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State Government reveals second bid at rate capping in new council reforms

The State Government will have a second go at council rate capping in new reforms, which includes sin-binning misbehaving councillors and a crackdown on CEO salaries.

SA council behaviour reform

Misbehaving councillors would be sin-binned for up to three months as part of the State Government’s bid to reform councils.

A second bid at rate-capping is also on the agenda with State Government wanting to be able to direct a council to cap its rates if independent analysis deems they should be.

New legislation to reform councils will be introduced to state parliament on Wednesday.

One of the most significant reforms will be the establishment of a behavioural standards panel.

The introduction of the panel is aimed at fixing difficult issues that can arise between council members – with an expanded range of sanctions, including the suspension of members for a maximum period of three months.

Local Government Minister Stephan Knoll said South Australians were sick of councillors behaving badly.

Local government minister Stephan Knoll.
Local government minister Stephan Knoll.

“We are also cracking down on bad behaviour in councils that all South Australians are sick of hearing about and that stifles councils’ ability to deliver services for their community,” he said.

“Rogue council behaviour isn’t going to be tolerated under our reforms and we will establish a behavioural standards panel to deal with repeated or serious misbehaviour and suspend members for up to three months.

The three-person panel will include a member nominated jointly by the Minister of the day and the Local Government Association (LGA).

The LGA and the Minister will get to choose a member each.

Premier Steven Marshall said a key part of the reforms was aimed at providing rate relief for ratepayers.

“Last week we announced the single-biggest cost-of-living relief measures regarding water bills, which builds on our massive ESL bill reductions, lowering car rego costs and abolishing payroll tax for all small businesses,” Mr Marshall said.

“Now we are moving to provide council rate relief for South Australians who have been subjected to massive rate hikes over the past decade or more.”

The Bill introduces a rate-monitoring system that will require all councils to receive, consider and publish independent advice on proposed changes to their general rate revenue each year from a “designated authority”.

If the designated authority is of the view that a council has not responded appropriately to its advice, it may report this to the Minister who may then consider making recommendations or a direction to the council on the basis of this advice.

Other key reforms in the Bill includes

REQUIRING all councils to have an independent and skilled audit and risk committee, to ensure council members are provided with high-quality advice on critical financial and governance matters.

REQUIRING councils to include clear information on proposed rate increases in draft annual

business plans that are released each year, to ensure ratepayers can understand and engage

with this critical decision.

REQUIRING the Remuneration Tribunal of South Australia to set appropriate salary bands for all council chief executive officers.

REQUIRING councils to receive and consider independent advice when employing, managing, and, if necessary, terminating a chief executive officer.

IMPROVEMENTS to local government elections to reduce costs and other impacts on councils, particular for supplementary elections.

REDUCTIONS of red tape to lessen the burden on councils when holding information

sessions for members; managing members’ registers of interest; publishing material;

changing the status of land; providing permits and authorisations and dealing with reviews of

council decisions.

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Original URL: https://www.adelaidenow.com.au/news/south-australia/state-government-reveals-second-bid-a-rate-capping-in-new-council-reforms/news-story/c02c9962fb859043b8bb829e594ba0a5