Surprise merger plan for suburban councils — should others consider joint operations?

It would be the first council merger since Jeff Kennett’s 1994 blitz across the state stirred up plenty of outcry. Here’s what ratepayers can expect.

Banyule Council could merge. Picture: Josie Hayden

Two Melbourne suburban councils could merge under a proposal which would deliver the first council amalgamation in Victoria in 25 years.

Ratepayers in Nillumbik and Banyule council areas in the city’s northeast would have to vote for the plan for the amalgamation to proceed.

Nillumbik councillor Peter Clarke is floating the idea of a voluntary merger as a cost-saving and efficiency measure.

The Banyule Council offices in Greensborough. Picture: Josie Hayden

Former Nillumbik mayor Peter Clarke outside the council offices. Picture: Mark Wilson

“Everyone talks about small government but no one does anything about it,’’ Cr Clarke said.

The councils already have historical, political and geographical links, he said.

Any merger proposal would need a requirement that no ratepayers would pay more.

The main offices of both councils are located in Greensborough.

Banyule Mayor Wayne Phillips, a former state Liberal MP for the seat of Eltham, was open to the discussion.

Banyule mayor Wayne Phillips

Nillumbik Mayor Karen Egan.

“It would irresponsible to at least not look about the possible advantages of economies of scale and talk about how to serve the best interests of ratepayers,’’ Cr Phillips said.

“My gut feel is that, after 30 years in community, the southern and western ends of Nillumbik would be rapt at the thought of moving. But people at the Kinglake (northern) end would be more inclined to want a rural administration.

“I’d be recommending to the council that we seriously look at it. But I would need to be convinced that our residents will be better off.’’

Nillumbik and Banyule council boundaries. Image: VEC

Nillumbik Mayor Karen Egan is believed to open to a merger discussion in the interests of ratepayers.

“This is about putting our community and ratepayers first. If it means better value for our residents, better and more efficient service delivery it is a discussion we should be having,’’ Cr Egan said.

Nillumbik is the smallest metropolitan council with about 64,000 residents, a fraction of the big councils of Casey (300,000) and Wyndham (217,000).

Cr Clarke will put the initial motion to a Nillumbik Council meeting next Tuesday.

“There are potential cost savings in management, IT and cost of doing business and supplying services as municipalities which would need to be measured while delivering the same or improved services,’’ his motion says.

“Both councils currently share library and animal welfare services.’’

If approved, the move would be the first council merger since 1994 when the Jeff Kennett government consolidated 210 councils to 78.

Because of the outcry over job losses, state governments have mostly since avoided amalgamation discussions.

Some small councils still exist, such as the Borough of Queenscliffe, which has a population of about 3000 people.

Loddon, Towong, Mansfield, Pyrenees, Hindmarsh, West Wimmera, Yarriambiack, Buloke councils all have fewer than 10,000 residents.

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