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Measuring the costs of legislative compliance

The Local Government Act is structured so that elected representatives of communities make decisions on raising funds from their communities and prioritising the allocation of resources. This project aims to provide councils with an understanding of the costs/savings associated with legal compliance with statutory obligations to enable them to make informed decisions in their ongoing budgeting and financial planning.

Project Background

A large number of other Acts impose requirements on councils to devote resources to projects and services. It is important for council decision makers to understand the financial implications of their legislative requirements, to ensure commensurate resources made available achieved both:

  • the desired level of service provision
  • compliance with statutory obligations.

Often the resourcing costs of the statutory obligations are under-recognised, meaning that the true cost of performing these functions is not always adequately provided for.

This project will improve councils ability to understand, plan and make provision for these costs. This will assist councils with their essential, ongoing, budgeting and financial planning roles. Council administrations will have an evidence base to put before their elected members, as they make these decisions.

The LGA will work closely with the Financial Management Group to ensure that the project stays relevant and that its outcomes are shared across the sector.

Project progress,  April 2024

Completion: 40%

This project is progressing as anticipated. A report has been prepared in consultation with the Financial Managers Group and presented to the LGA Board of Directors.

Project snapshot
Project number: 2023.01
Start date: 01 Jul 2023
Completion date: 14 Aug 2024
Recipient: Local Government Association of South Australia
Status: Current
Funds approved: $70,000
Key dates
  • 1. Prepare proposal - Completed 01 Jul 2023
  • 2. Draft Report prepared for feedback by consultant - In progress 15 May 2024
  • 3. Final Report and Evaluation - in progress 14 Aug 2024
2023.01