A summary detailing steps Local Government need to consider in order to become fit for the Future for the Future

1. Delivering Sustainable Reform
Fit for the Future Symposium
18 February 2015

2. NSW Government Priorities
Modernising Government beyond March 2015
"Government will
continue to engage
with the private
sector to explore
ways it can
commission
services across the
sector"
Efficient
Service Delivery
"Government will
continue to explore
ways of digitizing
and modernising
government in
order to make
information more
directly
accessible"
Digitization of
Government
"Government will
continue to identify
ways to build
capability & better
utilise talent across
rather than within
agencies"
Developing
Capacity

3. The overarching imperative is to ensure the
long-term sustainability and
effectiveness of NSW local
government. In its present form and
under current policy settings the system as
a whole will not remain sustainable
and fit-for purpose for much longer.
NSW Independent Local Government Review Panel 2013

4. Amalgamation
Performance
Improvement
Modernising
Local
Government

5. So what determines
long term sustainability

6. Local Government Reform – Australia &
International
The good, the bad and the ugly
Onkaparinga
South Australian (1997)
Delatite Shire
Victorian (1995)
Greater Toronto
Authority
Canada (1998)
Auckland City
New Zealand
(2010)
Local Government
Reform
South Australian
(1997)
Local Government
Reform
Queensland (2007)

7. Elements of sustainable local government
The NSW Independent Review Panel's Perspectives
NSW Independent Local Government Review Panel 2013
Healthy balance
sheet
Outcomes based
Coordinated
Devolved
decision making
Scale, resources
& strategic
capacity
Shared
resources
(regional)
Highly skilled
mayors, council
& executive
Local
Government
advocacy
Strong sense of
local identity
Mayors
recognised
leaders
Council diversity
representative of
community
Constructive
employee
relations

8. OPERATIONAL
SUSTABABILITY
RESOURCE
SUSTAINABILITY
COMMUNITY
SUSTAINABILITY
Modern Local Government in NSW
Grant Thornton's Perspectives
Operational Sustainability
• Governance
• Planning
• Finance
• Reporting
Resource Sustainability
• Assets
• Infrastructure
• Intellectual Capital
• Human Capital & Culture
Community Sustainability
• Communities
• Residents
• Business owners

9. Operational Sustainability
Governance - Planning - Finance - Reporting
Healthy balance
sheet
Outcomes based Coordinated
Devolved
decision making
Creating a measurable benefits realization
plan supported more efficient service
delivery
Efficiencies were gained from
effective business strategies
rather than through
economies of scale
Learning from past experience
Costs blew out quickly due to poorly
coordinated service delivery and
infrastructure redesign

10. Operational Sustainability
Governance - Planning - Finance - Reporting
Healthy balance
sheet
Outcomes based Coordinated
Devolved
decision making
Focus for success
• Early appointment of a leader and
team to lead the reform
• Focusing on 'new council' rather
than 'acquisition' mindsets
• Proper, robust planning and
service redesign to create
efficiencies and improve service
delivery

11. Resource Sustainability
Assets - Infrastructure – Intellectual Capital – Human Capital &Culture
Smaller communities
benefited from economies
of scale and sharing of
resources
75% of new council were
representatives from previous
councils
Councilors remained in
place until new Council
elected
Scale, resources
& strategic
capacity
Shared
resources
(regional)
Highly skilled
mayors, council
& executive
Local
Government
advocacy
Learning from past experience

12. Resource Sustainability
Assets - Infrastructure – Intellectual Capital – Human Capital &Culture
Scale, resources
& strategic
capacity
Shared
resources
(regional)
Highly skilled
mayors, council
& executive
Local
Government
advocacy
Focus for success
• Clear coordination around
governance and responsibilities
• Targeted asset management to
reduce risk of funding gaps and
falling behind in infrastructure
renewal
• Consideration of alternative service
delivery models

13. Community Sustainability
Communities – Residents – Business Owners
Poorly planned community
consultation & engagement can
have disastrous consequences
The case for change needs to
be carefully planned and
communicated
Community engagement is
critical during the reform
process
The community's identity can
be lost through the reform
process
Strong sense of
local identity
Mayors
recognised
leaders
Council diversity
representative of
community
Constructive
employee
relations
Learning from past experience

14. Community Sustainability
Communities – Residents – Business Owners
Focus for success
Strong sense of
local identity
Mayors
recognised
leaders
Council diversity
representative of
community
Constructive
employee
relations
• Communicating benefits of change
to residents in a meaningful way
• Planning the case for change
carefully
• Tailoring the way you engage with
your community – different
Councils have different needs
• Strong community engagement
during change to retain a sense of
identity

15. Priorities for NSW Local Councils
Fit for the future
• Clearly defined &
articulated governance
and accountabilities
framework
• A well planned &
coordinated service
delivery and reform plan
• Careful budgeting and
forecasting
• Integrated change
management and cost
benefit plan
Operational
Sustainability
• Exploring alternative ways
to deliver services
• Exploring ways to better
utilise assets across
councils and local
businesses
• Integrated & coordinated
approach to infrastructure
planning and delivery
• Focusing on retaining
your people
Resource
Sustainability
• Community engagement
through the change
• Retaining neighborhood
forums and local boards
safeguard the voice of the
community
• Activating a broader
approach of community
governance – creating 'a
community of
communities'.
Community
Sustainability