At the National General Assembly of Local Government in Canberra last month, Deputy Prime Minister Warren Truss made the following statement:
“Make no mistake, this Coalition Government is committed to local government, but you must also make a constructive contribution for yourselves, not just about what you want from other tiers of government, but also what you can contribute as partners in the task of government in this country.”
Minister Truss also said that it would be better if Local Government did not have to keep requesting money for services they have the responsibility to deliver.
Many delegates in attendance were probably thinking, “That sounds great, but how?”
After the freeze was placed on the Financial Assistance Grants, its no secret that many councils have had to tighten their belts and become more creative with their money.
In the future, councils may have to become more creative with how they raise funds too.
Currently rates are realistically the only reliable source of funding councils can get from their residents, and they are clearly not enough to cover all of the expenses councils are responsible for. Extra funding from State and Federal levels is, at the moment, a necessity.
The question is: How else can councils raise money to contribute to the task of government?
The answer for some Australian States has been poker machines. Many councils have been critical of poker machines in the community, and it would be disappointing if some were forced to compromise their convictions and peruse funding sources that may not be in residents’ best interest.
This is certainly not the only option, and the Reform of the Federation White Paper may provide a far better solution, but currently nothing is certain.
Local government would love to pitch in more to the national economy, but how it can still isn’t clear.