Industry News

The Australian Securities and Investments Commission (ASIC) has cracked down on West Australian-based Addwealth Financial Services Pty Ltd, imposing additional conditions on the company’s Australian Financial Services (AFS) licence after a surveillance of its advice business.

ASIC is concerned that Addwealth FS may have failed to provide advice that was appropriate to certain clients in light of their circumstances. ASIC is also concerned that Addwealth FS may have failed to have in place adequate arrangements for the management of conflicts of interest.

As part of its conditions, Addwealth FS has appointed an external compliance consultant who will regularly report to ASIC over the next 15 months. The consultant will test and report on matters including Addwealth FS' overall compliance arrangements and the quality of financial product advice provided to its clients. This includes the advice given with respect to their investment in the Addwealth Achiever Fund.

ASIC Commissioner Peter Kell said ASIC will seek the imposition of more onerous licence conditions and independent oversight where there are concerns advice may not be meeting required standards.

Addwealth FS provides advice on products and services including retirement planning and strategies, superannuation and rollovers (including strategies), self-managed superannuation, share market investments and managed funds.

More information is at http://www.asic.gov.au.

In late 2011, the Centre for Road Safety commenced the development of a new NSW Road Safety Strategy.  This followed from the launch of the National Road Safety Strategy 2011-2020.

A series of key stakeholder sessions have been held to inform the development of the Draft NSW Road Safety Strategy 2012 – 2021.

The strategy sets out the current and emerging safety issues for NSW road users and proposes a range of solutions based on the Safe System approach to address these issues under the headings:

• Safer Roads
• Safer Vehicles
• Safer People
• Safer Speeds

The Safe System approach takes a holistic view of the road system, including interactions between the road and roadside, vehicles, speed limits and road users.

Feedback on the draft strategy is being sought until Monday, 10 September 2012. More information is here.

http://www.transport.nsw.gov.au/nsw-road-safety-strategy-2012-2021

A Chief Executive Officer is being recruited by the Queensland Government for the newly formed National Heavy Vehicle Regulator, an independent body based in Brisbane and recognised by all states and territories as the head regulator.

The CEO will be accountable for administering:

• Heavy Vehicle National Law;
• Establishing national business systems and procedures;
• Delivering regulatory activities;
• Developing reporting frameworks and national operating procedures; and
• Establishing industry liaison and consultation to implement educational programs and other related iniatives.

Professor Nick Saunders, former Vice-Chancellor of University of Newcastle, has been appointed Deputy Vice-Chancellor and Provost of Bond University in Queensland.

Professor Saunders retired as Vice-Chancellor at Newcastle last October after seven years in the role.

In 2012 Professor Saunders was appointed an Order of Australia in recognition of his contribution and distinguished service to medicine and higher education.

Professor Saunders was awarded the Centenary Medal from the Australian Government in 2002 for his contribution to academic medicine.

Prior to joining the University of Newcastle, Professor Saunders was Dean of the Faculty of Medicine, Nursing and Health Sciences at Monash University; and Head of the Faculty of Health Sciences at Flinders University.

He has also held positions at Harvard University in the United States and McMaster University in Canada, and has advised government committees and medical research councils for state and federal governments in Australia.

Professor Saunders will commence his new position at Bond on 8 October 2012.

A partnership between the University of Adelaide, the City of Playford and the South Australian Government has received Federal funding of $11.3 million to support the establishment of the $15.3 million Stretton Centre.

Named after one of Australia's leading public intellectuals Professor Hugh Stretton, the centre will showcase innovative approaches to workforce development in a bid to boost employment opportunities in Adelaide's north.

Associate Professor John Spoehr from the University of Adelaide's Australian Workplace Innovation and Social Research Centre (WISeR) will play a leading role in the development of the centre.

"The Stretton Centre will help us to capture the benefits that will flow from growth in the mining, aged care, health and clean technology sectors over the next five years in the north of Adelaide, where the unemployment rate is four times the national average in some parts of the region," Professor Spoehr said.

The Federal Government is funding the project as part of the $45 million Suburban Jobs Program. Another $4 million of in-cash and in-kind support will be provided by the City of Playford, the University of Adelaide and the SA Government.

While construction will not commence until 2013, researchers from WISeR will start work later this year on the project.

Professor Spoehr, WISeR Executive Director, says additional staff with experience in workforce and economic development will be recruited to form one of Australia's leading research groups in the area.

"There will also be tremendous opportunities for interns and postgraduate students to engage in workforce, industry and urban development research designed to improve quality of life and opportunities in the region," he says.

"This centre will be at the cutting edge of effective planning and urban development on an international scale and will play a major role in informing policy and planning at a local, state and national level over years to come."

The centre's namesake, Professor Hugh Stretton, is a Rhodes Scholar and was voted one of Australia's 10 most influential public intellectuals. Until recently, he was a Visiting Research Fellow in the School of Economics at the University of Adelaide, specialising in housing and urban planning policies.

Dr Phil Diamond, Chief of CSIRO Astronomy and Space Science, has been appointed director general of the SKA Organisation that will oversee the construction and operation of the Square Kilometre Array (SKA) project.

As Chief of CSIRO Astronomy and Space Science, Dr Diamond has been responsible for all of CSIRO's radio astronomy capabilities and other space science activities, including overseeing completion of the ASKAP telescope, one of the world's most advanced radio telescopes and pathfinder for the SKA.

Senator Evans will open the ASKAP telescope in WA's mid west with Dr Diamond next month.

The SKA is a $1.9 billion international radio telescope to be constructed in both Australia and South Africa. When complete, it will allow astronomers to survey tens of millions of distant galaxies and collect vast quantities of new data about the universe - providing answers to questions concerning the beginnings of the universe and the nature of dark matter.

Dr Diamond will ensure the project is ready to begin building at the end of 2015. He will develop and maintain strategic relationships with national agencies, partners, governments, industry and other private sector entities, along with all other project stakeholders.

Using a hand held device the size of a computer mouse for just 30 minutes could significantly change how people deal with, and recover from, the pain associated with musculoskeletal conditions.

Edith Cowan University (ECU) School of Exercise and Health Sciences Master by Research student Harry Banyard has been investigating the effectiveness of electromagnetic therapy in treating muscle damage.

Pulsed electromagnetic field therapy (PEMFT) has already been proven to enhance the healing of bone fractures and osteoarthritis, but no scientific evidence exists on whether it can help the recovery of muscles, explains Mr Banyard.

“In testing the PEMFT, using a machine called an e-cell, I wanted to determine whether the device could really have an impact on debilitating conditions such as rheumatoid arthritis and muscle tears and sprains experienced by elite athletes,” Mr Banyard said.

“Current treatments for these conditions include costly trips to physiotherapists and remedial massage therapists. This device could provide an alternative.”

The e-cell device was tested by Mr Banyard over a period of six months on both male and female volunteers. Muscle damage was induced in their biceps by forcibly lowering their extended arm using a machine whilst they tried to maximally resist against it.

“The results suggested that the e-cell treatment significantly enhanced the recovery of muscle function including a rapid return of strength and range of motion, significantly reducing swelling and tenderness,” Mr Banyard said.

“For an elite athlete, being able to recover quickly can have a significant impact on their performance, a hundredth of a second can mean the difference between winning or losing, so any measurable improvement this device can provide is valuable.”

“The range of conditions that the e-cell could assist in treating is endless. It has the potential to be used in post-operative care for joint replacements, as well as in elite athlete recovery and for the weekend warrior gym goer who goes a bit too hard.”

Harry Banyard will be presenting his work as part of the Three Minute Thesis competition (3MT) during ECU’s Research Week. For further information on Research Week, visit: www.ecu.edu.au/research/week/overview

Information released by the Australian Taxation Office shows the majority of taxpayer disputes are resolved before reaching tribunal or court hearings when taxpayers and the ATO work closely together.

In releasing the latest edition of Your case matters, which aims to provide the full picture of ATO litigation including trends over the past five years, Tax Commissioner Michael D'Ascenzo said litigation is an essential part of the tax and superannuation systems.

"The right to dispute an assessment is a fundamental safeguard of the system, ensuring that the laws are applied fairly and properly," Mr D'Ascenzo said.

"It is important the community know the facts about the operation of Australia's tax and superannuation systems and can exercise their right to challenge decisions on objections and have them independently considered.

"However, court action is not necessarily about winning or losing, it is also about testing the law when there is uncertainty in its interpretation. The ATO supports litigants where this is in the public interest."

This is highlighted by new analysis of the 17 High Court decisions since 1 July 2008. In 11 decisions (65 per cent) the law was clarified, in a further 5 decisions (29 per cent) the Australian Government announced policy or law change to provide certainty. Further to this, 8 of the 17 decisions were test cases funded by the ATO. 7 of these 17 decisions agreed with the ATO's application of the law.

This edition of Your case matters highlights that:

• Very few taxpayers dispute their assessments (less than 1 per cent). Even when assessments are the result of audit adjustments, less than 6 per cent of these taxpayers dispute their adjusted assessments.
• The Administrative Appeals Tribunal (AAT) is the preferred venue for small business and individual taxpayers and the Federal Court for large business taxpayers.
• There is a very good track record of resolving taxpayer appeals prior to hearing, around 80 per cent for tribunals and around 55 per cent for courts.
• The majority of litigation decisions are favourable to the ATO, 75 per cent of AAT decisions and 51 per cent of court decisions. Only 5 per cent of litigation decisions are appealed.
• Litigation numbers declined between 2007-08 and 2009-10, as mass-marketed scheme-related cases steadily declined.
• In the past two years tribunal litigation numbers have increased, reflecting extra ATO compliance activity in the individuals and small business markets.
• There are good signs that the use of informal and formal alternative dispute resolution techniques are leading to resolving more litigation cases prior to hearing.

"These findings highlight the mutual benefit to be had if the ATO and taxpayers work closely together. After all, the tax and superannuation systems are community assets," Mr D'Ascenzo said.

"Our focus is to minimise and resolve what can often be costly disputes as early as possible through alternative resolution approaches such as direct communication and negotiation."

Your case matters can be downloaded at www.ato.gov.au.

The former Chief Executive of Redland City Council, Gary Stevenson, has been appointed as the City of Perth's new Chief Executive Officer.  He will take up the position in late October 2012.

Mr Stevenson has 31 years’ experience in local government across three states, including 14 years in various roles in municipal engineering followed by 17 years as a CEO.  He has worked as a CEO for three different Councils, one in Victoria and two in Queensland.

Mr Stevenson was the Deputy Director and then the Director of Works and Technical Services at the Town of Albany in the late 80s through to 1991. His first role as a Chief Executive came with the Corangamite Shire Council in Victoria.  He became the CEO in 1994 following the amalgamation process in Victoria.  He remained in the role until 1998 when he moved to the Rockhampton City Council as CEO.  He remained in that role until 2008 when there was an amalgamation of Local Governments in Queensland.   

Mr Stevenson replaces Frank Edwards who has retired after more than 10 years as City of Perth CEO. 

The Minister for Science and Research, Senator Chris Evans, has announced two new programs as part of the Science and Industry Endowment Fund (SIEF.

The first will support fellowships for up to 15 Australian early career researchers to attend the prestigious Lindau Nobel Laureate Meeting in Germany.

"The Lindau Nobel Laureate Meetings provide an extraordinary opportunity for young researchers to engage with Nobel Laureates and showcase Australian science on the international stage," Senator Evans said.

"More than 500 of the world's leading early career researchers will spend a week with about 25 Nobel Laureates.

"This is a great chance for the transfer of knowledge between generations of scientists - inspiring and motivating the best of Australia's young talent.

"By giving our up and coming scientists the opportunity to benefit from international knowledge and experience, we are ensuring Australia remains at the forefront of world leading science for generations to come."

The second program, the SIEF Special Research Program: Synchrotron Science, is a $10 million funding grant to give public research agencies access to the Australian Synchrotron, which hosts more than 3000 researchers and conducts about 500 experiments each year.

Senator Evans also awarded six John Stocker Postdoctoral Fellowships, four Postgraduate Scholarships and one Honours Scholarship to outstanding academics who will carry out research that will deliver important scientific benefits to Australia.

SIEF received $150 million from the initial proceeds of licences granted by CSIRO in 2009 for its wireless local area network (WLAN) technology.

The SIEF supports projects in new and emerging areas of science, the creation or development of significant national research facilities, and research scholarships and fellowships.

Five Australian universities have been ranked amongst the world’s top 100 according to the latest Academic Ranking of World Universities (ARWU), released this month.

In 2012, The University of Melbourne (57), The Australian National University (64), The University of Queensland (90), The University of Sydney (93) and The University of Western Australia (96) were listed amongst the world’s best.

This year’s rankings indicate the relative strength of the Australia’s university system and reflect the sector’s significant investment in continuous improvement; in 2012, Australia was just one of two countries to increase the number of universities represented in the top 100.

Chief Executive of Universities Australia, Belinda Robinson, said the country’s improved standings in the 2012 ARWU is apt recognition of the high-quality of Australian research and teaching programs.

“This is an outstanding result for Australia and demonstrates the nation’s commitment to having a world class university system providing teaching and research at the highest levels,” said Ms Robinson.

“Universities’ central role in creating opportunities for all Australians to study in a world class higher education system should be acknowledged and celebrated,” Ms Robinson said.

Parramatta City Council has launched its new City Identity Campaign, developed to explain Parramatta's story and articulate how the City will drive and sustain the economic, social, residential and educational needs of greater Sydney.

Lord Mayor of Parramatta, Cr Lorraine Wearne, said that the brand Parramatta: Future Generation, aimed to ensure that the local communities understand that they are part of something special and that the wider Sydney audience recognise what Parramatta has on offer.

"It will help us capitalise on our growth and potential, make the most of our story, and that of our people, and continue to prove that we can make it happen. Our brand, like our people, is bright, bold and confident. It symbolises our positive outlook and energetic approach to making Parramatta a better place."

Cr Wearne said that the identity was a way to capture, visually and through its messaging, much of the City-building work that had already commenced in Parramatta.

"We're putting the infrastructure in place. Through our Western Sydney Light Rail plan and other transport initiatives we aim to improve connectivity and efficiency across the wider region," Cr Wearne said.

"We're getting the development and jobs. Parramatta Square, one of the biggest urban redevelopments in Australia, is underway and combined with our jobs campaign, Parramatta 10,000, will deliver more employment and training opportunities for Western Sydney than ever before.

"We're creating a more liveable City. Through our events program and initiatives such as Design Parramatta, a program that will redefine many of our public spaces throughout our CBD, and river foreshore, we're delivering a City that will attract investment and visitors."

"Parramatta: Future Generation, brings together all of these elements to present a strong identity that captures and reinforces the City's varied and important role in the broader Sydney picture."

To help drive Parramatta: Future Generation forward, an independent advisory group, the Parramatta Partnership Forum, has been established,  made up of high-level, influential people .

Parramatta Partnership Forum members are:

• Interim Chairman, Christopher Brown, Board Member, ANZ Stadium.
• Sydney Business Chamber, David Borger, Western Sydney Director
• Property Council Australia, Glenn Byres, Executive Director, NSW
• Parramatta Chamber of Commerce, Stephanie Dale, President
• Intercontinental Hotels Group, Bill Edwards, Australasia Regional Director of Operations
• Deloitte, Peter Forrester, Managing Partner, Western Sydney
• Lend Lease Development, Denis Hickey, Managing Director Australia
• Parramatta City Council, CEO, Dr Rob Lang
• Tourism & Transport Forum, John Lee, Chief Executive
• Museum of Contemporary Art, Liz Ann Macgregor OBE, Director
• Coleman Greig Lawyers, Warrick McLean, General Manager
• News Limited, Michael Miller, Regional Director, NSW
• Australian Turf Club, Darren Pearce, Chief Executive Officer
• University of Western Sydney Prof. Peter Shergold AC, Chancellor
• Committee for Sydney, Dr Tim Williams, Chief Executive
• Craig Marshall, General Manager Development NSW, Westfield

Central Desert Shire Council has a new CEO with the appointment of Cathryn Hutton  to replace Roydon Robertson who retired on 10th August having worked for the Council from its inception in 2008, initially as Director of Corporate Services, and then for the past three years as CEO.

The decision to appoint Ms Hutton to the lead role was made at the Council’s August Meeting after a rigorous executive search by the Council’s CEO Selection Panel that included the Shire President, Deputy Shire President and 2 councillors; and 2 independent members with extensive local government industry expertise.

Until her appointment, Ms Hutton was the Council’s Deputy CEO and Director of Corporate Services where her major responsibilities included financial management, records management, information technology, governance, human resources management and customer service, as well as generally supporting and deputising for the CEO.

She is also a member of several local government industry reference groups including representing LGANT on the NT Local Government Financial Sustainability Reference Group, representing Local Government Managers Australia on the Local Government Reform Steering Committee Asset Management Program, and she is an NT Government appointee on the Rates and Charges Reference Group and the Combined Economic Development Committee.

This is Ms Hutton’s first council CEO role in a career that to date has included over 17 years working in executive management positions, the last seven years in local government. Prior to moving to Alice Springs she was Executive Manager at Busselton Shire (now City of Busselton) in Western Australia where her portfolio included finance, information services, records management, customer service, libraries, cemetery management, and corporate relations. Prior to local government she worked in various senior roles in the information technology industry.

Ms Hutton holds a Post Graduate Diploma in Science from the University of Western Australia, a Bachelor Arts with a double major in Politics and Statistical Analysis from Curtin University, and a Bachelor Economics from the University of Western Australia.

Ms Hutton took up the CEO appointment from 11th August.

Five regional and five metropolitan councils have been recognised by Google as Australia’s top 10 eTowns.

This new Google award recognises and ranks those communities which are outpacing the rest of the country in having its small businesses use the web to connect with customers and grow.

To provide a snapshot of this vital economic activity, Google looked at more than 600 local government areas to analyse which communities are contributing the most to the digital economy. To come up with the eTown Awards list, Google analysed data on the number of local businesses in each local government area which are advertising with Google AdWords and/or have created a free website using Google and MYOB’s Getting Aussie Businesses Online.

The top Google eTowns are:

Metropolitan
1. City of Perth, WA
2. City of Yarra, VIC
3. City of Adelaide, SA
4. North Sydney, NSW
5. Ryde, NSW

Regional
1. Byron Shire, NSW
2. Meander Valley, TAS
3. Cessnock, NSW
4. Wingecarribee Shire, NSW
5. Scenic Rim Regional Council

For more information about the eTown Award winners and for case studies on how local businesses are succeeding online and driving economic growth, visit www.google.com.au/ads/stories

The Melbourne City Council releasted the final report card of its Melbourne Retail Strategy 2006-2012, showing that Melbourne has developed into Australia’s premier retail city.

Produced by the City of Melbourne and the Victorian Government, the strategy was the first of its kind when launched in 2006. Its key objective was to ensure Melbourne’s retail scene continued to thrive and that new opportunities in retail were supported.

Lord Mayor Robert Doyle said the release of the latest report card presented an opportunity to look back on Melbourne’s retail scene over the past six years and see how much the industry had changed and grown.

“We know it’s a tough and competitive retail market with the rise of online shopping and periods of economic downturn impacting retail sales. But we have also seen an impressive 18 per cent increase in retail and industry establishment since 2006,” the Lord Mayor said.

“While Melbourne is faring better than most other states, we must continue to find innovative ways to support and promote our retail industry and build on our standing as a key fashion and retail destination.”

The report shows that the greatest growth areas in retail were outside the city centre, in Kensington, Southbank and Docklands with more than half of all new establishments appearing in these suburbs. Vertical and basement spaces have also transformed retail in Melbourne, with a15 per cent growth in above awning shops and 39 per cent growth in basement retailing.

Lord Mayor Robert Doyle said Council’s support of major events and capital works also contributed to the strong performance of retail.

“Melbourne Spring Fashion Week continues to make a $5 million direct investment in retail each year. The $25.6m Swanston Street redevelopment has transformed the spine of our city and the retail offer will continue to evolve over the next few years, offering new opportunities for retailers.”

The latest August 2012 vacancy rate figures reveal that Melbourne’s retail core has a vacancy rate of just five percent – down 2.4 per cent from the March 2012 figures (7.4 per cent).

This final report card also includes survey results undertaken of 85 key retail industry stakeholders. The feedback was overwhelmingly positive, with almost 90 per cent of stakeholders saying the Melbourne Retail Strategy had been effective in contributing to the retail health of the city.

Since 2006 the City of Melbourne and the Victorian State Government have collectively contributed almost $1million towards the Melbourne Retail Strategy. They will continue this commitment by releasing the next retail strategy in mid 2013 that will set goals to support the retail industry for 2013-17. 

Highlights of the Year Six Report Card include:

• The Tourism Brand Health Survey shows Melbourne retained its number one ranking overall, and outperformed Sydney in most attributes, including as a great place to go shopping.
• Introduction of international brands in 2011-2012 include Paul Smith, Converse, GAP and the redevelopments of Tiffany &Co, Saba and Alice Euphemia.
• Milestone anniversaries for local retailers including Aesop (25 years), Wittner (100 years) and The Block Arcade (120 years).
• This year, a review of the Melbourne Retail Strategy was conducted. Stakeholders of the Melbourne Retail Strategy 2006:2012 see the project as a success.

The Retail Report Card 2006-12 shows that:

•  Since 2006, there has been significant change in Melbourne’s retail landscape with an 18 per cent increase in retail and industry establishments from 4,696 in 2006 to 5,534.
• Key areas of growth include: children’s clothing retailing with 10 new stores; supermarket and grocery with 49 new stores; 10 new footwear retailing stores; 20 new personal accessory retailing stores; 108 new clothing retailers; 93 new women’s clothing retailing stores; 34 new men’s clothing retailing stores; and 14 new furniture retailing stores. 
• The city’s prized asset, the laneways continue to provide residents and visitors with a dynamic and cultural retail experience. Since 2006, there have been 26 new establishments to take occupancy in laneways – from 12 new cafes and restaurants and 12 fashion retailers.

For a copy of the Melbourne Retail Strategy and the Report Cards on the Strategy visit www.enterprisemelbourne.com.au/retail
 

The number of Indigenous students enrolled at Australian universities has grown by over 40 per cent since 2006, and there has been substantial growth in the number of Australian university students born in developing nations, according to a new analysis of Census data by the Australian Council for Educational Research (ACER).

The latest ACER Joining the Dots research briefing analyses information from the 2011 Census, released by the Australian Bureau of Statistics in August 2012, to provide insight into the characteristics of Australian university students and how they have changed since the previous Census and in the first decade of the 21st century.

The analysis, by ACER Senior Research Fellow Dr Daniel Edwards and ACER Research Fellow Ms Eva van der Brugge, revealed there was a notable increase in the number of Indigenous students between 2006 and 2011 (from 7057 students to 10 128 students), with enrolments growing by about 43 per cent. This growth was significantly larger than the overall growth in the number of students in higher education in Australia, which increased by 25 per cent between 2006 and 2011.

However, Edwards and van der Brugge note that Indigenous students are still considerably underrepresented in Australian higher education. While Indigenous people made up 2.5 per cent of the Australian population in 2011, only 1.09 per cent of university students were Indigenous.

The Census analysis also revealed interesting patterns in the birthplace of higher education students. Overall, the 2011 Census shows that just over one-third of all university students in Australia were born overseas. While the number of students born in Australia grew by about 24 per cent between 2006 and 2011, the growth rate for students born in other countries was almost 27 per cent.

Among students born overseas, the largest growth between 2006 and 2011 was for those born in Africa and the Middle East. While their absolute numbers are still small, the African regions recorded an average of around 52 per cent growth in student numbers, equating to an increase of 8665 students between 2006 and 2011, and the Middle East recorded around 83 per cent growth with 7611 additional enrolments.

The research briefing also reveals:

• Growth in university students was recorded in every age category, meaning the average age of university students remained similar between 2006, when the average age was 26 years and 10 months, and 2011, when the average age was 26 years and 11 months.
• The share of women among university students continues to increase in Australia, comprising around 57 per cent of the student population, with the largest growth among part-time students where women make up almost 61 per cent of the population.
• University students in Australia are most likely to be living at home with their parents (29 per cent) or with a partner (27 per cent), while 15 per cent are living in share houses and 7 per cent live alone.

Joining the Dots is a subscription-based resource provided by ACER to those with an interest in Australian higher education. Further information is at www.acer.edu.au/jtd

Chief Minister, Terry Mills, has released details of the Government’s planned review of the Territory’s finances.

Mr Mills said the Renewal Management Board will have six months to examine the state of the Territory’s finances and provide options for Government on how to return to a balanced budget during the first term.

The make-up of the Board is:

• Neil Conn (Chair)
• Ken Clarke (Deputy Chair)
• John Gardner (Deputy Chair)
• Alan Tregilgas (Under Treasurer)

“The Board has an enormous task ahead sorting through the previous Government’s priorities and restructuring the Territory’s finances,” Mr Mills said.

“My Government is committed to reducing waste and making frontline service delivery a priority.

“The Board will examine the financial position of the Northern Territory budget and Government owned corporations as well as taxpayer contributions to projects such as the marine supply base, prison and Darwin waterfront.

“Key to the Board’s investigations will be the long term sustainability of spending and revenue programs, the budget’s capacity to fund infrastructure development and a plan to strengthen the Territory’s underlying financial position.

“By the Government’s own estimates the Territory’s debts will be approximately $5.6billion including Government Owned Corporations by the end of the forward estimates period.

“Former Treasurer and Opposition Leader, Delia Lawrie, ran the Territory’s finances into the ground without improving the quality of service delivery or outcomes for taxpayers.

“The Pre-Election Financial Outlook warned the then Labor Government of the need to change the Territory’s fiscal direction.

“The Country Liberals intend to adopt the measures outlined in the PEFO and take steps to bring spending more in line with our earnings.”

The Queensland Local Government Minister David Crisafulli is campaigning to change the Local Government Act and has  garnered the support of five Queensland mayors.

“I’ve spoken with most of the 73 Councils throughout the state, and they want change,” Mr Crisafulli said.

“The Mayors and councillors are united on this, regardless of political leanings, the size of their Council, or their location,” he said.

Mr Crisafulli, the former deputy Mayor of Townsville, said it is a bad Act which has not led to better managed Councils.

“It has only multiplied the number of hoops Mayors and councillors have to jump through to get anything done and it has tied up a lot of staff along the way.”

Boulia Mayor Rick Britton said a regional Council like his could achieve a lot more through contracting with other Councils.

“Smaller Councils need to work together to save costs. Under this current Act, we aren’t allowed to easily enter into joint local government arrangements. Because of that, it has cost us thousands of dollars more than it should to do simple things like fix potholes or paint a building,” Mr Britton said.

Ipswich Mayor Paul Pisasale said he wanted to see Local Government fully accountable to the people, to make sure it is driven by its residents.

“At the moment, I can’t ask my CEO to do something without keeping a record of the directive. How much red tape is that?”

Scenic Rim Mayor John Brent said the current Act placed too big a burden on Councils, wasting resources and discouraging simple, practical solutions.

“Communities expect their Councils to respond to local issues and not be burdened by unnecessary red tape imposed by State legislation,” Mayor Brent said.

Mount Isa Mayor Tony McGrady agreed.

“This current Act makes us provide yearly strategic and community plans, which comes at a massive cost to ratepayers. How many people actually read them?”

Mr Crisafulli also administers the City of Brisbane Act, which shares many clauses with the Local Government Act.

Brisbane Lord Mayor Graham Quirk said under the current Act the Council Chairman was investigated last year and found at fault for moving the Council minutes in the wrong order.

“The fact a Councillor thought this trivial oversight should be subject to a ratepayer funded investigation was one thing, but Council’s hands were tied and we had no option but to refer it to the Councillor Conduct Review Panel for an investigation that cost $5,000.”

Mr Crisafulli is drafting amendments to the Acts that will cut red tape and put Mayors and councillors back in control of Councils.

The Queensland Government has released the terms of reference for the Queensland Competition Authority (QCA) to determine regulated retail electricity prices for the next three years.

Energy and Water Supply Minister Mark McArdle said the QCA would develop electricity tariffs for 2013-14 to 2015-16 that better reflect the cost of delivering electricity.

“Every Queenslander is affected by electricity price increases and it’s important to provide greater long-term certainty, especially in relation to regulated (notified) prices,” Mr McArdle said.

“I have also directed the QCA to provide annual price determinations for each year of the three-year delegation period to help households and businesses plan beyond a one year horizon.

“The Newman Government is committed to addressing the increasing cost of living pressures facing households, which is why we provided short-term relief by freezing the standard residential Tariff 11 this year.”

Mr McArdle said the QCA would consider several important factors in its pricing process, including measures to help Queenslanders deal with the government’s electricity pricing reforms.

“The QCA will consider transitional arrangements over several years for the standard residential Tariff 11, obsolete tariffs, including farming and irrigation tariffs, and large business tariffs in Ergon Energy’s distribution area outside the south east,” he said.

“These arrangements will help alleviate the impact on customers, identified by the QCA in its Draft and Final Determinations for 2012-13, who will move to cost-reflective tariffs.”

Mr McArdle said the QCA would undertake a thorough consultation process with relevant parties, consider all submissions and publish the results.

“Consultation will start in the coming weeks with the release of an interim paper,” he said.

“The Queensland Government expects the QCA to fully explain its decisions to consumers and I encourage all interested parties to actively participate in the consultation process.”

Mr McArdle said the Queensland Government had also established longer-term reform processes to address unsustainable electricity price increases.

This includes establishing an Inter-departmental Committee on Electricity Sector Reform and an Independent Review Panel to examine the cost of poles and wires (transmission and distribution networks) due to report back to the Queensland Government in late January 2013.

The QCA’s terms of reference and interim consultation paper can be downloaded from www.qca.org.au

The Municipal Association of Victoria (MAV) has called for time out on the “unbearable cumulative impacts of government reforms and funding cuts”, and wants the Australian and Victorian governments to give back.

Cr Bill McArthur, MAV President said councils simply didn’t have massive pockets to keep taking on additional responsibilities and funding one shortfall after another.

“There seems to be a view from governments that our ratepayers can sustain one blow after another. In the past two months, local government has been hit with a $396.9 million superannuation shortfall, a $24.4 million cut to financial assistance grants following a technical correction, a $17 million reduction in funding for home and community care programs, and new collection responsibilities for the State fire levy.

“This comes on top of the carbon price, increased landfill levies, higher costs to address illegal dumping, stricter environment protection standards for landfill management, expanding emergency management roles, national kindergarten reforms, changed electric line clearance regulations and the list goes on…and on.

“The time has come for governments to stop and take a look at how they can assist councils and reduce the burden on communities who bear these costs. The cumulative impacts are simply unsustainable.

“As a matter of urgency we seek reforms that will protect councils from future superannuation shortfalls.

“To repeal the federal legislation and introduce state legislation is cost neutral to the Victorian Government’s budget bottom line and will mean the Australian Government must forgo $68 million in contribution taxes.

“We sincerely hope that reducing the burden on Victorian ratepayers takes precedence over protecting a line of revenue that should never be collected in the first place.

“Local government deserves to be shielded from unfair superannuation costs and treated in the same way as other exempt public sector defined benefit schemes,” he said.

The Local Authorities Superannuation Fund (LASF) Defined Benefit Plan was a compulsory State scheme for council employees that closed in 1993. In 1998 all councils were required to sign legally binding agreements to continue funding defined benefits for members of the closed fund.

While state and federal governments’ unfunded liabilities collectively exceed $100 billion, councils must keep their defined benefits ‘fully funded’. This means that the assets held by LASF must be enough to cover all current and future entitlements, rather than allowing councils to pay defined benefits as they fall due.

Cr McArthur said governments know there is no risk of councils going broke so  should operate under the same rules that apply to state and federal superannuation schemes.

“The assumption that councils can prop up endless community programs, and take on more and more responsibilities is wrong. Governments need to give genuine consideration to the snowballing impacts of their decisions.

“As a first step, the Australian and Victorian governments should seize upon low cost legislative reforms to exempt councils’ superannuation scheme and reduce the growing burden on Victorian communities,” he said.