An Act to amend the Local Government Act 1993 in relation to the reduction in the required number of councillors and to pecuniary interests; to amend the Freedom of Information Act 1989 to exempt certain matters; and for other purposes.
1 Name of Act
This Act is the Local Government Amendment Act 2005.
2 Commencement
This Act commences on a day or days to be appointed by proclamation.
3 Amendment of Local Government Act 1993 No 30
The Local Government Act 1993 is amended as set out in Schedule 1.
4 Amendment of other Acts
Each Act specified in Schedule 2 is amended as set out in that Schedule.
Schedule 1 Amendment of Local Government Act 1993
(Section 3)
[1] Section 224A
Insert after section 224:224A Approval to reduce number of councillors(1) A council may resolve to make an application to the Minister to approve a decrease in the number of councillors within the limits referred to in section 224 (1).(2) The council must give not less than 21 days’ public notice of its proposed resolution.(3) After passing the resolution, the council must forward to the Minister a copy of the resolution, a summary of any submissions received by it and its comments concerning those submissions.(4) The Minister may approve the application without amendment or may decline to approve the application.(5) If the Minister approves the application, the number of councillors of the council is reduced to the number specified in the application with effect on and from the day appointed for the next ordinary election of councillors after the application is approved.(6) Section 16 does not apply to a resolution of a council to make an application to the Minister under this section.(7) An application may be made under this section only within the period of 12 months from the commencement of this section.(8) Nothing in this section prevents a council from making more than one application under this section or from taking action under section 224 to change the number of its councillors.(9) A council for an area that is divided into wards may not make an application under this section for a decrease in the number of councillors that would result in the number of councillors for each ward being fewer than 3.
[2] Section 252 Payment of expenses and provision of facilities
Omit “A council” from section 252 (1).Insert instead “Within 5 months after the end of each year, a council”.
[3] Section 252 (5)
Omit “regulations”.Insert instead “provisions of this Act, the regulations and any relevant guidelines issued under section 23A”.
[4] Section 253
Omit the section. Insert instead:253 Requirements before policy concerning expenses and facilities can be adopted or amended(1) A council must give public notice of its intention to adopt or amend a policy for the payment of expenses or provision of facilities allowing at least 28 days for the making of public submissions.(2) Before adopting or amending the policy, the council must consider any submissions made within the time allowed for submissions and make any appropriate changes to the draft policy or amendment.(3) Despite subsections (1) and (2), a council need not give public notice of a proposed amendment to its policy for the payment of expenses or provision of facilities if the council is of the opinion that the proposed amendment is not substantial.(4) Within 28 days after adopting a policy or making an amendment to a policy for which public notice is required to be given under this section, a council is to forward to the Director-General:(a) a copy of the policy or amendment together with details of all submissions received in accordance with subsection (1), and(b) a statement setting out, for each submission, the council’s response to the submission and the reasons for the council’s response, and(c) a copy of the notice given under subsection (1).(5) A council must comply with this section when proposing to adopt a policy each year in accordance with section 252 (1) even if the council proposes to adopt a policy that is the same as its existing policy.
[5] Section 294A
Insert after section 294:294A Casual vacancy not to be filled where councillor numbers reduced(1) A casual vacancy in the office of a councillor (but not a mayor elected by the electors) is not to be filled if the Minister has approved an application under section 224A to reduce the number of councillors but the reduction has not yet taken effect.(2) However, subsection (1) does not authorise a vacancy to remain unfilled if the vacancy will result in the council having less councillors than the reduced number approved by the Minister under section 224A.(3) Subsection (1) applies to a casual vacancy whether occurring before or after the commencement of this section or before or after the approval of the relevant application under section 224A.
[6] Section 338 Nature of contracts for senior staff
Insert after section 338 (3):(4) The Director-General may, by order in writing, approve one or more standard forms of contract for the employment of the general manager or other senior staff of a council.(5) A standard form of contract approved by the Director-General is not to include provisions relating to the level of remuneration or salary (including employment benefits) of the general manager or other senior staff of a council, performance-based requirements or the duration of the contract.(6) A council is not to employ a person to a position to which one or more standard forms of contract approved for the time being under this section applies or apply except under such a standard form of contract.(7) The council may include in an employment contract for the general manager or another member of the senior staff additional provisions to those contained in the standard form of contract but only if those provisions relate to any of the following:(a) the level of remuneration or salary (including employment benefits) of the person employed under the contract,(b) subject to subsections (1) and (2), performance-based requirements or the duration of the contract.(8) Despite subsection (6), the approval, amendment or substitution of a standard form of contract under this section does not affect any employment contract between a council and the general manager of the council or another member of the senior staff of the council if the employment contract was entered into before the approval, amendment or substitution of the standard form of contract.(9) However, subsection (6) does apply to the renewal of any such employment contract occurring after the standard form of contract is approved, amended or substituted and to all new contracts entered into after the standard form of contract is approved, amended or substituted.
[7] Section 442 What is a “pecuniary interest”?
Omit “or another person with whom the person is associated as provided in section 443” from section 442 (1).
[8] Section 443 Who has a pecuniary interest?
Omit section 443 (1) and (2). Insert instead:(1) For the purposes of this Chapter, a person has a pecuniary interest in a matter if the pecuniary interest is the interest of:(a) the person, or(b) the person’s spouse or de facto partner or a relative of the person, or a partner or employer of the person, or(c) a company or other body of which the person, or a nominee, partner or employer of the person, is a member.
[9] Section 443 (3)
Omit “subsection (2)”. Insert instead “subsection (1) (b) or (c)”.
[10] Section 448 What interests do not have to be disclosed?
Omit “another person with whom the person is associated as provided in section 443” from section 448 (g) (i).Insert instead “a person, company or body referred to in section 443 (1) (b) or (c)”.
[11] Section 448 (g)
Omit “other person with whom the person is associated”.Insert instead “person, company or body referred to in section 443 (1) (b) or (c)”.
[12] Section 451 Disclosure and presence in meetings
Insert after section 451 (2):(3) For the removal of doubt, a councillor or a member of a council committee is not prevented by this section from being present at and taking part in a meeting at which a matter is being considered, or from voting on the matter, merely because the councillor or member has an interest in the matter of a kind referred to in section 448.Note—The code of conduct adopted by a council for the purposes of section 440 may also impose obligations on councillors, members of staff of councils and delegates of councils.
[13] Section 486A
Insert after section 486:486A Contempt of Pecuniary Interest and Disciplinary Tribunal(1) The Pecuniary Interest and Disciplinary Tribunal may report the following matters to the Supreme Court:(a) if a person refuses to be sworn or to make an affirmation or refuses or otherwise fails to answer any question that is put to the person by the Tribunal after being called or examined as a witness before the Tribunal,(b) if, in proceedings before the Tribunal, a person wilfully threatens or insults:(i) a member or officer of the Tribunal, or(ii) any witness or person summoned to attend before the Tribunal, or(iii) a practising legal practitioner or other person authorised to appear before the Tribunal,(c) if a person misbehaves himself or herself in proceedings before the Tribunal,(d) if a person interrupts proceedings before the Tribunal.(2) If the Pecuniary Interest and Disciplinary Tribunal reports a matter to the Supreme Court under subsection (1), the Court may deal with the matter as if it were a contempt of the Court. However, a person is not liable to be punished for contempt under this subsection if the person establishes that there was a reasonable excuse for the act or omission concerned.
[14] Schedule 8 Savings, transitional and other provisions consequent on the enactment of other Acts
Insert at the end of clause 1 (1):
Schedule 2 Amendment of other Acts
(Section 4)
Schedule 2 Exempt bodies and offices
Insert at the end of the Schedule:The Department of Local Government (including the Director-General and other Departmental representatives)—complaint handling and investigative functions conferred by or under any Act on that Department.
[1] Schedule 1 Amendments
Omit Schedule 1 [1].
[2] Schedule 1 [2]
Insert “formed under” before “a public-private partnership” in proposed section 55 (6).
[3] Schedule 1 [5]
Omit proposed section 400B (1). Insert instead:(1) In this Act, a reference to a public-private partnership is a reference to an arrangement between a council and a private person for the purposes of:(a) providing public infrastructure or facilities (being infrastructure or facilities in respect of which the council has an interest, liability or responsibility under the arrangement), oror both, but does not include a reference to any such arrangement if it is of a class that has been excluded from the operation of this Part by the regulations.(b) delivering services in accordance with the arrangement,
[4] Schedule 1 [5]
Insert “(whether or not involving the formation of an entity)” after “understanding” in the definition of arrangement in proposed section 400B (2).
[5] Schedule 1 [5]
Omit “formed, or is proposing to form” from the definition of relevant council in proposed section 400B (2).Insert instead “entered into, or is proposing to enter into”.
[6] Schedule 1 [5]
Omit “the formation of, and the carrying out of projects under” from proposed section 400C (1).Insert instead “entering into, and carrying out projects under”.
[7] Schedule 1 [5]
Omit “form” wherever occurring in proposed sections 400E (1) (a), 400F (1) and 400I (1).Insert instead “enter into”.
[8] Schedule 1 [5]
Omit “proceed with the formation of” from proposed section 400F (4) (a).Insert instead “enter into”.
[9] Schedule 1 [5]
Omit “, on such grounds as the Minister thinks fit,” from proposed section 400G (1).
[10] Schedule 1 [5]
Omit “forming” wherever occurring in proposed sections 400G (2) (a) and 400K (2).Insert instead “entering into”.
[11] Schedule 1 [5]
Insert after proposed section 400G (2):(3) A direction may be given under this section only if the Minister is of the opinion that the council concerned has not complied with the PPP guidelines in relation to entering into the public-private partnership or carrying out the project.
[12] Schedule 1 [5]
Omit proposed section 400I (3) (a). Insert instead:(a) to enter into the public-private partnership (if it has not already entered into it), or
[13] Schedule 1 [5]
Omit proposed section 400L. Insert instead:400L Decision by council to enter into public-private partnershipAny decision by a council in relation to entering into a public-private partnership may only be made by resolution of the council.
[14] Schedule 1 [5]
Omit proposed section 400N. Insert instead:400N Application of Part(1) This Part does not apply to any public-private partnership that a council resolved, before 28 June 2004, to enter into.(2) However, if a council resolved, on or after 28 June 2004 but before the commencement of this Part, to enter into a public-private partnership, this Part applies to and in respect of the partnership.
[15] Schedule 1 [8]
Omit “its members for the time being” from clause 10 of proposed Schedule 3.Insert instead “the members referred to in section 400J (2) (a)–(e)”.