Jim Bacon’s new Labor Government is promising Tasmanian Councils a new deal. Through separate Partnership Agreements with each of the State’s 29 Councils, the two spheres will work together ‘in Tasmania’s economic recovery’.
“There is a growing mood of excitement in Local Government circles about the role Councils will play in rejuvenating the economy under this majority Labor Government,” the Premier said.
He said that Councils now enjoy a degree of certainty about their own futures having just come through 18 months of uncertainty, ‘not knowing from one day to the next whether they would survive the previous Government’s forced amalgamations’.
“Councils were in a state of paralysis, not quite sure whether they could proceed with capital projects,” Jim Bacon said. “As Local Government spending dried up, the economy suffered. Councils are now being given the opportunity to shape their own destiny. We want to forge true partnerships with each and every Council, partnerships based on mutual respect.”
However, the Premier pointed out that this process will impose extra responsibility on Councils, requiring them to think deeply about how their municipalities can attract investment and create jobs.
The Government’s strategic plan for Tasmania is being developed on two levels. The State Government has responsibility for developing an overall strategy for the entire State. Under that umbrella, Councils can then develop a strategy related specifically to their local area.
“Every Municipality has its own strengths and the challenge for Councils is to identify and create a niche for themselves,” Jim Bacon said. “This two level approach will eliminate the ad hoc approach we have seen in the past where neighbouring Councils bid against each other every time a new project is proposed.”
The State Government has already started negotiations on a Partnership Agreement with the Circular Head Council. Launceston will follow next. With Council elections postponed to next year, these pilots will be of great value to the newly elected Councils. As the Agreements will clearly set out the roles and responsibilities for each sphere of Government, Jim Bacon believes this concept has not been tried anywhere else in Australia.
“The State will be prepared to hand over responsibility for areas Councils believe they are better positioned to handle, and of course we will also provide the resources to go with those extra responsibilities,” the Premier said. “Where Councils are able to provide services more cheaply than the State, I have given an undertaking that the Council will be able to use the savings for other projects.”
He added it is expected that each Partnership Agreement will be quite different. What is handed back to a rural Council will not necessarily be the same as Hobart.
“We are not imposing any limits on what can be included in these Agreements and it really depends on each individual Council,” the Premier said. “I see no reason why it should fail. The State Government wants to harness the intimate local knowledge people in small communities possess.
“We can give broad strategic direction but the State Government cannot possibly know as much about small communities as those that live in them.”
Stewart Wardlaw, Executive Director of the Local Government Association of Tasmania, believes that the Premier has demonstrated how significantly he views Local Government, having personally taken on the portfolio.
“With the Local Government Policy Unit now inside the Department of Premier and Cabinet, it is clear the Government wants action,” he said. “There has been much talk about reviewing the roles and responsibilities of each sphere, in this case it seems Jim Bacon definitely wants something to happen.
“The Government has backed up its promise to review State and Local Government relationships by the detailed references in the 1998 State Budget to require certain State properties to pay Council rates. It has also committed itself to relieve Councils from payment of library and planning levies.
“The process is all about partnerships, with Local Government taking communities with them on a path of reform and good governance.”
