Recent changes to local government legislation
The purpose of this bulletin is to inform councils of legislative amendments to:
- increase National Competition Policy (NCP) business activity thresholds by the consumer price index (CPI) for the 2017–2018 financial year
- extend the timeframe under the Local Government Regulation 2012 for a council to adopt a lesser amount of remuneration payable to its councillors.
Increase to significant business activity and business activity thresholds
The City of Brisbane Regulation 2012 (CBR) section 16 and the Local Government Regulation 2012 (LGR) section 19 prescribe significant business activity thresholds and the CBR section 29 and the LGR section 39 prescribe business activity thresholds for the purpose of applying the NCP code of competitive conduct.
On 2 December 2016, the CBR and the LGR were amended to increase the significant business activity and business activity thresholds by the CPI for the 2017–2018 financial year.
|Legislation||Old threshold (pre amendment)||New threshold (post amendment)|
|CBR, section 16(2) (significant business activity)||$9.2M||$9.35M|
|CBR, section 29(1) (prescribed business activity)||$325,000||$328,000|
|LGR, section 19(2)(a) (significant business activity – combined water and sewerage services)||$13.75M||$13.96M|
|LGR, section 19(2)(b) (significant business activity – other)||$9.2M||$9.35M|
|LGR, section 39(1) (prescribed business activity)||$325,000||$328,000|
Timeframe to adopt a lesser amount of councillor remuneration
Section 247 of the LGR has been amended to extend the timeframe for councils to decide (by resolution) that the maximum amount of councillor remuneration, set by the Local Government Remuneration and Discipline Tribunal (the Tribunal), is not payable. Section 247 of the LGR continues to require that the amount of remuneration decided for each councillor must not be more than the maximum amount of remuneration payable to the councillor under the remuneration schedule.
Without amendment, councils have 90 days from the gazettal of the Tribunal’s annual decision about maximum councillor remuneration rates to decide (by resolution) that the maximum amount of remuneration is not payable. If a council decides the maximum amount of remuneration is not payable to its councillors, the council must decide (by resolution), the amount of remuneration that is payable.
The amendment provides that councils will have up to 1 July (for remuneration payable from 1 July of that year) to decide if the maximum amount is not payable and to decide the amount of councillor remuneration payable. Also, any ambiguity around the need for one resolution or two separate resolutions has been removed, with councils now required to make both decisions under the one resolution, i.e. that the maximum amount of councillor remuneration is not payable, and the amount of councillor remuneration payable.
The Local Government Legislation (Significant Business Activity Thresholds and Another Matter) Amendment Regulation 2016 SL No. 217 ( 154 KB) was made by the Governor in Council on 1 December 2016 and notified on the Queensland Legislation website on 2 December 2016. The explanatory notes ( 28 KB) are also available on the Queensland Legislation website at www.legislation.qld.gov.au.
Any further enquiries should be addressed to:
Mr Bill Hastie
Local Government and Regional Services
Department of Infrastructure, Local Government and Planning
P: (07) 3452 6710