2018-19 Annual Business Plan & Budget Consultations | Rate capping | China’s National Sword Policy | Sector Conduct & Morale Program | From Rotterdam with love No Images? Click here Vol 3: Issue 16 - Monday 30 April 2018 I have continued to visit councils as time allows. Thank you to KI, Holdfast Bay and Salisbury for last week’s visits. We are gradually securing meetings with ministers in the new government and will keep you posted on those discussions. LGA President Mayor Lorraine Rosenberg 2018-19 Annual Business Plan & Budget ConsultationsIt’s great to see so many councils already well underway with their 2018-19 Draft Annual Business Plan and Budget consultations. Despite facing significant pressure from rising state government levies and charges, metropolitan councils are generally consulting on very modest rate increases for 2018/19, with some councils looking at increases of around or below 2%. Of course, all councils endeavour to keep rate increases as low as possible each year while responding to a number of cost pressures and delivering on local priorities. There is always a story behind the numbers, and we need to do everything we can to tell our story within our local community and rise above the shallow and often misleading comparisons between councils for headlines and political gain. I’ve been impressed with some of the innovative ways councils are engaging with their communities and telling the story of their finances. Last week the City of Charles Sturt ran an online interactive webinar to seek feedback and answer questions on their proposed business plan and budget, and the City of Port Adelaide Enfield has developed an online tool that provides ratepayers with a breakdown of how their rates are used to support various community and infrastructure initiatives. As always, I would encourage you to keep your local MPs informed and involved in your budgeting process, and make sure they have a thorough understanding of the key projects and services being considered for next year, as well as any significant external cost pressures that your council is facing. Rate cappingSome of the adverse consequences of rate capping have been exposed in a comprehensive report into local government in New South Wales by their State’s Auditor-General. This report found that more than half of all councils in NSW are not renewing their assets in line with depreciation. Councils in NSW have had a state government imposed rate cap for more than 40 years, which has effectively deferred the cost of renewing deteriorating infrastructure onto later generations. Interestingly, this report also found that several NSW councils have insufficient “liquid cash”. This is inconsistent with LGASA’s Financial Sustainability advice, which clearly states that maintaining substantial liquid cash reserves is not best-practice treasury management, as it imposes an unnecessary burden on ratepayers through having to fund capital that is not working for their benefit. In many ways this new Auditor-General’s report confirms that South Australia’s current model – where decisions around budgets are made locally and not by a central bureaucracy – is working far better than the central bureaucratic system in place across the border. China’s National Sword policyA meeting of Commonwealth, State and Territory Environment Ministers was held in Melbourne last Friday to set a sustainable path for Australia’s recyclable waste, and investigate opportunities to address the impact of China’s National Sword policy. Some of the key outcomes from this meeting included Ministers agreeing to:
At a local level, the LGA has secured meetings with both the Hon David Speirs MP, Minister for Environment and Water, and Shadow Minister Susan Close during May, and will continue to advocate for a support package for South Australian councils and the waste industry. We will also host – in conjunction with Green Industries SA – a Waste Pathways Workshop Beyond China Sword on Tuesday 5 June. This workshop will explore the implications of the National Sword policy for SA’s recycling industry, and provide an opportunity to discuss how our sector can be part of the solution. I am pleased to advise that Minister Speirs will open the event, and provide the State Government’s perspective on the opportunities for South Australia. More information on this workshop – and a link to attend – can be found here. It is likely the Federal Government will be hold a public meeting in Adelaide the following day around its review of the Product Stewardship Act 2011 so keep this in mind if you are if you are travelling to Adelaide to attend our workshop. Sector Conduct & Morale ProgramThe LGA Board endorsed a Sector Conduct and Morale Program earlier this year to help build leadership capacity within the sector. This program is being integrated with the 2018 Council Elections ‘Make a Difference’ campaign, and includes an early learning and development program for staff to support preparation for the elections. This has incorporated a new ‘Early Induction Planning’ session that introduced model induction programs for council members, and highlighted ways to set new councils up for leadership success. A training needs analysis is currently being developed, which will inform the future training and development program for elected members after the 2018 council elections, as well as ongoing development and peer support. For further information about the Sector Conduct and Morale Program contact LGA Sector Development Director Rowena McLean on 8224 2014 or email rowena.mclean@lga.sa.gov.au. From Rotterdam with loveLGA Procurement recently reached the pointy end of an interesting procurement process for the Kingston District Council. After following a standard procurement processes to secure a dredge to address excess sand in the Cape Jaffa anchorage and the breakwater at Kingston, the project team opened the tender up to a worldwide market. A suitable dredge was identified and procured from the Netherlands, and it departed Rotterdam on 6 April. It’s expected to arrive in Port Adelaide on 24 May, before transferring to the Limestone Coast. Two field engineers will accompany the dredge to oversee the assembly and testing of the equipment. This has been an unusual procurement project, and the successful outcome is testament to the creativity and professionalism of the LGA Procurement team. To find out more about the services they offer member councils give them a call on 8224 2000 or email procurement@lga.sa.gov.au. For further information or to submit |