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Northern TerritoryGrants Commission Annual Report 2018/19

II –Northern Territory Grants Commission Annual Report 2018/19

Northern Territory Grants Commission Annual Report 2018/19 — III

The Hon. Gerry McCarthy MLA Minister for Local Government Housing & Community Development Parliament House DARWIN NT 0801

Dear Minister

In accordance with section 16 of the Local Government Grants Commission Act 1986, I have pleasure in presenting to you the Annual Report for the Northern Territory Grants Commission on its activities for 2018-19. Included in the report are the financial statements for the year ended 30 June 2019.

Yours sincerely

Dr David Ritchie Chair

16 October 2019

4 –Northern Territory Grants Commission Annual Report 2018/19

Contents


Foreword......................................................................................................................................................6

The.Northern.Territory.Grants.Commission..................................................................................................7

Background....................................................................................................................................................... 7

Relevant.legislation.......................................................................................................................................... 7

Organisation.and.People................................................................................................................................8

Membership...................................................................................................................................................... 8

Members’.profiles............................................................................................................................................. 9

Administration.and.staffing.............................................................................................................................. 11

Summary.of.Activities.2018-19......................................................................................................................12

Executive.Officers’.meeting.............................................................................................................................. 12

Visits/Public.hearings.to.local.governing.bodies.............................................................................................. 12

Financial.data................................................................................................................................................... 13

Annual.financial.statements............................................................................................................................. 13

Submissions..................................................................................................................................................... 13

Payments.2018-19............................................................................................................................................ 13

Estimated.entitlement.2019-20........................................................................................................................ 13

Entitlement.2018-19......................................................................................................................................... 13

Cash.entitlement.2019-20................................................................................................................................ 14

Communication.with.councils........................................................................................................................... 14

Council.letters.of.advice................................................................................................................................... 14

Revenue.and.expenditure.assessments.of.local.governments........................................................................ 14

Recommendations.........................................................................................................................................15

Chairman’s.letter.............................................................................................................................................. 15

Recommendation.Schedule.2019-20................................................................................................................ 18

Northern Territory Grants Commission Annual Report 2018/19 — 5

Schedules.....................................................................................................................................................19

Schedule.1.-.Population.2019-20.................................................................................................................... 19

Schedule.2.-.Cost.adjustors.and.key.drivers.2019-20.................................................................................... 20

Schedule.3.-.Road.lengths.2019-20................................................................................................................ 21

Schedule.4.-.Reconciliation.of.local.government.income.and.expenditure.................................................... 22

Schedule.5.-.Local.government.income.2017-18........................................................................................... 23

Schedule.6.-.Actual.local.government.expenditure.2017-18.......................................................................... 24

Schedule.7.-.Assessed.revenue.2017-18........................................................................................................ 25

Schedule.8.-.Summary.standardised.revenue................................................................................................ 26

Schedule.9.-.Standardised.expenditure......................................................................................................... 27

Schedule.10.-.National.share.of.financial.assistance.grants.2019-20............................................................ 28

Schedule.11.-.Visits/Public.hearings.to.local.governing.bodies..................................................................... 28

Appendices...................................................................................................................................................34

Appendix.A.-.National.principles.for.the.allocation.of.general.purpose.and.local.road.grants..................... 34

Appendix.B.-.Methodology.and.formula.factors............................................................................................. 35

Appendix.C.-.The.Australian.Classification.of.Local.Government.(ACLG)...................................................... 40

Appendix.D.-.Northern.Territory.local.governments.by.classification........................................................... 41

Appendix.E.-.Northern.Territory.map.of.local.government.areas.................................................................. 42

Appendix.F.-.Auditor-General.Independent.Auditor’s.Report.to.the.Minister.for.Local.Government........................Housing.and.Community.Development.Northern.Territory.Grants.Commission........................Year.Ended.30.June.2019............................................................................................................ 43

Appendix.G.-.Auditor-General.Independent.Auditor’s.Report.to.the.Chief.Executive.of.the........................Department.of.Local.Government.Housing.and.Community.Development.on.the........................Statement.of.Payments.made.to.Local.Governing.Bodies.by.the.Northern.Territory........................during.the.year.1.July.2018.to.30.June.2019............................................................................... 47


I am pleased to present the 33rd annual report of the Northern Territory Grants Commission.

This report contains information on the distribution of funding provided to the Northern Territory’s local governing bodies under the Commonwealth’s Local Government (Financial Assistance) Act 1995, as well as details on the objectives, performance and future directions of the Commission. The report contains information on programs and performance during the year to assist public understanding and scrutiny of the Commission’s operations and functioning.

The major focus for the Commission is to determine general purpose and local roads grants for each Northern Territory Local Government council. The Commonwealth’s May 2019 budget indicated that there would be again a brought forward payment. Consequently, $17 825 464 of the 2019-20 grants were brought forward and paid to councils in June 2019.

The Commission is required to distribute all funding on the basis of resident population as determined by the ABS. When the general purpose grants were calculated for the 2018-19 year using the current methodology and incorporating the Australian Bureau of Statistics estimate of resident population as at 30 June 2018 (released 27 March 2019) revealed that 15 out of 17 councils experienced population decreases.

These decreases in population meant that the amount of grant funding available to affected councils would be commensurately reduced. The Commission determined the reduction in funding anticipated (if an unmediated application of the funding formula was applied) would have been very difficult for some councils to absorb. To mitigate this, the Commission resolved to include a ‘loss assist factor’ into the 2018-19 methodology as a financial “buffer” for those councils most seriously affected. This adjustment

was applied to all councils which stood to receive a loss greater than five per cent of grant funding. The Commission also resolved to review the applicability of this parameter for the 2019-20 funding round.

The following is discussed in greater detail in the “Summary of Activities 2018-19” section ofthe report.

• National Conference

• Executive Officers’ Conference; and

• Visits and Public Hearings

On behalf of the current Commission members I wish to record our appreciation for the valuable cooperation and assistance that we have received during our work throughout the year from local governing bodies, and in particular those visited during the course of the year.

The Commission is grateful for the executive support and assistance provided by Ms Donna Hadfield, Local Government and Community Development Division of the Department of Local Government, Housing and Community Development, combined with the assistance and services provided by the Department’s regional offices.

I would also like to acknowledge the efforts of my colleagues Ms Meeta Ramkumar, Mr Damien Ryan and Mr Steven Hennessy. Their assistance has been very much appreciated.

Dr David Ritchie Chairman

Foreword


Background

On 1 July 1986, the Australian Government began a process of yearly appropriations to the state/territory governments for distribution as financial assistance grants to local governing bodies within the respective jurisdictions. A subsequent review of the enabling legislation led to the current Act, the Local Government (Financial Assistance) Act 1995.

Under section 6(1) of the Act, the Australian Government Minister for Local Government, after consulting with the relevant state Ministers and with bodies representative of local government, must formulate national principles.

In formulating the national principles, the Minister:

• is to have regard to the need to ensure that the allocation of funds for local government purposes is made, as far as practicable, on a full horizontal equalisation basis; but

• must ensure that no local governing body will be allocated an amount in a year that is less than the amount that would be allocated to the body if 30 per cent of the amount to which the state/territory is entitled in respect of the year was allocated among local governing bodies on a per capita basis.

The Local Government (Financial Assistance) Act 1995 also repeated a requirement from an earlier Act that each state and the Northern Territory have a Local Government Grants Commission. In accordance with that requirement, the Northern Territory legislated for a statutory, independent Commission, the Northern Territory Grants Commission, in June 1986.

Role of the Northern Territory Grants Commission

The Commission is established as an independent statutory authority under the Local Government Grants Commission Act 1986. Its primary role is to recommend the allocation of the financial assistance grants provided by the Australian Government for Northern Territory local governing bodies in the form of general purpose grants and local roads grants.

Relevant Legislation

The Northern Territory’s Local Government Grants Commission Act 1986 also provides for the appointment of Commission members and specifies the general operations of the Commission, including the annual reporting requirements.

The Australian Government’s Local Government (Financial Assistance) Act 1995 provides for the basis of the allocation of financial assistance by each Local Government Grants Commission to its respective local governing bodies in its state and/or the Northern Territory.

The national principles formulated by the Australian Government Minister are to guide the respective Local Government Grants Commissions in the allocation of funds to local governing bodies within their own jurisdictions.

The number of national principles currently stands at seven – six applying to the allocation of general purpose grants and one applying to the allocation of local road grants. The national principles are detailed at Appendix A.

The Commission




Membership

The Local Government Grants Commission Act 1986 provides for a Commission of four members, consisting of:

• a Chairman appointed by the Minister;

• the Chief Executive (CE) of the agency primarily responsible to the Minister for the administration of the Act, or their delegate, and

• two members appointed by the Minister, one representing the interests of municipal councils, and the other representing the interests of regional and shire councils.

In 2018-19, the members of the Commission were:

Dr David Ritchie Chairman – appointed 21 December 2016 to 20 December 2020

Ms Meeta Ramkumar CE’s delegate – appointed 02 August 2017

Mr Damien Ryan Representing municipal councils – appointed 1 September 2011 to 31 August 2017 28 September 2017 to 31 March 2018 10 May 2018 to 31 August 2021

Mr Steven Hennessy Representing regional and shire councils – appointed 11 May 2010 resigned 19 December 2018

Ms Christina Miller Deputy for Mr Ryan from 10 May 2018 to 31 August 2021

Ms Narelle Bremner Deputy for Mr Hennessy from 25 October 2016 until 18 December 2018

Ms Jocelyn Nathanael-Walters Deputy for Ms Meeta Ramkumar – appointed 02 August 2017

In 2018-19, the Accountable Officer of the Commission was:

Ms Donna Hadfield Accountable Officer – officially appointed 20 July 2017

Organisation and People


David Ritchie

David has worked in professional and executive roles in the public and not for profit sectors in the Northern Territory since 1981. For more than 20 years he held the position of chief executive. This role included:

• Department of Lands and Planning and Northern Territory Land Development Corporation (2009 - 2012)

• Department of Housing, Local Government and Sport (2008 - 2009)

• Department of Natural Resources, Environment and the Arts (2005 - 2008)

• Aboriginal Areas Protection Authority (1990 - 2003).

Other executive roles include Director of Parks and Wildlife and Department of Infrastructure, Planning and Environment Natural Resource Management Division Executive Director (2003 - 2005).

David also worked in professional roles as an anthropologist in statutory bodies responsible for administering the Northern Territory’s Indigenous cultural heritage and land rights laws including the Northern Land Council, Museum and Art Gallery of the Northern Territory and the Aboriginal Sacred Sites Authority.

His present positions include Director Ninti One Limited, board member Northern Territory Land Corporation, member of the Scientific Inquiry into Hydraulic Fracturing in the Northern Territory and Chair of the Northern Territory Planning Commission.

Damien Ryan

Damien was born in Alice Springs. He commenced his business career in 1972, working in the retail photographic industry. He gained invaluable knowledge of the tourism industry as licensee of Mount Ebenezer and Dunmarra roadhouses. His experiences include directorships of the following companies in the Northern Territory: Alice Springs Camera Shop Pty Ltd, Dajon Agencies Pty Ltd Mt. Ebenezer Investments Pty Ltd and Dunmarra Roadhouse.

Damien is a lateral thinker and enjoys applying his analytical and problem-solving skills to achieve successful outcomes to a wide variety of situations.

Damien is the Mayor of Alice Springs, a graduate of the Australian Institute of Company Directors and a Justice of the Peace.

Other positions Damien holds include; President of the Local Government Association Northern Territory (LGANT) and Vice President of the Australian Local Government Association (ALGA). He is involved in many organisations that work toward the sustainable development and advancement of Alice Springs and the Northern Territory. These include the Deputy Chair - Outback Highway Development Council and Chair - Alice Springs Alcohol Reference Group.

Damien and his wife Joanne have three daughters who live in Alice Springs.

Members’ Profiles


Steven Hennessy

Steven was born in South Australia and spent his youth in the Riverland before moving to Adelaide. He had a career in event support management for Spotless Catering across southeast Australia from the early 1980s until 1995, when he was injured in a car accident. After being a regular visitor to the Territory since 1998, he became a permanent resident of Timber Creek, 300kms south-west of Katherine, in 2005.

Steven became a councillor for the Victoria Daly Shire Council in October 2008, Deputy Mayor from October 2011 until October 2013, Acting Mayor up until July 2014, after which time he became the Mayor. Steve stepped down as Mayor in August 2016.

During his tenure he was a delegate of the Local Government Association of the Northern Territory. Steve was also involved in a number of local government related organisations, including the NT Heritage Council, the National Local Government Drug and Alcohol Advisory Council the NT Water Safety Advisory Committee. He also has his own general maintenance small business and is renovating an old railway house in Larrimah. His hobbies include golf and history.

Steven formally resigned from the NT Grants Commission on 19 December 2018 and now resides in South Australia where he was recently elected as a council member of the Mid Murray Council.

Christina Miller

Fay and her family came to Katherine in December 1989 for a planned 4 year stay. Within this time the family knew Katherine was to be their home.

Fay has been deeply involved in the Tourism industry as both an operator and now as a passionate advocate for this vital Katherine industry.

Fay believes that wherever you live you must take responsibility for the growth and development of that community at whatever level you are capable; be it a sporting association, community organisation, business development or local government. Fay has always strived to that end.

Fay is currently the Mayor of Katherine Town Council.

Narelle Bremner

Narelle is a long-term resident of Tennant Creek having been raised and attending school in the town. She has a bachelor of social work and has worked in the area of child trauma, sexual assault and domestic violence.

Narelle has a strong commitment to community wellbeing and regional development, having served on a number of boards including the Tennant Creek Hospital Board and the Tennant Creek Women’s Refuge Board. Narelle is currently an elected Councillor for the Barkly Regional Council.


Administration and Staffing

The costs of operation of the Commission for the year were met by funds appropriated to the Department of Local Govenment, Housing and Community Development. The operational expenditure for 2018-19 was $182 924 compared to $117 581 in 2017-18.

The Executive Officer, Ms Donna Hadfield of the Department of Local Government, Housing and Community Development, coordinated the visitation program and assisted with the Commission’s activities through the provision of executive support.


Executive Officers’ meeting

On 1-2 November 2018 the Department of Infrastructure, Regional Development and Cities facilitated an Executive Officers’ Workshop in Canberra.

Key items on the agenda included:

• Caps and collars - do they have a place in grant outcomes;

• Capacity to raise revenue - how does each State/Territory determine;

• Other grants support and factoring back; and

• Improvements to the program.

Visits to local governing bodies

The Commission’s rolling visitation program to councils continued in 2018-19. The program takes three years to complete; although special circumstances may warrant departures from the pre-planned program. The two regional councils, including their 14 service delivery centres and three shire councils, visited in 2018-19 are listed in Schedule 11.

Summary of Activities in 2018-19There was no National Forum of Local Government Grants Commission in 2018 as the forums are held on a biennial basis.

The next forum will be hosted by the Queensland Local Government Grants Commission in November 2019.


Financial data

The total revenue and expenditure of councils in the 2017-18 financial year amounted to $626 million and $504 million respectively. Included in these amounts were revenues and expenditures not considered to relate strictly to local government. Thus, for the 2019-20 allocations, the Commission determined local government income to be $219.166 million and local government expenditure to be $328.806 million.

The presentation of financial information via the Commission’s annual return for all councils was achieved mid-January 2019.

The data collected in these returns is used by the Commission to allow an assessment of the income and expenditures of individual councils and to determine total income and expenditure of all local governments in the Northern Territory. The Australian Bureau of Statistics, in its local government financial statistics and national accounts, also uses this data.

Annual audited financial statements

Regulation 17 of the Local Government (Accounting) Regulations stipulates that a copy of councils’ audited annual financial statements be forwarded to the Chairman of the Northern Territory Grants Commission no later than 15 November each year. All the councils succeeded in lodging their annual financial statements by the date specified.

Submissions

No submissions were presented to the Commission at its visits/public hearings during the year.

Payments 2018-19

During 2018-19, grants continued to be paid in quarterly installments. In addition there was an early payment brought forward in June 2019. The total payments to local governing bodies during the year are summarised below:

16 August 2018 $4 383 562

16 November 2018 $4 383 562

18 February 2019 $4 383 562

16 May 2019 $4 383 610

18 June 2019 $17 825 464

Total distribution of 2018-19 payments

$35 359 760

Estimated entitlement 2019-20

The Commonwealth allocates the general purpose and local road grants based on an estimated population figure and an estimated CPI growth factor for the coming year as determined by the Australian Statistician. This calculation is what is known as the estimated entitlement. The amounts for 2019-20 are $17 180 555 and $18 263 231respectively.

Entitlement 2018-19

The Australian Government’s estimate of the national rate of inflation for the year to 31 March 2019 was overstated which resulted in the entitlement for 2018-19 being over-estimated by $115 140. The adjustment comprised an underpayment of $24 329 (general purpose) and an overpayment of $139 469 (local roads). The 2019-20 council payments have been adjusted by these amounts based on the data used for the distribution of the estimated entitlement for 2018-19.


Cash entitlement 2019-20

The cash entitlement for 2019-20 is the estimated entitlement for the year plus the underpayment for general purpose and less the overpayment for roads in 2018-19.

Communication with councils

In accordance with its policy to keep all Northern Territory councils informed about its operations and latest developments, the Commission corresponds on a regular basis with individual councils on many issues. The following list summarises the main items sent to all councils during the year.

Subject Date

Letter advising the estimated entitlements for the 2018-19 general purpose and local road grants

15 August 2018

Letter (electronically) advising the requirement to lodge an annual return

06 November 2018

Commission’s Annual Report available on web

06 November 2018

Letter (electronically) advising the requirement to lodge an annual road return

18 January 2019

Letters advising of the brought forward payment of the 2019-20 general purpose and roads grants

17 June 2019

Council letters of advice

Letters of advice in 2018-19 provided the following comprehensive information to councils:

• A sheet detailing the council’s grant allocations and payment schedule for 2018-19;

• A sheet showing the calculation of standardised expenditure and standardised revenue for the council;

• A matrix showing the application of the three cost adjustors against the various expenditure categories;

• A bar chart showing the cost adjustors calculated for the council which underpin the calculation of standardised expenditures;

• A sheet showing the calculation of the council’s identified local road entitlement for 2018-19;

• A grant trend chart of the council’s grants over five years; and

• A sheet showing the 2018-19 grant allocations for all Northern Territory councils.

A similar package will be provided to each council for the 2019-20 year, and this process will continue into the future.

Revenue and expenditure assessments of local governments

Revenue and expenditure assessments are included at Schedules 8 and 9. Key drivers and a matrix of how the cost adjustors are applied are also included at Appendix B.


GPO Box 4621 DARWIN NT 0801 Telephone (08) 8999 8820

Office of the Executive

Second Floor, RCG House, 83-85 Smith Street, Darwin NT

File No: NTGC2019/1

The Hon Gerry McCarthy MLA Minister for Local Government, Housing and Community Development GPO Box 4621 DARWIN NT 0801 Dear Minister I have recently received advice on the amounts available for allocation as financial assistance grants under the Commonwealth's Local Government (Financial Assistance) Act 1995 for the 2019-20 financial year. In accordance with this advice and section 12(1)(a) of the Local Government Grants Commission Act 1996, I am now pleased to present to you the Commission’s recommendation schedule for the distribution of these grants. In making the recommendations, I confirm that: (a) all general-purpose recommendations conform with section 6(2)(b) of the

Commonwealth’s Local Government (Financial Assistance) Act 1995 in allocating amounts that are not less than those to which local governing bodies would be eligible to receive if 30% of the total to which the Northern Territory is entitled was distributed among local governing bodies on a per capita basis;

(b) the Commission held public hearings and permitted local governing bodies and

the Local Government Association of the Northern Territory to make submissions in connection with the recommendations in accordance with section 11(2)(c)(i) & (ii) of the Local Government (Financial Assistance) Act 1995;

(c) road funds were divided on weighted road length but, in addition, continued to

include a base or minimum figure of $10 000 for all councils on the basis that a derived figure of less than this amount would not be commensurate with a realistic acceptance of road maintenance and responsibility; and

(d) the allocations comply with section 12(1)(a) of the Local Government Grants

Commission Act 1996 in that the total amount of all money recommended to be allocated is equal to the amount of money provided to the Northern Territory under the Local Government (Financial Assistance) Act 1995 for the 2019-20 financial year.

RecommendationsChairman’s Letter



The attached recommendation schedule outlines the proposed grant allocations for approval by the Hon Mark Coulton MP. The recommendation schedule comprises the "estimated entitlement" for 2019-20 minus the advance “stimulus’ payment already made in 2018-19, the net cash adjustment for 2018-19 and the proposed grant recommendations. Estimated Entitlement The Commonwealth allocates the general purpose and local road grants based on an estimated population figure and an estimated CPI growth factor for the coming year as determined by the Australian Statistician. This calculation is what is known as the estimated entitlement. The amounts for this year are $17 180 555 and $18 263 231 respectively. Cash Adjustment The Commonwealth has advised that there is a total overpayment of $115 140 in relation to the 2018-19 grants. The overpayment comprises an underpayment of $24 329 (general purpose) and an overpayment of $139 469 (local roads). General Comments When the general purpose grants were calculated this year using the current methodology and incorporating the latest Australian Bureau of Statistics 2016 census estimated resident population data, all councils with the exception of Palmerston and Litchfield, experienced population decreases. The initial 2019-20 allocations resulted in six regional/shire councils and two municipal councils experiencing losses in grant outcomes even though the overall amount of funding available had increased. The loss outcomes for the regional/shire councils; Tiwi Islands, Victoria Daly, Barkly, Belyuen, Commalie and Wagait was due to these councils having a comparatively less dispersed or isolated area of operations compared to the other regional councils. The losses experienced by the municipal councils of Katherine and Alice Springs are correlated to increases in their specific grant support and/or general rates revenue. The Commission determined the losses anticipated (if an unmediated application of the funding formula was applied) would have been very difficult for some councils to absorb. To mitigate this, the Commission resolved to include a ‘loss assist factor’ into the 2019-20 methodology. This adjustment was applied to all councils which stood to receive a loss greater than five per cent of grant funding. A total of six councils benefited from the loss assist factor which totalled $389 224. The Commission also resolved to review the applicability of this parameter for the 2020-21 funding round.



The Commission resumed its visitation program in 2018-19, visiting five councils as well as their various constituent service delivery areas. The visits allowed elected members and the wider community to gain a better understanding of the role of the Commission and the way in which funding is allocated. They also ensured the Commission gains an on-the-ground experience of regional contexts, affecting local government services. Advice to Councils In relation to the grant advice to councils, the Commission will continue to enclose supporting documentation with my letter of advice that will allow them to have a greater appreciation on exactly how the Commission has calculated their grants. The Commission’s Annual Report is currently being prepared and will be forwarded to you in accordance with section 16 of the Local Government Grants Commission Act 1996 in due course. Yours sincerely DR DAVID RITCHIE Chair 12 July 2019


Rec

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2018

-19

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Fin

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20

19-2

0 20

19-2

0 20

19-2

0 20

19-2

0 20

19-2

0 20

19-2

0 20

18-1

9 20

18-1

9 20

19-2

0 20

19-2

0 20

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0

$

$ $

$ $

$ $

$ $

$ $

Alic

e S

prin

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own

Cou

ncil

646

782

977

790

323

820

495

645

322

962

482

145

980

(7 5

81)

323

942

474

564

798

506

Bar

kly

Reg

iona

l Cou

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1 68

8 11

6 47

9 71

5 81

6 48

0 23

7 58

2 87

1 63

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874

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511

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12

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586

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16

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105

596

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1 99

4 59

9 74

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( 6 9

97)

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397

535

665

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1

817

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1 94

2 98

0 92

5 84

9 1

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121

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655

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859

2 58

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(15

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) 89

4 23

6 92

5 77

1 1

820

007

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of P

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813

277

1 02

8 57

3 41

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4 01

3 40

3 26

0 55

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( 7 2

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547

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951

727

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( 3

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9 26

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1 68

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635

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901

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972

570

713

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1 36

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170

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614

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683

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456

) 65

1 11

8 61

0 65

0 1

261

768

Wes

t Dal

y R

egio

nal C

ounc

il 54

5 38

7 97

6 20

2 26

3 31

9 46

3 34

4 28

2 06

8 51

2 85

8 77

0

(7

036

) 28

2 83

8 50

5 82

2 78

8 66

0 To

tal

$17

180

555

$18

263

231

$8 6

46 1

19

$9 1

79 3

45

$8 5

34 4

36

$9 0

83 8

86

$24

329

($13

9 46

9)

$8 5

58 7

65

$8 9

44 4

17

$17

503

182


Schedules

* Figures have been rounded and discrepancies may occur between totals and the sums of the component items.

Schedule 1

Population used for the 2019-20 allocations

Council Population

Alice Springs Town Council 26 371

Barkly Regional Council 7 347

Belyuen Community Government Council 173

Central Desert Regional Council 4 182

City of Darwin 84 093

City of Palmerston 37 629

Coomalie Community Government Council 1 382

East Arnhem Regional Council 10 281

Katherine Town Council 10 556

Litchfield Council 25 441

MacDonnell Regional Council 6 821

Roper Gulf Regional Council 7 352

Tiwi Islands Regional Council 2 736

Victoria Daly Regional Council 3 119

Wagait Shire Council 505

West Arnhem Regional Council 6 860

West Daly Regional Council 3 627

TOTAL 238 475


Schedule 2

Cost adjustors and key drivers 2019-20

Council Location DispersionIndigenous background

Alice Springs Town Council 1.12 1.03 1.18

Barkly Regional Council 1.14 1.63 1.68

Belyuen Community Government Council 1.00 1.03 1.98

Central Desert Regional Council 1.14 2.00 1.84

City of Darwin 1.00 1.03 1.07

City of Palmerston 1.00 1.03 1.11

Coomalie Community Government Council 1.00 1.29 1.24

East Arnhem Regional Council 1.27 2.00 1.94

Katherine Town Council 1.03 1.03 1.22

Litchfield Council 1.00 1.13 1.10

MacDonnell Regional Council 1.15 2.00 1.82

Roper Gulf Regional Council 1.13 2.00 1.80

Tiwi Islands Regional Council 1.12 1.42 1.89

Victoria Daly Regional Council 1.06 1.55 1.65

Wagait Shire Council 1.00 1.03 1.09

West Arnhem Regional Council 1.09 1.55 1.77

West Daly Regional Council 1.10 1.29 1.91



Cou

ncil

Seal

edG

rave

lFo

rmed

Unf

orm

edC

ycle

pat

hsTo

tal r

oad

leng

ths

(km

)C

ounc

il ar

ea

(sq.

km)

Alic

e Sp

ring

s To

wn

Cou

ncil

205.

090

11.6

001.

310

0.00

026

.710

244.

710

327.

43

Bar

kly

Reg

iona

l Cou

ncil

67.8

758.

460

64.9

6140

8.93

96.

220

556.

456

322

693.

27

Bel

yuen

Com

mun

ity G

over

nmen

t Cou

ncil

2.35

00.

000

14.0

0067

.700

0.00

084

.050

41.6

0

Cen

tral

Des

ert R

egio

nal C

ounc

il38

.775

140.

800

282.

360

1 30

7.40

50.

000

1 76

9.34

028

2 08

9.76

City

of D

arw

in

465.

230

0.00

00.

000

0.00

065

.050

530.

280

141.

75

City

of P

alm

erst

on22

0.00

00.

000

0.00

00.

000

105.

400

325.

400

56.4

0

Coo

mal

ie C

omm

unity

Gov

ernm

ent C

ounc

il86

.236

77.5

9427

.720

0.00

02.

960

194.

510

1 51

2.14

East

Arn

hem

Reg

iona

l Cou

ncil

75.7

9032

2.49

066

.630

506.

250

2.06

097

3.22

033

302

.42

Kat

heri

ne T

own

Cou

ncil

146.

090

2.40

00.

000

9.44

016

.600

174.

530

7 42

1.00

Litc

hfiel

d C

ounc

il62

6.76

086

.730

4.17

02.

890

7.11

072

7.66

03

072.

37

Loca

l Gov

ernm

ent A

ssoc

iatio

n of

the

NT

10.5

6043

4.00

041

9.00

01

233.

000

0.00

02

096.

560

N/A

Mac

Don

nell

Reg

iona

l Cou

ncil

51.7

5715

1.60

324

8.53

61

112.

307

0.00

01

564.

203

268

784.

20

Rop

er G

ulf R

egio

nal C

ounc

il79

.753

264.

216

120.

120

475.

851

0.00

093

9.94

018

5 17

5.81

Tiw

i Isl

ands

Reg

iona

l Cou

ncil

38.0

7922

1.28

929

4.26

529

1.65

90.

000

845.

292

7 50

0.84

Vict

oria

Dal

y R

egio

nal C

ounc

il73

.705

190.

698

36.2

8431

.690

2.90

033

5.27

715

3 47

4.55

Wag

ait S

hire

Cou

ncil

12.7

350.

000

0.00

00.

000

4.00

016

.735

5.68

Wes

t Arn

hem

Reg

iona

l Cou

ncil

59.1

7134

0.73

218

4.91

663

6.91

310

.230

1 23

1.96

249

698

.26

Wes

t Dal

y R

egio

nal C

ounc

il31

.769

288.

756

197.

237

327.

850

0.00

084

5.61

214

100

.45

TOTA

L 2

291.

725

2 54

1.36

81

961.

509

6 41

1.89

424

9.24

013

455

.737

1 32

9 39

7.93

Schedule 3

Road lengths 2019-20

*Fig

ures

hav

e be

en r

ound

ed a

nd d

iscr

epan

cies

may

occ

ur b

etw

een

tota

ls a

nd th

e su

ms

of th

e co

mpo

nent

item

s.


Schedule 4

Reconciliation of local government income and expenditure

Reconciliation of actual revenue and expenditure as supplied by local governing bodies 2017-18

Actual revenue 2017-18 $

Rates and annual charges 183 163 933

Fines and penalties 1 784 108

Grants and subsidies 264 208 172

Fuel rebate 453 047

User fees and charges 26 073 789

Interest income 8 143 619

Profit on sale of assets 683 264

Other current revenue (n.e.c) 45 862 978

Other capital revenue 901 702

Assets acquired without cost or below fair value

94 313 990

Total actual revenue 2017-18 $625 588 602


Actual expenditure 2017-18 $

Employee expenses 190 478 661

Materials and contracts 161 171 698

Depreciation 91 562 322

Bad debts 781 910

Current transfers expenses 1 446 849

Interest 379 962

Other expenses 59 134 510

Total actual expenditure 2017-18 $504 955 912* Figures have been rounded and discrepancies may occur between totals and the sums of the component items.

Identified local government revenue

$

General rates-municipal levied 119 686 646

Domestic waste 30 871 742

Garbage other 16 360 537

Regional and shire council rates 19 800 578

Parking 999 915

Interest 8 143 619

Total identified local government revenue

$195 863 037


Identified local government expenditure

$

General public service 115 890 289

Public order and safety 31 906 811

Economic affairs 48 097 212

Environment protection 17 762 454

Housing and community amenities

47 388 597

Health 2 431 294

Recreation culture and religion 52 191 081

Education 508 326

Social protection 12 630 036

Total identified local government expenditure

$328 806 100


Balanced budget approach used for the 2019-20 allocations $

Identified local government revenue 195 863 037

50% Roads to Recovery grants 2018-19 2 558 632

Library grants 2018-19 4 633 202

Road grants 2018-19 16 111 966

Budget term 109 639 263

Total revenue $328 806 100

Identified local government expenditure $328 806 100

Total expenditure $328 806 100* Figures have been rounded and discrepancies may occur between totals and the sums of the component items.


Schedule 5

Actual local government income 2017-18

Cou

ncil

Mun

icip

al

rate

s (l

evie

d)D

omes

tic

was

teG

arba

ge

othe

r

Reg

iona

l and

sh

ire

coun

cil

rate

s (l

evie

d)In

tere

stP

arki

ng

rest

rict

edTo

tal

$$

$$

$$

$

Alic

e Sp

ring

s To

wn

Cou

ncil

22 4

97 5

903

687

000

2 93

9 00

00

1 26

7 00

00

30 3

90 5

90

Bar

kly

Reg

iona

l Cou

ncil

087

8 00

00

2 66

0 40

012

5 00

00

3 66

3 40

0

Bel

yuen

Com

mun

ity

Gov

ernm

ent C

ounc

il0

41 4

050

42 7

3665

084

206

Cen

tral

Des

ert R

egio

nal C

ounc

il0

1 03

9 42

80

1 53

8 77

724

1 58

80

2 81

9 79

3

City

of D

arw

in

62 9

32 2

117

253

687

13 2

80 8

460

1 97

8 25

899

9 91

586

444

917

City

of P

alm

erst

on20

913

584

7 10

6 18

60

01

152

494

029

172

264

Coo

mal

ie C

omm

unity

G

over

nmen

t Cou

ncil

026

0 40

711

2 90

594

6 36

542

633

01

362

310

East

Arn

hem

Reg

iona

l Cou

ncil

02

337

556

27 3

313

914

002

662

499

06

941

388

Kat

heri

ne T

own

Cou

ncil

6 67

5 39

11

138

563

00

388

343

08

202

297

Litc

hfiel

d C

ounc

il6

667

870

2 75

4 99

90

075

8 20

00

10 1

81 0

69

Mac

Don

nell

Reg

iona

l Cou

ncil

085

1 79

70

1 76

9 68

054

9 92

00

3 17

1 39

7

Rop

er G

ulf R

egio

nal C

ounc

il0

1 02

7 45

00

1 28

2 44

534

6 33

40

2 65

6 22

9

Tiw

i Isl

ands

Reg

iona

l Cou

ncil

052

2 74

60

1 73

6 32

124

757

02

283

824

Vict

oria

Dal

y R

egio

nal C

ounc

il0

550

400

066

9 10

512

1 64

40

1 34

1 14

9

Wag

ait S

hire

Cou

ncil

010

7 25

00

231

597

16 9

750

355

822

Wes

t Arn

hem

Reg

iona

l Cou

ncil

085

1 87

045

54

120

380

328

531

05

301

236

Wes

t Dal

y R

egio

nal C

ounc

il0

462

998

088

8 77

013

9 37

80

1 49

1 14

6

Tota

l$

119

686

646

$30

871

742

$16

360

537

$19

800

578

$8

143

619

$99

9 91

5$

195

863

037

*Figures have been rounded and discrepancies may occur between totals and the sums of the component items.


Schedule 6

Actual council expenditure by function 2017-18

Cou

ncil

Econ

omic

af

fair

sEd

ucat

ion

Envi

ronm

enta

l pr

otec

tion

Gen

eral

pu

blic

se

rvic

esH

ealt

h

Hou

sing

and

co

mm

unit

y am

enit

ies

Pub

lic o

rder

an

d sa

fety

Rec

reat

ion,

cu

ltur

e an

d re

ligio

nSo

cial

pr

otec

tion

Tota

l

$$

$$

$$

$$

$$

Alic

e Sp

ring

s To

wn

Cou

ncil

2 59

9 70

04

000

5 11

6 50

017

596

500

01

310

800

1 27

2 10

07

797

500

7 90

035

705

000

Bar

kly

Reg

iona

l Cou

ncil

00

405

256

11 1

53 9

730

5 08

4 92

42

143

396

2 80

4 16

92

743

282

24 3

35 0

00

Bel

yuen

Com

mun

ity

Gov

ernm

ent C

ounc

il75

2 27

40

056

9 53

50

536

176

021

0 15

156

6 18

72

634

323

Cen

tral

Des

ert R

egio

nal C

ounc

il3

720

081

071

6 42

410

639

310

09

040

005

3 97

5 37

31

345

974

5 72

6 40

335

163

570

City

Of D

arw

in15

793

602

046

3 90

641

934

570

77 8

5923

132

032

18 1

26 1

9024

088

256

012

3 61

6 41

5

City

Of P

alm

erst

on3

279

117

05

663

285

23 5

02 9

880

1 03

4 81

884

6 96

17

037

180

2 63

541

366

984

Coo

mal

ie C

omm

unity

Gov

ernm

ent C

ounc

il1

005

701

023

2 07

293

0 46

00

109

566

60 2

2763

2 50

50

2 97

0 53

1

East

Arn

hem

Reg

iona

l Cou

ncil

8 24

3 30

80

1 17

3 19

713

477

964

04

065

483

3 33

2 25

13

549

596

5 94

3 42

339

785

222

Kat

heri

ne T

own

Cou

ncil

2 63

4 84

90

1 20

4 53

32

883

007

053

5 91

130

5 37

42

019

475

09

583

149

Litc

hfiel

d C

ounc

il19

955

779

5 80

02

758

038

4 41

6 20

80

78 3

7742

2 93

02

590

966

030

228

098

Mac

Don

nell

Reg

iona

l Cou

ncil

6 26

0 56

10

59 2

3023

215

629

558

949

1 42

0 91

11

421

793

315

200

4 65

0 57

137

902

844

Rop

er G

ulf R

egio

nal C

ounc

il1

988

352

327

629

38 9

7316

611

053

28 1

007

004

026

9 08

31

148

656

11 2

90 0

1338

445

885

Tiw

i Isl

ands

Reg

iona

l Cou

ncil

3 89

1 45

736

7 63

858

3 24

57

588

259

38 2

501

160

373

1 19

2 62

185

4 14

480

2 50

716

478

494

Vict

oria

Dal

y R

egio

nal C

ounc

il7

134

316

00

11 7

46 2

531

192

903

1 30

4 89

30

701

462

1 30

8 21

523

388

042

Wag

ait S

hire

Cou

ncil

194

279

092

228

516

528

00

00

080

3 03

5

Wes

t Arn

hem

Reg

iona

l Cou

ncil

4 21

6 50

918

879

922

944

9 52

0 27

918

7 18

14

728

888

1 18

3 10

64

099

946

1 78

9 18

426

666

916

Wes

t Dal

y R

egio

nal C

ounc

il2

015

575

57 5

2830

610

5 99

1 44

14

553

275

1 52

2 08

51

205

161

506

729

015

882

404

Tota

l$

83 6

85 4

60$

781

474

$19

460

441

$20

2 29

3 95

7$

6 63

6 51

7$

62 0

69 2

68$

35 4

96 5

66$

59 7

01 9

09$

34 8

30 3

20$

504

955

912

* Fi

gure

s ha

ve b

een

roun

ded

and

disc

repa

ncie

s m

ay o

ccur

bet

wee

n to

tals

and

the

sum

s of

the

com

pone

nt it

ems.


Cou

ncil

Dom

esti

c w

aste

Gar

bage

oth

erM

unic

ipal

rat

esR

egio

nal a

nd

shir

e ra

tes

Par

king

res

tric

ted

Inte

rest

Tota

l ass

esse

d re

venu

e

$$

$$

$$

$

Alic

e Sp

ring

s To

wn

Cou

ncil

3 41

3 85

32

939

000

13 1

78 8

240

01

267

000

20 7

98 6

77

Bar

kly

Reg

iona

l Cou

ncil

951

105

00

2 67

4 90

80

125

000

3 75

1 01

2

Bel

yuen

Com

mun

ity

Gov

ernm

ent C

ounc

il22

396

00

62 9

860

6585

447

Cen

tral

Des

ert R

egio

nal C

ounc

il54

1 38

00

01

522

589

024

1 58

82

305

557

City

Of D

arw

in10

886

246

13 2

80 8

4662

084

856

099

9 91

51

978

258

89 2

30 1

20

City

Of P

alm

erst

on4

871

256

019

620

712

00

1 15

2 49

425

644

462

Coo

mal

ie C

omm

unity

Gov

ernm

ent C

ounc

il17

8 90

711

2 90

50

503

161

042

633

83

7 60

5

East

Arn

hem

Reg

iona

l Cou

ncil

1 33

0 92

527

331

03

743

123

066

2 49

95

763

878

Kat

heri

ne T

own

Cou

ncil

1 36

6 52

50

3 99

9 10

10

038

8 34

35

753

969

Litc

hfiel

d C

ounc

il3

293

460

020

803

154

00

758

200

24 8

54 8

14

Mac

Don

nell

Reg

iona

l Cou

ncil

883

011

00

2 48

3 40

10

549

920

3 91

6 33

2

Rop

er G

ulf R

egio

nal C

ounc

il95

1 75

20

02

676

728

034

6 33

43

974

814

Tiw

i Isl

ands

Reg

iona

l Cou

ncil

354

188

00

996

127

024

757

1 37

5 07

3

Vict

oria

Dal

y R

egio

nal C

ounc

il40

3 77

00

01

135

571

012

1 64

41

660

984

Wag

ait S

hire

Cou

ncil

65 3

750

018

3 86

10

16 9

7526

6 21

1

Wes

t Arn

hem

Reg

iona

l Cou

ncil

888

060

455

02

497

600

032

8 53

13

714

646

Wes

t Dal

y R

egio

nal C

ounc

il46

9 53

30

01

320

524

013

9 37

81

929

435

Tota

l$

30 8

71 7

42$

16 3

60 5

37$

119

686

646

$19

800

578

$99

9 91

5$

8 14

3 61

9$

195

863

037

* Fi

gure

s ha

ve b

een

roun

ded

and

disc

repa

ncie

s m

ay o

ccur

bet

wee

n to

tals

and

the

sum

s of

the

com

pone

nt it

ems.

Schedule 7

Assessed 2017-18 revenue for 2019-20 allocations


Schedule 8

Summary standardised revenue 2017-18 used for 2019-20 allocations

Cou

ncil

Ass

esse

d N

T av

erag

e re

venu

e20

17-1

8 R

oads

to

Rec

over

y20

17-1

8 Li

brar

y gr

ant

2017

-18

Roa

ds g

rant

Bud

get t

erm

Tota

l st

anda

rdis

ed

reve

nue

$$

$$

$$

Alic

e Sp

ring

s To

wn

Cou

ncil

20 7

98 6

7716

2 80

563

5 31

496

1 64

412

124

109

34 6

82 5

49

Bar

kly

Reg

iona

l Cou

ncil

3 75

1 01

246

265

190

315

459

498

3 37

7 79

57

824

886

Bel

yuen

Com

mun

ity G

over

nmen

t Cou

ncil

85 4

475

656

033

289

79 5

3720

3 92

8

Cen

tral

Des

ert R

egio

nal C

ounc

il2

305

557

146

655

109

068

887

628

1 92

2 68

15

371

589

City

of D

arw

in89

230

120

312

058

1 47

8 58

81

913

966

38 6

61 8

9113

1 59

6 62

3

City

of P

alm

erst

on25

644

462

134

595

609

200

914

487

17 2

99 9

9344

602

737

Coo

mal

ie C

omm

unity

Gov

ernm

ent C

ounc

il 83

7 60

569

223

49 2

4347

9 31

363

5 37

72

070

761

East

Arn

hem

Reg

iona

l Cou

ncil

5 76

3 87

819

9 55

334

2 86

31

257

291

4 72

6 70

612

290

291

Kat

heri

ne T

own

Cou

ncil

5 75

3 96

910

7 54

036

9 86

664

0 86

54

853

138

11 7

25 3

78

Litc

hfiel

d C

ounc

il24

854

814

432

358

225

023

2 62

7 47

911

696

540

39 8

36 2

15

Mac

Don

nell

Reg

iona

l Cou

ncil

3 91

6 33

216

9 02

793

448

1 01

1 31

93

135

966

8 32

6 09

2

Rop

er G

ulf R

egio

nal C

ounc

il3

974

814

136

667

164

071

1 08

6 33

23

380

094

8 74

1 97

8

Tiw

i Isl

ands

Reg

iona

l Cou

ncil

1 37

5 07

316

5 76

094

002

984

457

1 25

7 88

03

877

172

Vict

oria

Dal

y R

egio

nal C

ounc

il1

660

984

145

448

42 5

4470

6 57

11

433

965

3 98

9 51

3

Wag

ait S

hire

Cou

ncil

266

211

9 46

70

55 7

6223

2 17

556

3 61

5

Wes

t Arn

hem

Reg

iona

l Cou

ncil

3 71

4 64

620

1 29

412

8 90

71

199

519

3 15

3 89

68

398

262

Wes

t Dal

y R

egio

nal C

ounc

il1

929

435

114

261

100

750

892

546

1 66

7 51

94

704

511

TOTA

L$

195

863

037

$2

558

632

$4

633

202

$16

111

966

$10

9 63

9 26

3$

328

806

100

* Fi

gure

s ha

ve b

een

roun

ded

and

disc

repa

ncie

s m

ay o

ccur

bet

wee

n to

tals

and

the

sum

s of

the

com

pone

nt it

ems.


Schedule 9

Standardised 2017-18 expenditure used for 2019-20 allocations

Coun

cil

Econ

omic

af

fair

sEd

ucat

ion

Envi

ronm

enta

l pr

otec

tion

Gen

eral

pu

blic

se

rvic

esH

ealt

h

Hou

sing

and

co

mm

unity

am

eniti

esPu

blic

ord

er

and

safe

ty

Rec

reat

ion,

cu

ltur

e an

d re

ligio

nSo

cial

pr

otec

tion

Tota

l st

anda

rdis

ed

expe

nditu

re

$$

$$

$$

$$

$$

Alic

e Sp

ring

s To

wn

Cou

ncil

4 89

2 71

947

769

1 96

4 20

511

917

015

228

478

4 45

3 29

32

998

409

5 30

9 17

01

186

894

32 9

97 9

53

Bar

kly

Reg

iona

l Cou

ncil

2 13

2 98

227

686

547

230

4 74

2 99

713

2 42

22

581

051

1 73

7 82

62

314

534

687

903

14 9

04 6

32

Bel

yuen

Com

mun

ity

Gov

ernm

ent C

ounc

il 28

202

505

12 8

8613

1 33

42

417

47 1

1331

721

30 6

0312

557

297

337

Cen

tral

Des

ert

Reg

iona

l Cou

ncil

1 47

4 58

419

640

311

490

2 95

6 89

293

937

1 83

0 93

21

232

769

1 60

0 09

648

7 98

110

008

321

City

of D

arw

in13

708

645

117

860

6 26

3 54

134

705

451

563

719

10 9

87 4

987

397

898

14 8

75 4

782

928

394

91 5

48 4

84

City

of P

alm

erst

on6

134

192

55 2

122

802

740

16 0

93 5

3426

4 07

75

147

157

3 46

5 58

86

656

313

1 37

1 82

341

990

637

Coo

mal

ie C

omm

unity

G

over

nmen

t Cou

ncil

285

316

2 96

310

2 93

665

9 57

414

170

276

193

185

961

309

601

73 6

111

910

325

East

Arn

hem

Reg

iona

l Cou

ncil

3 86

8 88

252

505

765

765

7 64

4 51

425

1 13

04

894

803

3 29

5 67

84

198

188

1 30

4 56

626

276

031

Kat

heri

ne T

own

Cou

ncil

1 78

3 79

018

076

786

248

4 95

2 77

586

455

1 68

5 10

81

134

585

1 93

5 62

044

9 11

612

831

774

Litc

hfiel

d C

ounc

il4

572

331

41 1

351

894

935

10 7

24 4

3419

6 74

53

834

773

2 58

1 95

84

961

512

1 02

2 04

629

829

868

Mac

Don

nell

Reg

iona

l Cou

ncil

2 41

0 54

731

873

508

052

4 77

3 00

115

2 44

52

971

320

2 00

0 59

42

615

724

791

918

16 2

55 4

75

Rop

er G

ulf R

egio

nal C

ounc

il2

568

419

33 7

4254

7 60

35

076

766

161

384

3 14

5 56

12

117

910

2 78

7 03

483

8 35

717

276

775

Tiw

i Isl

ands

Reg

iona

l Cou

ncil

689

032

10 1

6620

3 78

71

987

062

48 6

2394

7 72

463

8 10

474

7 68

025

2 58

85

524

766

Vict

oria

Dal

y R

egio

nal C

ounc

il81

4 80

510

627

232

314

1 97

5 17

850

827

990

677

667

024

884

159

264

036

5 88

9 64

6

Wag

ait S

hire

Cou

ncil

82 3

2472

137

614

211

326

3 44

667

173

45 2

2889

331

17 9

0355

5 06

6

Wes

t Arn

hem

Reg

iona

l Cou

ncil

1 83

1 37

825

245

510

957

4 67

6 39

612

0 74

42

353

431

1 58

4 56

91

987

258

627

238

13 7

17 2

15

Wes

t Dal

y R

egio

nal C

ounc

il81

9 06

512

602

270

152

2 66

2 03

960

273

1 17

4 79

079

0 98

888

8 78

131

3 10

66

991

796

Tota

l$4

8 09

7 21

2$5

08 3

26$1

7 76

2 45

4$1

15 8

90 2

89$2

431

294

$47

388

597

$31

906

811

$52

191

081

$12

630

036

$328

806

100

* Fi

gure

s ha

ve b

een

roun

ded

and

disc

repa

ncie

s m

ay o

ccur

bet

wee

n to

tals

and

the

sum

s of

the

com

pone

nt it

ems.



Schedule 10

National share of financial assistance grants 2019-20

State/Territory General purpose $

Share %

Local road component

$Share

%Total

$Share

%

NSW 561 526 802 31.96 226 201 773 29.01 787 728 575 31.05

VIC 455 581 222 25.93 160 736 232 20.62 616 317 454 24.30

QLD 352 558 298 20.07 146 078 390 18.74 498 636 688 19.66

WA 181 901 718 10.35 119 210 077 15.29 301 111 795 11.87

SA 121 611 213 6.92 42 847 209 5.50 164 458 422 6.48

TAS 37 081 045 2.11 41 316 093 5.30 78 397 138 3.09

NT 17 180 555 0.98 18 263 231 2.34 35 443 786 1.40

ACT 29 604 907 1.68 24 999 908 3.21 54 604 815 2.15

Total $1 757 045 760 100 $779 652 913 100 $2 536 698 673 100

Schedule 11

Visits/Public Hearings to local governing bodies

Council Service delivery centre 2018-19 2017-18 2016-17 2015-16

Darwin City Council Darwin

Tiwi Islands Regional Council

Wurrumiyanga

Pirlangimpi

Milikapiti

City of Palmerston Palmerston

Belyuen Community Government Council

Belyuen 11 Sep 18

Coomalie Community Government Council

Coomalie 12 Sep 18

Wagait Shire Council Wagait/Cox Peninsula 11 Sep 18

Litchfield Council Litchfield

West Arnhem Regional Council

Shire Office (Jabiru) 30 Nov 18Maningrida 21 May 19Gunbalanya 28 Nov 18Minjilang 29 Nov 18Warruwi 29 Nov 18



East Arnhem Regional Council

Shire Office (Nhulunbuy)

Galiwin’ku

Gapuwiyak

Gunyangara (Marngarr)

Milyakburra

Milingimbi

Ramingining

Yirrkala

Umbakumba

Angurugu

26 Nov 17

Victoria Daly Regional Council

Shire Office (Katherine)

Daly River

Daguragu/Kalkarindji

Timber Creek

Yarralin

Pine Creek

07 Oct 15

06 Oct 15

09 Oct 15

08 Oct 15

08 Oct 15

07 Oct 15

West Daly Regional Council

Nganmarriyanga

Peppimenarti

Wadeye

05 Oct 15

06 Oct 15

05 Oct 15

Katherine Town Council

Katherine

Binjari

Roper Gulf Regional Council

Shire Office (Katherine)

Borroloola

Numbulwar

Barunga

Wugularr (Beswick)

Bulman

Manyallaluk (Eva Valley)

Ngukurr

Mataranka

Jilkminggan

06 May 16

05 May 16

05 May 16

04 May 16

04 May 16

06 May 16

04 May 16

05 May 16

03 May 16

03 May 16

Schedule 11 (cont.)




Barkly Regional Council

Shire Office (Tennant Creek)

Elliott

Ampilatwatja

Ali Curung

Alpurrurulam

Arlparra (Utopia)

14 Jun 18

14 Jun 18

13 Jun 18

15 Jun 18

Alice Springs Town Council

Alice Springs

Central Desert Regional Council

Shire Office (Alice Springs)

Nyrippi

Lajamanu

Yuendumu

Willowra

Ti-Tree

Laramba

Engawala

Atitjere (Harts Range)

Yuelamu

24 Aug 18

22 Aug 18

24 Aug 18

20 Aug 18

20 Aug 18

23 Aug 18

21 Aug 18

21 Aug 18

23 Aug 18

Schedule 11 (cont.)




MacDonnell Regional Council

Shire Office (Alice Springs)

Areyonga

Haasts Bluff

Imanpa

Docker River

Hermannsburg (Ntaria)

Papunya

Kintore

Wallace Rockhole

Amoonguna

Finke

Santa Teresa

Titjikala

Mount Liebig

22 Jul 16

19 Jul 16

21 Jul 16

20 Jul 16

19 Jul 16

21 Jul 16

22 Jul 16

18 Jul 16

18 Jul 16

22 Jul 16

20 Jul 16

Schedule 11 (cont.)



APPENDIX A

National principles for the allocation of general purpose and local road grants

A. The national principles relating to the allocation of general purpose grants payable under section 6 of the Local Government (Financial Assistance) Act 1995 (the Act) among local governing bodies are as follows:

1. Horizontal equalisation

General purpose grants will be allocated to all local governing bodies as far as practicable on a full horizontal equalisation basis as defined by the Act. This is a basis that ensures that each local governing body in the state/territory is able to function by reasonable effort at a standard not lower than the average standard of other local governing bodies in the state. It takes account of differences in the expenditure required by those local governing bodies in the performance of their functions and in the capacity of those local governing bodies to raise revenue.

2. Effort neutrality

An effort or policy neutral approach will be used in assessing the expenditure requirement and revenue raising capacity of each local governing body. This means that, as far as possible, policies of individual local governing bodies in terms of expenditure and revenue effort, will not affect the grant determination.

3. Minimum grant

The minimum general purpose grant allocation for a local governing body in a year will not be less than the amount to which the local governing body would be eligible to receive if 30 per cent of the total amount of general purpose grants to which the state/territory is entitled

under section 9 of the Act in respect of the year were allocated among local governing bodies in the state/territory on a per capita basis.

4. Other grant support

Other relevant grant support provided to local governing bodies to meet any of the expenditure needs assessed should be taken into account using an inclusion approach.

5. Aboriginals and Torres Strait Islanders

Financial assistance shall be allocated to councils in a way which recognises the needs of Aboriginals and Torres Strait Islanders within their boundaries.

6. Council amalgamation

Where two or more local governing bodies are amalgamated into a single body the general purpose grant provided to the new body for each of the four years following amalgamation should be the total of the amounts that would have been provided to the former bodies in each of those years if they had remained separate entities.

B. The national principle relating to the allocation of the amounts payable under Section 12 of the Act (the identified road component of the financial assistance grants) among local governing bodies is as follows:

1. Identified road component

The identified road component of the financial assistance grants should be allocated to local governing bodies as far as practicable on the basis of the relative needs of each local governing body for roads expenditure and to preserve its road assets. In assessing road needs relevant considerations include length type and usage of roads in each local governing area.

Appendices


APPENDIX B

Methodology and formula factors

Introduction

The Northern Territory Grants Commission’s methodology conforms to the requirement for horizontal equalisation as set out in section 6 (3) of the Australian Government Local Government (Financial Assistance) Act 1995.

The Commission in assessing relative need for allocating general purpose funding uses the balanced budget approach to horizontally equalise based on the formula:

Assessed expenditure need - assessed revenue capacity = assessed equalisation requirement.

The methodology calculates standards by applying cost adjustors and average weightings to assess each local government’s revenue raising capacity and expenditure need. The assessment is the Commission’s measure of each local government’s ability to function at the average standard in accordance with the national principles. Details regarding the national principles are at Appendix A.

Population

From 2008-09 the Commission resolved to use the latest ABS estimated resident population figures and then adjust the figures to align with the population total advised to Canberra from Northern Territory Treasury. The Northern Territory’s funding is based on this total population figure. The same rationale was used for the 2019-20 calculations.

Revenue raising capacity

As the ownership of the land on which many communities are located is vested in land trusts established pursuant to the Australian Government Aboriginal Lands Rights (Northern Territory) Act 1976 it is not for all intents and purposes feasible to use a land valuation system solely as the means for assessing revenue raising capacity.

The collection of actual accurate financial data through the Commission’s annual returns enabled a number of revenue categories to be introduced including municipal and regional council rates, domestic waste and interest.

In addition, to accord with the national principles other grant support to local governing bodies by way of the Roads to Recovery, library and local roads grants are recognised in the revenue component of the methodology. In the case of recipients of the Roads to Recovery grants 50 per cent of the grant was included. Recipients of library grants and local roads grants have the total amount of the grant included.

The Commission considers that given unique circumstances within the Territory this overall revenue raising capacity approach provides a reasonable indication of a council’s revenue raising capacity.

For the 2019-20 allocations financial data in respect of the 2017-18 financial year was used.


Expenditure needs

The assessment of standard expenditure is based on the Territory average per capita expenditure within the expenditure categories to which cost adjustors reflecting the assessed disadvantage of each local government are applied.

The Commission currently uses the nine expenditure categories in accordance with the Australian Bureau of Statistics Local Government Purpose Classifications. In the 2012-13 grant calculations an additional expenditure category was created (Regional Centre Recognition) to acknowledge the financial drains on municipal councils caused by urban drift. This expenditure category had been used in all subsequent grant processes with the exception of the 2016-17 and 2017-18 calculations where the Commission quarantined a pool totaling $200 000 and subsequently allocated $135 000 and $65 000 to the Alice Springs and Katherine councils respectively.

When the grants were calculated in 2018-19 using the estimated resident population data from the Australian Bureau of Statistics 2016 census, a number of councils had population decreases. The previous quarantined parameter applied in 2016-17 and 2017-18 to the Katherine and Alice Springs councils was difficult to justify in the 2018-19 calculations when other councils would have received reductions in funding that were difficult to absorb. To mitigate this, the Commission resolved to redistribute the $200 000 quarantined amount to buffer funding reductions across all councils as a result of the population decreases. Consequently, the Commission implemented a 5% loss assist factor into the 2018-19 methodology.

The previously quarantined parameter no longer supports the rational for its implementation, particularly whilst councils populations continue to decrease.

When the general purpose grants were calculated for 2019-20 incorporating the latest estimated resident populations derived from the Australian Bureau of Statistics 2016 census, all councils with the exception of Palmerston and Litchfield, experienced population decreases.

Therefore, similar to 2018-19, the Commission again implemented a 5% loss assist factor into the 2019-20 methodology. The rationale for implementing the loss assist factor was that it was only applied to councils that stood to receive a loss greater than 5% in grant funding. A total of 6 councils benefited from the loss assist parameter which totalled $389 224.

Cost adjustors

The Commission uses cost adjustors to reflect a local government’s demographics, geographical location, its external access and the area over which it is required to provide local government services. All these influence the cost of service delivery. The cost adjustors used by the Commission for 2019-20 are shown at Schedule 2. There are three cost adjustors being: location, dispersion and Aboriginality.

Minimum grants

For most local governments, the assessed expenditure needs exceed the assessed revenue capacity, meaning there is an assessed need. In four cases, assessed revenue capacity is greater than assessed expenditure need, meaning that there is no assessed need. However, as the legislation requires that local governments cannot get less than 30 per cent of what they would have been allocated had the funding been distributed solely on the basis of population, four local government councils still receive a grant, or what is referred to as the minimum grant.


Formula

1. Revenue component

All councils:

Assessed revenue raising capacity = Total identified local government revenue

Total local government revenue = Assessed NT average revenue + other grant support + budget term

Where

Revenue category = Domestic waste, garbage, Municipal rates, Regional and Shire rates, special rates parking, special rates other, fines and interest

Domestic waste = Per capita

Garbage other = Actual

Municipal council rates = Average rate

Regional and Shire rates = Per capita

Interest = Actual

State income by revenue category 2017-18

= Actual state local government gross income

Actual state local government gross income 2017-18

= $195 863 037

Other grant support = Roads to Recovery grant 2018-19 50%, library grant 2018-19 and roads grant 2018-19

Budget term = Population x per capita amount

Total local government revenue for 2019-20 allocations

= $328 806 100


2. Expenditure needs

Total local government expenditure of $328 806 100 apportioned over each expenditure component.

a. General public services ($115 890 289)

Community population/Northern Territory population x general public services expenditure x Aboriginality

b. Public order and safety ($31 906 811)

Community population/Northern Territory population x public order and safety expenditure x (location + dispersion + Aboriginality)

c. Economic affairs ($48 097 212)

Community population/Northern Territory population x economic affairs expenditure x (location + dispersion)

d. Environmental protection ($17 762 454)

Community population/Northern Territory population x environmental protection expenditure

e. Housing and community amenities ($47 388 597)

Community population/Northern Territory population x housing and community amenities expenditure x (location + dispersion + Aboriginality)

f. Health ($2 431 294)

Community population/Northern Territory population x health expenditure x (location + dispersion + Aboriginality)

g. Recreation, culture and religion ($52 191 081)

Community population/Northern Territory population x recreation culture and religion expenditure x (location + dispersion)

h. Education ($508 326)

Community population/Northern Territory population x education expenditure x (location + dispersion + Aboriginality)

i. Social protection ($12 630 036)

Community population/Northern Territory population x social protection expenditure x (location + dispersion + Aboriginality)


3. Local road grant funding

To determine the local road grant the Commission applies a weighting to each council by road length and surface type. These weightings are:

Road type Weighting

Sealed 27.0

Gravel 12.0

Cycle path 10.0

Formed 7.0

Unformed 1.0

The general purpose location factor is also applied to recognise relative isolation.

Application of cost adjustors

Expenditure category Population Location Dispersion Aboriginality

Housing and community amenities

Public order and safety

Environmental protection

General public services

Social protection

Education

Health

Recreation, cultural and religion

Economic affairs

(Shaded areas indicate when cost adjustor applies)


Appendix C

The Australian Classification of Local Government (ACLG)

Step 1 Step 2 Step 3 Identifiers Category

URBAN (U) Capital City (CC) UCC

Population more than 20 000

Metropolitan developed (D)

Part of an urban centre of more than 1 000 000 or population density more than 600/sq km

Small (S)

Medium (M)

Large (L)

Very Large (V)

Up to 30 000

30 001-70 000

70 001-120 000

more than 120 000

UDS

UDM

UDL

UDV

or

Population density more than 30 persons per sq km

Regional Towns/City (R)

Part of an urban centre with population less than 1 000 000 and predominantly urban in nature

Small (S)

Medium (M)

Large (L)

Very Large (V)

Up to 30 000

30 001-70 000

70 001-120 000

more than 120 000

URS

URM

URL

URV

or

90% or more of LGA population is urban

Fringe (F)

A developing LGA on the margin of a developed or regional urban centre

Small (S)

Medium (M)

Large (L)

Very Large (V)

Up to 30 000

30 001-70 000

70 001-120 000

more than 120 000

UFS

UFM

UFL

UFV

Rural (R)

An LGA with population less than 20 000

Significant growth (SG)

Average annual population growth more than 3% population more than 5 000 and not remote

Not applicable RSG

and

Population density less than 30 persons per sq km

Agricultural (A) Small (S)

Medium (M)

Large (L)

Very Large (V)

Up to 2 000

2 001-5 000

5 001-10 000

10 001-20 000

RAS

RAM

RAL

RAV

and

Less than 90% of LGA population is urban

Remote (T) Extra Small (X)

Small (S)

Medium (M)

Large (L)

Up to 400

401-1 000

1 001-3 000

3 001-20 000

RTX

RTS

RTM

RTL


Appendix D

Northern Territory local governments by classification

Council ACLG Classification

Alice Springs Town Council URS

Barkly Regional Council RTL

Belyuen Community Government Council RTX

Central Desert Regional Council RTL

City of Darwin UCC

City of Palmerston URM

Coomalie Community Government Council RTM

East Arnhem Regional Council RTL

Katherine Town Council URS

Litchfield Council UFS

MacDonnell Regional Council RTL

Roper Gulf Regional Council RTL

Tiwi Islands Regional Council RTM

Victoria Daly Regional Council RTL

Wagait Shire Council RTS

West Arnhem Regional Council RTL

West Daly Regional Council RTL


Appendix E

Northern Territory map of local government areas


Appendix F

Auditor-General Independent Auditor’s Report to the Minister for Local Government, Housing and Community Development Northern Territory Grants Commission Year Ended 30 June 2019


Appendix G

Auditor-General Independent Auditor’s Report to the Chief Executive of the Department of Local Government, Housing and Community Development on the Statement of Payments Made to Local Governing Bodies by the Northern Territory during the year 1 July 2018 to 30 June 2019.


The.painting.depicts.the.role.of.the.Grants.Commission.as.a.transmitter.of.information,.policy.and.funding.recommendations..In.the.painting.the.members.of.the.Grants.Commission.are.depicted.by.the.larger.black.horseshoe.shapes..They.are.sitting.facing.the.members.of.Local.Government.Councils,.represented.by.the.smaller.black.horseshoes.in.the.north,.south,.east.and.west.directions..

As.can.be.seen.the.Grants.Commission.role.is.represented.by.two.larger.horseshoe.shapes.joined.together..This.representation.shows.the.Grants.Commission.facing.Councillors.on.the.one.hand,.and.the.Northern.Territory.and.Federal.Governments.(the.centre.circle.with.the.white.horseshoe.shape).

on.the.other..The.smaller.oblong.shapes.between.the.Commission.and.the.Governments.are.provided.by.the.artist.to.show.the.movement.of.the.Commission.visiting.Councils.and.taking.reports.back.to.central.government..

The.larger.oblong.shapes.between.the.Council.groupings.represent.two.areas.of.land..The.upper.ones.depict.native.title.area.boundaries,.and.the.lower.ones.depict.Local.Government.area.boundaries..The.background.is.the.‘country’.within.which.all.of.these.events.take.place..

Painting.by.Cr..Francis.Kelly,..Past.Member.of.NT.Grants.Commission

Account.above.is.based.on.a.conversation.with.Cr..Kelly

Northern Territory Grants Commission...Northern Territory Grants Commission, in June 1986. Role of...

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