Public hearing highlights pressures on local government

Published: 12th May 2017

At a public hearing on Wednesday the LGAQ highlighted the severe financial pressures put on local government due to cuts during the Newman administration.

Appearing as a witness, the LGAQ said councils' limited capacity to raise revenue and high reliance on funding certainty from other levels of government has a significant impact on councils' financial sustainability.

LGAQ manager of infrastructure, economics & regional development Simone Talbot represented the Association at the public hearing.

“Queensland Government funding to local government went from about $580 million in 2008-09, to just $160 million in 2014-15," Ms Talbot said.

"Add to this the Federal Government’s freeze on financial assistance grants indexation worth about $150 million over three years left councils in a very vulnerable position. 

“Local government is under constant pressure to expand the range and quality of services, there are rising community expectations, increasing demands and devolution of responsibilities from other levels of government.

"The costs associated with changes in standards and legislation, and the variability in revenue streams, simply cannot be absorbed without a significant impact in service delivery," she said.

Ms Talbot acknowledged there were also a range of hidden costs which the public didn't see, to demonstrate good public sector governance.  

“As part of its current Advocacy Action Plan, the LGAQ is seeking Queensland Government support to establish greater capacity in this area,” she said.

Paroo Shire Council Mayor Lindsay Godfrey said part of this issue, particularly for rural and remote councils, was about finding the right people and encouraging a change of culture to focus on high-level strategy.

“To attract a CEO out into western Queensland isn’t easy…its really about attracting the right people," Mayor Godfrey said.

"It’s hard to get the discipline of the organisation in the direction of strategic management. It’s very difficult to bring about a change in culture, the whole organisation has to embrace asset management,” he said.