Local government reform a must says TCCI

PEAK business body, the Tasmanian Chamber of Commerce and Industry (TCCI) says local government reform must be addressed to reduce costs and increase administrative and operational efficiency.
 
The TCCI says the reform can include amalgamations, resource sharing, shared administrations and more efficient use of equipment and technology.
 
“But local government reform must be addressed,” said TCCI Chief Executive Michael Bailey.
 
“Twenty nine local councils for a population of just over 500,000 people is over-government in the extreme and Tasmania and Tasmanians can no longer afford this.
 
“While some proponents of reform are calling for amalgamations to create just five councils based on current federal electorate boundaries, this is perhaps too radical in the short term.
 
“However, some amalgamations, particularly those involving smaller municipalities are logical and should be seriously examined.
 
“As well, some councils are already seriously involved in resource sharing to maximise efficiency and this must be encouraged and expanded.
 
“Instead of two councils each having an engineer or health inspector working at 45 per cent capacity, they could share one and have the employee operating at 90 per cent capacity. Extended statewide, this could save ratepayers millions of dollars.
 
“Greater use of technology and sharing the expense and benefits of this would also increase efficiency and reduce costs.”
 
Mr Bailey said councils were currently anticipating a dividend of $29 million from TasWater and were sitting on cash reserves of around $300 million.
 
“Associated with local government reform, a substantial part of this money could be released to improve infrastructure as well as support development and jobs around the State.
 
“Tasmanians are crying out for leadership and while local government reform may be seen as a political hot potato, both the State Government and local government itself must confront it.
 
“With the state election now only four months away, all political parties should have clear policies on reform to put to the Tasmanian people for judgement.
 
“If they fail to do so, they will condemn Tasmanians to higher rates and charges and unnecessary inefficiency in this important sector of government,” Mr Bailey said.
 
 
Ends….