Some 750 delegates from Councils across Australia gathered in Canberra on 23–26 November for the 10th National General Assembly of Local Government. In his President’s address, Councillor Mike Montgomery said that there are many important issues confronting Local Government but there are two that stand out above the rest, demanding a united effort by Local Government over the next 12 months and beyond.
“First and foremost, we must find an answer to the financial crisis confronting Local Government,” Mike Montgomery said. “We must put an end to cost shifting by the State and Federal Governments and secure access to a fair share of national taxation revenue. “Secondly, we must drive home our campaign to ensure both the Federal Government and the Federal Opposition commit themselves to renew the critical Roads to Recovery program beyond its current expiry date of June 2005. Without this program, the 680,000 km of roads for which we are responsible – that is nearly 85 per cent of all roads – will again go into decline and put all the gains of the past two years at risk.”
He said at the national level, Local Government is denied access to a fair share of national taxation revenue and has to make do with a system of financial assistance grants that is increased each year using a methodology linked only to population and CPI increases.
“Local Government has been forced to pick up services abandoned by other spheres of government or has been required to provide services with no, or inadequate, financial compensation or no, or inadequate, access to new revenue sources,” he said. “At the same time, demand for human services, such as health, welfare and public safety, has escalated at a rapid rate.
“Local Government infrastructure – much of it dating from the post-war period and in desperate need of renewal – is now crumbling around our ears. Our roads, bridges, pools, sports grounds, libraries, dams, stormwater systems and community facilities are all suffering as we divert funding to meet the rapidly growing demand for human services.”
Turning to the Cost Shifting Inquiry due to be tabled in Parliament later that day, he said that the name of the report – Rates and Taxes: A Fair Share for Responsible Local Government – offers some hope. “It takes our lead and recognises the need for a ‘fair share’ for Local Government,” Mike Montgomery said.
He said that the campaign to secure renewal of the Roads to Recovery program is also gathering pace.
“This program is widely regarded as one of the Australian Government’s most effective programs,” he said. “It is delivering real results, from the centre of Sydney to our remote communities. We call on both the Federal Government and the Opposition to commit to the program’s renewal before the next Federal election. We fought hard to win Roads to Recovery – we must fight hard to keep it,” he said. “We are living in interesting times. I urge you all to keep your eyes on the prize and continue to press hard at whatever level you can for the changes we need to keep Local Government the nation’s most vital, vibrant and responsive sphere of government.”
