2010 – 2011 annual report part 2 - mav.asn.au  · Web viewthe regulatory burden of local...

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Finance and Productivity Promises and more promises Election commitments were achieved from all major political parties in the lead up to the state election in November. Promises responded to 46 priority requests detailed in a local government action plan. They included significant infrastructure funding for roads and bridges, kindergartens, sporting infrastructure and libraries; as well as a proposed Victorian Population Strategy; stronger state-local government partnerships; and protecting and strengthening of councils’ planning roles and community input rights. There was strong support from major parties to the MAV’s ongoing kindergarten campaign. Labor committed $100 million for kindergarten capital infrastructure (equal to the previous 10 year capital investment by the State), while the Coalition offered $6 million in operational grants for struggling rural kindergartens. All major parties also agreed to support federal advocacy efforts for Commonwealth funding and transition arrangements for the national ‘universal access’ reforms. As a result of the Give Our Streets the Green Light campaign, Labor and the Coalition committed capital funding to assist councils with energy efficient street lighting upgrades. Labor promised a $15 million Local Government Climate Communities Program, while the Coalition pledged $20 million for energy efficient street lighting upgrades. Red tape unraveled Research was commissioned to identify the costs of

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Finance andProductivity

Promises and more promisesElection commitments were achieved from all major politicalparties in the lead up to the state election in November. Promisesresponded to 46 priority requests detailed in a local governmentaction plan. They included significant infrastructure funding forroads and bridges, kindergartens, sporting infrastructure andlibraries; as well as a proposed Victorian Population Strategy;stronger state-local government partnerships; and protecting andstrengthening of councils’ planning roles and community inputrights. There was strong support from major parties to the MAV’songoing kindergarten campaign. Labor committed $100 millionfor kindergarten capital infrastructure (equal to the previous 10year capital investment by the State), while the Coalition offered$6 million in operational grants for struggling rural kindergartens.All major parties also agreed to support federal advocacy effortsfor Commonwealth funding and transition arrangements for thenational ‘universal access’ reforms. As a result of the Give OurStreets the Green Light campaign, Labor and the Coalitioncommitted capital funding to assist councils with energy efficientstreet lighting upgrades. Labor promised a $15 million LocalGovernment Climate Communities Program, while the Coalitionpledged $20 million for energy efficient street lighting upgrades.

Red tape unraveledResearch was commissioned to identify the costs of furtherregulation proposed by the Essential Services Commission.The findings resulted in a significant reduction in the number ofmeasures included in a proposed new performance framework forlocal government. In accordance with the final recommendationsof the Commission, the MAV called on the Minister for LocalGovernment to halt the performance reporting project until cutswere made to the reporting requirements of councils. Furtheranalysis and advocacy resulted in a change of scope to theVictorian Competition and Efficiency Commission’s work onthe regulatory burden of local government to focus its inquiryon examining the burden of reporting obligations on councils.The MAV is confident that the final report will include furtherrecommendations to reduce regulatory burdens on localgovernment.

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Tender touch reaches out to every councilAll 79 councils have now participated in MAV Procurementtenders, demonstrating widespread support for the aggregatedmodel of purchasing, and evidence of the value offered by thecontracts. Council demand for a wide variety of contracts led toMAV Procurement successfully running or participating in 12tenders this year. These included contracts for electricity, anincident management system, Microsoft licensing agreement,records storage and imaging services, corporate work wear,tractors, road and bridge making equipment, human resourcesconsulting, recruitment services, marketing services and trucks andheavy duty commercial vehicles. Supplier showcases were held infive locations around Victoria, introducing councils to MAV

Cloud lifts on shared services dreamIncremental progress was made towards establishing a commoninformation technology platform for councils that would eventuallyenable participating councils to deliver any number of sharedservices. A tender process on behalf of 11 councils was completedto select a partner to help deliver the program. HCL Axon wasappointed to work with the MAV to develop and deliver a businesscase detailing the governance, commercial and technical detailsfor the platform. Presentations and detailed documentation wereprovided to the Minister for Local Government on plans toestablish a shared services company and seek an exemption forpurchasing through the company. The shared service requires acritical mass of councils in order to progress.

Procurement certified suppliers who demonstrated best practicein a number of product and service categories.

Procurement delivers extra valueA plain English guide to doing business with local government wasdeveloped with input from councils, to educate and encouragelocal businesses about the opportunities and processes ofcommercial transactions with local government. In anothervalue-add, MAV Procurement brokered access to a heavilydiscounted online quotation system for councils to improve theadministration and management of quotes; make it easier to useMAV Procurement panel suppliers; and make it easier for councilsto use their own panels more effectively. This year 70 procurementofficers attended one of 11 professional development workshopsaimed at building sector capacity in procurement.

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Workforce

New vision definedCouncils were required to fund a $71 million shortfall for theVision Super defined benefits plan due to poor investment returnsduring the global financial crisis. The MAV has appealed to theAustralian Government to allow the full funding of the definedbenefits scheme over the medium term, in line with requirementson the Victorian and Australian Governments, whose shortfallsamount to billions. The MAV also sought, but was refused,permission for councils to borrow from the State Government’scentral financing authority, which would have provided access torates well below those available commercially and reduced theburden on communities of those councils that borrowed to repaytheir shortfall. Meanwhile the MAV used its position on the VisionSuper Board to pursue a merger with Equipsuper which willsignificantly increase the member base of the fund, enhanceinvestment risk management and expand the range and quality ofservices delivered in the interests of members and employers.

Health benefits extended to more employeesParticipation in the Local Government Employees Health Plangrew from 47 to 53 councils this year and individual membershipincreased from 3,029 to 3,711. The Plan offers a superior healthinsurance product as an employment benefit for councilemployees in support of the sector’s efforts to be recognised as anemployer of choice. It provides a pool facility, funded by four percent of member premiums, which by this year’s end had returned$125,000 in excess refunds to members. The Plan was extendedto Tasmanian councils this year, with 13 Tasmanian councilsjoining the fund. Following an application by the MAV, theAustralian Taxation Office ruled favourably in November that thefund is exempt from Fringe Benefits Tax. The ruling represents asignificant decision for local government and provided greatercertainty about the product’s tax status and its many advantagesfor employees and councillors.

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Analysis reveals younger age profileAn analysis of contemporary data sourced from Vision Super onthe age, gender and salary profile of councils revealed that thesector has reduced its risks of major staff shortfalls as the babyboomer cohort moves into retirement. The data updates analysisfirst performed by the MAV in 2005 and shows that the sector hasa slightly younger age profile than it did five years ago. Thisresearch assists councils in better understanding future recruitmentand skills shortages and indicates that the local governmentworkforce needs to remain vigilant to the risks of staff shortagescaused by an ageing workforce. The MAV has also representedVictoria in the development of a national local governmentworkforce strategy being facilitated by the Australian Centre forExcellence in Local Government. The draft strategy includes thedevelopment of a local government data set that will better informthe sector.

Responding to an ageing workforceA survey of 1135 local government employees aged 55 years andover, yielded a 54 percent response rate. The survey reportincluded a statistical analysis of the data collected and identifiedstrategic issues facing councils, potential strategies for attractingand retaining older workers, and recommendations for councils toconsider as part of the development of their own strategicresponse to this critical issue. A working group of

representativesfrom interested councils was formed to consider eachrecommendation with a view to determining any future actions.The working group was assisted in their deliberations byrepresentatives from Vision Super and National Seniors Australia.Many of the recommendations were identified by the workinggroup as issues of equal significance and relevance for employeesother than mature aged workers. A ‘lifestyle’ forum is planned to

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Benchmarking performance in human resourcesForty councils participated in the second annual local governmenthuman resources benchmarking survey. The report provides avaluable management information tool that has assisted councilsto make comparative assessments with like councils therebyenabling the identification of issues and the development ofrelevant responses and programs. Data was reported on astate-wide basis as well as a trend analysis of data collected in2009 and 2010. While more than 50 per cent of councils in the

survey reduced their unplanned turnover rate from the previousyear, the survey highlighted an extensive level of unplannedabsenteeism and a significant level of annual leave liability. Inrespect of the occupational health and safety benchmarks, thenumber of lost time injuries was significantly higher overall to thatreported in 2009, particularly in small rural councils.

Fostering leadership in council managementThe Vision Super Leadership Scholarship was awarded to JohnMilkins, Environmental Sustainability Coordinator at Banyule CityCouncil. The scholarship is open to permanent employees ofcouncils who hold a management position and covers the full costof the recipient participating in the Williamson CommunityLeadership Program. The Williamson Community LeadershipProgram was established in 1990 and is regarded as one ofAustralia’s most sought-after leadership development experiences.The participation of the successful applicant in the program isconsidered to be of great benefit to their personal andprofessional development. Applications received were reviewed bya panel, consisting of representatives from the MAV, Vision Superand members of the Williamson Alumni. The short listedcandidates were then submitted for consideration by LeadershipVictoria for a final decision.

outline a strategy for councils to engage with their mature agedemployees to assist them in the transition to retirement, includingjob opportunities, flexible employment options and financialplanning for retirement.

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Human Servicesand Public Health

Riding the new wave of reformPersistent advocacy ensured that support for the current model ofhome and community care in Victoria and the previously givencommitment to work on a tripartite approach recognising the roleof local government survived a second wave of health reform anda change in state government this year. Two submissions on majorreform proposals to the funding, administration and delivery ofaged care services stressed the importance of preserving thestrengths of the Victorian system. A forum was organised forcouncils to hear from the Productivity Commission directly,understand the risks and opportunities in the proposed changesand consider whether the proposed reforms will deliver a betterand more sustainable care system for older people in localcommunities over the next 30 years or more.

Access all areasA framework was developed to support local government in itsongoing efforts to build diverse, well-designed, accessible andinclusive local communities. The framework was informed byresearch involving 24 councils and other key stakeholders. Thefocus of this work was on local government’s progress inimproving access and inclusion and a review of councils’ disabilityaction plans, council plans and municipal public health andwellbeing plans. The findings were captured in a report thatdocuments achievements and initiatives of councils. Meanwhilethe MAV rejected a proposition by the Productivity Commissionthat councils fund a large proportion of the costs associated withdisabilities from injuries. A submission argued that the proposalwould effectively make councils responsible for injuries occurringin private premises including commercial facilities; removeincentives to reduce risks, and; would not significantly offset thecosts of councils’ public liability insurance.

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Input to local health outcomesA draft agreement was brokered on local government’s role inprimary health care and the manner in which councils should beengaged in the establishment and ongoing operation of MedicareLocals. Medicare Locals will be charged with undertakingpopulation need and primary health care service planning as wellas implementing programs and initiatives in defined geographicregions under a raft of reforms designed to identify locallyappropriate measures to improve service integration and addressgaps in the primary health care system. The relationship to stategovernment roles in health and local government’s planning andservice delivery roles have not been clearly articulated. Throughclose engagement with the Victorian Government and other keystakeholders the MAV has achieved acknowledgement in Victoriathat for the new model to be successful these relationships andmodes of working together will need to be agreed.

Planning for more child’s playCouncils’ planning for kindergarten reforms improvedconsiderably this year as a result of the MAV’s advocacy andsupport. The position of Victorian councils and issues of growthpressures, infrastructure, three year old programs, cost andtimelines is now well documented. A submission was made to themidterm review on progress towards universal access to 15 hourskindergarten in the year before school and the MAV met with theresponsible Australian Government minister to appraise him

of thechallenges in Victoria. The Victorian Government has announcedadditional funding for capital works and taken up flexibletimelines, infrastructure and service delivery funding in its bilateralnegotiations with the Australian Government. In addition the MAVsupported and resourced councils to plan for 15 hour service,facility and staffing models. Workshops on the national qualityreforms, model development, infrastructure planning, leases/licenses and central registration were attended by 200 councilofficers; a rural capacity building project was facilitated in the

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Meeting workforce challenges in maternal andchild healthSupport was provided to 25 councils to commence or continuescholarship programs as an incentive to attract nurses to a careerin maternal and child health nursing. Assistance was also providedto establish student placement and graduate transition programs.Further support was given to four groups of councils to developcollaborative approaches for scholarship and student supportprograms and shared relief nurse arrangements. A strengthenedrelationship with major media enabled focused marketingcampaigns and alignment between career expos, advertising,editorial and online promotion. Research commenced on

perceived barriers to pursuing a career in maternal and childhealth nursing that will inform future workforce initiatives.Meanwhile guidance was given to councils on the impacts of newnational laws for the regulation of all health professionals and therequired educational qualifications for maternal and child healthnurses to meet Victorian Government requirements. Councils werealso represented on committees providing input to a strategicreview of the management and provision of the maternal andchild health service.

Responding to youthA survey developed in conjunction with the Victorian Governmentidentified local government support for children, young peopleand their families. The survey was completed by all councils andthe final report was launched at a forum for councils on youthissues. The report provides a key resource for councils’ planningand advocacy. Work commenced on a standardised approach toagreements between councils and schools for joint use of facilitiesto cut down the time taken to sign agreements and the need foreach party to seek independent legal advice. The MAV is alsoinvolved in testing new ways for services to work together acrosssectors to ensure that young people receive the help they need.

Hume region to support smaller, flood/fire affected councilsundertake early years planning; five councils were supported toparticipate in funded 15 hour pilots; and nine councils, supportedby the MAV, were provided with additional funding and support tomeet growth demands for kindergarten participation in 2011.

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Responding to cultural diversityFunding was used to support the work of Victorian councils inpromoting and responding to cultural diversity through a series ofinitiatives this year. A conference was staged in Wangaratta; twopilot projects involving several municipalities focused ondeveloping councils’ capacity to engage with local interfaithnetworks; a series of forums were held to showcase good practicein the delivery of Home and Community Care services to culturallydiverse communities; support was provided to pilot projects inShepparton and Whittlesea aimed at developing resources forcouncils to facilitate increasing acceptance of diversity andreducing discrimination; a special ceremony was organised tomark Australian Citizenship Day and demonstrate good practice inholding citizenship ceremonies; support was provided to a forumon international students issues, and; councils were encouraged toparticipate in government and community sector initiativesincluding Harmony Day, A Taste of Harmony, Cultural DiversityWeek, Refugee Week and Sports Without Borders. The MAVrepresented local government on behalf of the ALGA on theintergovernmental Standing Committee on Immigration andMulticultural Affairs and continued to provide support to networksof local government diversity planners.

Reducing impacts of smokingCouncil roles in reducing the incidence of smoking in thecommunity came to the fore this year. A consultation

processfacilitated by the MAV provided detailed recommendations andadvice to the Victorian Government on a statewide framework forsmoking in outdoor public places. Advice and support wasprovided for the development of a toolkit to support andencourage councils in Victoria to adopt smoke-free policies inoutdoor areas, including playgrounds, sporting fields, beaches,council-run or sponsored events and alfresco dining areas. Inaddition $850,000 was disbursed to councils under a jointprogram with the Victorian Government to support councils toundertake education and enforcement activities which support theobjectives of the Tobacco Act 1987.

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Dining out on technology solutionsNew food regulations with big impacts for councils came intoeffect this year. The MAV worked closely with councils to develop atechnological solution to new reporting requirements andmanaged the development of a single registration system fortemporary and mobile food businesses that will have significantbenefits for councils and business operators. The MAV alsoparticipated on a new committee established by the VictorianGovernment to improve coordination between the food regulatorsin Victoria.

Coordinating mosquito responseExtensive flooding and weather conditions this summer led to anincreased risk of mosquito borne diseases which could incitecommunity fear and have serious flow-on impacts for localeconomies, particularly through loss of tourism and agriculture.Following detection of a virus in chickens with potentially highmortality and morbidity rates, a taskforce was established tocoordinate agency responses in the event of human cases. TheMAV participated on the taskforce to provide rapid information tocouncils actively engaged in mosquito control and localawareness raising activities and to convey council concerns backto Victorian Government agencies.

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Planning

Councils take steps to improve processesA new program to help councils improve their performance anddemonstrate accountability in the administration, managementand delivery of planning services attracted participation by 22councils in its first year. Two intakes have undergone an intensiveaudit and review of their planning processes and participatingcouncils now have individual improvement plans in place.Quarterly reports were provided to the councils to betterunderstand their performance and track improvement in a timelyway. Improvement concepts were showcased at a forum formembers of the program and scoping of these concepts has beenincorporated into a review of the planning scheme amendmentprocess.

Certainty sought for growthMember consultation structures were used to respond with speedand certainty during a period of significant change in metropolitanand urban growth policy and strategy following the state election.The MAV was engaged in multiple forums to ensure the interestsof local government were accurately represented in the interimperiod and early stages of development of a new metropolitanstrategy. Advocacy stressed the need for certainty and therelevance of strategies to future projections. Submissions andrepresentations to government highlighted the importance of anew metropolitan strategy being clearly articulated and having along term view; a bipartisan commitment for the coordinatedrollout of critical public infrastructure; more financial models forhousing options; higher minimum standards and improvedplanning processes, and; a mechanism for local government to beinvolved in the development and implementation of the

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strategy.

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Planning for coastal changeA specialist committee set up to advise the Victorian Government onmanaging the coastal impacts of climate change heard that councilresponsibilities, particularly for land use decisions, carry numerousand significant liability. A working session was convened for councilsto better understand their legal risks associated with expected sealevel rises and agreement was achieved for the MAV to pursuelegislative reform that would provide Victorian councils the sameimmunity that exists in other jurisdictions for environmental risksincluding flooding, bushfire, coastal erosion and inundation.Meanwhile councils were represented on a project reference groupto establish guidelines that would support a consistent approach toplanning for and managing the impacts of climate change andcoastal hazards on the Victorian coast. The MAV also supportedfour projects to assess coastal vulnerability in Port Fairy, Gippsland,Westernport Bay and the Bellarine Peninsula.

Planning reforms in limboThe Victorian Government established a working group inresponse to concerns raised by the MAV during the review of thePlanning and Environment Act 1987. In addition to its Presidentand Chief Executive Officer, the MAV was requested to nominateanother three local government representatives to be on theworking group which also included representation from thedevelopment and planning industries. The group was established

to report to the Minister for Planning on outstanding reforms to theplanning scheme amendment process; assessment of simplepermit applications, and processes for assessing matters of statesignificance. The MAV also facilitated council input to a review ofplanning fees in a bid to better recover costs incurred by councils.A change in government has left both reviews in limbo. The MAVhas raised the status of these reforms in meetings with theincoming government.

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Winds of changeThe MAV led a delegation of councils to broker a partnership withthe Victorian Government to address the standards and processesfor assessing, monitoring and enforcing wind farm proposals. Theminister of the day accepted the partnership approach and a joint

working group was formed to progress the initiatives proposed.Significant progress was made including reaching agreement toreview the standard permit conditions for wind farms. The newgovernment moved quickly after the election to make councils theresponsible authority for all wind farms. Advocacy subsequentlyswitched focus to ensure adequate transitional arrangements andaccess for councils to expert support on noise, flora and fauna,landscape and other matters.

Priorities established for rural planningThe MAV surveyed councils and provided recommendations to theVictorian Government on a proposal to establish a rural planningflying squad to maximise the potential benefits of this program tocouncils. Submissions were also made on several other initiativesimpacting rural land use planning including a review of permitguidelines in open domestic water catchments; changes to theassessment process for mining approvals, and; a proposed carbonoffset scheme offering new economic opportunities for farmers.The MAV also influenced the Victorian Government’s trainingprogram to include specific content on rural planning. In responseto feedback from members a forum was established for councils toidentify and advance common interests, share information andengage with representatives from across government and industryon rural land use planning issues.

Building sustainable communitiesA guide for councils to facilitate more sustainable buildings wonnational accolades for its usefulness in assisting councils through

the challenge of integrating sustainability into planningframeworks and decisions. The easy-to-read tool steps the readerthrough the benefits of sustainable buildings, requesting betterperforming buildings and assessing them as part of a planningapplication. It provides advice for planners on setting up asustainability assessment process and advice for applicants onhow to address these requirements.

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Insurance

Staking more claimMAV Insurance took on more direct involvement in day to dayclaims management, attending case reviews with an external legalpanel, settlement conferences and court hearings. Three matterswere contested before the courts this year with judgmentsdelivered in favour of MAV Insurance members in all three. In twocases the members were exonerated of any negligence and thescheme recouped most of its legal costs. In the third matter, theplaintiff was awarded damages less than had already beenoffered, offsetting legal costs against the damages awarded.

Ensuring high quality servicesIndependent experts were engaged to review in house legal andrisk management services provided to members. The reviewmeasured effectiveness, value for money and customer satisfactionin risk auditing, risk consulting services, quality of legal advice,reporting protocols and best practice forums. While the overallresults were generally positive, several areas for improvement wereidentified. An improvement plan was developed and the auditors’recommendations are being implemented. An internal review ofthe external legal panel confirmed positive outcomes forsettlement activity and timelines. The reviews will assist in ensuringthe level of services provided to members are of the highest qualityand keep pace with changing needs.

Upward trend in property claimsThis year saw higher than expected numbers of new claims for thesecond year running. This trend has caused the actuaries to revisetheir valuation of potential scheme liabilities for recent years

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andtheir projections for future years. The increase in claim lodgementshas been largely driven by property damage claims.

New brand of insuranceMAV Insurance was rebranded to improve understanding of thebusiness structure and clarify relationships with service providerJardine Lloyd Thompson. MAV Insurance was established as theprimary and dominant brand in all communication, to the exclusionof all other brands. Civic Mutual Plus and Fidelity Insuranceproducts were renamed and repositioned under MAV Insurance tocorrect common misconceptions that the schemes were separateentities or stand alone brands, unconnected to the MAV.

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Environment

Weeding out a solutionMayors and chief executive officers were brought together to bebriefed on a report prepared for a ministerial working party taskedwith breaking the legal deadlock surrounding the management ofroadside weeds. Discussion about potential approaches arisingfrom the report and the economic analysis that underpinned itinformed a submission made to the Victorian Government onthe way forward from local government’s perspective. The MAVcontinued to represent councils on the ministerial working partyand facilitate maximum opportunity for input from councilsthrough a subcommittee set up to inform local government’srepresentatives on the working party. Councils’ interests werealso represented on a panel, which assessed applications from40 councils for $1.1 million in grants this year to undertake pestcontrol activities on roadsides. The grants program operates ona ‘without prejudice’ basis that does not involve participatingcouncils assuming responsibility for managing pests on roadsides.

Heat turned up on councilsAs national policy on climate change progressed, the MAVundertook critical analysis on the implications of proposed carbonpricing and research to better understand the status of andbarriers to adaptation planning by Victorian councils. This workidentified what support, tools and guidance are needed and willunderpin future advocacy and partnerships with the VictorianGovernment for climate change adaptation planning. Timelyadvice was provided to councils on complex emissions reportingmatters. A guide was published to help councils understand theirobligations and reporting requirements and make informeddecisions for reducing their greenhouse gas emissions. A publicadvocacy campaign led by the MAV and Maribyrnong CityCouncil continued into this year and was successful in achievinggrants of up to $500,000 from the Australian Government toassist councils with energy efficient street lighting upgrades and$20 million in assistance from the Victorian Government.

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River of disquietThe MAV brokered a special consultation session for councilson proposed plans for the management of water resources inthe Murray Darling Basin. The workshop informed a submissionon the plan which called for the Murray Darling Basin Authorityto rethink the consultative process used to engage regionalcommunities, councils, industries and other stakeholders in thedevelopment of the plan. Subsequent submissions were madeto two parliamentary inquiries following significant communitybacklash. The MAV met with Victorian Minister for Water,Agriculture and Food Security to discuss aspects of its submission.The Minister invited direct participation in a new regional advisorygroup to provide input and advice on the development of theMurray Darling Basin Plan from a Victorian perspective.

Getting rid of junk TVProposed regulations to govern the disposal of television andcomputer products were the subject of two bilateral meetingsconvened with the Australian governments. A submissionformalised the position of local government that was advocatedthrough ongoing participation in a stakeholder reference group.The MAV also made representations to the television industry,Victorian and Australian governments about the likely impactsof the switchover to digital television in regional Victoria andarrangements to deal with large numbers of televisions beingdisposed of, which led to the establishment of a regional

collection program at nine sites across Victoria.

Plague brought under controlCouncils were supported to prepare for what was expected to beVictoria’s worst locust plague in 75 years. The MAV worked toensure that councils received appropriate information to allowthem to efficiently and effectively respond to the outbreak.Affected councils were given practice notes, standard operatingprocedures, occupational health and safety instructions andtemplates for documenting spraying operations, generating

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Simplifying native vegetation rulesCouncils were closely engaged in developing new processes andtools that have eased some of the tasks involved in managingnative vegetation. A reference group was formed in partnershipwith the Victorian Government to inform the development ofguidelines for local government and an exemption for works onroadsides to reduce bushfire risk. This work responded to therecommendations of the Bushfire Royal Commission. A separateworking group oversaw the development of a range of new toolsand improved guidance to assist councils assess planning permitapplications for native vegetation removal in response to aVictorian Competition and Efficiency Commission inquiry intoenvironmental regulation. The MAV also represented localgovernment on a community reference group for the Victorian

Environment Assessment Council investigation into remnant nativevegetation on public land which has recommended theestablishment of a state-wide advisory committee comprising localgovernment and other stakeholders to oversee the management ofnative vegetation on road and rail reserves.

Waste not, want notStrong advocacy and widespread media coverage ensued whenthe Victorian Government brought forward an increase to thelandfill levy, imposing an additional $43 million burden on councilbudgets and the community. The increase coincided with onerousnew standards for landfill design and rehabilitation, which werethe subject of representations to the relevant minister andagencies. Local government interests were represented in a reviewof regional waste arrangements which morphed into a broaderreview of the whole waste management system that is consideringdisposal, recycling targets, policy levers, behaviour change andinstitutional arrangements. Councils were also representednationally on the Australian Packaging Covenant Council whichdelivered a new Covenant that will address the ongoing challengeof designing and producing packaging that is easier to recycle,less likely to be littered and more efficient.

incident reports, and preparing contract agreements withcommercial contractors. Councils treated nearly 10,000 hectaresof public land to control locusts at more than 2000 sites,representing 49 per cent of the total public land area sprayedduring the outbreak.

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Transport andInfrastructure

Sensible solution to electric line safetyAn alternative solution was sought to satisfy government changesto regulations that threatened significant financial, environmentaland amenity impacts for councils and their communities.A commitment was sought and obtained from the VictorianGovernment to work cooperatively with councils to deliver thesafety outcomes intended by the changes to regulations for treeclearances around electrical lines. A risk-based model wasdeveloped that will allow councils some variation from theregulated clearance spaces. A group of five pilot councilsinformed the development of the methodology, with a largergroup of 16 councils providing further input and assistance.The model is yet to be accepted by the regulators for inclusionin council electric line clearance management plans.

Responsibility for level crossings agreedSeveral years of work came to fruition this year with the finalisationof a template agreement for road and rail authorities jointlymanaging risks at the interface of their infrastructure. Negotiationswere protracted, with much work needed to reach agreement onappropriate demarcation of responsibility for the full range ofinfrastructure located at road and rail interfaces. Further advocacywork resulted in a change to lease agreements that increased railauthorities’ responsibility for the road pavement from 2.44 metresto 3 metres from each track. This was a significant achievementthat negated onerous compliance requirements on councils forsafe working procedures that apply when working within 3 metresof a railway track.

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Recycled roads lead to a greener pathCouncils were issued a challenge to increase the use of recycledcontent in the construction of road, footpath and shared pathwaysunder a partnership between the MAV and Sustainability Victoria.The MAV commissioned independent laboratory and field testingthat showed councils can reduce their civil construction costs,energy use, greenhouse gas emissions and reliance on quarriedmaterials with no reduction in pavement performance and no costincrease by using approved recycled content. Councildemonstration projects received funding support and a newweb-based resource was developed to support councils’ accessto information.

Getting communities ready to switchArrangements were put in place with Latrobe, Greater Bendigo,Wodonga and Warrnambool city councils to host liaison officerscoordinated by the MAV to generate community awareness of theswitch to digital television in regional Victoria. Liaison officersidentified the most vulnerable groups in each local communityand worked closely with councils, agencies and groups in thebroadcast regions to ensure they were ready for the switchover inMay. The officers actively promoted awareness of the switchover,access to support programs, alternative satellite services andsubsidies. The switchover was ultimately successful, with only a fewhundred calls from regional and rural Victoria made to the call

centre in the days following.Bringing councils up to speedCouncils were supported to increase the readiness of theirmunicipalities and position their communities to benefit early inthe roll out of the National Broadband Network. Support wasobtained from the Victorian Government to amend the planningschemes of nine councils so that those councils could require theprovision of conduits for optical fibre cabling wherever a permitis required for the subdivision of land in their municipality. Thisinitiative establishes the infrastructure for future broadbandservices and will ensure that major growth areas are notdisadvantaged by any delay in the roll out. Councils will havea critical role to play in the efficient roll out of the network.Workshops were organised for planning and economicdevelopment officers to share learning from pilot councils forstreamlining roll out, improving communications and improvingthe coordination of capital works.

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EmergencyManagement

Keeping a lid on growing demandsCouncils were extensively consulted in the development of athree-year strategy to address growing demands on councils todeliver emergency management services. The strategy involvesbetter defining the roles and responsibilities of local governmentin emergency management; improving capability and capacityof performance in emergency management, including thedevelopment of a robust performance measurement framework;and managing the expectations of key stakeholders about the roleand capacity of local government so that corporate risk toindividual municipalities and the sector is realistically minimised.A steering committee co-chaired by the Office of the EmergencyServices Commissioner was established to oversee theimplementation of the strategy and project teams were formedwith membership from a broad cross-section of councils,government departments and agencies.

Floods focus attention on funding flawsCouncils affected by several severe flood events this year receivedcoordinated assistance from other councils in the form of staff,resources and cash donations. The MAV advocated a broadeningof eligible costs under natural disaster financial assistancearrangements and provided advice to the Victorian Governmenton priorities for a clean-up fund to supplement funding providedunder the existing arrangements. A submission to a subsequentreview of the flooding events focused on the indequacy of fundingprovided by the Victorian and Australian governments. Staff visiteda number of flood-affected municipalities to seek councils’ inputon the local impact of the floods.

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Combating bushfire riskSupport was provided to councils to meet new obligations arisingfrom the Victorian Bushfire Royal Commission including listingorganisations and facilities that support vulnerable people;procedures and criteria for identifying and notifying hazard trees;local planning for evacuation; expanded roadside clearanceduties, and; land use planning policy and compliance. Councilswere actively represented in the development of a registrationsystem for identifying vulnerable people in high bushfire riskareas and a template was developed for identifying and notifyinghazard trees. A nationwide recruitment and advertising campaignattracted 180 applications for 21 coordinators to help councilsin high fire risk areas to implement the Royal Commission

Locating the last resortFunding was distributed and support provided to 42 councils toidentify 190 ‘neighbourhood safer places’ or places of last resortin a bushfire. Protocols were negotiated for obtaining consentfrom government departments and agencies for sites under theirauthority. The MAV worked closely with the Country Fire Authorityto develop an online system for requesting site assessments,advising the designation or decommission of a site and requestingan annual site review. An online toolbox provided access to forms,templates and documents as well as facilitating a secure portal fordiscussing issues among councils. Particular support was providedto councils working to establish sites in high-risk areas wherelocating a suitable site proved challenging.

recommendations. The MAV coordinated progress reportson the implementation of recommendations applicableto local government. The reports demonstrated best practiceand illustrated some of the challenges faced by councils asimplementation progressed.

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Governance andProfessional Development

Conflict subsidesPersistent advocacy resulted in changes to conflict of interest rules,including an increase of the gift disclosure threshold to $500; anexemption for gifts received more than 12 months beforeassuming office; clarification that being a member of a club is notgrounds for conflict of interest unless holding a responsibleposition in the club, and; broadening the definition of ‘assemblyof councillors’ to include advisory committees, and planned orscheduled meetings involving at least half the councillors. Aninformation session was organised for councillors on the changes.Councillors were surveyed to inform a submission to the VictorianGovernment on revised guidance for councillors on conflict ofinterest provisions.

Elections brought forwardResponding to a resolution of State Council, the VictorianGovernment moved to bring forward the timing of councilelections by six weeks. Information was provided to councilsoutlining the impacts arising from overlap with the October schoolholidays, including additional costs to councils and reduced voterparticipation. Feedback was sought from councils on alternativeoptions proposed and a submission was made on the basis ofresponses received from 54 councils, 26 of which supported thefourth Saturday in October. Building on the success of theelectoral services tender conducted on behalf of 49 councils in2008, work commenced to establish the needs and requirementsof councils for electoral services in 2012. A discussion paper wasdeveloped to garner councils’ views on the role the MAV shouldplay in the lead up to the 2012 general election and electoralservices that would be required.

Refining the rules of conductConduct panels were formed to consider eight matters this year.The first appeal of a panel decision to VCAT identified a number ofshortcomings in the legislation governing councillor conduct panels.These problems were raised with the Victorian Government and areview of the legislation was sought. An internal review of thenumber of members appointed to the two lists from which panelsare formed determined that it was necessary to increase the numberof legal members by one. Ms Katrina Raymond was appointed tothe legal members list in January 2011.

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Cover works for councillorsIn the first year since workers compensation was extended tocouncillors only a handful of incidents were reported and noclaims made. Legal advice and guidance was provided to councilsto meet employer obligations. A central service provider wasappointed following a competitive process to provide a 24/7injury reporting line; early intervention injury management; adviceon claims management and risk mitigation measures, and;premium advice. 72 councils subscribed to the independentemployer representative model. Laminated wallet cards and quickreference guides were distributed to councillors on the steps totake if they are injured and guides were provided to chiefexecutive officers.

Graduating from councilSeventeen councillors and officers formed the first intake in agraduate program developed in partnership with SwinburneUniversity. The Graduate Diploma in Management (Leadership,Governance and Strategy) offers 8 units focusing on leadership,business strategy, entrepreneurship, marketing, negotiation,strategic relationships, governance, corporate leadership andstrategic foresight. The program supports councillors in theirelected roles and will also benefit their professional opportunitiesbeyond the council chamber. Officers can apply their learning totheir current roles and to progress their careers in the sector.

Preparations for a second intake have commenced.

Tailored course essentialThe Australian Institute of Company Directors was commissionedto develop a tailored module in local government finance thatwould complement existing modules to establish a new‘governance essentials’ program. The Institute’s strong reputationfor governance, leadership and board development was

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Training in abundanceOver 70 days of professional development were conducted acrossVictoria, an increase of 20 per cent on the previous year. A widerange of options and choices were deliberately offered to reflectthe diversity of experience and interest among councillors. Thespread of programs aims to provide each councillor with thepossibility of participating in programs of their choice balancingdepth, cost and access. Councillor Fundamentals programs weredelivered in various locations on meeting procedure, strategicthinking and leadership in addition to the expanded Governance

Essentials program. Two-day intensive programs for small groupswere offered on public speaking, negotiation skills and advanceleadership. An induction program on understanding localgovernment was conducted nine times in-house for hostingcouncils. More than 130 councillors attended the three-dayCouncillor Development Weekend and others took up theextended opportunities offered by the Company Directors Courseand Graduate Diploma Management. Further opportunities fordevelopment were provided through two scholarships to theCranlana Colloquium and the McArthur Local GovernmentFellowship which supports overseas study by a councillor.

Credit where credit is dueProgress towards an accredited councillor training framework thatrecognises prior learning took a leap forward this year with themapping of eight competencies against existing training modulesin the adult education market and a pilot to build data sets on theexperience, skills, training and educational achievements ofcouncillors. Training opportunities will be tailored around agreedcompetencies and the program accredited and registered aheadof the next round of general elections. All training programsoffered by the MAV will count towards the achievement of adiploma level award.

considered a good fit with the aims of the MAV’s professionaldevelopment offerings. The program was conducted five times for68 councillors and 10 officers. The program was designed to beoffered in-house for councils on request and two councils took upthis opportunity in the first year. Twenty participants went on toundertake the ten-module Company Directors Course.

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