Residents in Snowy Valleys will have a say about the future of their local government area, with the NSW Minister for Local Government Ron Hoenig giving his support for the Council to start preparing for a referendum to vote on a potential de-amalgamation.
If they move forward they will become the second LGA in NSW to head towards the dissolution of their combined council with Snowy Valleys’ near neighbour Cootamundra-Gundagai already well into the process.
On Tuesday 19 August the Minister received a report from the NSW Local Government Boundaries Commission which examined the Snowy Valleys’ de-amalgamation proposal, including the Council’s implementation plan and financial sustainability plan.
The Boundaries Commission has recommended the Council’s proposal be supported. The Minister has accepted this recommendation and will now consult with the NSW Electoral Commissioner to allow Council to hold a constitutional referendum and let residents vote on whether they want to demerge.
The Minister met with Snowy Valleys Council Mayor Cr Julia Ham, the Member for Wagga Wagga Dr Joe McGirr MP and the Member for Albury Justin Clancy MP, to release the report and discuss the next step in the demerger process.
Snowy Valleys Council has been following the demerger pathway made possible by legislation introduced and passed by the Minns Labor Government last year.
The Council was required to develop a business case for de-amalgamation which was referred to the Boundaries Commission.
The Commission asked Council for more detail on the implementation of the proposal to outline financial impacts (including increases to rates), long term strategic plans, and the capacity of the new councils to deliver services.
Council’s implementation plan was presented to the Commission, which also held public hearings before finalising its recommendations in a report to the Minister.
With the green light to proceed to the next step in the process, Snowy Valleys Council can now go ahead and commence planning for a referendum. This includes public exhibition of the business case and implementation plan.
The Minister made it clear during the meeting today with the Council that as part of this referendum residents must be made aware they will be facing rate increases and other costs to support the demerged councils, so they can make an informed decision.
The Boundaries Commission report details rates in a restored Tumut Shire would increase by almost 15 per cent over seven years and between 45-65 per cent in Tumbarumba over the same period. In addition, there would be a range of increases to various fees and charges including water and sewer, leases and licenses, commercial fees and drainage.
The majority of the whole council area must support this vote for the demerger to proceed.
Under the Local Government Act 1993 the Boundaries Commission report was required to be released publicly within 48 hours of the Minister receiving it.
Minister for Local Government Ron Hoenig the communities of Snowy Valleys weren’t given a choice when the Liberal-National Government forced the amalgamation of Tumut and Tumbarumba councils.
“It has proven to be another local government disaster inflicted upon regional NSW communities.
“The impact the amalgamation continues to have on the Council, councillors and staff was made clear by the Boundaries Commission.
“Prior to coming to government, Labor made a commitment to the people of Snowy Valleys that we would support the Council in holding a referendum to vote on a possible demerger.
“I know it’s been a long road to get here, but the work the Council has done putting together a business case has been necessary to ensure demerging would be a viable option.
“If there is majority support in the referendum and residents are prepared to accept the financial costs, then the Council can progress with the transition work required to demerge.
“If the referendum is rejected, the community and the Council must respect that outcome and get on with it.
“The important thing is the communities of Snowy Valleys are given the choice to make this decision for themselves – not have it made for them by the state government which has no mandate to interfere with local democracy.”
Meanwhile councillors of Cootamundra-Gundagai Regional Council (CGRC)have met with the NSW Minister for Local Government, the Hon. Ron Hoenig, alongside local Member for Cootamundra Steph Cooke MP and the Deputy Secretary of the Office of Local Government, Mr Brett Whitworth to discuss the planned demerger.
The meeting provided an important opportunity for councillors to hear directly from the Minister about the expectations of the proposed dissolution of CGRC. The Minister made it clear that the demerger process is now firmly in the hands of councillors and that the outcome must be shaped by their leadership on behalf of the local community.
The Minister also acknowledged that the demerger of CGRC is a trailblazing exercise, setting the path for other councils across NSW that may seek to go through a similar process in the future.
Mayor Abb McAlister thanked the Minister for his openness and clarity.
“We greatly appreciate the Minister’s frank discussion and his confidence in this Council to deliver the best possible outcome for our residents,” Mayor McAlister said.
“This is a unique and historic process. The Minister has placed his trust in councillors to lead it, and we are determined to achieve a result that respects the wishes of our communities in both Cootamundra and Gundagai.”
Mayor McAlister also acknowledged the presence and support of local MP Steph Cooke and the Deputy Secretary of the OLG.
“It was valuable to have our local member, Steph Cooke, and senior representatives of the OLG at the table. Their support will be vital as we work through the challenges and opportunities that the demerger presents.”
The Council will continue to keep the community informed as the demerger process progresses.
