleton Blue Mountains (C) Port Macquarie-Hastings 96 97 98 99 Lake Macquarie (C) Port Stephens Wyong (S) 106 107 108 UFV URM URV URL URV URL URM URL URL UFL URS URM URM Greater Taree (C) 95 URM URM State average Cessnock (C) 94 URV Albury (C) 93 URM Wollongong (C) Lismore (C) 92 URS Coffs Harbour (C) Griffith (C) 91 RAV 105 Palerang 90 RAV URM 104 Yass Valley 89 Newcastle (C) Tamworth Regional 88 URS 103 Goulburn Mulwaree 87 URM Tweed (S) Wagga Wagga (C) 86 URM 102 Bathurst Regional 85 URS Maitland (C) Armidale Dumaresq 84 URM URM 101 Dubbo (C) 83 Shoalhaven (C) Eurobodalla (S) 82 RAV 100 Nambucca (S) 81 Classification 57.63 60.88 64.03 64.97 65.15 67.69 70.84 71.73 75.01 76.13 78.04 84.93 86.29 92.49 92.54 98.44 98.68 102.36 102.99 103.55 105.62 106.12 106.28 106.90 107.24 108.74 119.91 122.31 122.95 $ per capita 108 107 106 105 104 103 102 101 100 99 98 97 96 95 94 93 92 91 90 89 88 87 86 85 84 83 82 81 Rank Wakool (S) Cabonne Liverpool Plains (S) Tenterfield (S) Gunnedah (S) Inverell (S) Uralla (S) Leeton (S) Gundagai (S) Snowy River (S) Cowra (S) Cooma-Monaro (S) Young (S) Upper Hunter (S) Blayney (S) Mid-Western Regional Tumbarumba (S) Yass Valley Glen Innes Severn Cootamundra (S) Griffith (C) Palerang Tamworth Regional Gloucester (S) Lithgow (C) Tumut (S) RAM RAV RAL RAL RAV RAV RAL RAV RAM RAL RAV RAV RAV RAV RAL URS RAM RAV RAL RAL URS RAV URM RAL URS RAV URS State average Goulburn Mulwaree URS Classification Armidale Dumaresq Council name Local Roads Grant Council name General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.1: New South Wales councils ranked by financial assistance grant funding 2010 –11 cont. 967.50 969.36 970.10 970.78 982.79 989.88 999.37 1 001.63 1 008.73 1 020.78 1 022.56 1 029.00 1 030.87 1 037.34 1 041.43 1 051.23 1 056.76 1 058.01 1 073.05 1 093.44 1 099.48 1 102.94 1 185.69 1 199.58 1 209.71 1 220.50 1 245.47 1 263.60 1 280.26 $ per km 2010–11 Local Government National Report Queanbeyan (C) Wingecarribee (S) Ballina (S) Blacktown (C) Penrith (C) Fairfield (C) Hawkesbury (C) Byron (S) Gosford (C) Wollondilly (S) Kiama (M) Parramatta (C) Marrickville Liverpool (C) Auburn (C) Canterbury (C) Holroyd (C) Bankstown (C) Camden Sydney (C) Ashfield (M) Waverley Botany Bay (C) 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 Hunters Hill (M) Campbelltown (C) 110 134 Shellharbour (C) 109 UDS UDM UDM UDM UCC UFM UDV UDL UDV UDL UFV UDL UDV URS UFM UFV URM UFM UDV UFV UDV URM URM URM UFV URM Classification 19.49 19.78 23.49 24.45 25.46 26.12 28.66 30.68 31.65 31.84 32.67 34.15 38.36 39.17 40.35 40.65 43.52 45.58 46.41 49.94 50.69 50.95 52.87 54.01 54.42 56.74 $ per capita 134 133 132 131 130 129 128 127 126 125 124 123 122 121 120 119 118 117 116 115 114 113 112 111 110 109 Rank Narromine (S) Gwydir (S) Coonamble (S) Boorowa Gilgandra (S) Lockhart (S) Warren (S) Walgett (S) Warrumbungle (S) Temora (S) Berrigan (S) Oberon Moree Plains (S) Narrabri (S) Upper Lachlan (S) Guyra (S) Harden (S) Parkes (S) Wellington Junee (S) Forbes (S) Greater Hume (S) Murray (S) Corowa (S) Walcha Bombala Council name RAL RAL RAM RAM RAM RAM RAM RAL RAV RAL RAL RAL RAV RAV RAL RAM RAM RAV RAL RAL RAL RAV RAL RAV RAM RAM Classification Local Roads Grant Council name General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.1: New South Wales councils ranked by financial assistance grant funding 2010 –11 cont. 889.61 892.15 892.96 898.89 905.25 907.36 907.91 908.40 912.17 913.93 916.21 919.66 925.48 925.50 932.56 933.81 935.52 937.85 940.94 941.95 945.41 950.38 951.80 955.31 962.77 965.72 $ per km Appendix E 225 226 Mosman (M) Burwood Lane Cove (M) Strathfield (M) Pittwater Woollahra (M) Leichhardt (M) North Sydney Manly Ryde (C) Canada Bay (C) Kogarah (C) Rockdale (C) Warringah Ku-ring-gai Randwick (C) Hills (S) Hornsby (S) Sutherland (S) Hurstville (C) Willoughby (C) 134 134 134 134 134 134 134 134 134 134 134 134 134 134 134 134 134 134 134 134 134 UDM UDL UDV UFV UFV UDV UDL UDV UDL UDM UDL UDL UDM UDM UDM UDM UDM UDM UDM UDM UDS 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 19.49 $ per capita 155 154 153 152 151 150 149 148 147 146 145 144 143 142 141 140 139 138 137 136 135 Rank Tibooburra (VC) Silverton Village (VC) Lord Howe Island (Bd) Central Darling (S) Balranald (S) Carrathool (S) Conargo (S) Lachlan (S) Bland (S) Bourke (S) Urana (S) Cobar (S) Jerilderie (S) Coolamon (S) Brewarrina (S) Murrumbidgee (S) Bogan (S) Wentworth (S) Hay (S) Weddin (S) Narrandera (S) Council name RTX RTX RTX RTM RAM RAM RAS RAL RAL RAM RAS RTL RAS RAM RAS RAM RAM RAL RAM RAM RAL Classification Local Roads Grant Classification General Purpose Grant Council name Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.1: New South Wales councils ranked by financial assistance grant funding 2010 –11 cont. 0.00 0.00 0.00 832.18 836.48 841.85 845.36 848.84 849.01 850.45 852.55 857.30 857.45 857.69 861.68 874.48 875.89 877.07 879.41 881.02 886.59 $ per km 2010–11 Local Government National Report Mansfield Moyne (S) East Gippsland (S) Corangamite (S) Murrindindi (S) Swan Hill (RC) Moira (S) Glenelg (S) Alpine (S) Central Goldfields (S) Hepburn (S) South Gippsland (S) Horsham (RC) Indigo (S) 15 16 17 18 19 20 21 22 23 24 25 26 Ararat (RC) 9 14 Northern Grampians (S) 8 13 Yarriambiack (S) 7 Southern Grampians (S) Towong (S) 6 12 Hindmarsh (S) 5 Gannawarra (S) Pyrenees (S) 4 11 Buloke (S) 3 Strathbogie (S) Loddon (S) 2 10 West Wimmera (S) Council name RAV URS URS RAV RAV RAV URS URS URS RAV RAV URM RAV RAL RAV RAV RAL RAV RAV RAL RAL RAL RAL RAL RAL RAM Classification 159.65 163.26 166.17 170.18 173.47 175.53 177.58 178.22 178.43 195.30 198.51 201.04 203.27 207.29 209.85 240.97 244.04 249.95 282.52 335.89 340.98 379.05 383.78 408.61 460.33 556.18 $ per capita 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Rank Casey (C) Wyndham (C) Moonee Valley (C) East Gippsland (S) Maroondah (C) Latrobe (C) South Gippsland (S) Hobsons Bay (C) Banyule (C) Maribyrnong (C) Whittlesea (C) Melton (S) Darebin (C) Frankston (C) Moreland (C) Hume (C) Brimbank (C) Port Phillip (C) Wodonga Cardinia (S) Yarra (C) Greater Dandenong (C) Warrnambool (C) Yarra Ranges (S) Kingston (C) Melbourne (C) Council name UDV UFV UDL URM UDL URL URS UDL UDV UDL UFV UFL UDV UDV UDV UFV UDV UDL URM UFM UDL UDV URM UFV UDV UCC Classification Local Roads Grant General Purpose Grant 1 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.2: Victorian councils ranked by financial assistance grant funding 2010 –11 1 404.72 1 415.88 1 421.97 1 424.53 1 429.21 1 429.86 1 434.81 1 462.55 1 490.45 1 540.85 1 563.00 1 566.84 1 596.22 1 602.93 1 621.85 1 628.19 1 644.12 1 646.43 1 646.95 1 662.90 1 666.13 1 864.71 1 900.52 1 911.56 1 922.32 2 900.47 $ per km Appendix E 227 228 Benalla Colac Otway (S) Mildura (RC) Mount Alexander (S) Wangaratta (RC) Bass Coast (S) Moorabool (S) Baw Baw (S) Mitchell (S) Latrobe (C) Greater Shepparton (C) Greater Bendigo (C) Macedon Ranges (S) Wodonga Ballarat (C) Cardinia (S) Melton (S) Warrnambool (C) Surf Coast (S) Greater Geelong (C) Greater Dandenong (C) Yarra Ranges (S) State average 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 Wyndham (C) Golden Plains (S) 29 52 UFV Campaspe (C) 28 UFV UDV URV UFS URM UFL UFM URL URM URM URL URM URL URM URM URS UFS URS RAV URM URS RAV RAV URM URM Wellington (S) Classification Council name 27 63.73 65.19 65.96 66.69 73.15 74.35 84.49 85.74 87.57 90.40 97.75 98.09 108.08 115.32 117.43 123.01 124.42 127.41 130.55 138.56 139.54 152.07 152.36 152.98 157.44 157.98 158.63 $ per capita 53 52 51 50 49 48 47 46 45 44 43 42 41 40 39 38 37 36 35 34 33 32 31 30 29 28 27 Rank Towong (S) Corangamite (S) Glenelg (S) Queenscliffe (B) Mitchell (S) Surf Coast (S) Moorabool (S) Macedon Ranges (S) Moyne (S) Glen Eira (C) Bass Coast (S) Manningham (C) Whitehorse (C) Murrindindi (S) Bayside (C) Alpine (S) Mornington Peninsula (S) Boroondara (C) Greater Geelong (C) Wellington (S) Colac Otway (S) Baw Baw (S) Knox (C) Nillumbik (S) Ballarat (C) Monash (C) Stonnington (C) Council name RAL RAV URS UFS URM UFS URS URM RAV UDV UFS UDL UDV RAV UDL RAV UFV UDV URV URM URS URM UDV UFM URL UDV UDL Classification Local Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.2: Victorian councils ranked by financial assistance grant funding 2010–11 cont. 1 068.82 1 095.98 1 107.60 1 124.41 1 134.94 1 153.06 1 168.69 1 183.89 1 209.29 1 209.49 1 212.30 1 238.48 1 238.76 1 264.60 1 268.92 1 288.90 1 289.85 1 298.21 1 326.13 1 346.96 1 360.10 1 363.21 1 364.34 1 372.02 1 372.07 1 379.18 1 395.37 $ per km 2010–11 Local Government National Report Hume (C) Whittlesea (C) Casey (C) Knox (C) Maroondah (C) Maribyrnong (C) Moreland (C) Nillumbik (S) Banyule (C) Darebin (C) Mornington Peninsula (S) Manningham (C) Bayside (C) Moonee Valley (C) Hobsons Bay (C) Stonnington (C) Boroondara (C) Kingston (C) Melbourne (C) Whitehorse (C) 55 56 57 58 59 60 61 62 63 64 65 66 67 67 67 67 67 67 67 67 67 Monash (C) Queenscliffe (B) 54 67 Brimbank (C) Frankston (C) 53 Council name UDV UDV UCC UDV UDV UDL UDL UDL UDL UDL UFV UDV UDV UFM UDV UDL UDL UDV UDV UFV UFV UFS UDV UDV Classification 19.56 19.56 19.56 19.56 19.56 19.56 19.56 19.56 19.56 19.56 22.54 27.48 27.56 29.28 31.04 32.55 38.17 42.48 54.94 56.39 56.76 57.15 58.01 60.46 $ per capita 76 75 74 73 72 71 70 69 68 67 66 65 64 63 62 61 60 59 58 57 56 55 54 Rank Buloke (S) Hindmarsh (S) Swan Hill (RC) Mildura (RC) Loddon (S) Horsham (RC) Northern Grampians (S) West Wimmera (S) Indigo (S) Central Goldfields (S) Moira (S) Ararat (RC) Campaspe (C) Hepburn (S) Benalla Greater Bendigo (C) Pyrenees (S) Mount Alexander (S) Golden Plains (S) Southern Grampians (S) RAL RAL URS URM RAL URS RAV RAM RAV RAV URS RAV URM RAV RAV URL RAL RAV RAV RAV RAL State average Mansfield URM URS Classification Greater Shepparton (C) Wangaratta (RC) Council name Local Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.2: Victorian councils ranked by financial assistance grant funding 2010–11 cont. 361.73 444.04 521.87 613.05 620.36 622.26 672.24 758.94 805.65 844.90 848.86 869.45 875.20 909.29 912.20 929.98 944.22 989.86 991.36 1 020.49 1 032.53 1 048.44 1 056.30 1 063.90 $ per km Appendix E 229 230 Yarra (C) Port Phillip (C) Glen Eira (C) 67 67 Council name UDV UDL UDL Classification 19.56 19.56 19.56 $ per capita 79 78 77 Rank Strathbogie (S) Gannawarra (S) Yarriambiack (S) Council name RAL RAV RAL Classification Local Roads Grant General Purpose Grant 67 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.2: Victorian councils ranked by financial assistance grant funding 2010–11 cont. 0.00 0.00 350.27 $ per km 2010–11 Local Government National Report Barcaldine Flinders Carpentaria Torres Strait Island Lockhart River Mornington Blackall-Tambo Cook Longreach Aurukun Pormpuraaw Northern Peninsula Area Hope Vale 14 15 16 17 18 19 20 21 22 23 24 25 26 McKinlay 9 Paroo Quilpie 8 Richmond Winton 7 13 Burke 6 12 Boulia 5 Etheridge Croydon 4 11 Barcoo 3 Mapoon Aboriginal Council Bulloo 2 10 Diamantina Council name RTS RTM RTS RTM RTL RTL RTM RTM RTS RTL RTM RTM RTL RTM RTS RTS RTX RTS RTM RTM RTS RTS RTX RTX RTX RTX Classification 879.06 1 086.64 1 135.12 1 148.83 1 226.56 1 322.64 1 401.90 1 421.49 1 436.15 1 436.43 1 507.51 1 608.66 1 608.69 1 678.50 2 264.30 2 404.38 2 705.75 2 893.78 3 011.31 3 343.34 3 783.92 5 064.89 6 340.60 6 684.69 7 913.01 12 969.61 $ per capita 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Rank Whitsunday Gympie Toowoomba Scenic Rim Gladstone Torres Strait Island Cassowary Coast Lockyer Valley URM URM URV UFM URM RTL URS URM RTM State average Doomadgee URL URL RTL URL URL RTM URS URV URV UFV UFV URV UFV UFV URV UCC Classification Bundaberg Rockhampton Torres Fraser Coast Mackay Yarrabah Palm Island Sunshine Coast Cairns Ipswich Moreton Bay Townsville Logan Redland Gold Coast Brisbane Council name Roads Grant General Purpose Grant 1 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.3: Queensland councils ranked by financial assistance grant funding 2010–11 678.74 692.99 696.61 709.88 717.58 719.20 745.33 752.35 764.73 778.95 798.19 839.61 922.50 938.59 960.73 1 014.40 1 045.74 1 369.30 1 484.81 1 596.36 1 613.67 1 618.85 1 800.02 1 858.81 2 055.95 2 379.70 $ per km Appendix E 231 232 Cloncurry Murweh Kowanyama Wujal Wujal North Burnett Maranoa Balonne Torres Napranum Doomadgee Goondiwindi Western Downs Charters Towers Banana Palm Island Woorabinda Cherbourg Central Highlands Isaac South Burnett Yarrabah Tablelands Southern Downs Mount Isa Somerset Burdekin 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 Council name RAV UFS URS URM URM RTM URM URS URS URS RTS URS RAV RAV URM RAV RTM URS RTL RAM RAV RAV URS RTM RTL RTL Classification 94.66 99.17 117.59 156.02 156.24 190.28 192.46 219.70 234.45 262.65 300.02 311.41 320.57 375.86 390.90 458.91 613.46 654.04 662.89 686.43 715.54 720.25 753.94 825.00 847.26 860.58 $ per capita 51 50 49 48 47 46 45 44 43 42 41 40 39 38 37 36 35 34 33 32 31 30 29 28 27 26 Rank Maranoa Mornington Balonne North Burnett Charters Towers Kowanyama Banana Western Downs Goondiwindi Northern Peninsula Area Isaac Central Highlands Aurukun Mapoon Aboriginal Council Hope Vale South Burnett Mount Isa Tablelands Southern Downs Woorabinda Somerset Napranum Burdekin Cherbourg Hinchinbrook Wujal Wujal Council name RAV RTM RAM RAV RAV RTM RAV URM RAV RTM URS URS RTM RTX RTS URM URS URM URM RTS UFS URS RAV URS RAV URS Classification Roads Grant General Purpose Grant 27 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.3: Queensland councils ranked by financial assistance grant funding 2010–11 cont. 509.06 509.24 510.44 510.85 518.56 523.01 531.06 531.16 534.51 551.74 554.29 554.64 555.18 565.49 572.65 589.69 596.83 598.89 605.46 609.41 610.98 636.97 648.09 662.89 664.80 665.35 $ per km 2010–11 Local Government National Report Scenic Rim Bundaberg Lockyer Valley Fraser Coast Mackay Townsville Ipswich Cairns Logan Redland Sunshine Coast Moreton Bay Gold Coast Brisbane 60 61 62 63 64 65 66 67 68 69 70 71 72 72 State average Rockhampton Cassowary Coast 57 Toowoomba Gladstone 56 59 Gympie 55 58 URS Whitsunday 54 UCC URV UFV URV UFV UFV URV UFV URV URL URL URM URL URM URL URV URM URM URM RAV Hinchinbrook Classification Council name 53 19.60 19.60 20.74 20.92 21.10 21.44 21.76 22.36 25.88 37.98 48.76 55.90 56.23 56.52 58.22 62.93 65.34 66.21 74.01 79.59 80.10 88.15 $ per capita 73 72 71 70 69 68 67 66 65 64 63 62 61 60 59 58 57 56 55 54 53 52 Rank Bulloo Barcoo Diamantina Croydon Boulia Burke McKinlay Quilpie Winton Etheridge Richmond Flinders Paroo Barcaldine Blackall-Tambo Pormpuraaw Carpentaria Longreach Cook Murweh Cloncurry Lockhart River Council name RTX RTX RTX RTX RTS RTS RTS RTM RTM RTS RTS RTM RTM RTL RTM RTS RTM RTL RTL RTL RTL RTS Classification Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.3: Queensland councils ranked by financial assistance grant funding 2010–11 cont. 491.46 491.57 492.64 492.74 492.77 494.23 494.34 494.52 495.05 495.23 496.51 497.63 498.66 500.25 500.64 501.41 502.15 503.01 504.58 507.26 507.95 508.71 $ per km Appendix E 233 234 Mount Marshall (S) Wiluna (S) Meekatharra (S) Mukinbudin (S) Perenjori (S) Wyalkatchem (S) Tammin (S) Halls Creek (S) Shark Bay (S) Bruce Rock (S) Narembeen (S) 15 16 17 18 19 20 21 22 23 24 Koorda (S) 9 Laverton (S) Westonia (S) 8 14 Cue (S) 7 13 Nungarin (S) 6 Mount Magnet (S) Yalgoo (S) 5 12 Menzies (S) 4 Trayning (S) Upper Gascoyne (S) 3 11 Sandstone (S) 2 Ngaanyatjarraku (S) Murchison (S) 10 Council name 1 RAS RAS RTS RTL RAS RAS RAS RAS RTM RTS RAS RTS RTM RAS RTM RAS RAS RTX RAS RTX RTX RTX RTX RTX Classification 982.01 1 021.00 1 078.32 1 156.73 1 212.98 1 297.89 1 324.40 1 373.02 1 415.28 1 426.40 1 451.16 1 511.11 1 722.21 1 780.18 1 846.86 2 073.66 2 389.50 2 741.11 2 754.12 4 597.54 5 034.58 6 048.55 9 305.16 16 052.11 $ per capita 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Rank Armadale (C) East Fremantle (T) Gosnells (C) South Perth (C) Nedlands (C) Melville (C) Stirling (C) Joondalup (C) Cambridge (T) Cottesloe (T) Bayswater (C) Claremont (T) Victoria Park (T) Peppermint Grove (S) Belmont (C) Fremantle (C) Bassendean (T) Canning (C) Narrogin (T) Vincent (T) Subiaco (C) Wandering (S) Bunbury (C) Perth (C) Council name UFM UDS UDL UDM UDS UDL UDV UDV UDS UDS UDM UDS UDM UDS UDM UDS UDS UDL URS UDM UDS RAS URM UCC Classification Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.4: Western Australian councils ranked by financial assistance grant funding 2010–11 1 765.58 1 794.97 1 857.05 1 859.23 1 870.99 1 875.92 1 877.78 1 934.21 1 948.01 1 956.79 1 963.64 1 974.49 1 997.41 2 024.44 2 029.45 2 053.44 2 060.05 2 100.73 2 109.30 2 217.04 2 262.51 2 438.66 2 533.27 3 804.88 $ per km 2010–11 Local Government National Report Council name Dumbleyung (S) Wickepin (S) Woodanilling (S) Carnamah (S) Morawa (S) Dundas (S) Dowerin (S) Dalwallinu (S) Kellerberrin (S) Quairading (S) Broomehill - Tambellup (S) Derby-West Kimberley (S) Cuballing (S) Corrigin (S) Mingenew (S) Three Springs (S) Kulin (S) Coorow (S) Wongan-Ballidu (S) Kondinin (S) Kent (S) Exmouth (S) Cunderdin (S) Ashburton (S) Narrogin (S) Carnarvon (S) 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 RAL RAS RTL RAS RTM RAS RAS RAS RAS RAS RAS RAS RAS RAS RTL RAS RAS RAS RAS RAS RTM RAS RAS RAS RAS RAS Classification 483.42 493.20 494.98 511.25 517.62 540.62 543.78 553.56 576.86 581.82 584.61 585.17 619.48 632.95 637.16 640.16 685.18 696.46 714.63 775.55 785.50 810.05 813.14 816.09 861.60 958.89 $ per capita 50 49 48 47 46 45 44 43 42 41 40 39 38 37 36 35 34 33 32 31 30 29 28 27 26 25 Rank Augusta-Margaret River (S) Albany (C) Dardanup (S) Northam (S) Waroona (S) Kalgoorlie/Boulder (C) Brookton (S) Busselton (S) Serpentine-Jarrahdale (S) Capel (S) Chittering (S) Exmouth (S) Murray (S) Mundaring (S) Williams (S) Harvey (S) Geraldton-Greenough (C) Swan (S) Kalamunda (S) Cockburn (C) Rockingham (C) Kwinana (T) Roebourne (S) Wanneroo (C) Mandurah (C) Mosman Park (T) Council name RAL URM RSG RAV RAM URM RAS URM RSG RSG RAM RTM RSG UFM RAS URS URM UFL UFM UDL UDL UDS URS UFV UFM UDS Classification Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.4: Western Australian councils ranked by financial assistance grant funding 2010–11 cont. 1 035.70 1 043.41 1 063.49 1 077.84 1 078.78 1 126.39 1 154.09 1 179.61 1 182.36 1 205.16 1 268.29 1 270.44 1 318.57 1 410.48 1 435.79 1 452.98 1 457.66 1 500.82 1 586.32 1 634.10 1 668.00 1 669.95 1 721.11 1 738.89 1 743.18 1 755.95 $ per km Appendix E 235 236 Nannup (S) Pingelly (S) Lake Grace (S) East Pilbara (S) Wyndham-East Kimberley (S) Brookton (S) Wandering (S) Cranbrook (S) Wagin (S) Beverley (S) Jerramungup (S) Merredin (S) Gnowangerup (S) West Arthur (S) Goomalling (S) Yilgarn (S) Mullewa (S) Ravensthorpe (S) Victoria Plains (S) Leonora (S) Katanning (S) Kojonup (S) Chapman Valley (S) Moora (S) Bridgetown-Greenbushes (S) Narrogin (T) 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 Council name URS RAM RAM RAS RAM RAM RTM RAS RAM RAS RAS RAS RAS RAS RAM RAS RAS RAS RAS RAS RAS RTL RTL RAS RAS RAS Classification 190.12 193.46 198.69 205.70 220.63 236.27 254.24 261.62 267.12 285.90 293.37 308.17 309.78 310.33 325.44 331.42 342.64 347.42 367.58 405.60 413.35 416.38 418.32 424.18 452.03 480.88 $ per capita 75 74 73 72 71 70 69 68 67 66 65 64 63 62 61 60 59 58 57 56 55 54 53 52 51 Rank Shark Bay (S) Katanning (S) Corrigin (S) East Pilbara (S) Boddington (S) Carnarvon (S) Halls Creek (S) Denmark (S) RTS RAM RAS RTL RAS RAL RTL RAL RTM State average Dundas (S) RTM RAM RAM RAM RAM RAM RAS RAM RTL URS RAL URS RAS RAL RAM RAL Classification Ngaanyatjarraku (S) Irwin (S) York (S) Moora (S) Dandaragan (S) Gingin (S) West Arthur (S) Toodyay (S) Wyndham-East Kimberley (S) Port Hedland (T) Collie (S) Broome (S) Nannup (S) Donnybrook-Balingup (S) Bridgetown-Greenbushes (S) Manjimup (S) Council name Roads Grant General Purpose Grant 51 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.4: Western Australian councils ranked by financial assistance grant funding 2010–11 cont. 641.54 641.56 642.15 642.29 649.53 649.94 664.13 664.32 704.90 756.86 792.13 809.18 846.68 867.71 871.55 910.28 923.98 935.59 960.03 971.65 985.84 994.07 1 002.07 1 002.16 1 002.49 1 008.19 $ per km 2010–11 Local Government National Report York (S) Broome (S) Northam (S) Boddington (S) Dandaragan (S) Donnybrook-Balingup (S) Northampton (S) Toodyay (S) Port Hedland (T) Roebourne (S) Gingin (S) Denmark (S) Chittering (S) Irwin (S) Esperance (S) Coolgardie (S) Murray (S) Serpentine-Jarrahdale (S) Plantagenet (S) 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Williams (S) Waroona (S) 80 101 Manjimup (S) 79 Geraldton-Greenough (C) Boyup Brook (S) 78 100 Collie (S) Council name RAS URM RAM RSG RSG URS RAV RAM RAM RAL RAM URS URS RAM RAM RAL RAM RAS RAM URS RAM RAM RAL RAS RAL Classification 70.68 74.45 89.49 91.06 95.75 97.18 103.88 104.56 111.00 125.78 134.58 140.02 151.25 154.91 158.10 161.34 162.16 165.46 167.99 171.10 173.88 178.68 182.62 182.73 184.55 $ per capita 100 99 98 97 96 95 94 93 92 91 90 89 88 87 86 85 84 83 82 81 80 79 78 77 76 Rank Gnowangerup (S) Wyalkatchem (S) Cue (S) Ashburton (S) Koorda (S) Northampton (S) Carnamah (S) Wagin (S) Pingelly (S) Derby-West Kimberley (S) Quairading (S) Goomalling (S) Esperance (S) Cranbrook (S) Coorow (S) Merredin (S) Broomehill - Tambellup (S) Plantagenet (S) Beverley (S) Bruce Rock (S) Mount Magnet (S) Cunderdin (S) Mingenew (S) Boyup Brook (S) Cuballing (S) Council name RAS RAS RTX RTL RAS RAM RAS RAS RAS RTL RAS RAS RAV RAS RAS RAM RAS RAM RAS RAS RTM RAS RAS RAS RAS Classification Roads Grant General Purpose Grant 77 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.4: Western Australian councils ranked by financial assistance grant funding 2010–11 cont. 537.65 539.53 542.12 543.00 547.65 550.09 550.38 550.46 558.39 559.60 565.41 566.12 567.20 568.31 573.10 581.46 585.18 585.55 592.33 593.62 597.21 600.31 612.55 619.60 641.00 $ per km Appendix E 237 238 Mundaring (S) Dardanup (S) Albany (C) Harvey (S) Armadale (C) Kalgoorlie/Boulder (C) Peppermint Grove (S) Perth (C) Cambridge (T) Vincent (T) East Fremantle (T) Bayswater (C) Kalamunda (S) Cockburn (C) Bassendean (T) Kwinana (T) Belmont (C) Melville (C) Stirling (C) Wanneroo (C) Mandurah (C) South Perth (C) Cottesloe (T) Fremantle (C) 104 105 106 107 108 109 109 109 109 109 109 109 109 109 109 109 109 109 109 109 109 109 109 UDS UDS UDM UFM UFV UDV UDL UDM UDS UDS UDL UFM UDM UDS UDM UDS UCC UDS URM UFM URS URM RSG UFM State average 103 RSG Capel (S) 102 Classification Council name 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 31.95 38.65 47.92 48.22 56.41 62.49 65.31 67.98 $ per capita 126 125 124 123 122 121 120 119 118 117 116 115 114 113 112 111 110 109 108 107 106 105 104 103 102 101 Rank Mount Marshall (S) Kulin (S) Kondinin (S) Mullewa (S) Westonia (S) Chapman Valley (S) Woodanilling (S) Narembeen (S) Sandstone (S) Dowerin (S) Ravensthorpe (S) Narrogin (S) Mukinbudin (S) Nungarin (S) Dumbleyung (S) Tammin (S) Victoria Plains (S) Dalwallinu (S) Morawa (S) Coolgardie (S) Three Springs (S) Wickepin (S) Kellerberrin (S) Wongan-Ballidu (S) Kojonup (S) Trayning (S) Council name RAS RAS RAS RAS RAS RAS RAS RAS RTX RAS RAM RAS RAS RAS RAS RAS RAS RAS RAS URS RAS RAS RAS RAS RAM RAS Classification Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.4: Western Australian councils ranked by financial assistance grant funding 2010–11 cont. 480.35 486.86 489.25 501.48 503.39 504.36 504.76 506.28 508.51 509.40 511.68 511.72 517.54 518.33 519.09 520.47 521.84 524.39 524.88 526.79 528.57 530.35 530.36 533.25 534.05 535.66 $ per km 2010–11 Local Government National Report Council name Rockingham (C) Joondalup (C) Gosnells (C) Swan (S) Bunbury (C) Nedlands (C) Subiaco (C) Canning (C) Busselton (S) Victoria Park (T) Augusta-Margaret River (S) Claremont (T) Mosman Park (T) 109 109 109 109 109 109 109 109 109 109 109 109 109 UDS UDS RAL UDM URM UDL UDS UDS URM UFL UDL UDV UDL Classification 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 19.59 $ per capita 139 138 137 136 135 134 133 132 131 130 129 128 127 Rank Laverton (S) Wiluna (S) Murchison (S) Yilgarn (S) Meekatharra (S) Menzies (S) Upper Gascoyne (S) Kent (S) Perenjori (S) Leonora (S) Yalgoo (S) Jerramungup (S) Lake Grace (S) Council name RTS RTS RTX RAS RTM RTX RTX RAS RAS RTM RTX RAS RAS Classification Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.4: Western Australian councils ranked by financial assistance grant funding 2010–11 cont. 191.45 382.13 390.88 392.25 394.10 400.43 403.05 455.47 460.84 462.68 469.91 474.23 475.43 $ per km Appendix E 239 240 RAL RTL Mount Remarkable (DC) Gerard Cleve (DC) Southern Mallee (DC) Anangu Pitjantjatjara Coober Pedy (DC) Coorong (DC) Outback Areas Community Developm’t Trust Mid Murray Nipapanha Kangaroo Island Tatiara (DC) 15 16 17 18 19 20 21 22 23 24 25 RAL RAM RTX RAL URS URS RAM RAS RTX RAM RAM RAM RAM RAS RAM RAS 14 Peterborough (DC) 9 Goyder Elliston (DC) 8 RAS RTX 13 Franklin Harbour (DC) 7 Ceduna (DC) Maralinga 6 RAS 12 Kimba (DC) 5 RAS Streaky Bay (DC) Orroroo/Carrieton (DC) 4 RAS RAS 11 Karoonda-East Murray (DC) 3 Flinders Ranges Wudinna (DC) 2 RTX Classification 10 Yalata Council name 260.78 297.26 316.61 331.42 355.64 357.72 399.57 434.29 473.27 479.55 487.64 495.73 540.40 552.51 584.06 592.20 608.24 642.54 667.44 768.81 780.08 819.78 918.30 939.75 1 400.80 $ per capita 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Rank Port Lincoln (C) Whyalla (C) Playford (C) Onkaparinga Adelaide (C) Roxby Downs (M) Mitcham (C) Mount Gambier (C) Port Adelaide Enfield (C) Tea Tree Gully (C) Nipapanha Gerard Salisbury (C) Marion (C) Charles Sturt (C) Burnside (C) West Torrens (C) Campbelltown (C) Holdfast Bay (C) URS URS UFL UFV UCC URS UDM URS UDL UDL RTX RTX UDV UDL UDL UDM UDM UDV UDM UDS UDM Norwood Payneham and St Peters (C) Walkerville (M) UDM UDS URM UFS Classification Unley (C) Prospect (C) Mount Barker (DC) Gawler (M) Council name Roads Grant General Purpose Grant 1 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.5: South Australian councils ranked by financial assistance grant funding 2010–11 1 273.25 1 274.61 1 353.99 1 542.73 1 618.72 1 691.26 1 700.73 1 704.21 1 717.68 1 725.49 1 739.10 1 746.70 1 753.89 1 777.01 1 829.89 1 836.81 1 842.16 1 856.74 1 933.71 1 940.74 2 047.07 2 069.03 2 095.99 2 121.26 3 678.25 $ per km 2010–11 Local Government National Report Whyalla (C) Murray Bridge Copper Coast (DC) Barunga West (DC) Wattle Range Yorke Peninsula (DC) Mallala (DC) Playford (C) Grant (DC) Lower Eyre Peninsula (DC) Mount Gambier (C) State average 36 37 38 39 40 41 42 43 44 45 46 Gawler (M) Berri Barmera 35 Clare and Gilbert Valleys Port Augusta (C) 34 50 Tumby Bay (DC) 33 49 Naracoorte Lucindale 32 Salisbury (C) Wakefield 31 48 Port Pirie 30 Port Lincoln (C) Renmark Paringa (DC) 29 47 URS Northern Areas 28 UFS RAL UDV URS RAM RAL UFL RAL RAV RAV RAM RAV RAV URS RAV URS RAM RAL RAL RAV RAL RAM RAM Kingston (DC) 27 RAV Classification Loxton Waikerie (DC) Council name 45.23 45.30 59.41 59.43 64.94 68.81 77.57 87.31 97.91 106.53 108.90 116.15 123.56 128.30 148.78 181.79 195.64 196.86 199.69 204.90 206.85 212.55 218.53 230.21 239.29 249.13 $ per capita 50 49 48 47 46 45 44 43 42 41 40 39 38 37 36 35 34 33 32 31 30 29 28 27 26 Rank Wakefield Lower Eyre Peninsula (DC) Naracoorte Lucindale Southern Mallee (DC) Copper Coast (DC) Grant (DC) Kingston (DC) Coorong (DC) Elliston (DC) Maralinga Port Pirie Alexandrina Karoonda-East Murray (DC) Renmark Paringa (DC) Murray Bridge Barossa RAL RAM RAL RAM RAV RAL RAM RAL RAS RTX RAV UFS RAS RAL RAV UFS RAL State average Tatiara (DC) RAV RTX URS RAV URS RAS UFM RAM Classification Berri Barmera Yalata Victor Harbor (C) Loxton Waikerie (DC) Port Augusta (C) Cleve (DC) Adelaide Hills Kangaroo Island Council name Roads Grant General Purpose Grant 26 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.5: South Australian councils ranked by financial assistance grant funding 2010–11 cont. 256.04 262.34 266.88 268.29 287.42 301.27 301.94 313.28 317.65 319.08 331.06 365.18 379.70 407.14 416.15 419.51 442.27 462.22 476.24 590.06 591.10 615.30 637.07 776.81 814.77 845.76 $ per km Appendix E 241 242 UDM UDM Yankalilla (DC) Alexandrina Victor Harbor (C) Adelaide (C) Holdfast Bay (C) West Torrens (C) Mitcham (C) Unley (C) Norwood Payneham and St Peters (C) Marion (C) Tea Tree Gully (C) Port Adelaide Enfield (C) Prospect (C) Burnside (C) Charles Sturt (C) Adelaide Hills Campbelltown (C) Barossa Roxby Downs (M) Mount Barker (DC) Robe (DC) Light Walkerville (M) 52 53 54 54 54 54 54 54 54 54 54 54 54 54 54 54 54 54 54 54 54 54 54 UDS RSG RAS URM URS UFS UDV UFM UDL UDM UDS UDL UDL UDL UDM UDM UDM UCC URS UFS RAM UFV Onkaparinga Classification Council name 51 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 19.48 21.72 23.42 38.50 $ per capita 74 73 72 71 70 69 68 67 66 65 64 63 62 61 60 59 58 57 56 55 54 53 52 51 Rank URS RTL Outback Areas Community Development Trust RAS RAS RAM RAM RAL RAM RAM URS RAL RAV RAV RAM RAS RAM RAS RAS RAM RAL RAM RAS RSG RAM Classification Coober Pedy (DC) Orroroo/Carrieton (DC) Kimba (DC) Mount Remarkable (DC) Northern Areas Mid Murray Barunga West (DC) Goyder Anangu Pitjantjatjara Clare and Gilbert Valleys Yorke Peninsula (DC) Wattle Range Peterborough (DC) Wudinna (DC) Tumby Bay (DC) Flinders Ranges Robe (DC) Ceduna (DC) Mallala (DC) Streaky Bay (DC) Franklin Harbour (DC) Light Yankalilla (DC) Council name Roads Grant General Purpose Grant Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.5: South Australian councils ranked by financial assistance grant funding 2010–11 cont. 0.00 100.78 139.54 156.60 157.39 164.32 170.42 180.88 184.98 185.43 186.80 187.23 200.16 201.09 205.38 211.15 211.88 223.31 230.43 231.03 236.77 243.81 245.03 247.48 $ per km 2010–11 Local Government National Report Flinders (M) King Island (M) Central Highlands (M) Southern Midlands (M) West Coast (M) Kentish (M) Dorset (M) Tasman (M) Break O’Day (M) George Town (M) Waratah - Wynyard (M) Northern Midlands (M) Circular Head (M) Huon Valley (M) Derwent Valley (M) Sorell (M) Meander Valley (M) Central Coast (M) Latrobe (M) Brighton (M) West Tamar (M) 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Council name UFS URS RAL URS RAV RAV RAV RAV RAL RAV RAV RAL RAL RAM RAL RAL RAL RAL RAM RAS RAS Classification 67.38 70.96 84.25 90.29 98.07 107.89 109.30 110.46 118.06 119.73 126.79 128.92 152.95 180.59 191.33 228.83 249.99 259.89 316.82 320.53 655.34 $ per capita 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Rank Northern Midlands (M) Kentish (M) Sorell (M) Waratah - Wynyard (M) Kingborough (M) Meander Valley (M) RAV RAL RAV RAV UFM RAV UFS State average West Tamar (M) RAL RAL RAM RAL URS URS RAL UFM URS URM URS UFM UCC Classification Break O’Day (M) Latrobe (M) Glamorgan - Spring Bay (M) George Town (M) Central Coast (M) Brighton (M) West Coast (M) Clarence (C) Burnie (C) Launceston (C) Devonport (C) Glenorchy (C) Hobart (C) Council name Roads Grant General Purpose Grant 1 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.6: Tasmanian councils ranked by financial assistance grant funding 2010–11 2 053.53 2 066.43 2 084.62 2 141.27 2 219.33 2 225.39 2 243.26 2 346.59 2 347.03 2 404.45 2 547.57 2 599.03 2 656.48 2 843.32 3 060.67 3 326.71 3 330.09 3 690.31 4 386.35 4 610.86 5 781.08 $ per km Appendix E 243 244 Burnie (C) Glamorgan - Spring Bay (M) Devonport (C) Kingborough (M) Clarence (C) Glenorchy (C) Launceston (C) Hobart (C) 24 25 25 25 25 25 UCC URM UFM UFM UFM URS RAM URS State average 23 Classification Council name 19.44 19.44 19.44 19.44 19.44 33.34 45.60 56.22 64.80 $ per capita 29 28 27 26 25 24 23 22 21 Rank Central Highlands (M) Flinders (M) King Island (M) Huon Valley (M) Southern Midlands (M) Tasman (M) Derwent Valley (M) Circular Head (M) Dorset (M) Council name RAM RAS RAS RAV RAL RAM RAV RAL RAL Classification Roads Grant General Purpose Grant 22 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.6: Tasmanian councils ranked by financial assistance grant funding 2010–11. cont. 1 401.40 1 433.50 1 471.90 1 472.01 1 474.23 1 618.44 1 830.98 1 884.37 1 988.57 $ per km 2010–11 Local Government National Report RAS Roper Gulf Central Desert Barkly Victoria - Daly West Arnhem Tiwi Islands Belyuen State average 3 4 5 6 7 8 9 Darwin Litchfield Palmerston Trust Account 13 13 13 not applicable n/a Coomalie 13 n/a UFS Alice Springs 12 RAV UCC RAS URS UFS Wagait 11 URS Katherine 10 RTM RTL RTL RTL RTL RTL RTL MacDonnell RTL East Arnhem Classification 2 Council name - 20.22 20.22 20.22 20.22 24.88 26.95 40.35 67.39 79.24 86.93 146.50 181.02 190.91 220.03 224.84 242.93 264.98 $ per capita 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Rank Belyuen Central Desert MacDonnell Trust Account Barkly East Arnhem Tiwi Islands West Arnhem RAS RTL RTL ZZZ RTL RTL RTM RTL RTL State average Roper Gulf RTL RAS RAV URS UFS URS UCC UFS Classification Victoria - Daly Coomalie Litchfield Katherine Palmerston Alice Springs Darwin Wagait Council name Local Roads Grant General Purpose Grant 1 Rank Council ranked by funding per kilometre Council ranked by funding per capita Table E.7: Northern Territory councils ranked by financial assistance grant funding 2010–11 359.15 375.75 433.43 513.56 706.62 834.13 876.70 903.83 937.33 1 045.82 1 249.25 2 301.80 2 825.32 3 119.16 3 273.18 3 507.79 3 590.66 3 946.85 $ per km Appendix E 245 APPENDIX F Australian classification of local governments The Australian Classification of Local Governments (ACLG) was first published in September 1994 and has proved a useful way to categorise local governing bodies across Australia. The ACLG categorises councils using the population, the population density and the proportion of the population that is classified as urban for the council. The local governing bodies included in the classification system are those that receive general purpose financial assistance grants as defined under the Local Government (Financial Assistance) Act 1995 (Cwth). Therefore, bodies declared by the federal minister on the advice of the state minister to be local governing bodies for the purposes of the Act, are included in the ACLG. These include community councils. However, county councils, voluntary regional organisations of councils and the Australian Capital Territory are excluded. The classification system generally involves three steps. Each step allocates a prefix formed from letters of the alphabet to develop a three-letter identifier for each class of local government. There are a total of 22 categories. For example, a medium-sized council in a rural agricultural area would be classified as RAM—rural, agricultural, medium. If it were remote, however, it would be classified as RTM—rural, remote, medium. Table F.1 provides information on the structure of the classification system. The system developers recognised that, with so many different types of local governing bodies in Australia, and with changing population distribution patterns, there will be occasions where a council’s profile does not fully match the characteristics of the class into which it has been placed. When this occurs, a local governing body may be reallocated to a classification that more accurately reflects its circumstances. Notwithstanding the capacity of the ACLG system to group like councils, it should be noted that there remains considerable scope for divergence within these categories, and for this reason the figures in Appendix D should be taken as a starting point for enquiring into grant outcomes. This divergence can occur because of factors including isolation, population distribution, local economic performance, daily or seasonal population changes, the age profile of the population and geographic differences. The allocation of the general purpose grant between states on an equal per capita basis and the local road grant on a fixed shares basis can also cause divergence. 247 2010–11 Local Government National Report To ensure the ACLG is kept up to date, at the end of each financial year local government grants commissions advise of any changes in the classification of councils in their state. Table F.2 provides details of the number of local governing bodies at July 2010, by ACLG category and by state. As there were changes to the ACLG reported for local governing bodies in 2010 –11, Table F.3 gives changes to local governing body classifications and reasons for the change. Local government grants commissions do not take the ACLG classification of a council into account when determining the level of general purpose grant. Further details of the classification system can be found in the original report on the ACLG, published by the Department of Housing and Regional Development in 1994. Table F.1: Structure of the classification system Step 1 Step 2 Step 3 Identifiers Category Population more than 20 000 CAPITAL CITY (CC) Not applicable OR METROPOLITAN DEVELOPED (D) Part of an urban centre of more than 1 000 000 or population density more than 600/sq km SMALL (S) MEDIUM (M) LARGE (L) VERY LARGE (V) up to 30 000 30 001–70 000 70 001–120 000 more than 120 000 UDS UDM UDL UDV REGIONAL TOWNS/CITY (R) Part of an urban centre with population less than 1 000 000 and predominantly urban in nature SMALL (S) MEDIUM (M) LARGE (L) VERY LARGE (V) up to 30 000 30 001–70 000 70 001–120 000 more than 120 000 URS URM URL URV FRINGE (F) A developing LGA on the margin of a developed or regional urban centre SMALL (S) MEDIUM (M) LARGE (L) VERY LARGE (V) up to 30 000 30 001–70 000 70 001–120 000 more than 120 000 UFS UFM UFL UFV SIGNIFICANT GROWTH (SG) Average annual population growth more than 3 per cent, population more than 5 000 and not remote Not applicable AGRICULTURAL (A) SMALL (S) MEDIUM (M) LARGE (L) VERY LARGE (V) up to 2 000 2 001–5 000 5 001–10 000 10 001–20 000 RAS RAM RAL RAV REMOTE (T) EXTRA SMALL (X) SMALL (S) MEDIUM (M) LARGE (L) up to 400 401–1 000 1 001–3 000 3 001–20 000 RTX RTS RTM RTL URBAN (U) If population less than 20 000, EITHER Population density more than 30 persons per sq km OR 90 per cent or more of the local governing body population is urban UCC RURAL (R) A local governing body with population less than 20 000 AND Population density less than 30 persons per sq km AND Less than 90 per cent of local governing body population is urban 248 RSG Appendix F Table F.2: ACLG category listing of local governments, by state, July 2009 State NSW VIC QLD WA SA TAS NTa Urban Capital City (UCC) 1 1 1 1 1 1 1 7 Urban Development Small (UDS) 2 0 0 11 2 0 0 15 14 1 0 5 6 0 0 26 Urban Development Medium (UDM) Urban Development Large (UDL) Total 8 8 0 5 4 0 0 25 Urban Development Very Large (UDV) 13 12 0 2 2 0 0 29 Urban Regional Small (URS) 11 8 8 7 10 4 2 50 Urban Regional Medium (URM) 20 10 9 4 1 1 0 45 Urban Regional Large (URL) 4 3 4 0 0 0 0 11 Urban Regional Very Large (URV) 4 1 5 0 0 0 0 10 Urban Fringe Small (UFS) 0 2 1 0 2 1 2 8 Urban Fringe Medium (UFM) 2 2 0 4 1 3 0 12 Urban Fringe Large (UFL) 1 1 0 1 1 0 0 4 Urban Fringe Very Large (UFV) 1 6 4 1 1 0 0 13 Rural Significant Growth (RSG) 0 0 0 4 1 0 0 5 Rural Agricultural Small (RAS) 5 0 0 51 9 2 2 69 Rural Agricultural Medium (RAM) 20 1 1 16 13 3 0 54 Rural Agricultural Large (RAL) 25 8 0 6 9 9 0 57 Rural Agricultural Very Large (RAV) 20 15 7 1 7 5 1 56 Rural Remote Extra Small (RTX) 3 0 5 6 3 0 0 17 Rural Remote Small (RTS) 0 0 9 3 0 0 0 12 Rural Remote Medium (RTM) 0 0 12 6 0 0 1 19 Rural Remote Large (RTL) 1 0 7 5 1 0 7 21 155 79 73 139 74 29 16 565 Total Note a NT Total excludes Roads Trust Account 249 2010–11 Local Government National Report Table F.3: Changes in ACLG category for 2010–11: reasons for change by state, July 2010 Council Name Classification Reason for change The Hills UFV 4 Liverpool UFV 4 New South Wales Victoria Horsham URS 2 Knox UDV 4 Maribynong UDL 2 URM 2 RAM 2 RAV 2 Western Australia Busselton South Australia Peterborough Tasmania Derwent Valley Key: Reasons for Changes 1 Amalgamations/Splits/Boundary Changes 2 Changes due to population movements 3 Declared council 4 Revision of classification to more adequately reflect circumstances 250 BIBLIOGRAPHY ABS [Australian Bureau of Statistics], Government Finance Statistics, Australia, 2009–10, cat. no. 5512.0 at www.abs.gov.au. – Australian Demographic Statistics, cat. no. 3101.0. – Community Housing and Infrastucture Needs Survey, 2006, cat. no. 4710.0. – Employment and Earnings, Public Sector, Australia, 2009–10, cat. no. 6248.0.55.002. – P opulation Characteristics, Aboriginal and Torres Strait Islander Australians, 2006, cat. no. 4713.0 reissued. – Taxation Revenue Australia, 2009–10, cat. no. 5512.0. – Wage and Salary Earners, Public Sector, Australia, cat. no. 6248.0 Australian Centre of Excellence for Local Government, Annual Report 2009. Australian Local Government Women’s Association 2009, 50:50 Vision—Councils for Gender Equity. Industry Commission, 1997, Performance Measures for Councils: improving local government performance indicators, AGPS, Melbourne, October. K Sproats, 1996, Comparison of agendas and processes in Australian Local Government, paper presented to the Local Government in Queensland Centenary Conference. 251 GLOSSARY balanced budget approach A method of general purpose grant assessment whereby gross expenditure needs and revenue capacity for each council are assessed with the difference between the expenditure and revenue assessments being the equalisation need. capping Capping, for the purposes of this report, is the stabilising of component factors to bring a council’s grant to within a set range of that council’s grant in a previous year. Commonwealth Grants Commission A statutory authority established by the Commonwealth Grants Commission Act 1973 whose main task is to recommend to the Australian Government, for consideration by the Ministerial Council for Commonwealth-State Financial Relations, the shares for each state and territory of the pool of funds that includes goods and services tax revenue. cost adjustors See ‘disability factor’ direct assessment approach A method of grant assessment whereby a positive or negative assessment of expenditure need or revenue capacity is made for each council relative to a standard assessment. The sum of positive and negative assessments is the equalisation need. disability factor A measure of underlying influences that would lead a council to spend more (or less) per capita than the state average, expressed as an adjusting ratio of the state average. In some states, these are called ‘cost adjustors’ and ‘cost relativity indexes’. effort neutral or neutrality The assessment of a financial assistance grant is effort neutral when it neither rewards nor penalises a council where expenditure or revenue-raising patterns vary from the state average because of policy differences, differences in efficiency or levels of self help. 253 2010–11 Local Government National Report escalation factor The ratio by which the level of financial assistance grant nationally is adjusted, and which the Treasurer determines according to the requirements of the Act. estimated factor This is the escalation factor, as determined by the Treasurer at the start of the financial year, to determine the levels of grant payments, according to the requirements of the Act that will be paid to local government for that year. final factor This is the escalation factor, as determined by the Treasurer at the end of the financial year, according to the requirements of the Act. It will determine the final entitlement payable for local government financial assistance for that year. Determination of the final factor will (usually) require adjustments to be made to the actual payments, which were based on the estimated factor at the beginning of the year. financial assistance grants These are ‘untied’ funds (not tied to a specific purpose) the Australian Government grants to local governments under the Act through the state governments. Financial assistance grants to local government are supplied to states as ‘tied’ (for a specific purpose) but once distributed to local government are ‘untied’. They comprise two components: ‘general purpose’ and ‘local road’. full horizontal equalisation Distribution of general purpose grants to local government, with the objective of ensuring each council is able to function, by reasonable effort, at a standard not lower than the average standard in the state and takes account of differences in expenditure required in performing its functions and in the capacity to raise revenue [subsections 6.3(a) and 6.3(b) of the Local Government (Financial Assistance) Act 1995 Cwth)] general purpose grant This is one of the two components (the local road grant being the other) of the financial assistance grants to local government. The objective is to strengthen local government by addressing the vertical fiscal imbalance caused by local government’s narrow tax base. General purpose grants promote equity between councils and certainty of funding. They are distributed among states on a per capita basis and within states on a horizontal equalisation basis in accordance with the National Principles. Hawker Report The Report of the inquiry into local government and cost shifting by the House of Representatives Standing Committee on Economics, Finance and Public Administration chaired by Mr David Hawker MP. The report is entitled Rates and Taxes: A Fair Share for Responsible Local Government, and was published by the Parliament of the Commonwealth of Australia in October 2003. inclusion approach The inclusion, in calculating a council’s general purpose grant, of all assessed expenditure and grants, including that related to commonwealth and state specific-purpose funding. 254 Glossary local governing bodies The Local Government (Financial Assistance) Act 1995(Cwth) defines the term ‘local governing bodies’ and includes local governments established under state and Northern Territory legislation as well as ‘declared bodies’. The term ‘council’ is often used synonymously with ‘local government’. ‘Municipality’ generally refers to councils governing urban areas, and ‘shires’ to councils governing rural areas. local government grants commissions In each state and the Northern Territory, local government grants commissions have been established under state and territory law. Their primary role is to make recommendations to the state or territory minister on distributing available financial assistance grants to councils in that state or territory. local road grant This is one of the two components (the other being the general purpose grant) of the financial assistance grant to local government. It was formerly provided as a tied grant and became untied from 1 July 1991. It continues to be identified and distributed according to the former tied grant arrangements. It is distributed between states on the basis of historical shares and within states on the basis of road expenditure needs. minimum grant Every council is entitled to receive a minimum grant which is not less than the amount it would receive if 30 per cent of the available general purpose grant for that state were distributed on a per capita basis. negative allowances Allowances that equalise the financial capacity of ‘advantaged’ councils to that of the average level for that state, by accordingly reducing the level of the financial assistance grant. Councils assessed as being ‘advantaged’ may, for example, enjoy high values per property. operational subsidy Grant provided to councils that do not have access to significant other revenue, such as that from rates. positive allowances Allowances that equalise the financial capacity of ‘disadvantaged’ councils to that of the average level for that state, by accordingly increasing the level of the financial assistance grant. Councils assessed as being ‘disadvantaged’ may, for example, suffer low values per property. rate capacity A measure of a council’s capacity to raise revenue from rateable property, having regard to activities on that property, such as agriculture or mining. rate pegging Action by state governments to limit any variation in rates levied by councils, usually by placing a ceiling or allowable limit on the percentage increase from year to year. 255 2010–11 Local Government National Report specific-purpose grant Payments made by the Commonwealth to the state or territory governments for a specific purpose. These payments cover most functional areas of state and local government activities. standardised revenue and expenditure The assessed (as distinct from actual) revenue and expenditure for each council, determined by its local government grants commission as required for horizontal equalisation purposes, which takes into account each council’s expenditure needs, revenue-raising capacity and disabilities. structural reform A change to the external relationships between council including boundary changes and amalgamation of councils. Cooperative service provision, major resource sharing initiatives and joint service delivery. 256 ABBREVIATIONS AAV Assessed annual value ACELG Australian Centre of Excellence for Local Government ACLG Australian Classification of Local Governments ALGA Australian Local Government Association APM Asset Preservation Model APY Anangu Pitjantjatjara Yankunytjatjara COAG Council of Australian Governments CPI Consumer price index CRI Cost relativity index eDAIS electronic Development Assessment Interoperability Standard GIR Geographic Information Retrieval IPWEA Institute of Public Works Engineering Australia 257 2010–11 Local Government National Report KPI Key performance indicator LGASA Local Government Association of South Australia LGANT Local Government Association of the Northern Territory LGAQ Local Government Association of Queensland LGAT Local Government Association of Tasmania LGMA Local Government Managers LGPMC Local Government Planning Ministers Council LGRF Local Government Reform Fund MAV Municipal Association of Victoria NAIDOC National Aboriginal Islander Day of Observance Committee NAMAF National Asset Management Assessment Framework OSLGR Office for State/Local Government Relations RCG Regional Collaborative Group RLCIP Regional and Local Community Infrastructure Program RMP Regional Management Plan RRI revenue relativity index RTG Regional Transition Group SEIFA Socio-Economic Index for Areas produced by the Australian Bureau of Statistics 258 Abbreviations TAMS Territory and Municipal Services Directorate WALGGC Western Australian Local Government Grants Commission WALGA Western Australian Local Government Association 259 INDEX OF LOCAL GOVERNMENTS A Adelaide, 213, 241, 242 Adelaide Hills, 213, 241,242 Albany, 207, 235, 238 Albury, 194, 223, 225 Alexandrina, 213, 241, 242 Alice Springs, 157, 218, 245 Alpine, 99, 200, 228, 229 Anangu Pitjantjatjara, 66, 67, 147, 213, 240, 242, 253 Ararat, 200, 228, 230 Armadale, 7, 207, 234, 238 Armidale Dumaresq, 194, 224, 225 Ashburton, 207, 235, 237 Ashfield, 194, 222, 226 Auburn, 194, 222, 226 Augusta–Margaret River, 207, 235, 239 Aurukun, 66, 188, 203, 231, 232 B Ballarat, 115, 200, 229 Ballina, 194, 223, 226 Balonne, 203, 232 Balranald, 194, 222, 227 Banana, 203, 232 Bankstown, 194, 222, 226 Banyule, 200, 220, 228, 230 Barcaldine, 203, 231, 233 Barcoo, 204, 231, 233 Barkly, 218, 245 Barossa, 213, 241, 242 Barunga West, 213, 241, 242 Bass Coast, 200, 229 Bassendean, 207, 234, 238 Bathurst Regional, 194, 224, 225 Baw Baw, 200, 229 Bayside, 98, 200, 229, 230 Bayswater, 207, 234, 238 Bega Valley, 194, 224 Bellingen, 194, 224 Belmont, 207, 234, 238 Belyuen, 218, 245 Benalla, 115, 200, 229, 230 Berri Barmera, 213, 241 Berrigan, 194, 223, 226 Beverley, 207, 236, 237 Blackall-Tambo, 204, 231, 233 Blacktown, 194, 223, 226 Bland, 194, 222, 227 Blayney, 194, 224, 225 Blue Mountains, 194, 224, 225 Boddington, 207, 236, 237 Bogan, 194, 222, 227 Bombala, 194, 222, 226 Boorowa, 194, 223, 226 Boroondara, 98, 200, 229, 230 Botany Bay, 194, 222, 226 Boulia, 204, 231, 233 Bourke, 194, 221, 226 Boyup Brook, 207, 237 Break O’Day, 216, 243 Brewarrina, 194, 222, 227 Bridgetown-Greenbushes, 207, 236 Brighton, 217, 243 Brimbank, 200, 228, 229, Brisbane, 7, 122, 125, 127, 204, 231, 233 Broken Hill, 194, 223, 224 Brookton, 207, 235, 236 Broome, 207, 236, 237 Broomehill - Tambellup, 207, 235, 237 Bruce Rock, 208, 234, 237 Bulloo, 204, 231, 233 Buloke, 200, 228, 230 Bunbury, 208, 234, 239 Bundaberg, 204, 231, 233 261 2010–11 Local Government National Report Burdekin, 204, 232 Burke, 204, 231, 233 Burnie, 217, 243, 244 Burnside, 6, 7, 213, 240, 242 Burwood, 194, 222, 227 Busselton, 208, 235, 239, 250 Byron, 194, 222, 225 C Cabonne, 195, 223, 224 Cairns, 122, 126, 227, 204, 231, 233 Cambridge, 208, 234, 238 Camden, 195, 223, 226 Campaspe, 200, 228, 230 Campbelltown (NSW), 195, 223, 226 Campbelltown (SA), 213, 240, 242 Canada Bay, 195, 222, 227 Canning, 208, 234, 239 Canterbury, 195, 222, 226 Capel, 7, 208, 235, 238 Cardinia, 7, 200, 228, 229 Carnamah, 208, 235, 237 Carnarvon, 208, 235, 236 Carpentaria, 204, 231, 233 Carrathool, 195, 222, 227 Casey, 200, 228, 230 Cassowary Coast, 204, 231, 233 Ceduna, 213, 240, 242 Central Coast, 217, 243 Central Darling, 195, 222, 227 Central Desert, 218, 245 Central Goldfields, 200, 228, 230 Central Highlands (Qld), 204, 232 Central Highlands (Tas.), 217, 243, 244 Cessnock, 195, 224, 225 Chapman Valley, 208, 236, 238 Charles Sturt, 214, 240, 242 Charters Towers, 204, 232 Cherbourg, 204, 232 Chittering, 208, 235, 237 Circular Head, 217, 243, 244 Clare and Gilbert Valleys, 214, 241, 242 Claremont, 208, 234, 239 Clarence, 217, 243, 244 Clarence Valley, 195, 224 Cleve, 214, 240, 241 Cloncurry, 204, 232, 233 Cobar, 195, 222, 227 Cockburn, 208, 235, 238 Coffs Harbour, 195, 223, 225 Colac Otway, 200, 229 Collie, 208, 236, 237 Conargo, 195, 222, 227 Coober Pedy, 214, 240, 242 Cook, 172, 204, 231, 233 262 Coolamon, 195, 222, 227 Coolgardie, 208, 237, 238 Cooma–Monaro, 195, 224, 225 Coomalie, 6, 7, 218, 245 Coonamble, 195, 222, 226 Coorong, 214, 240, 241 Coorow, 208, 235, 237 Cootamundra, 195, 223, 225 Copper Coast, 214, 241 Corangamite, 201, 228, 229 Corowa, 195, 223, 226 Corrigin, 208, 235, 236 Cottesloe, 208, 234, 238 Cowra, 195, 224, 225 Cranbrook, 208, 236, 237 Croydon, 204, 231, 233 Cuballing, 208, 235, 237 Cue, 208, 234, 237 Cunderdin, 208, 235, 237 D Dalwallinu, 208, 235, 238 Dandaragan, 208, 236, 237 Dardanup, 209, 235, 238 Darebin, 201, 228, 230 Darwin, 163, 218, 245 Deniliquin, 195, 223, 224 Denmark, 209, 236, 237 Derwent Valley, 217, 243, 244, 250 Devonport, 7, 217, 243, 244 Diamantina, 204, 231, 233 Donnybrook-Balingup, 209, 236, 237 Doomadgee, 204, 231, 232 Dorset, 217, 243, 244 Dowerin, 209, 235, 238 Dubbo, 195, 224, 225 Dumbleyung, 209, 235, 238 Dundas, 209, 235, 236 Dungog, 195, 224 E East Arnhem, 218, 245 East Fremantle, 209, 234, 238 East Gippsland, 7, 201, 228 East Pilbara, 209, 236 Elliston, 214, 240, 241 Esperance, 209, 237 Etheridge, 204, 231, 233 Eurobodalla, 195, 224, 225 Exmouth, 209, 235 Index of local governments F H Fairfield, 195, 222, 226 Flinders (Qld), 204, 231, 233 Flinders (Tas.), 6, 7, 64, 155, 217, 243, 244 Flinders Ranges, 214, 240, 242 Forbes, 7, 195, 223, 226 Franklin Harbour, 214, 240, 242 Frankston, 201, 220, 228, 230 Fraser Coast, 204, 231, 233 Fremantle, 209, 234, 238 Halls Creek, 209, 234, 236 Harden, 196, 223, 226 Harvey, 209, 235, 238 Hawkesbury, 196, 224, 226 Hay, 196, 222, 227 Hepburn, 201, 228, 230 Hills, 196, 223, 227, 250 Hinchinbrook, 205, 232, 233 Hindmarsh, 201, 228, 230 Hobart, 217, 243, 244 Hobson’s Bay, 98, 201, 228, 230 Holdfast Bay, 214, 240, 242 Holroyd, 196, 222, 226 Hopevale, 205, 231, 232 Hornsby, 196, 223, 227 Horsham, 201, 228, 230, 250 Hume, 201, 228, 230 Hunters Hill, 196, 223, 226 Huon Valley, 217, 243, 244 Hurstville, 196, 222, 227 G Gannawarra, 201, 228, 230 Gawler, 214, 240, 241 George Town, 217, 243 Geraldton–Greenough, 209, 235, 237 Gerard, 147, 214, 240 Gilgandra, 197, 223, 226 Gingin, 209, 236, 237 Gladstone, 204, 231, 233 Glamorgan-Spring Bay, 217, 243, 244 Glen Eira, 98, 201, 229, 230 Glen Innes Severn, 196, 223, 225 Glenelg, 106, 201, 228, 229 Glenorchy, 217, 243, 244 Gloucester, 196, 224, 225 Gnowangerup, 209, 236, 237 Gold Coast, 122, 205, 233 Golden Plains, 201, 229, 230 Goomalling, 209, 226, 237 Goondiwindi, 205, 232 Gosford, 6, 7, 196, 223, 226 Gosnells, 209, 234, 239 Goulburn Mulwaree, 196, 225 Goyder, 7, 214, 240, 242 Grant, 214, 241 Great Lakes, 196, 224 Greater Bendigo, 201, 229, 230 Greater Dandenong, 201, 228, 229 Greater Geelong, 201, 229 Greater Hume, 196, 223, 226 Greater Shepparton, 201, 229, 230 Greater Taree, 196, 224, 225 Griffith, 196, 225 Gundagai, 196, 223, 225 Gunnedah, 196, 224, 225 Guyra, 196, 223, 226 Gwydir, 196, 223, 226 Gympie, 205, 231, 233 I Indigo, 201, 228, 230 Inverell, 196, 224, 225 Ipswich, 122, 205, 231, 233 Irwin, 209, 236, 237 Isaac, 205, 232 J Jerilderie, 196, 222, 227 Jerramungup, 209, 236, 239 Joondalup, 210, 234, 239 Junee, 196, 223, 226 K Kalamunda, 210, 235, 238 Kalgoorlie/Boulder, 210, 235, 238 Kangaroo Island, 214, 240, 241 Karoonda-East Murray, 214, 240, 241 Katanning, 210, 236 Katherine, 157, 218, 245 Kellerberrin, 210, 235, 238 Kempsey, 196, 224 Kent, 210, 235, 239 Kentish, 217, 243 Kiama, 197, 224, 226 Kimba, 214, 240, 242 King Island, 217, 243, 244 Kingborough, 218, 243, 244 Kingston (SA), 214, 241 263 2010–11 Local Government National Report Kingston (Vic.), 98, 201, 227, 229 Knox, 201, 228, 229, 250 Kogarah, 197, 221, 226 Kojonup, 209, 236, 238 Kondinin, 209, 235, 238 Koorda, 209, 234, 237 Kowanyama, 205, 232 Ku-ring-gai, 197, 222, 226 Kulin, 210, 235, 238 Kwinana, 210, 235, 238 Kyogle, 197, 223 L Lachlan, 197, 221, 226 Lake Grace, 210, 236, 239 Lake Macquarie, 197, 222, 224 Lane Cove, 197, 222, 226 Latrobe (Tas.), 217, 243 Latrobe (Vic.), 201, 227, 228 Launceston, 217, 243, 244 Laverton, 210, 234, 239 Leeton, 197, 223, 224 Leichhardt, 197, 221, 226 Leonora, 210, 236, 239 Light, 214, 242 Lismore, 197, 223, 224 Litchfield, 218, 245 Lithgow, 197, 223, 224 Liverpool, 197, 222, 225, 250 Liverpool Plains, 197, 222, 224 Lockhart, 197, 221, 225 Lockhart River, 126, 205, 231, 233 Lockyer Valley, 205, 231, 233 Loddon, 201, 227, 229 Logan, 122, 205, 231, 233 Longreach, 127, 205, 231, 233 Lord Howe Island, 3, 55, 197, 221, 226 Lower Eyre Peninsula, 214, 241 Loxton Waikerie, 214, 241 M MacDonnell, 218, 245 Macedon Ranges, 201, 228 Mackay, 205, 231, 235 Maitland, 197, 223, 224 Mallala, 214, 241, 242 Mandurah, 210, 235, 238 Manjimup, 210, 236, 237 Manly, 197, 221, 226 Manningham, 69, 98, 202, 228, 229 Mansfield, 202, 227, 229 Mapoon Aboriginal Council, 126, 205, 231, 232 Maralinga, 66, 67, 147, 214, 240, 241 264 Maranoa, 205, 232 Maribyrnong, 202, 227, 229 Marion, 214, 240, 242 Maroondah, 202, 227, 229 Marrickville, 6, 7, 197, 221, 225 McKinlay, 205, 231, 233 Meander Valley, 217, 243 Meekatharra, 210, 234, 239 Melbourne, 3, 98, 105, 202, 227, 225 Melton, 202, 227, 228 Melville, 210, 234, 238 Menzies, 210, 234, 239 Merredin, 210, 236, 237 Mid Murray, 214, 240, 242 Mid-Western Regional, 197, 223, 224 Mildura, 202, 228, 229 Mingenew, 210, 235, 237 Mitcham, 214, 240, 242 Mitchell, 202, 228 Moira, 202, 227, 229 Monash, 98, 222, 228, 229 Moonee Valley, 98, 202, 227, 229 Moora, 210, 236 Moorabool, 202, 228 Morawa, 210, 235, 238 Moree Plains, 197, 223, 225 Moreland, 202, 227, 229 Moreton Bay, 122, 205, 231, 233 Mornington, 66, 129, 188, 205, 231, 232 Mornington Peninsula, 202, 228, 229 Mosman, 197, 222, 226 Mosman Park, 210, 235, 239 Mount Alexander, 202, 228, 229 Mount Barker, 214, 240, 242 Mount Gambier, 214, 240, 241 Mount Isa, 205, 232 Mount Magnet, 210, 234, 237 Mount Marshall, 210, 234, 238 Mount Remarkable, 214, 240, 242 Moyne, 202, 227, 228 Mukinbudin, 210, 234, 238 Mullewa, 210, 236, 238 Mundaring, 210, 235, 238 Murchison, 138, 210, 234, 239 Murray (NSW), 197, 222, 225 Murray (WA), 210, 235, 237 Murray Bridge, 214, 241 Murrindindi, 97, 99, 105, 202, 227, 228 Murrumbidgee, 197, 221, 226 Murweh, 205, 232, 233 Muswellbrook, 197, 223 Index of local governments N Nambucca, 197, 223, 224 Nannup, 210, 236 Napranum, 205, 232 Naracoorte Lucindale, 214, 241 Narembeen, 210, 234, 238 Narrabri, 70, 198, 222, 225 Narrandera, 198, 222, 226 Narrogin Shire, 210, 235, 238 Narrogin Town, 220, 234, 236 Narromine, 198, 222, 225 Nedlands, 210, 234, 239 Nepabunna, 147, 188 Newcastle, 84, 191, 198, 222, 224 Ngaanyatjarraku, 66, 211, 234, 236 Nillumbik, 99, 202, 228, 229 North Burnett, 205, 232 North Sydney, 198, 221, 226 Northam, 211, 235, 237 Northampton, 211, 237 Northern Areas, 214, 241, 242 Northern Grampians, 99, 202, 227, 229 Northern Midlands, 217, 243 Northern Peninsula Area, 129, 206, 231, 232 Norwood Payneham and St Peters, 215, 240, 242 Nungarin, 211, 242, 238 O Oberon, 198, 222, 225 Onkaparinga, 215, 240, 242 Orange, 198, 222, 224 Orroroo/Carrieton, 215, 240, 242 Outback Areas Community Development Trust, 3, 55, 140, 147, 179, 215, 240, 242 P Palerang, 198, 224 Palm Island, 206, 231, 232 Palmerston, 218, 245 Parkes, 198, 223, 225 Paroo, 206, 231, 233 Parramatta, 198, 221, 225 Penrith, 198, 222, 225 Peppermint Grove, 211, 234, 238 Perenjori, 211, 234, 239 Perth, 211, 234, 238 Peterborough, 215, 240, 242, 250 Pingelly, 211, 236, 237 Pittwater, 198, 222, 226 Plantagenet, 211, 237 Playford, 215, 240, 241 Pormpuraaw, 126, 206, 231, 233 Port Adelaide Enfield, 215, 240, 242 Port Augusta, 215, 241 Port Hedland, 211, 236, 237 Port Lincoln, 215, 240, 241 Port Macquarie-Hastings, 198, 222, 224 Port Phillip, 98, 202, 227, 230 Port Pirie, 215, 241 Port Stephens, 198, 223, 224 Prospect, 215, 240, 242 Pyrenees, 202, 227, 229 Q Quairading, 211, 235, 237 Queanbeyan, 198, 221, 225 Queenscliffe, 98, 202, 228, 229 Quilpie, 206, 231, 233 R Randwick, 198, 221, 226 Ravensthorpe, 211, 236, 238 Redland, 122, 214, 231, 233 Renmark Paringa, 215, 241 Richmond, 206, 231, 233 Richmond Valley, 198, 223 Robe, 215, 242 Rockdale, 198, 221, 226 Rockhampton, 206, 231, 233 Rockingham, 211, 235, 239 Roebourne, 211, 235, 237 Roper Gulf, 218, 245 Roxby Downs, 184, 215, 240, 242 Ryde, 198, 221, 226 S Salisbury, 215, 240, 241 Sandstone, 211, 234, 238 Scenic Rim, 206, 231, 233 Serpentine-Jarrahdale, 211, 235, 237 Shark Bay, 211, 234, 236 Shellharbour, 198, 222, 225 Shoalhaven, 198, 223, 224 Silverton Village, 3, 55, 198, 221, 226 Singleton, 198, 223, 224 Snowy River, 198, 222, 224 Somerset, 206, 232 Sorell, 217, 243 South Burnett, 206, 232 South Gippsland, 202, 227 South Perth, 211, 234, 238 Southern Downs, 206, 232 Southern Grampians, 203, 227, 229 Southern Mallee, 215, 240, 241 Southern Midlands, 217, 243, 244 265 2010–11 Local Government National Report Stirling, 211, 234, 238 Stonnington, 98, 203, 228, 229 Strathbogie, 203, 227, 230 Strathfield, 198, 221, 226 Streaky Bay, 215, 240, 242 Subiaco, 211, 234, 239 Sunshine Coast, 122, 206, 231, 233 Surf Coast, 203, 228 Sutherland, 199, 222, 226 Swan, 68-9,211, 235, 239 Swan Hill, 203, 227, 229 Sydney, 3, 77-9, 82, 84, 191, 199, 221, 225 T Tablelands, 206, 232 Tammin, 211, 234, 238 Tamworth Regional, 199, 224 Tasman, 217, 243, 244 Tatiara, 215, 240, 241 Tea Tree Gully, 215, 240, 242 Temora, 199, 222, 225 Tenterfield, 199, 222, 225 Three Springs, 211, 235, 238 Tibooburra, 3, 55, 199, 221, 226 Tiwi Islands, 218, 245 Toodyay, 212, 236, 237 Toowoomba, 206, 231, 233 Torres, 206, 231, 232 Torres Strait Island, 63, 129, 206, 231 Townsville, 122, 206, 231, 233 Towong, 203, 227, 228 Trayning, 212, 234, 238 Trust Account, 3, 32, 55, 67, 218, 245, 249 Tumbarumba, 199, 222, 224 Tumby Bay, 215, 241, 242 Tumut, 199, 223, 224 Tweed, 199, 222, 224 U Unley, 216, 240, 242 Upper Gascoyne, 212, 234, 239 Upper Hunter, 199, 223, 224 Upper Lachlan, 199, 222, 225 Uralla, 199, 223, 224 Urana, 199, 221, 226 V Victor Harbor, 216, 241, 242 Victoria - Daly, 218, 245 Victoria Park, 212, 234, 239 Victoria Plains, 212, 236, 238 Vincent, 212, 234, 238 266 W Wagait, 7, 218, 245 Wagga Wagga, 199, 223, 224 Wagin, 212, 236, 237 Wakefield, 216, 241 Wakool, 199, 221, 224 Walcha, 199, 222, 225 Walgett, 199, 221, 225 Walkerville, 216, 240, 242 Wandering, 212, 234, 236 Wangaratta, 203, 228, 229 Wanneroo, 212, 235, 238 Waratah - Wynyard, 217, 243 Waroona, 212, 235, 237 Warren, 199, 221, 225 Warringah, 199, 222, 226 Warrnambool, 203, 227, 228 Warrumbungle, 199, 222, 225 Wattle Range, 216, 241, 242 Waverley, 199, 221, 225 Weddin, 199, 221, 226 Wellington (NSW), 199, 222, 225 Wellington (Vic.), 99, 203, 228 Wentworth, 199, 221, 226 West Arnhem, 218, 245 West Arthur, 212, 236 West Coast, 217, 243 West Tamar, 217, 243 West Torrens, 216, 240, 242 West Wimmera, 203, 227, 229 Western Downs, 206, 232 Westonia, 212, 234, 238 Whitehorse, 98, 203, 228, 229 Whitsunday, 206, 231, 233 Whittlesea, 106, 203, 227, 229 Whyalla, 216, 240, 241 Wickepin, 212, 235, 238 Williams, 212, 235, 238 Willoughby, 199, 221, 226 Wiluna, 6, 7, 212, 234, 239 Wingecarribee, 200, 223, 225 Winton, 206, 231, 233 Wodonga, 203, 227, 228 Wollondilly, 200, 223, 225 Wollongong, 84, 191, 200, 202, 224 Wongan-Ballidu, 212, 235, 238 Woodanilling, 212, 235, 238 Woollahra, 200, 221, 226 Woorabinda, 206, 232 Wudinna, 216, 240, 242 Wujal Wujal, 206, 232 Wyalkatchem, 212, 234, 237 Wyndham, 203, 227, 228 Wyndham-East Kimberley, 212, 236 Wyong, 200, 222, 224 Index of local governments Y Yalata, 147, 188, 216, 240, 241 Yalgoo, 212, 234, 239 Yankalilla, 216, 242 Yarra, 98, 203, 227, 230 Yarra Ranges, 203, 227, 228 Yarrabah, 127, 206, 231, 232 Yarriambiack, 203, 227, 230 Yass Valley, 200, 224 Yilgarn, 212, 236, 239 York, 212, 236, 237 Yorke Peninsula, 216, 241, 242 Young, 200, 223, 224 267 ALPHABETICAL INDEX A Aboriginal and Torres Strait Islander communities, 21, 59, 60, 65, 68, 71, 76, 90, 106, 128, 139, 153, 155, 163, 165, 175 Aboriginal communities, 90, 91, 106, 140, 147 see also Indigenous communities Aboriginal Land Council, 64, 155 Aboriginal Mentoring Program (NSW), 63, 90 Aboriginal peoples and Torres Strait Islanders National Principle, 72, 193 ACELG, 54-56, 65, 66 ACLG, 193-218, 247-250 see also Australian Classification of Local Governments ACT, see Australian Capital Territory ACT NOWaste, 174, 175 actual grant entitlement, 20,21, 27 adjustments, 25, 26 affordable housing, see housing ALGA, 8, 65 see also Australian Local Government Association allocation of grants, see grants amalgamations, 32, 55 National Principle, 73 Northern Territory, 183 Western Australia, 54, 138 annual reports, 34, 51, 161, 164 assets and liabilities, 16, 17 see also financial and asset management planning Australian Bureau of Statistics (ABS), 5, 10-12, 14, 15, 17, 27, 28, 52, 59, 85, 87, 98, 117, 141, 150, 155-158 Australian Capital Territory, 3, 5, 8, 12, 19, 20, 30, 49, 65 calculation of grants actual entitlements and adjustments, 23, 24 submission from, 165-176 Australian Capital Territory Department of Territory and Municipal Services, 165-176 Australian Centre of Excellence for Local Government, 54, 56, 65, 139, 152 Australian Classification of Local Governments (ACLG), 50, 193-218 changes in category for 2009–10, 248-251 minimum grant by, 37 relative needs basis ranking, 219–245 Australian Council of Local Government, 8, 103 Australian Government funding, see grants Australian Local Government Association, 8, 52, 65 awards and recognition, 68, 70 B balanced budget model, 179, 180 benchmarking, see performance measures bilateral agreements, see intergovernmental agreements brought-forward payments, 21-26 bushfires, 97, 105, 173 269 2010–11 Local Government National Report C D Canberra, see Australian Capital Territory capital cities, see classification of bodies capping policies, 43 Victoria, 92, 98 children, 50, 60, 76 Christmas Island Shire Council, 33 classification of bodies, 193-218 see also Australian Classification of Local Governments; Indigenous councils; minimum grant climate change, 50, 150 Closing the Gap initiative, 60-62, 65, 163 see also Indigenous communities COAG, see Council of Australian Governments Cocos (Keeling) Islands Shire Council, 33 collaborative arrangements, see resource sharing Commonwealth funding, see grants Commonwealth Grants Commission, 42, 156, 187, 189 communications technology, see online services Community Governance Improvement Strategy (Qld), 128 community planning New South Wales, 88 Queensland, 127, 129 see also Indigenous communities Comparative Information on New South Wales Government Councils 2009-10, 87 comparative performance, see performance measures computing, see online services consumer price index (CPI), 20 contracts, see purchasing cooperation, see resource sharing cost saving, see resource sharing ‘council’ (term), use of, 3 Council of Australian Governments (COAG), 8, 47, 60 Intergovernmental Agreement on Federal Financial Relations, 8, 9 Local Government Reform Fund agreement, 46, 47, 49, 111, 127-129, 149, 155, 164, 166 National Indigenous Reform Agreement (Closing the Gap), 60-62 Council Reforming Business Program (Vic), 104, 105 CPI, 20 CRB see Council Reforming Business Program current arrangements, Overview, 20 declared local governing bodies, 3, 32 Indigenous, 67 Department of Families, Housing, Community Services and Indigenous Affairs, 61, 68, 135 Determining the grant, 20, 21 Determining entitlements, 22-26 direct assessment, 76, 140, 178, 179 distribution of grants, 30 see grants diversity, 6, 91, 92, 132, 155 domestic waste, see waste management 270 E early (brought-forward) payments, 23, 24 eDAIS, 152 Efficiency and effectiveness, 19, 21, 53, 71, 75 Australian Capital Territory, 76, 166 New South Wales, 53, 86, 87 Northern Territory, 162, 163 Queensland, 53, 125 South Australia, 151 Tasmania, 54 Victoria, 104 Western Australia, 138 effort neutrality principle, 117 employees, 5 promoting diversity, 91 workers compensation, 153 Engaging With Local Aboriginal Communities resource kit (NSW), 90 escalation (final/estimated) factors, 25, 26 estimated grant entitlement, 21-24, 26 expenditure, assessments, 72-74 Alphabetical index F I factoring back, 178, 189, 190 final (escalation) factor, 21-24, 25 finance, 10-17 assessments, 72-74 Intergovernmental Agreement on Federal Financial Relations, 8, 9 Local Government Reform Fund, 46, 47, 49, 111, 127-129, 149, 155, 164, 166 see also grants; resource sharing financial and asset management planning, 46 Australian Capital Territory, 49, 165 New South Wales, 86 Northern Territory, 49, 161,164 Queensland, 63, 122, 127 South Australia, 49, 148, 150 Tasmania, 49, 155 Victoria, 103, 112 Western Australia, 136 Financial assistance grants to local government, 19-43 funding, see finance; grants identified local road grants, see road grants Indian Ocean Territories, 32 Indigenous communities, 56-68 Aboriginal peoples and Torres Strait Islanders National Principle, 72, 193 Australian Capital Territory, 175 New South Wales, 90 Northern Territory, 163 Queensland, 128 Victoria, 106 Western Australia, 139 information technology and online services Australian Capital Territory Library and Information Services, 173 grants commission addresses, 34 infrastructure,50, 61 Australian Capital Territory, 166, 168-170 New South Wales, 79 Queensland, 48, 122-129 South Australia, 49, 148, 149 Victoria, 48, 53, 103, 105 see also financial and asset management planning; housing; library services; roads; water and sewerage Institute of Public Works Engineering Australia, 148, 149, 161 Integrated Planning and Reporting Framework (NSW), 88, 91 Integrated Planning and Reporting Framework (WA), 48, 136, 137 Intergovernmental Agreement on Federal Financial Relations, 8, 9 intergovernmental agreements, 8, 9 inter-governmental structures, 8, 9 Internet, see online services Initiatives, 59, 63 Australian Capital Territory, 169, 174 New South Wales, 53, 63, 91 South Australia, 153 Victoria, 63, 103, 112 IPWEA, see Institute of Public Works Engineering Australia G general purpose grants, see grants grant distribution methods, 30-34 see also National Principles grants, 19-43, 193-245 see also minimum grant; National Principles; road grants grants commissions, 20, 30, 31, 34 see also Commonwealth Grants Commission; grant distribution methods H Hawker (House of Representatives Standing Committee on Economics, Finance and Public Administration) Report, 19 horizontal equalisation, 72, 74 House of Representatives Standing Committee on Economics, Finance and Public Administration, 19 household waste, see waste management J Jerrabomberra Wetlands Nature Reserve, 172, 173 Jervis Bay Territory, 32, 33 271 2010–11 Local Government National Report L land taxes, 11 see also rates landfill, see waste management legislation, 3, 4, 6, 31, 66, 67 Australian Capital Territory, 171 establishing state grants commissions, 31 Queensland, 48, 128 South Australia, 49, 147 Victoria, 92, 105 Western Australia, 48 see also Local Government (Financial Assistance) Act 1995 LGMA, see Local Government Managers Australia Liabilities and assets, 16, 17 liability protection, 153 library services Australian Capital Territory, 173 New South Wales, 76, 78 South Australia, 142, 151 Local Government Act 1993 (NSW), 31, 88 Local Government Act 2008 (NT), 31, 161, 164 Local Government Act 1993 (Qld), 31 Local Government Act 2009 (Qld), 122-127 Local Government Act 1999 (SA), 31, 148 Local Government Act 1978 (WA), 31 Local Government Act 1995 (WA), 137 Local Government (Accountability Framework) Amendment Act 2009 (SA), 149 Local Government and Planning (Amendment) Act 2010 (Vic), 105 Local Government and Planning Ministers’ Council (LGPMC), 9, 46, 47, 88, 103 Local Government and Shires Associations of New South Wales, 85, 89-91 Local Government Association Mutual Liability Scheme, 153 Local Government Association of Queensland (LGAQ), 64, 127-133 Local Government Association of South Australia (LGASA), 55, 148 Local Government Association of Tasmania (LGAT), 154 Local Government Association of the Northern Territory (LGANT), 163-165 Local Government (Financial Assistance) Act 1986 (Cwth), 19 Local Government (Financial Assistance) Act 1995 (Cwth), 19, 20-22, 25-27, 30-33, 37, 42, 45, 59, 67, 71, 75 annual report requirement, 1 brought-forward payments, 21-26 272 Commonwealth Grants Commission 2001 review, 42 grant distribution requirements, 30-37 grant quantum requirements, 20-27 ‘local governing bodies’ definition, 32 see also National Principles Local Government (Finance, Plans and Reporting) Regulation 2010 (Qld), 122, 123, 125 Local Government Financial Sustainability Nationally Consistent Frameworks, 45, 75 Australian Capital Territory, 165 New South Wales, 86 Northern Territory, 161 Queensland, 122 South Australia, 148, 149 Tasmania, 155 Victoria, 103 Local Government Grants Act 1978 (WA), 31 Local Government Grants Commission Act 1986 (NT), 31 Local Government Grants Commission Act 1992 (SA), 31 local government grants commissions, 31, 33, 34, 42, 43, 71, 177, 193, 220, 248 see also grant distribution methods Local Government Managers Australia, 8 NSW Branch, 53, 89, 91 WA Branch, 137 Local Government Procurement Strategy (Vic.), 53, 104 Local Government Reform Commission (Qld), 122 Local Government Reform Fund, 46 Australian Capital Territory, 49, 166 Northern Territory, 49, 164 Queensland, 128, 129, 148 South Australia, 49, 149 Tasmania, 49, 155 Local Government Reform Program (NSW), 53, 87 Local Government Reform Steering Committee (WA), 137 Local Government Research and Development Scheme (SA), 150, 152 Local Government Victoria, 104, 106 local roads, see roads Alphabetical index M Main Roads WA, 134-136 MAV, see Municipal Association of Victoria Measuring Council Performance in Tasmania report, 154 mergers, see amalgamations methodology, see grant distribution methods minimum grant, 37-43, 72, 177, 178 factoring back process, 189, 190 New South Wales, 38 Northern Territory, 41, 159 Queensland, 39, 117, 122 South Australia, 40 symbol indicating in Appendix D, 193 Tasmania, 40 Victoria, 38, 98 Western Australia, 39, 134 ministerial councils, 8, 9, 47 see also Council of Australian Governments; Local Government and Planning Ministers’ Council Municipal Association of Victoria (MAV), 63, 104-116 municipal libraries, see library services municipal rates, see rates Mutual Liability Scheme (SA), 153 N NAMAF, see National Asset Management Assessment Framework National Asset Management Assessment Framework, 130, 131 National Awards for Local Government, 68-70 national conference of local government grants commissions, 34 National Frameworks for Local Government Financial Sustainability, 88 National Indigenous Reform Agreement, 9 see also Indigenous communities National Partnership Agreements, 61 National Principles, 71-74 horizontal equalisation, 74 other grant support, 72 see also minimum grant national representation, 8 Native Title, 64, 153 net worth, 16, 17 New South Wales, 76-92 classification (types) of bodies receiving, 34-36; ACLG categories, 193-200, 219-226, 247-250 Amalgamations, 55 Awards, 70 comparative performance indicators, 51 efficiency and effectiveness, 53 employees and population served, 5, 6 expenditure by purpose, 14 financial and asset management planning, 47, 48; assets and liabilities, 17 financial assistance grants, see New South Wales financial assistance grants Indigenous communities, 63, 90 Initiatives, 53, 63, 89 revenue sources, 10-14 roads, see New South Wales road network New South Wales Department of Premier and Cabinet, 76 New South Wales Division of Local Government, 76-92 New South Wales financial assistance grants, 193-200 distribution methods, 33, 76-83; comparison with other grants commission models, 177191 entitlement, calculation of, 21-28 minimum grant, 37, 38; symbol indicating in Appendix D, 193 relative needs ranking, 219-226 New South Wales Local Government Act 1993, 31, 88 New South Wales Local Government and Shires Associations, 90, 91 New South Wales Local Government Grants Commission, 33, 76-92 comparison with other grants commission models, 177-191 Internet address, 34 methodology reviews, 42 New South Wales Local Government Reform Program, 47, 48, 53, 87 New South Wales Promoting Better Practice Review Program, 88 New South Wales Promoting Diversity in Local Government project, 91, 92 New South Wales road network, 81 average grant per kilometre, 36, 221-226 grant distribution method, 81-85; status of methodology reviews, 42 grant entitlement, calculation of, 21-28 relative needs ranking, 221-226 New South Wales Strategic Alliance Network, 53, 88, 89 Northern Territory, 156-165 amalgamations, 55 classification (types) of bodies receiving, 34-36; ACLG categories, 218, 245, 249 Amalgamations, 58 comparative performance measures, 162 efficiency and effectiveness, 54, 162 273 2010–11 Local Government National Report employees and population served, 5 expenditure by purpose, 15 financial and asset management planning, 49, 161; assets and liabilities, 17 financial assistance grants, see Northern Territory financial assistance grants Indigenous communities, 64, 67, 69, 163 revenue sources, 10-14 roads, see Northern Territory road network Northern Territory Department of Local Government and Housing, 156-163 Northern Territory financial assistance grants, 30, 218 distribution methods, 33, 42, 156-163; comparison with other grants commission models, 177-191 entitlement, calculation of, 21-28 minimum grant, 37, 41; symbol indicating in Appendix D, 193 relative needs ranking, 245 Northern Territory Grants Commission, 33, 156-163 comparison with other grants commission models, 177-191 Internet address, 34 methodology reviews, 42, 156, 157 Northern Territory Local Government Association, 163-165 Northern Territory Local Government Grants Commission Act 1995, 31 Northern Territory road network, average grant per kilometre, 36, 245 grant distribution method, 156; status of methodology reviews, 42 grant entitlement, calculation of, 21-28 relative needs ranking, 245 NSW, see New South Wales P O Q Office for State/Local Government Relations, 148-150 online services see information technology OSLGR, see Office for State/Local Government Relations other grant support National Principle, 72 274 parliamentary inquiries, House of Representatives Standing Committee on Economics, Finance and Public Administration (Hawker) Report, 19 per capita grants, 193-218 average, 35, 36 minimum grant local government bodies, 37-41 per capita rate revenue, 12 per capita state grants, 14 per kilometre local road grants, 193-218 average grant, 35, 36 performance measures, 51, 52 Australia Local Government Association, 52 New South Wales, 51, 87 Northern Territory, 52, 162 Queensland, 51, 125 South Australia, 52, 150 Tasmania, 52, 154 Victoria, 51, 104 Western Australia, 51, 137 population, 4, 5 see also per capita state grants principles, see National Principles Productivity Commission, 51, 52, 79 Promoting Better Practice Review Program (NSW), 88 Promoting Diversity in Local Government project (NSW), 91, 92 property taxes, 11 see also rates public libraries, see library services publications, New South Wales, 90, 91 Queensland, 127 quantum of allocations, 28, 29 quantum of grant, 23, 24 Queensland, 115-133 assets and liabilities, 17 classification (types) of bodies receiving, 3436; ACLG categories, 203-206, 231-233, 249 amalgamations, 55 comparative performance measures, 51, 125 efficiency and effectiveness, 53, 125 employees and population served, 5 expenditure by purpose, 15 financial and asset management planning, 48 Alphabetical index financial assistance grants, see Queensland financial assistance grants Indigenous councils and communities, 63, 64, 128 Initiatives, 63, 64, 128, 132 revenue sources, 10-14 roads, see Queensland road network Queensland financial assistance grants, 28, 203-206 distribution methods, 116-129; comparison with other grants commission models, 177-191 entitlement, calculation of, 21-28 minimum grant, 37, 39; symbol indicating in Appendix D, 193 relative needs ranking, 231-233 Queensland Local Government Act 1993, 31 Queensland Local Government Act 2009, 122-125, 127 Queensland Local Government Association, 129-133 Queensland Local Government Comparative Information Report 2010-11, 125 Queensland Local Government Grants Commission, 31, 116-129 comparison with other grants commission models, 177-191 Internet address, 34 methodology reviews, 42 Queensland road network, average grant per kilometre, 36 grant distribution method, 116-122; status of methodology reviews, 42 grant entitlement, calculation of, 21-28 relative needs ranking, 231-233 R rates, 10-12, 182 New South Wales, 78, 83, 87 Northern Territory, 158, 163, 183 Queensland, 117, 122 South Australia, 142, 183 Tasmania, 183 Victoria, 94, 96, 98, 182 Western Australia, 133 RCG, see Regional Collaborative Group recycling, see waste management Regional and Local Community Infrastructure Program, 49, 50, 148 regional bodies, see classification of bodies Regional Collaborative Group (WA), 138 Regional Management Plan, 162 Regional Transition Group (WA), 138 relative need, 42, 73, 190 allocation on basis, 219-245 Queensland, 116, 117 Northern Territory, 156 South Australia, 141 Victoria, 94, 99 remote bodies, see classification of bodies reporting, 46, 59 Australian Capital Territory, 165-176 New South Wales, 47, 53, 76-92 Northern Territory, 156-165 Queensland, 53, 116-133 South Australia, 140-153 Tasmania, 154-156 Victoria, 92-116 Western Australia, 48, 133-139 see also performance measures resource sharing (NSW), 90 see also structural reform revenue and revenue sources, 4, 5, 10-14, 33, 37, 68, 72, 74 see also grants; rates RLCIP, see Regional and Local Community Infrastructure Program RMP, see Regional Management Plan road grants, 23, 24, 28 average per kilometre, 36 Indian Ocean Territories, 33 National Principle, 73 relative needs basis, 219-245 road grants distributions methods, 73 New South Wales, 81-85 Northern Territory, 160 Queensland, 120, 121 reviews, 42 South Australia, 146 Victoria, 99-102 Western Australia, 134, 135 roads, 190, 191 Australian Capital Territory, 168, 169 New South Wales, 184, 186 Northern Territory, 185, 187 Queensland, 185, 186 South Australia, 185, 187 Tasmania, 185, 187 Victoria, 185, 186 Western Australia, 185, 186, 188 Roads ACT, 166, 168, 169 roles, see functions and roles RTG, see Regional Transition Group rural bodies, see classification of bodies 275 2010–11 Local Government National Report S SA, see South Australia sales of goods and services, 11, 12 scope of equalisation, 180, 181 sewerage, see water and sewerage shared services, see resource sharing size of bodies, see classification of bodies Social Justice Initiatives Survey (NSW), 63, 90 software, see online services solid waste management, see waste management South Australia, 140-153 classification (types) of bodies receiving, 34-36; ACLG categories, 213-216, 240-249, 258 assets and liabilities, 16, 17 comparative performance measures, 52, 150 efficiency and effectiveness, 54, 151 employees and population served, 5, 6 expenditure by purpose, 15 financial and asset management planning, 148, 149 financial assistance grants, see South Australian financial assistance grants Indigenous councils and communities, 64, 153 revenue sources, 10-14 roads, see South Australian road network South Australian financial assistance grants, 34, 213-216 distribution methods, 33, 140-147; comparison with other grants commission models, 177-191 entitlement, calculation of, 21-28 minimum grant, 37; symbol indicating in Appendix D, 193 relative needs ranking, 240-244 South Australia Local Government (Accountability Framework) Amendment Act 2009, 149 South Australian Local Government Association (LGASA), 148-154 South Australian Local Government Association Mutual Liability Scheme, 153 South Australian Local Government Grants Commission, 31, 34 comparison with other grants commission models, 177-191 Internet address, 34 methodology reviews, 42 South Australian Local Government Grants Commission Act 1992, 31 South Australian Local Government Transport Advisory Panel, 146 276 South Australian Local Government Workers Compensation Scheme, 153 South Australian road network, 213-216 average grant per kilometre, 36 grant distribution method, 140-147; status of methodology reviews, 42 grant entitlement, calculation of, 21-28 relative needs ranking, 240-244 supplementary funding, 19, 22 Special Premiers’ Conference 1990, 19 specific purpose payments, 9, 12, 13, 82 staff, see employees state grants, 13, 14 State Grants Commission Act 1976 (Tas.), 31 Strategic Alliance Network, 53, 89, 90 streets, see roads Strengthening Indigenous Communities Award, 68 structural reform Australian Capital Territory, 166 Northern Territory, 55 Queensland, 55 Western Australia, 54, 55, 136, 138 see also amalgamations T TAMS, see Territory and Municipal Services Directorate Tasmania, 154-156 classification (types) of bodies receiving, 3436; ACLG categories, 216, 217, 243, 244, 249, 250 efficiency and effectiveness, 54 employees and population served, 5, 6 expenditure by purpose, 15 financial and asset management planning, 155; assets and liabilities, 17 financial assistance grants, see Tasmanian financial assistance grants Indigenous communities, 64, 155 revenue sources, 10-14 roads, see Tasmanian road network Tasmanian Department of Premier and Cabinet, 154, 155 Tasmanian financial assistance grants, 216, 217 distribution methods, 33, 43, 154-156; comparison with other grants commission models, 154, 177-191 entitlement, calculation of, 21-28 minimum grant, 37-41; symbol indicating in Appendix D, 193 relative needs ranking, 243, 244 Alphabetical index Tasmanian Local Government Association (LGAT), 154 Tasmanian Local Government Division, 154 Tasmanian road network, 216, 217 average grant per kilometre, 36 grant distribution method, 154; status of methodology reviews, 42 grant entitlement, calculation of, 21-28 relative needs ranking, 243, 244 Tasmanian State Grants Commission, 34, 154-156 comparison with other grants commission models, 154, 177-191 Internet address, 34 methodology reviews, 42 Tasmanian State Grants Commission Act 1976, 31 taxation revenue, 10-14 see also rates territories, see also Australian Capital Territory; Northern Territory Territory and Municipal Services Directorate, 49, 165, 166, 168, 170, 171, 174 Tharwa Bridge, 168 Tidbinbilla, 171-173 Torres Strait Islander communities, see Indigenous communities Townsville, 122 training programs, Australian Capital Territory, 170,176 indigenous, 66 Northern Territory, 161, 163, 164 Queensland, 128 South Australia, 148, 151, 152 Western Australia, 48, 66 tree planting, 171, 172 Two Ways Together, Partnerships: a new way of doing business with Aboriginal people 2003–12, 90 V Victoria, 92-116 bushfires, 97, 105 classification (types) of bodies receiving, 3436; ACLG categories, 200-203, 227-230 comparative performance measures, 51 efficiency and effectiveness, 48 employees and population served, 5, 6 expenditure by purpose, 15 financial and asset management planning, 48, 103, 104; assets and liabilities, 17 financial assistance grants, see Victorian financial assistance grants Indigenous communities, 63 revenue sources, 10-14 roads, see Victorian road network Victoria Grants Commission, 34, 92-116, 200-203 comparison with other grants commission models, 177-191 Internet address, 34 methodology reviews, 42 Victoria Grants Commission Act 1976 (Vic.), 31 Victorian financial assistance grants, 34, 92-116, 200-203 distribution methods, 92-116; comparison with other grants commission models, 179191 entitlement, calculation of, 21-28 minimum grant, 37, 38; symbol indicating in Appendix D, 193 relative needs ranking, 227-230 Victorian Municipal Association, see Municipal Association of Victoria Victorian road network, 200-203 average grant per kilometre, 36 grant distribution method, 92-102; status of methodology reviews, 42 grant entitlement, calculation of, 21-28 relative needs ranking, 227-230 U urban bodies, see classification of bodies Urban Forest Renewal Program (ACT), 171 277 2010–11 Local Government National Report W WALGA, see Western Australian Local Government Association waste management Northern Territory, 162, 163, 165 Queensland, 128 South Australia, 185 Tasmania, 64, 155, 185 Victoria, 94, 185 see also water and sewerage water and sewerage, 4 New South Wales, 89, 181 Queensland, 124, 128 websites, see online services Western Australia, 133-139 classification (types) of bodies receiving, 3436; ACLG categories, 207-212, 234-239 comparative performance measures, 51, 137 efficiency and effectiveness, 54, 138 employees and population served, 5,6 expenditure by purpose, 15 financial and asset management planning, 48, 137 assets and liabilities, 16, 17 financial assistance grants, see Western Australian financial assistance grants Indigenous communities and councils, 64, 67, 139 revenue sources, 10-14 roads, see Western Australian road network Western Australian Department of Local Government, 133-139 Western Australian financial assistance grants, 34, 133-139 distribution methods, 133-137; comparison with other grants commission models, 177191 entitlement, calculation of, 21-28 minimum grant, 37, 40; symbol indicating in Appendix D, 193 relative needs ranking, 234-239 Western Australian Local Government Advisory Board, 138 Western Australian Local Government Association, 135, 136 Western Australian Local Government Grants Act 1978, 31 Western Australian Local Government Grants Commission, 34, 133-139 comparison with other grants commission models, 177-191 Internet address, 34 methodology reviews, 42 278 Western Australian road network, 207-212 average grant per kilometre, 36 grant distribution method, 133–137; status of methodology reviews, 42 grant entitlement, calculation of, 21-28 relative needs ranking, 234-239 women, 69, 92, 155, 156 workers, see employees workers compensation, 153 Wreck Bay Aboriginal Community Council, 32, 33 Y young people, 60, 70, 115
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