Public Interest Review Consultation Paper Proposed Amendments to Sunshine Coast Council Local Laws November 2015 Purpose of this document Before making a local law, local governments are required to review any laws that restrict competition to ensure that they are in the public interest. At its meeting on 15 October 2015, the Sunshine Coast Council proposed a range of amendments to its current local laws. Some of the amendments have the potential to restrict competition (i.e. they may be ‘anti-competitive provisions’), so the Council is consulting with the community, and especially businesses that might be affected, about whether the proposed changes are in the overall public interest. The purpose of this document is to: provide further information about the anti-competitive provisions; and seek community feedback to help the Council decide whether the anti-competitive provisions should be retained in the proposed local law in the overall public interest. Background to public interest reviews Why are public interest reviews required? In April 1995, all Australian governments committed to the National Competition Policy to establish a national approach to achieve greater economic efficiency and to improve the overall competitiveness of the Australian economy. One of the key principles of the National Competition Policy was a commitment that all governments, including local governments, would not make laws that restricted competition unless it could be demonstrated that: the benefits of the restriction to the community as a whole outweighed the costs, and the objectives of the law could only be achieved by restricting competition. To give effect to this principle, governments agreed to review all laws that restrict competition. For local governments, this requirement is enshrined in section 38 of the Local Government Act 2009, which states that a Council must not make a local law that contains an anti-competitive provision unless it has complied with the procedures prescribed by the State for the review of anticompetitive provisions. These procedures are contained in the National Competition Policy – Guidelines for conducting reviews on anti-competitive provisions in local laws, Version 1, made by the State Government (the ‘Public Interest Review guidelines’). What is an anti-competitive provision? An anti-competitive provision is a provision that the local government identifies as creating a barrier to: (a) entry to a market; or (b) competition within a market. Creating barriers to entering a market The Public Interest Review guidelines describe this type of anti-competitive provision in a local law as either prohibiting particular business activities or placing obligations on the operators of business activities. Restricting competition in the market The Public Interest Review guidelines describe this type of anti-competitive provision as giving some benefit or imposing some hindrance on particular business operators. Anti-competitive provisions excluded from the review The Public Interest Review guidelines indicate that the following types of anti-competitive provisions may be excluded from a public interest review: 1) local laws regulating the behaviour of individuals 2) local laws dealing solely with internal administrative procedures of a local government 3) local laws intended as legitimate measures to combat the spread of pests and disease 4) local laws to ensure accepted public health and safety standards are met 5) repealing local laws. In the Council’s current proposed amendments, the following anti-competitive provision has been excluded from the review: Schedule 1, Subordinate Local Law No.2 (Animal Management) 2011 In this schedule, a prohibition on keeping more than 10 bee hives will be imposed in relation to properties between 2001 square metres and 4000 square metres in size. This provision is anti-competitive because it potentially restricts a beekeeper’s business, but it is excluded from the review as its intention is to ensure accepted public health and safety standards are met. Under the current provisions, there is no restriction on the number of hives that can be kept on lots larger than 2001 square metres, which will include many properties in urban and rural-residential areas. The provision brings the local law into line with the State Government’s bee-keeping guidelines. Anti-competitive provisions that have been assessed as having no significant impacts Under the Public Interest Review guidelines, the Council is not required to undertake a public interest review of any anti-competitive provisions that the Council considers, following a preliminary assessment, to have no significant impacts. After a preliminary assessment, the Council considers the following anti-competitive provisions will have no significant impacts: Subordinate Local Law No.1 (Administration) 2011, Schedule 12 (Undertaking regulated activities regarding human remains— (a) disturbance of human remains buried outside a cemetery; or (c) disturbance of human remains in a local government cemetery) In this schedule, the following additional documents and materials will be required to accompany applications for approval: (a) a site plan and specifications for any work to be undertaken and materials and equipment used; and Public Interest Review – Amendments to Local Laws 3 (b) copies of all legal documents pertaining to any proposed disturbance of human remains; and (c) signed consent of the person or entity who will undertake the work; and (d) signed consent of the executor of the will, or the next of kin, of the deceased person whose remains are to be disturbed. Although this provision potentially imposes additional requirements on businesses such as funeral directors, the impacts are not considered significant as they are only minor procedural requirements that reflect existing practice for these activities. Subordinate Local Law No.1 (Administration) 2011, Schedule 13 (Undertaking regulated activities regarding human remains— (b) burial or disposal of human remains outside a cemetery) In this schedule, new mandatory conditions will be imposed to the effect that approval holders must ensure that: (a) the activity is carried out by a recognised funeral director; and (b) no public health risk arises from the activity; and (c) the funeral director complies with directions given by an authorised person about– i. the preparation of a grave for the burial of human remains; or ii. other matters affecting the disposal of human remains; and (d) Global Positioning System (GPS) reference points are captured and recorded and forwarded to the local government to identify the final burial location, at the cost of the approval holder; and (e) a comprehensive description of the burial method and ongoing management of the site is supplied to the local government following the burial; and (f) authorisation is given to the local government to add the details of the burial to the local government property data file. Although this provision potentially imposes additional requirements on businesses such as funeral directors, the impacts are not considered significant as they are only minor procedural requirements that reflect existing practice for these activities. Subordinate Local Law No. 1 (Administration) 2011 – Schedule 18 (Carrying out works on a road or interfering with a road or its operation) In this schedule, the following additional documents and materials will be required to accompany applications for approval: (a) if the application is for domestic work on a road reserve – a site plan, clearly showing all proposed construction within the road reserve; and (b) if the application is for commercial and other work on a road reserve – i. site plans; ii. landscape plans; iii. a program of work; iv. a traffic and pedestrian management plan prepared by a qualified professional. Although this provision potentially imposes additional requirements on businesses working on roads and road reserves, the impacts are not considered significant as they are only minor procedural requirements that reflect existing practice and ensure safe conduct of these activities. Anti-competitive provisions included in this public interest review The amendments in the table below are considered by the Council to be anti-competitive provisions with potential significant impacts and are therefore included in this public interest review. The Council invites feedback from residents and businesses about impacts of the anticompetitive provisions listed in the table below, especially: any costs of compliance for businesses; any reasonable alternatives to the anti-competitive provision and the comparable costs of these alternatives; the benefits to the community from the anti-competitive provision. Community feedback will assist the Council to decide whether, on balance, the anticompetitive provisions should be retained in the proposed local law in the overall public interest. The due date for submissions is 30 November 2015. Options for making submissions online, by email or by post can be found at: http://www.sunshinecoast.qld.gov.au/sitePage.cfm?code=public-interest-tests-2015 Public Interest Review – Amendments to Local Laws 5 TABLE – Anti-Competitive Provisions included in the public interest review (community feedback invited) Draft Amendment Local Law (Miscellaneous) 2016 Local Law Current Status Proposed Change Reason for change Potential anti-competitive impact Local Law No. 1 (Administration) 2011 Shopping centre includes only a structure or group of buildings with 2 or more shops Extend definition of “shopping centre” to include “a standalone shop that provides trolleys for the use of customers” Under Local Law No.3, s,23, only shops in shopping centres are required to ensure that shopping trolleys remain in the shopping centre precinct. The change in definition will mean that larger standalone shops that provide trolleys (e.g. Bunnings) must also ensure that trolleys stay within the precinct. The amendment creates an additional requirement on standalone shops to ensure their trolleys stay within the precinct, which could increase costs for these businesses. Local Law No. 1 (Administration) 2011 Current prescribed activity on local government controlled areas and roads– Remove the prescribed activity on local government controlled areas and roads relating to “operating model aircraft propelled by a motor” and replace with– “Operating model aircraft propelled by a motor” ‘(o) launching or landing a model aircraft weighing more than 500 grams or a remotely piloted aircraft weighing more than 500 grams, other than an unmanned balloon or unmanned kite’ Currently no provision in the local laws to regulate the use of unmanned aircraft (commonly referred to as UAV’s or Drones) for commercial purposes. The inclusion of this prescribed activity will allow council to regulate and condition approvals for the use of UAV’s or Drones on council owned or controlled land and remove the requirement for individuals operating a small recreational model aircraft propelled by a motor to apply for an approval (these individuals are still bound by CASA regulations about safe use of such model aircraft). Conditions of approval for UAVs and drones will be subject to the individual complying with CASA regulations. Amendment will require businesses that operate remotely piloted aircraft (e.g. drones and UAVs) weighing more than 500 grams on local government controlled areas or roads to obtain an approval, which may affect businesses such as wedding photographers. Model aircraft are recreational, not commercial, which leaves commercial unmanned aircraft (drones) unregulated Draft Amendment Subordinate Local Law No. 1 (Administration) 2016 Subordinate Local Law Current Status Subordinate Local Law No. 1 (Administration) 2011 For several prescribed activities on council controlled land, holding public liability insurance is a usual condition but not a mandatory condition In schedules 4, 6, 8, 14 insert the following as a condition that must be imposed: The schedule does not currently specify: For various types of applications (e.g. to plant/clear/damage vegetation, to erect/install a columbarium/ mausoleum/vault, to install a memorial/plaque in a park or reserve or road other than a cemetery, to install public art on a local government controlled area or road), the amendments include details about Subordinate Local Law No. 1 (Administration) 2011 – Schedule 4 Alteration or improvement to local government controlled areas or roads the documents and materials to accompany applications, additional criteria for deciding applications the conditions that will always or will ordinarily be imposed on approvals Proposed Change Reason for change This change brings the laws into line with council’s current requirement of mandatory public liability insurance for these activities. The change will impose a uniform requirement on businesses to obtain public liability insurance before undertaking activities on Councilcontrolled land. This may cause additional costs for businesses seeking approvals where this level of public liability insurance is not currently required. Amendments made to provide clarity and consistency for the community and officers in applying for and assessing approvals under Schedule 4 of Subordinate Local Law No. 1 (Administration) 2011 The amendments may increase requirements on businesses because they will: ‘A condition that must be imposed on all approvals is that the approval holder must maintain, at all times during the term of the approval, a public liability insurance policy of not less than $20,000,000 covering the prescribed activity.’ the documents and materials that must accompany the various types of applications; the additional criteria for the various types of applications the conditions that will always or will ordinarily be imposed on the various types of approvals Potential anti-competitive impact require additional documents and materials for businesses applying to do certain things on LGCAs and roads impose additional standard conditions on businesses obtaining approvals Public Interest Review – Amendments to Local Laws 7 Subordinate Local Law Current Status Proposed Change Reason for change Potential anti-competitive impact Subordinate Local Law No. 1 (Administration) 2011 – Schedule 6 Commercial use of local government controlled roads and areas The schedule does not differentiate between the application requirements, applicable criteria and standard conditions for the various types of commercial use approvals The amendments stipulate different requirements for the different types of commercial use approvals, such as outdoor dining, goods on footpaths, roadside stalls, fundraising street stalls, land-based physical fitness or wellbeing activities, and itinerant food vending, Amendments made to provide clarity and consistency for the community and officers in applying for and assessing approvals under Schedule 6 of Subordinate Local Law No. 1 (Administration) 2011 The amendments to schedule 6 may impact on businesses because they will: Subordinate Local Law No. 1 (Administration) 2011 – Schedule 8 Placement of movable advertising devices Current requirement for all movable advertising devices that are exempt from requiring an approval is that they are required to be at least 180 millimetres from the kerb. Amend the 180 millimetre requirement and extend to 600 millimetres Following a number of complaints from the community on accessibility for pedestrians and people with disabilities. The proposed changes seek to address some of the accessibility concerns we currently have with the placement of movable advertising devices across the region. The amendment may impose additional requirements on some businesses Subordinate Local Law No. 1 (Administration) 2011 – Schedule 8 Placement of movable advertising devices No requirement for an “A Frame” or “Sandwich board” to be placed immediately adjacent to the primary place of business Include requirement for a “sandwich board sign” to be displayed adjacent to the business premises. Following a number of complaints about the placement of “sandwich boards” sometimes several kilometres from a business premises, the requirement to place the sign adjacent to the business premises seeks to address some of the visual amenity complaints Council receives and provide equity for all business wishing to advertise their businesses. The amendment may impose additional requirements on some businesses require additional documents and materials for businesses applying to make commercial use of LGCAs and roads impose additional standard conditions on businesses who obtain approvals Subordinate Local Law Current Status Subordinate Local Law No. 1 (Administration) 2011 – Schedule 12 Undertaking regulated activities regarding human remains— (a) disturbance of human remains buried outside a cemetery; or (c) disturbance of human remains in a local government cemetery Currently no requirement for applicants applying for an approval under this schedule to provide documents or materials for applications Proposed Change Include the following documents and materials that must accompanying application for approval – (a) a site plan and specifications for any work to be undertaken and materials and equipment used; and Reason for change This additional information will assist officers in making an informed decision about an application for an approval. Additionally, it will make it clear up front to applicants what is required to make an application. Potential anti-competitive impact The amendment will impose additional requirements on businesses such as funeral directors (b) copies of all legal documents pertaining to any proposed disturbance of human remains; and (c) signed consent of the person or entity who will undertake the work; and (d) signed consent of the executor of the will, or the next of kin, of the deceased person whose remains are to be disturbed. Public Interest Review – Amendments to Local Laws 9 Draft Amendment Subordinate Local Law No. 1 (Miscellaneous) 2016 Subordinate Local Law Current Status Proposed Change Reason for change Potential anti-competitive impact Subordinate Local Law No. 4 (Local Government Controlled Areas, Facilities, Infrastructure and Roads) 2011 Abseiling on local government controlled areas and roads currently requires an approval under Local Law No.1 but is not restricted in Local Law No.4 Include abseiling as a restricted activity which will only be allowed where the local government erects a sign authorising abseiling or where the activity is part of an approval issued under Subordinate Local Law No.1 (e.g. part of an approval for a temporary entertainment event) Rather than requiring approvals for abseiling on local government controlled areas and roads under Local Law No.1, the amendment will prohibit abseiling in all local government controlled areas and roads unless the local government erects a sign authorising the activity or where it is approved under another local law approval. This change will ensure that this activity only occurs on sites that are acceptable in terms of safety and have the supporting infrastructure to protect any associated environmental values. Amendment may limit the ability of adventure businesses to apply for an approval to conduct abseiling in some areas Rock climbing is currently not listed as a prescribed activity or regulated under council’s local laws Include “rock climbing” as a restricted activity which will only be allowed where the local government erects a sign authorising rock climbing or where the activity is part of an approval issued under Subordinate Local Law No.1 (e.g. part of an approval for a temporary entertainment event) The amendment will prohibit rock climbing in all local government controlled areas and roads unless the local government erects a sign authorising the activity or where it is approved under another local law approval. This change will ensure that this activity only occurs on sites that are acceptable in terms of safety and have the supporting infrastructure to protect any associated environmental values. ACP because it may limit the ability of adventure businesses to apply for an approval to conduct rock climbing in some areas Schedule 2 Restricted activities for local government controlled areas, facilities, infrastructure or roads Subordinate Local Law No. 4 (Local Government Controlled Areas, Facilities, Infrastructure and Roads) 2011 Schedule 2 Restricted activities for local government controlled areas, facilities, infrastructure or roads