Sections 175 to 176 replace section 218A of the Local Government Act and are significantly different.

The following table provides the Parts of the Act that are new requirements. These are shown in bold.

Part 7 Division 1 – Governance directions

(1)Provides for the Minister to issue a governance direction to a Council if advised that those processes and policies require improvement.

(2) Extends the person or body who can make recommendations to:

(i) a Municipal Monitor; or (ii) the Chief Municipal Inspector; or (iii) a Commission of Inquiry; or (iv) the Ombudsman; or (v) the IBAC.

(3) Empowers the Minister to direct a Council to provide financial statements or other financial information to the Minister within 4 weeks.

(4) to (6) empower the Minister to direct a Council not to employ or re-employ a CEO if the Minister is satisfied that such an action could result in a failure of the Council to provide good governance or in the Council acting unlawfully. SECT 95B Powers of the Minister concerning the employment of senior officers

(7) requires a Council to comply with a governance direction.

States that the Minister may take into account a failure to comply with a governance direction when considering recommending the suspension of all the Councillors of a Council.

Part 7 Division 2 – Compliance exemptions

Sections 177 to 178 are all new parts of the Act.

Allows a Council to apply to the Minister for an exemption from compliance with a requirement set out in a regulation.

Compliance exemptions are intended to allow Councils to develop and adopt alternative processes that provide good governance. This section recognises the capacity of Councils to identify and implement processes that may give effect to the overarching governance principles more effectively than the processes specified in Regulations.

The granting of the compliance exemption will not limit the ability of the Council to provide good governance.

Empowers the Minister to grant a compliance exemption.

Key Dates

24 October 2020

Local Government Act 2020 - Provisions Commence

  • Sections 175 and 176
  • Sections 177 and 178
  • 24 October 2020

    Local Government Act 1989 - Provisions repealed

    • Sections 218A

    Transitional Arrangements

    None

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