Damon Mcknight
Australia has a federal system of government, with power divided between three levels: federal, state or territory, and local. Local governments in Australia are generally run by a council, and its territory of public administration is referred to as the local government area or LGA. The Australian Council of Local Government (ACLG) is a formal meeting between senior leaders of local government and the Australian Government, which was first established in 2008. The ACLG provides an opportunity for local governments to engage with ministers on opportunities and challenges in their areas. As of 2016, there were 547 local councils in Australia, with each council board member generally known as a councillor and the head councillor called the mayor or shire president.
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What You'll Learn
Local government areas (LGAs)
Australia has a federal system of government, with power divided between three levels: federal, state or territory, and local. Local governments are subdivisions of the six federated states as well as the Northern Territory.
The Australian local government is generally run by a council, and its territory of public administration is referred to as the local government area or LGA by the Australian Bureau of Statistics. Each LGA encompasses multiple suburbs or localities (roughly equivalent to neighbourhoods) and often includes different postcodes. As of August 2016, there were 547 local councils in Australia, with around 55% being regional, rural, or remote councils.
The administrative area covered by local government councils in Australia varies significantly in size. For example, the Shire of Peppermint Grove in the Perth metropolitan region covers an area of 1.5 km2, while the Shire of East Pilbara in Western Australia's Pilbara region covers 372,571 km2.
The Australian Classification of Local Governments (ACLG) categorises local governing authorities based on population, population density, and the proportion of the population that is urban. All local governments have approximately equal theoretical powers, although LGAs that include large cities like Brisbane and the Gold Coast have access to more resources due to their larger population.
Local governments in Australia have similar functions and powers but may have different official designations in different states, depending on whether the LGA is regional or for historical reasons. Most urban municipalities in all states are "cities", while many in Western Australia are officially "towns", even within the Perth metropolitan area. Many rural areas in Queensland, New South Wales, Victoria, and Western Australia are "shires", and those in Tasmania are officially "municipalities". Rural areas in South Australia have "district councils".
Each council generally has an elected council and a mayor or shire president responsible for chairing meetings. Councillors decide on policy and make by-laws for their community at council meetings, which are then administered by the chief executive officer and other non-elected employees of the council. Local governments receive part of their income in grants from federal, state, and territory executive governments, and also raise their own money through local taxes.
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Council members and roles
The Australian local government is generally run by a council, and its territory of administration is referred to as the local government area or LGA. Each LGA encompasses multiple suburbs or localities, often of different postcodes. The council board members are generally known as councillors, and the head councillor is called the mayor or shire president. As of August 2016, there were 547 local councils in Australia, with almost all councils having the same administrative functions and similar political structures.
Council members are elected by residents of the district and ratepayers. The number of council members varies, with each council consisting of between five and twelve members. The role of each council is to provide good governance for the benefit and wellbeing of the municipal community, which includes residents, ratepayers, traditional landowners, and people and bodies who conduct activities in the municipal district.
Councillors attend full meetings of the council, and some hold executive posts. They facilitate communication between the community and the council and may serve on scrutiny panels, responsible for scrutinising existing policies and service delivery. The mayor is generally elected by the council and is empowered to carry out civic and ceremonial functions, including presiding at council meetings.
Some recent trends that may have affected the roles of council members include a change in the way many Australians interact with local services, businesses, and recreation opportunities closer to home. The COVID-19 pandemic also impacted the role of councils, with a focus on supporting social and economic recovery through investing in community infrastructure and local businesses. Amendments to local government legislation in 2020 also require councils to undertake longer-term planning, including financial and asset plans for the next ten financial years.
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Indigenous representation
Local government in Australia is generally run by a council, and its territory of public administration is referred to as the local government area or LGA. Each LGA encompasses multiple suburbs or localities (roughly equivalent to neighbourhoods) and has an elected council, usually with a mayor or shire president responsible for chairing meetings of the council.
Despite the largely single tier of local governance in Australia, there are some areas with relatively low populations that are not part of any established LGA. Powers of local governments in these unincorporated areas may be exercised by special-purpose governing bodies established outside of the local legislation. For example, New South Wales has county councils, which are a form of special-purpose local government responsible for governing county districts composed of two or more LGAs.
In terms of Indigenous representation, local governance remains unrepresentative. For instance, in Brewarrina Shire, north-western New South Wales, despite a population that is 60% Indigenous, there is only one Indigenous councillor. Efforts have been made to address this issue, such as the ALGA's report on providing greater opportunities for Indigenous Australians at the local community level, and the city of Sydney's Reconciliation Action plan, which aims to strengthen relationships with Aboriginal and Torres Strait Islander communities.
Overall, while the structure of local government in Australia is relatively consistent across the country, with similar functions and powers, there is a need for improved Indigenous representation in some areas.
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Funding and expenditure
Local government in Australia is generally run by a council, with board members known as councillors, and a head councillor called the mayor or shire president. There are 537 councils in total across Australia, employing just under 190,800 Australians.
In 2020-21, local government revenue from rates was about $20 billion, with an annual expenditure of approximately $43 billion, representing a 10.72% increase since 2018-19. Local government non-financial assets, such as roads, community infrastructure, buildings, facilities, airports, water, and sewerage, are also key areas of expenditure.
The Australian Classification of Local Governments (ACLG) categorises local governing authorities based on population, population density, and the proportion of the population that is urban. While all local governments are approximately equal in their theoretical powers, those encompassing large cities like Brisbane and the Gold Coast have access to more resources due to their larger population base.
Local government funding sources have evolved over time. In the 1970s, funding to councils was expanded beyond grants for road construction, and general-purpose grants became available. Today, local government finances are monitored by the Australian Bureau of Statistics, with quarterly reports published on key aggregates like total public demand, government final consumption expenditure, and gross fixed capital formation.
It is important to note that constitutional responsibility for local government lies with state and territory governments, resulting in variations in the roles and responsibilities of local governments across different states.
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History of local government
The history of local government in Australia can be traced back to the 19th century, with the establishment of the first official local government in 1838, just three years after British settlement. The Perth Town Trust was the first local government body, followed by the Adelaide Corporation, created by the province of South Australia in 1840. The City of Melbourne and the Sydney Corporation were established in 1842, but these early attempts at local governance failed. It wasn't until the 1860s and 1870s that the various colonies established stable forms of local government, primarily to raise funds for road construction in rural and outer areas.
In the late 19th century, the word "municipality" was used for older urban areas in New South Wales, and for some rural towns in South Australia. Larger towns and small metropolitan centres in Queensland and Western Australia were designated as "towns", while in Victoria they were called "rural cities". The term borough was once common for small towns and suburban centres in Victoria, but today only the Borough of Queenscliffe remains as the sole borough in the country.
By the 20th century, local governments in Australia had evolved, and in 1947, the Australian Local Government Association (ALGA) was founded to represent the interests of local governments, mayors, councillors, and employees. ALGA established a secretariat in Canberra in 1976, reflecting its growing links with the Australian Government. In the 1970s, funding for local councils was expanded beyond grants for road construction, and general-purpose grants became available. There have been proposals to recognise local governments under the Australian Constitution, but referendums in 1974 and 1988 failed to achieve this.
Today, local government in Australia is generally run by councils, with board members known as councillors and a head councillor called the mayor or shire president. As of 2016, there were 547 local councils in Australia, with around 55% being regional, rural, or remote. Local governments have similar functions and powers across the country, but their official designations vary by state and region. Despite the different titles, almost all local councils have the same administrative functions and political structures, retaining designations like "shire", "borough", "town", or "city" for historical reasons.
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Frequently asked questions
The local government in Australia is generally run by a council, and its territory of public administration is referred to as the local government area or LGA. The council board members are generally known as councillors, and the head councillor is called the mayor or shire president.
Local governments receive part of their income in grants from federal, state and territory executive governments. They also raise their own money from local taxes such as rates, sewerage and water charges, dog licences and user fees for sporting facilities and libraries.
Local government members meet at council meetings. The Australian Council of Local Government (ACLG) also provides an opportunity for local government leaders to meet with Australian Government ministers to discuss challenges and opportunities in their areas. The ACLG was first established in 2008 and is held annually.
