$27 Million to transition amalgamated councils: Fraser

7 August 2007

$27 Million to transition amalgamated councils: Fraser

The State Government has allocated $27.1 million to the transition process for councils which will be amalgamated under the historic, state-wide reform of local government.

Announcing the funding package today Local Government and Planning Minister Andrew Fraser said the multi-million dollar transition package would assist the smooth passage to a more streamlined, sustainable system of local government in Queensland.

Under the recommendations of the independent Local Government Reform Commission the number of councils in Queensland will be reduced from 156 to 72.

“These are wide-ranging, thorough and essential reforms which have been accepted by the Government to provide Queensland with the modern, sustainable system of local government it requires,” Mr Fraser said.

“It is now imperative that the government provides the appropriate funding to ensure the reforms are implemented as smoothly and efficiently as possible.

“The Beattie Government’s historic reform program for councils across the state has as its central objective the provision of a more streamlined, sustainable system of local government for the modern era.

“Reform can ensure stronger councils have the financial capacity and resources to meet the challenges of the 21^st Century, but to achieve that councils require financial assistance.

“The funding injection package is a wise investment to not only establish solid local government but to prevent the very real requirement to bail out many existing councils which face financial uncertainty into the future.”

Mr Fraser said $27.1 million funding package includes allocations for staff support packages, local transition committees and specific transition requirements within affected councils.

A total of $12 million has been allocated for the comprehensive three-year Staff Support Package which will ensure job security for council employees.

“The government has given a commitment that there will be no forced redundancies of councils employees from the next local government elections in March next year through to the subsequent elections in 2011.

“Only existing Chief Executive Officers and elected Mayors and Councillors will be affected by amalgamations.

“This is not only about ensuring a more sustainable system of local government but also about ensuring that the 37,000 Queenslanders who make a living working in this sector are able to continue to do just that.”

The support package includes a local government workforce Code of Practice to protect and support job security.

Funding has been included toward the costs associated with transition – such as legal and statutory costs - as well as to replace or upgrade of existing financial systems and also to specifically support the new councils following the March 2008 elections.

The government will fund the establishment and ongoing costs of the Local Transition Committees that will support the transition of affected councils.

Additionally a funding subsidy is included for interim Chief Executive Officers, who will be appointed by the Local Transition Committees from September.

“Interim CEOs will be critical in ensuring the transition for new councils over the initial six month period,” Mr Fraser said.

Media Contact Chris Taylor or Chris Ward 3227 8825