Governance Bulletin - April 2015 edition
Issue 8
Welcome from the Director General
Welcome to the first issue of the Department of Local Government and Communities’
Governance Bulletin for 2015.
This edition includes information for councillors relating to the Local Government Chief
Executive Officer Support Program. It also contains an article providing valuable
information for local governments regarding reviews of land use and appropriate rating
methods, as well as a Local Government Standards Panel case study relating to
councillor relations with local government employees.
I hope you find value in the articles provided and continue to be part of our readership.
To provide suggestions for the next issue of the Governance Bulletin or to add/update
your email address, please contact us at goodgovernance@dlgc.wa.gov.au or by
telephone on (08) 6551 8700.
Jennifer Mathews
Director General
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Contents
Local Government Chief Executive Officer Support Program .......................................... 2
Hot topic: what to include in local government expenditure budget estimates ................. 3
Legislation update: Reviews of land use and appropriate rating method ........................ 3
Local Government Standards Panel case study: relations with local government
employees ........................................................................................................................ 4
Current advice and support programs: elected member training ..................................... 5
Key compliance dates ...................................................................................................... 6
Local Government Chief Executive Officer Support Program
The Local Government Chief Executive Officer (CEO) Support Program is a joint
initiative between the Department of Local Government and Communities (DLGC) and
Local Government Managers Australia (LGMA), WA Division. The program has been
assisting new CEOs for over 20 years.
Following the signing of an updated Memorandum of Understanding between DLGC and
LGMA in 2014, LGMA has engaged former Local Government CEO Anne BanksMcAllister to coordinate the program. Anne is now making contact with CEOs yet to be
offered the program, as well as with local governments currently in the process of
recruiting for a new CEO.
The nine month program aims to ensure new CEOs can transition quickly and effectively
into their new role by having access to an experienced CEO mentor and a dedicated
departmental support officer. The department and an LGMA reference group will work
closely to identify a mentor with the best mix of skills and experience for the new CEO.
LGMA also ensures that: a new CEO is connected to their LGMA branch; that other
developmental opportunities are available; and, that the program is meeting the CEO’s
expectations.
Participation in the program is voluntary. However, councils may be required to
contribute to a mentor’s travel and accommodation costs for one or two on-site face-toface meetings. Importantly, the program is a confidential developmental opportunity and
is not part of a CEO’s performance review process.
LGMA will soon be seeking expressions of interest from experienced CEOs who are
interested in becoming a mentor.
Mentor guidelines and training will also be developed to support mentors and ensure
each mentor relationship has the greatest chance of success.
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For more information about the Local Government CEO Support Program, contact Anne
Banks-McAllister at anne@annebmconsulting.com or on 0400 101 451.
Hot topic: what to include in local government expenditure budget
estimates
Section 6.2 of the Local Government Act 1995 (the Act) requires a local government to
provide a detailed estimate of its expected expenditure for the current year. However,
the level of detail to be included is not prescribed.
While the Act requires all expenditure of the local government to be taken into account,
unless otherwise prescribed, the budget does not need to include individual details for
each item.
Compliance with the legislation could therefore be achieved in the budget by including
totals for each item of expenditure with accompanying details that are both informative
and able to be understood by an independent third party.
The expenditure estimate totals are to be demonstrated and supported with detailed
workings and recorded in separate budget working papers that are available as required.
Important to note: The person preparing the budget should have knowledge of the full
details of each expenditure item in order to objectively calculate the budget estimates.
Legislation update: Reviews of land use and appropriate rating
method
The Department of Local Government and Communities (DLGC) is aware that a number
of local governments are undertaking reviews of the method of valuation of significant
numbers of properties within their district. Under the Local Government Act 1995,
section 6.28, a change in the rating method from unimproved value (UV) to gross rental
value (GRV), or vice versa, requires approval from the Minister for Local Government.
The Department has prepared a policy and application form to assist local governments
applying for changes to the method of valuation. This is available on the DLGC website.
In addition, where undertaking substantial reviews, it is recommended that local
governments note the following:

Consultation with affected land owners is essential and may include seeking
confirmation from the land owners regarding the predominant use of the land.
This may be performed through the use of a Land Use Declaration Form.
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


Land owners are to be notified of the changes which are likely to impact their
annual rates.
Council is to be informed of any objections that have been received through the
consultation period.
Adequate time needs to be allowed as review processes can be lengthy and
multiple rounds of consultation may need to occur with land owners.
Before commencing a rate review, local government officers are also encouraged to
discuss the proposed review with a member of DLGC’s legislation team for advice and
information to assist with the process.
Local Government Standards Panel case study: relations with local
government employees
Regulation 10(3)(b) of the Local Government (Rules of Conduct) Regulations 2007: “If a
person, in his or her capacity as a council member, is attending a council meeting,
committee meeting or other organised event and members of the public are present, the
person must not, either orally, in writing or by any other means … use offensive or
objectionable expressions in reference to a local government employee.”
At a council meeting with members of the public present, a councillor while addressing
council, stated “[A named ratepayer] claims that the Health Inspector has been derelict
in his duties.”
The local government’s health inspector and manager of regulatory services were
present at the meeting at the time of this statement.
The allegation
The Local Government Standards Panel (the Standards Panel) received multiple
complaints alleging that the councillor’s statement at the council meeting was a breach
of Regulation 10(3)(b).
The councillor denied the alleged breach, however did not dispute making the relevant
statement in the circumstances described.
The Panel’s finding
Upon consideration of the matter, the Standards Panel found that the councillor had
committed a breach of Regulation 10(3)(b) when he made the relevant statement at the
Ordinary Council Meeting.
In reaching this finding, the Standards Panel was satisfied that:

For the purposes of Regulation 10(3)(b) the term ‘expression’ refers to a
particular word, phrase, or form of words.
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




The phrase ‘derelict in his duties’ is such an expression.
The meanings of the word “offensive” in the Macquarie Dictionary include
“insulting”.
The meanings of the word “objectionable” in that dictionary include “that may be
objected to; unpleasant; offensive [as in] offensive remarks”.
The expression “derelict in his duties” refers to a reprehensible abandonment of
one’s duties.
The expression “derelict in his duties” in the relevant statement was the use of an
offensive or objectionable expression by the councillor in reference to the local
government’s health inspector.
The sanction imposed by the Standards Panel on the councillor was for a public apology
to the health inspector in accordance with the terms provided.
For more information about the Standards Panel, visit the department’s website at
www.dlgc.wa.gov.au or contact the department on (08) 6551 8700.
Current advice and support programs: elected member training
Royalties for Regions funding was approved in 2013 to enable training to be delivered to
elected members in non-metropolitan local governments through to 30 June 2017.
The four day training sessions are being delivered in 2014-15 by the Western Australian
Local Government Association (WALGA). Topics covered in the program include:

Serving on council

Meeting procedures and debating

Land use planning

Strategy and managing risk
Training sessions have been conducted in Esperance, Kalgoorlie, Toodyay, Narrogin,
Broome, Merredin and Katanning. Further elected member training sessions are
scheduled for 2015:

Peel Zone (Murray): 25 and 26 May; 4 and 5 June

South West Zone (Boyup Brook): 30 April and 1 May; 18 and 19 May

Northern Zone (Geraldton): Dates to be confirmed.
To request training in your region, or for further information on the training programs
available, please contact Jacqueline Dodd at WALGA on 9213 2090 or via email at
jdodd@walga.asn.au.
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Key compliance dates
Compliance dates
Requirements to be met
17 January to 17 July 2015
Any vacancy occurring on a council can, with the
approval of the Western Australian Electoral
Commissioner, be scheduled to be filled at the ordinary
local government elections on 17 October 2015.
Within 30 days of completion
of Annual Budget Review (no
Budget review to be submitted to council.
later than 30 April 2015)
Within 30 days of submission
of Budget Review to Council
1. Council to make a determination on whether or not
to adopt Budget Review, or any part of it.
(no later than 30 May 2015)
2. Copy of the Budget Review and council’s
determination to be provided to the Department of
Local Government and Communities.
Between 1 June and 31
August 2015
Local government to adopt Annual Budget (unless
Minister has extended time to adopt).
Within 30 days of adopting
budget
Local government to submit a copy of Annual Budget
to the Director General of the Department of Local
Government and Communities.
If you require further information related to the topics covered in this bulletin, you are
welcome to call or email the Local Government Advisory Hotline on 1300 762 511 or
lghotline@dlgc.wa.gov.au
Department of Local Government and Communities
Gordon Stephenson House, 140 William Street, PERTH WA 6000
GPO Box R1250, PERTH WA 6844
Telephone: (08) 6551 8700
Fax: (08) 6552 1555
Freecall (Country Only): 1800 620 511
Email: info@dlgc.wa.gov.au
Web: www.dlgc.wa.gov.au
Translating and Interpreting Service (TIS) – Tel: 13 15 50
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