The Australian Local Government Association, along with councils across Australia, have welcomed the passing of the Constitutional Alteration Bill, heralding a referendum on September 14th to include local government in the Constitution.
Included in the bill is an amendment to Section 96 of the Constitution so that it would read:
“Parliament may grant financial assistance to any State, or to any local government body formed by a law of a State, on such terms and conditions as the Parliament thinks fit.”
The amendment was based on wording suggested by the Expert Panel on Constitutional Recognition of Local Government, led by the Hon James Spigelman AC, QC, and subsequently endorsed by the Parliamentary Joint Select Committee.
According to results of a Nielsen poll, over 60 percent of voters nationally back the referendum proposal, and it has majority support in all states.
ALGA President Felicity-Ann Lewis said poll results showing the majority of Australian voters would support the referendum reinforce the sector’s commitment to securing federal funding for local services and infrastructure.
“These statistics are consistent with ALGA’s own research, which indicates that the majority of voters support the concept of constitutional recognition of local government and more than 60 percent support the need for financial recognition of local government.”
Councillor Lewis said the ALGA was urging federal MPs to support the legislation.
“We want to stress to every MP that without recognition in the Constitution, direct federal funding for their communities is under threat.
“Recent High Court challenges, including the successful Chaplaincy in Schools Court Case, are examples of where direct federal funding has been called into doubt.
“Without direct funding from the Australian Government for local roads and community infrastructure, councils would not be able to provide all the services that our communities need.
“We need the vote of every MP to ensure the Constitutional Alteration Bill is passed and every Australian has the opportunity to vote on this important issue at a referendum.”
Federal Minister for Regional Development and Local Government, Anthony Albanese, said including local government in the 113 year old Constitution was about ‘recognising modern reality’.
“Recognising local government in the Constitution will support the delivery of programs like Roads to Recovery, which has enabled the Commonwealth to work with local governments and communities to upgrade and repair 16,000 road sites across the country.”
Opposition Leader Tony Abbott said the Coalition had some reservations about the referendum because the Government had not done the work necessary to get a yes vote.
“The other reservation that we’ve got is that frankly they shouldn’t be muddying the waters of this election which ought to be a referendum on Julia Gillard and the carbon tax rather than a referendum on local government.
“That said, since Malcolm Turnbull’s time as Opposition Leader, we have supported an appropriate recognition of local government and we certainly do think that it’s important to continue the Commonwealth’s ability to be able to pay money under programs such as Roads to Recovery direct to local government.”
Despite the positive poll results, the referendum’s chance of success could be jeopardised by the states, some of which oppose changes to the Constitution.
Victorian Minister for Local Government Jeanette Powell said Victorian councils would be worse off under Constitutional recognition of local government.
“Changes to the Australian Constitution could blur the roles and responsibilities between the three tiers of government, leading to poorer overall outcomes for our communities.
“State Governments need certainty that they can step in and take corrective action against poorly governed councils…and there are concerns the proposed Constitutional changes may put that ability at risk.
“There is no guarantee a Federal Government would not seek to use new Constitutional powers to promote their own political agendas and priorities at the expense of the States.”
The Municipal Association of Victoria (MAV) President Bill McArthur said the proposed amendment had been carefully crafted to ensure it would not reduce or remove the State’s constitutional oversight of local government
“There is simply no basis, nor evidence, to support the Minister’s suggestion that a successful referendum would limit the State’s ability to address municipal governance failings.”
Local Government New South Wales called on the NSW Government, which has also opposed the referendum, to change its position and stop scaremongering.
Joint President of Local Government NSW Ray Donald said it was astounding the NSW Coalition Government would not support a change that would secure tens of millions of dollars each year for NSW communities and their infrastructure.
“Our governments should be working together to provide a solid base for improving and maintaining the lifestyles and economic futures of our communities.” he said.
Anthony Albanese also suggested fears the constitutional change would diminish the role of the States in the administration of local government were unfounded.
“Recognition in the Constitution does not alter the fact that local governments are crated by and are accountable to State Governments.”
