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NSW progresses down the path of voluntary amalgamations

In June last year, Harry Woods, New South Wales Minister for Local Government, invited groups of Councils to submit joint proposals for voluntary amalgamations. Those who did so by the end of that month had their September 1999 elections deferred to this year to allow them to focus fully on their merger proposal. Eight initial proposals, involving 24 Councils, were received. In February, the first two amalgamations were officially proclaimed.

Armidale Dumaresq Council, the merger of Armidale City and Dumaresq Shire, commenced operations on 21 February with its first election scheduled for 27 May. On the same day Richmond Valley Council, the joining of Richmond River Shire with Casino Council, also took place. Its first election is due on 3 June.

By April, five proposals were still proceeding including Strathfield and Burwood; Nymboida and Ulmarra; Concord and Drummoyne; Tamworth and Parry; and Nundle and Quirindi. Some of the original proposals failed to eventuate and a number of the original 24 Councils to put their hands up, following further consideration and community consultation, have also withdrawn from the process.

When the Minister invited Councils to examine themselves and see how they can best service their communities into the future, he reaffirmed one way for some Councils, not all, is structural reform. He said the NSW Government has a policy of voluntary amalgamation, unlike the Kennett Government which carried out wholesale amalgamations in Victoria.

"Leadership, maturity and foresight from Councils are important if they are to provide effective quality of service and infrastructure to their ratepayers," Harry Woods said. "What we did last year was merely set up the framework to assist those Councils interesting in reform. What happens now is in the hands of Councils acting in the best interests of their ratepayers. The choice is theirs."

The Minister believes there will be a reduction in the number of Councils in the next 10 years or so as more Councils look at voluntary structural reform as a means, and in some cases, a necessary means to improve services. Under the Local Government Act (1993), the Local Government Boundaries Commission must hold an inquiry into any merger proposal before it can proceed.

The Commission comprises four members. The Chair, Edith Hall AM, nominated by the Minister for Local Government; Councillor Bill Bott, nominated by the NSW Shires Association; Councillor Leo Kelly, nominated by the NSW Local Government Association; and Michelle Carnegie, from the Department of Local Government nominated by the Director General.

Following its recent merger, Richmond Valley Council now has a population of 22,000 people and covers an area of 2,550 square kilometres.

"Councillors, staff and the community have all been very positive about the merger," said Interim General Manager Ross Schipp. "There has always been a strong community of interest across the two former Council areas. "With the minimum estimate of savings over the next 20 years being $3.2 million, this will mean improved opportunities for staff, as well as enhanced services for the community."

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