The introduction of a new accounting code for all Territory Local Governments will have value for Councils trying to manage increasingly complex budgets. At the same time, it will enhance the capacity of the Department to more effectively monitor the financial and service delivery performance of Councils.
Director of Monitoring and Grants Administration, Ted Clark, said that the need for more effective monitoring is imperative with the prospect of establishment of a number of larger Councils with a wider range of functions than one would normally expect in Local Government.
New Councils in the Territory will control substantial budgets. In addition to more standard Local Government functions, they will control funds for extensive housing and infrastructure and essential services programs and a range of health and community services programs. Some could also have substantial impact in training and education.
It is imperative that the Department be in a position to identify developing problems to ensure that public money, as well as the money of residents, is applied to the purposes intended. The Accounting Code is a necessary step.
The new Code will be introduced on 1 July 2001 following a long period of consultation with the Local Government industry.
