Clarence Valley Cr. Karen Toms to move motion next week that Council commence awareness campaign re upcoming national referendum to recognise local government in Australian Constitution

Finally Clarence Valley Council appears to be considering an information campaign which will offset the alarmist nonsense being spread across the local government area by those being fed misinformation via websites such as Vote No To Canberra's Power Grab.

This nonsense reaches its peak in local online comments by the likes yambaman and Klanger.

There is no doubt that this referendum is being strongly supported by local governments across Australia:

Our national campaign involving mayors and councillors across the country is well underway and Commonwealth funding to support the yes campaign has been confirmed.  Councils strongly believe that winning a referendum is in the interests of every local community and we will continue to reinforce this.  Councils need formal recognition as legitimate recipients of direct federal funding because without it, federal programs such as Roads to Recovery are at risk of legal challenge.  That's why we are getting on with the job of ensuring that Australians understand that voting 'yes' at a referendum is the only way to protect direct funding for community infrastructure such as local roads, libraries, child care and sporting fields.

Although the decision regarding the timing of the federal election is one for the Government, local government is confident that the referendum will go ahead.  We are ready and we are confident of a successful referendum in the near future. 

Mayor Felicity-ann LewisALGA President

Hopefully Clarence Valley Council will pass this timely motion at committee and ordinary monthly meeting level and, then act quickly to give residents and ratepayers reliable information concerning the forthcoming referendum.

Committee: Governance & Corporate

Section: Notice of Motion - Cr Toms

Date: 9 July 2013

Item: 15.006/13 Referendum for Constitutional Recognition of Local Government

To the General Manager, Clarence Valley Council

PROPOSED MOTION

1. That council commence an awareness campaign to ensure our community understands the importance of the upcoming referendum to recognise local Government in the Constitution

2. This could include but not be limited to an addition to councils existing advertisements in the local papers, flyers and posters in Libraries and other public places as the General Manager sees fit.

3. Information placed on councils website and in our e-newsletters

4. That Local Government NSW be asked to provide campaign support materials to Councillors to assist with raising awareness in the community prior to the Referendum.

BACKGROUND

The Prime Minister announced 9 May 2013 the Australian Government’s intention to proceed with a referendum to recognise local Government in the Constitution.

The referendum will be held on the same day as the Federal Election this year and will ask the voters to cast a vote on “financial” recognition to enable the Commonwealth to continue to provide direct funding to local services and local communities.

The Constitution Alteration (Local Government) Bill 2013- was released by Minister Albanese on 16 May and formally introduced into Parliament on 29 May. The Bill was the last formal step in the path to a referendum

LGNSW wrote to all NSW Federal Members and NSW Senators to support the legislation that was introduced into Federal Parliament to provide for a Referendum to amend the Constitution to include the ability to directly fund Local Government.

The proposed legislation was supported in the Federal Parliament on Monday 24 June 2013.

Should the referendum be successful Section 96 will be amended to read "...Parliament may grant financial assistance to any state or local government body formed by a law of a State on such terms and conditions as the Parliament thinks fit."

The words of the proposed amendment were designed specifically to give assurance to State

Governments that, under the proposed change, local government would remain the responsibility of state and territory governments.

Legal advice confirms that the Federal Government will not be able to ask local government to do anything that would contravene a state law, and that states will retain the right to legislate for their councils, including the ability to stop them from accepting federal funding if they have concerns.

ISSUES

Although the Commonwealth Government has provided direct funding to local government for many years, two recent High Court decisions in the space of 3 years have challenged its power to do so.

A 2009 High Court case Pape v Commissioner of Taxation found that the Commonwealth does not have power to directly fund areas such as local government. It can only spend money where it has a specific power under the Constitution. A further case in 2012 Williams v Commonwealth of Australia reaffirmed the Court’s finding in Pape v Commissioner of Taxation that there are significant constitutional limits to the Commonwealth’s ability to spend money.

Both decisions have created legal uncertainty in relation to direct funding from the Commonwealth to local government.

The decisions present a compelling reason to include local government in the Constitution. Without constitutional recognition, direct Commonwealth funding of local government, through programs such as Roads to Recovery, may be technically invalid. Local government needs certainty and security of funding in order to provide the range and level of services expected by the community.

This referendum is about fixing a problem and removing the uncertainty surrounding the funding of vital services and infrastructure for communities.

OPTIONS

1. Support the proposed motion

2. Not support the proposed motion

3. Take some other action

Councillors Karen Toms

Date 27 June 2013