Independent review begins into operations of Derwent Valley Council

Another Tasmanian Council is under the spotlight. An independent review has begun after complaints from businesses.

Mayor of Derwent Valley, Michelle Dracoulis. Picture: Linda Higginson

An independent review has begun into the governance and operations at the Derwent Valley Council to ensure transparency, accountability and community confidence.

The Sunday Tasmanian reported last month that several disgruntled business and community leaders in the Derwent Valley had demanded the government urgently place the council into administration.

However, many ratepayers hailed the council’s work as the best in several years.

Days after the story was published the acting director of local government, Mike Mogridge, wrote to mayor Michelle Dracoulis suggesting the council support the appointment of an independent advisor to conduct a review.

In the letter, he pointed to the resignation of two of the council’s three independent audit panel, including the chair which he said was “very concerning”.

“To enable audit panels to function, it is critical that councils appropriately resource and support these functions and provide them sufficient independence,” Mr Mogridge wrote.

“The panel members who have recently resigned have expressed broad concerns to me in relation to their ability to independently undertake these core functions.

“Separately and unrelated to the above, the Office of Local Government has received numerous complaints in recent times regarding the way in which the Council has been engaging with a number of community businesses and groups recently.

“This includes the way that the council has been administering dealings such as lease arrangements, grants and associated processes of consultation and engagement.

“I believe a targeted, external independent assessment is warranted to provide the community, the Council and this Office with confidence and clarity that the Council is operating appropriately in several of its core domains.”

Derwent Valley Mayor Michelle Dracoulis. Picture: Linda Higginson

Ms Dracoulis said the council had agreed to the independent review, and in consultation with Mr Mogridge, had appointed Paul West of River Road Consulting as the independent advisor to council.

She welcomed Mr West’s appointment and said the review was due by December 31.

“I’m happy the review has begun and is in the best interests of the community so they can have confidence in the council,” Ms Dracoulis said.

“I welcome any findings that might give us the opportunity to improve.”

Mr Mogridge said he was “mindful some members of council may have reservations” about the cost of the review but said it would provide “clarity to Council and the community”.

“While I note these concerns, it is clear in my view that these matters are serious or are otherwise causing significant community unrest.

“In the absence of objective assessment, I am concerned about the risks associated with a continual decline in community confidence regarding the proper administration of Council.”

The terms of reference for the review were signed by Ms Dracoulis and Mr Mogridge on October 4.

Among other matters Mr West will review the agreements, leases and building usage of nine groups including TYGA FM, Derwent Valley Arts, PCYC, and the New Norfolk Anglers Association and New Norfolk Bowls Club.

He will also examine council support for the popular High Street market and the divestment process for Kensington Park.

Originally published as Independent review begins into operations of Derwent Valley Council