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Productivity Commission Inquiry into local government costs and efficiency - Draft Inquiry Report - Circular 37.13

To Chief Executive Officer
Elected Members
Finance and Accounting Staff
Governance Officers
Policy and Strategic Planning Staff
Date 12 September 2019
Contact Rebecca Muller
Email: rebecca.muller@lga.sa.gov.au
Response Required Yes Respond By 4 October 2019
Summary The South Australian Productivity Commission has now released its draft inquiry report which outlines their draft recommendations to the South Australian Government and, draft advice to councils. The LGA is seeking feedback from member councils to inform a sector-wide submission.

The South Australian Productivity Commission (the Commission) has been asked to examine the trends in local government costs and efficiency and the drivers behind these trends. Through the Inquiry, the Commission has analysed council expenditure and service provision data over the past ten financial years and sought to identify the drivers and trends in council costs.

The release of the draft report starts a further round of consultation with stakeholders, following which the Commission will consider all feedback; finalise its views; and submit its final report and recommendations to the Premier by 22 November 2019.

The Commission’s draft report shows that councils are generally achieving a high rate of efficiency when compared with each other. 

This report is only a draft and includes 19 requests for further information in areas such as workforce planning, resource sharing, industrial relations reform, and accountability and transparency measures.

The Commission will hold ongoing consultations with key stakeholders during September and October.

Councils can provide feedback either to the LGA to be incorporated into sector-wide submissions, direct to the Commission (please provide a copy to the LGA), or both.

In response to the draft report, the LGA has prepared an Issues Paper to:  

  • outline the LGA’s consultation process and associated timeframes;
  • provide initial commentary on the recently released draft report;
  • seek comments on the questions posed within the draft report to assist with the development of a sector-wide response.

A copy of the Issues Paper can be found within the members sector of the LGA website: LGA Website Members Section

The final deadline for comments and feedback to the LGA to be included in the sector-wide submission is COBFriday 4 October 2019.

Responses can be submitted via email to Rebecca Muller, Senior Policy Officer at rebecca.muller@lga.sa.gov.au

The closing date for written submissions direct to the Productivity Commission is 25 October 2019

The Commission is required to publish the final report within 90 days.

 

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