Release of the 1998-99 National Report

Useful information on the operation of Local Government in Australia can be found in the 1998-99 National Report on the Operation of the Local Government (Financial Assistance) Act 1995, now available from the National Office of Local Government.

Under section 16 of the Act, the Minister is required to have prepared annually a report on the operation of the Act. This report is prepared in consultation with relevant State Ministers and bodies representative of Local Government.

The fourth National Report is the culmination of the joint effort between the States and Territories, the Commonwealth and Local Government. It was tabled in Parliament in mid-December 1999.

The 1998-99 National Report contains much useful information concerning Australian Local Government. For example:

  • In 1998&endash;99, $1.23 billion in grant funding for Councils came as financial assistance grants from the Federal Government, representing on average about $66 per person nationally. Australia’s Councils derive 58 per cent of their revenue from rates and taxes and they derive a further 22 per cent in grants from the Federal and State Governments.
  • Brisbane City Council receives the largest Federal grant at almost $21.4 million, while Silverton Village, a recently formed community council in outback NSW, received the lowest grant at $17,324.
  • Total net debt of Australia’s Councils has declined from more than $3 billion at June 1993 to well under a billion dollars by June 1998.

The main focus of the National Report is the detail concerning the provision of financial assistance grants to Local Government. The Report contains information on the grant allocation by the Federal Government to Councils, including a description of the processes behind the general purpose and the local road grants.

The National Report explains the concepts of horizontal equalisation and effort neutrality; discusses aspects of the methods used by State and Territory Local Government Grants Commissions to distribute grants; and provides an overview of the factors taken into account in their determinations.

It also summarises State grant entitlements over the past three years with projections for 1999-2000 and concludes with some observations on the outcomes of the grants allocated to Councils by State Grants Commissions.

The Report also provides a nationwide perspective on the operation of Local Government in Australia and an insight into many of the reforms currently under way.

The National Report chronicles Councils’ progress in reforming structures and management practices to be more efficient and more accountable. At the same time, it maintains the capacity to fulfil their traditional role in local communities.

This year, the Report also incorporates coloured maps showing the location and relative accessibility and remoteness for Australia’s Councils. Two copies of the Report have been distributed to all Councils and other local governing bodies receiving grants.

An electronic copy is available on the National Office of Local Government web site at www.nolg.gov.au

Additional copies may be obtained from the National Office of Local Government on 1800 065 113