Local Government Remuneration Commission

8 Decision of the Victorian Minister for Local Government: two per centincrease effective on 1 December 2019 – no update available since 2019.It is noted that a review is currently underway as a result of the passingof the Local Government Act 2020 which transfers the responsibility fordetermining mayoral, deputy mayoral and councillor allowances to theVictorian Independent Remuneration Tribunal. In Tasmania, the remuneration for local government councillors isautomatically increased under the provisions of the Local Government(General) Regulations 2015. The increase, effective 1 November 2021, isan automatic indexation of local government allowances provided forunder the Local Government Act 1993 (Tas) by multiplying the allowancesfor the previous year by the inflationary factor (determined by calculatingthe current year’s June quarter Wage Price Index divided by the previousyears’ June Wage Price Index). In the Northern Territory, the allowances for local government councilmembers are indexed by CPI (Darwin) at 1 July each year. The application of principles of consistency and austerity, and generalconsideration of recent conservative wage review practices in both thepublic and private sectors. The impact of the COVID-19 pandemic, and signs of Queensland’simproving economic recovery, and the disparity between different partsof the State.The Commission’s inability to project the long-term impacts of COVID-19with certainty. The Commission also had regard to anecdotal reports and submissionsreceived about: The impact of economic hardship experienced by local communitiesduring and following the COVID-19 pandemic and natural disasters of2019-2020. The potential disproportional impact of the COVID-19 pandemicrestrictions throughout the State particularly rural and remotecommunities. The economic cost to communities of interruption to businessesand employment. The significant economic volatility and contraction during 2020 and therecent optimistic rebound in economic activity. The need to ensure sustainability for local governments andtheir communities.Local governments’ role in Queensland’s post COVID-19 economicrecovery and development. Local Government Remuneration CommissionAnnual Report 2020-21

The Commission also gratefully acknowledges the submissions received thisyear which have assisted in its discharge of its statutory obligations.Councillor advisorsIn the 2020 2021 year, the Commission did not receive any direction orrequest to make recommendations relating to councillor advisors in the periodbetween 1 December 2020 to 30 November 2021.Category review and future actionsThe Act requires the Commission to review the categories of local governmentsonce every four years, in the year prior to each quadrennial election. The nextreview of the categories is due in 2022.In its 2019 report, the Commission determined not to make any categorychanges to the categories of local government. In its 2019, and 2020 report,the Commission stated its intention to undertake an analysis of the categoriesin the period 2020-2021, after the 2020 quadrennial Queensland LocalGovernment Elections. This anticipated analysis has been delayed in 2020due to the impact of the COVID-19 global pandemic and the rolling-lockdownsexperienced throughout Queensland and Australia generally. COVID-19 hasinevitably resulted in an increased focus on other priorities for Queenslandlocal government. The Commission commends all local governmentmembers for their on-going contribution to their communities and the Stateof Queensland.9The Commission intends to undertake a category review during 2022 andwill engage with and invite submissions from councils and stakeholderscommencing in early 2021.In addition to the category review due in November 2022, the Commissionintends to conduct a general review of its methodology in determining itsmaximum remuneration, categories, and functions in early 2022. After thescope of the general review has been formulated, the Commission will alsoinvite submissions from councils and stakeholders to assist it in itsgeneral review.To that end, the Commission intends to issue practice directions to assistcouncils and stakeholders to engage with and make relevant submission tothe Commission to inform and assist in the discharge of the Commission’sstatutory functions.Local Government Remuneration CommissionAnnual Report 2020-21

1. The CommissionFormation and compositionThe Local Government Remuneration Commission (the Commission) is anindependent entity established under the Local Government Act 2009 (the Act).On 1 October 2019, His Excellency the Governor, acting by and with the adviceof the Executive Council, approved three new appointees to the Commissionfor a term of four years.This is the second report of the new Commission, andthe fourteenth report including the reports of the formerLocal Government Remuneration and Discipline Tribunaland the Local Government Remuneration Tribunal.The current Chair and Commissioners of theCommission are:Mr. Robert (Bob) Abbot OAMChair10Mr. Abbot has extensive experience in the localgovernment sector with 32 years as an elected councillorand mayor. Mr. Abbot has experience working at stateand national local government organizations and hasheld board and panel positions, including Deputy Chairof the South East Queensland Council of Mayors, Directorof the Local Government Association of Queensland(LGAQ), and Director of the Australian Local GovernmentAssociation. Mr. Abbot has been a mentor for newlyelected mayors on behalf of the LGAQ, with a particularfocus on mentoring Queensland Indigenous mayors.In the Australia Day 2020 Honours List, Mr. Abbot was therecipient of an Order of Australia (OAM) for his service tolocal government and to the communities of Noosa andthe Sunshine Coast.Ms. Andrea RansonCommissionerMs. Ranson is a lawyer with extensive experience inpublic and private sector business and governance.Ms. Ranson brings substantial legal experience incommercial, industrial, and equal opportunity law,ethics, and justice. Ms. Ranson is a Nationally AccreditedMediator currently working with the Queensland CivilLocal Government Remuneration Commissionand Administrative Tribunal (QCAT), and a member ofthe Department of Justice Dispute Resolution Panel andAboriginal Working Group. Ms. Ranson is appointed as aNon-Executive Director to the Board of North QueenslandBulk Ports Corporation, a government owned corporation.Ms. Ranson is Chair of the Corporate Governance &Planning Committee and a Member of the Audit &Financial Risk Management Committee of that Board. Ms.Ranson holds a Master of Laws (LLM), Bachelor of Laws(Hons) and Bachelor of Arts from Monash University.She is a Graduate of the Australian Institute of Directors(GAICD) and a Fellow of the Governance Institute ofAustralia (FGIA).Mr. Reimen HiiCommissionerMr. Hii is a barrister and Nationally Accredited Mediator.He holds the degrees of Bachelor of Laws and Bachelor ofArts. He is a practicing lawyer with extensive knowledgein public administration and community affairs, and aparticular interest in civil and commercial law. Mr. Hii isexperienced in professional discipline matters, includinginvestigations, public administration, corporate andpublic governance, public sector ethics and finance. Mr.Hii has a culturally and linguistically diverse backgroundand experience working with diverse communities. Mr.Hii has previously been recognized as Australian YoungLawyer of the Year by the Law Council of Australia, inrecognition of his significant contribution to access tojustice and diversity advocacy. Mr Hii provides a deepunderstanding of diversity and brings well respectedanalytic skill, together with legal and business acumen tothe role.Annual Report 2020-21

Remuneration responsibilitiesChapter 6, Part 3 of the Act, proclaimed into force on 3 December2018, established the Local Government RemunerationCommission to assume the remuneration functions of the formerLocal Government Remuneration and Discipline Tribunal whichceased to exist on 3 December 2018.Section 177 of the Act provides the functions ofthe Commission are: to establish the categories of localgovernments, and to decide the category to which each localgovernment belongs, and to decide the maximum amount ofremuneration payable to the councillors ineach of the categories, andto consider and make recommendationsto the Minister about the following mattersrelating to councillor advisors— (i) whether or not to prescribe a localgovernment under section 197D(1)(a);(ii) the number of councillor advisorseach councillor of a local governmentmay appoint;(iii) the number of councillor advisors acouncillor of the council under the Cityof Brisbane Act 2010 may appoint; and another function related to theremuneration of councillors if directed, inwriting, by the Minister.Chapter 8, Part 1, Division 1 of the LocalGovernment Regulation 2012 (Regulation)sets out the processes of the Commissionin deciding the remuneration that is payableto councillors.The Regulation requires the Commission toreview the categories of local governmentsonce every four years, in the year prior to eachquadrennial election, to determineLocal Government Remuneration Commissionwhether the categories and the assignmentof local governments to those categoriesrequire amendment.After determining the categories of localgovernments, the Regulation also requiresthe Commission to decide annually, before1 December each year, the maximum amountof remuneration to be paid to mayors, deputymayors and councillors in each category from1 July of the following year.11In addition, section 248 of the Regulationallows a local government to make asubmission to the Commission to varythe remuneration for a councillor, orcouncillors, to a level higher than that statedin the remuneration schedule where thelocal government considers exceptionalcircumstances apply. The Commission may,but is not required to, consider any suchsubmission. If the Commission is satisfiedthat exceptional circumstances exist, theCommission may approve payment of a higheramount of remuneration.On 12 October 2020, the Electoral and OtherLegislation (Accountability, Integrity and OtherMatters) Amendment Act 2020 and section197A of the Local Government Act 2009 cameinto force. These changes formed part of theQueensland Government rolling reform agendain the local government sector to furtherstrengthen transparency, accountability andintegrity measures that apply to the system oflocal government in Queensland.Annual Report 2020-21

Section 197A of the Act establishedrequirements for councils that wish toemploy councillor advisors and councilloradministrative support staff to assistcouncillors complete their duties. The role ofcouncillor advisors is currently restricted toBrisbane City Council and to those councilswithin category 4 to 8 as prescribed by thisCommission.The requirements in relation to theappointment of councillor advisors includethe following:12 must vote to pass a resolution to createcouncillor advisor positions (exceptBrisbane City Council) appoint advisor, at the discretion ofcouncillors and only until the councillor’sterm ends, unless re-appointed by anew councillormust report the costs of councilloradvisors to the community, for examplethrough the council’s annual report. Local Government Remuneration CommissionRequirements for councillor advisors includethe following: they must submit registers of interests andkeep them up-to-date they must follow a new Code of conductfor councillor advisors in Queenslandthey must comply with the localgovernment principles and can be foundguilty of integrity offences. A dedicated telephone hotline (07 3452 6747 –available between the hours of 8.30 am to5.00 pm, Monday to Friday) has beenestablished by the Department of StateDevelopment, Infrastructure, Local Governmentand Planning to respond to any questionsregarding councillor advisors.Alternatively, email enquiries can be forwardedto lgreforms@dlgrma.qld.gov.au.The Commission is yet to receive anysubmissions or enquiries in relation tocouncillor advisors as at the date ofits determination.Annual Report 2020-21

2. Remuneration determinationRemuneration determinationfor councillors(b) s.247(5) of the Regulation states that the amount ofremuneration for each councillor, other than a mayoror deputy mayor, must be the same; andAs required by section 246 of the Regulation theCommission has prepared a remuneration schedule forthe 2022-2023 financial year, applicable from 1 July 2022(the Schedule), which appears below.(c) pursuant to s.248(1) and (2) of the Regulation, ifa local government considers that, having regardto exceptional circumstances, a councillor ofits local government is entitled to an amount ofremuneration that is more than the maximum amountof remuneration payable to the councillor under theremuneration schedule, it may make a submission tothe Commission for approval to pay the councilloran amount of remuneration of more than themaximum amount.Arrangements have been made to publish the Schedulein the Queensland Government Gazette and for thisReport to be printed and presented to the Minister forLocal Government.MethodologyThe Commission had regard to the matters in section244 and 247 (2), (5) of the Regulation in determining theSchedule. The Commission also noted and had regardto the matters listed on pages 6 to 9 of this Report todetermine the appropriate maximum remuneration ineach category of local government.The Commission notes it did not receive any specificsubmissions from councils in relation to setting theremuneration schedule for the 2020-2021 financial yearand has continued to adopt a conservative approach tosetting remuneration levels.Matters not included in theremuneration scheduleDuring the 2021 consultation period, RockhamptonRegional Council sought clarification and approval inrelation to the payment of Deputy Mayors or Councillorsat the level of a Mayor when they are acting in thecapacity of Acting Mayor for a period of longer thanone month.The Commission notes that:(a) s.247(2) of the Regulation provides that the maximumamount of remuneration payable to a councillorunder the remuneration schedule must be paid to thecouncillor, unless the local government, by resolution,decides the maximum amount is not payable to thecouncillor, and decides another amount is payable;Local Government Remuneration CommissionThe Commission notes that the submission is nota request for approval for a specific councillor toremunerated at a level more than the maximumamount payable under remuneration the schedule. TheCommission considers that it is unable to issue a blanketapproval about the remuneration payable to actingMayors or acting Deputy Mayors in the absence of aspecific request or submission from councils specifyingthe exceptional circumstances that exist in relation to arequest to remunerate a specific councillor at an amountmore than the maximum payable under the schedule.The Commission notes that practices may differ withinor between individual councils and otherwise considersthat any decision to seek an approval of a higher amountof remuneration payable to councillors acting in a higherrole from time-to-time is a matter for individual Councilstaking into account their own circumstances includingbudgetary constraints.The Commission has informed Rockhampton RegionalCouncil of this determination.Pro rata paymentShould an elected representative hold a councillorposition for only part of a financial year, she or he isonly entitled to remuneration to reflect the portion ofthe year served.Annual Report 2020-2113

Remuneration schedule to apply from 1 July 2022Remuneration determined (from 1 July 2022) ( per annum; see Note 1)14CategoryLocal governments assigned to categoriesCategory 1(see Note 2)Aurukun Shire CouncilBalonne Shire CouncilBanana Shire CouncilBarcaldine Regional CouncilBarcoo Shire CouncilBlackall-Tambo Regional CouncilBoulia Shire CouncilBulloo Shire CouncilBurdekin Shire CouncilBurke Shire CouncilCarpentaria Shire CouncilCharters Towers Regional CouncilCherbourg Aboriginal Shire CouncilCloncurry Shire CouncilCook Shire CouncilCroydon Shire CouncilDiamantina Shire CouncilDoomadgee Aboriginal Shire CouncilDouglas Shire CouncilEtheridge Shire CouncilFlinders Shire CouncilGoondiwindi Regional CouncilHinchinbrook Shire CouncilHope Vale Aboriginal Shire CouncilKowanyama Aboriginal Shire CouncilLockhart River Aboriginal Shire CouncilLongreach Regional CouncilMapoon Aboriginal Shire CouncilMcKinlay Shire CouncilMornington Shire CouncilMurweh Shire CouncilNapranum Aboriginal Shire CouncilNorth Burnett Regional CouncilNorthern Peninsula Area Regional CouncilPalm Island Aboriginal Shire CouncilParoo Shire CouncilPormpuraaw Aboriginal Shire CouncilQuilpie Shire CouncilRichmond Shire CouncilTorres Shire CouncilTorres Strait Island Regional CouncilWinton Shire CouncilWoorabinda Aboriginal Shire CouncilWujal Wujal Aboriginal Shire CouncilYarrabah Aboriginal Shire CouncilLocal Government Remuneration CommissionMayor 110,386DeputymayorCouncillor 63,684 55,192Annual Report 2020-21

Remuneration determined (from 1 July 2022) ( per annum; see Note 1)CategoryLocal governments assigned to categoriesMayorDeputymayorCouncillorCategory 2Mareeba Shire CouncilMount Isa City CouncilSomerset Regional Council 127,366 76,421 63,684Category 3Cassowary Coast Regional CouncilCentral Highlands Regional CouncilGympie Regional CouncilIsaac Regional CouncilLivingstone Shire CouncilLockyer Valley Regional CouncilMaranoa Regional CouncilNoosa Shire CouncilScenic Rim Regional CouncilSouth Burnett Regional CouncilSouthern Downs Regional CouncilTablelands Regional CouncilWestern Downs Regional CouncilWhi

3 Source: Consumer Price Index (report), June quarter 2021 , Queensland Government Statisticians Office, Queensland Treasury. 4 Source: Consumer Price Index (report), September quarter 2021 , Queensland Government Statisticians Office, Queensland Treasury. 5 Source: Wage price index, Queensland and Australia, 1997-98 to 2020-21 , Queensland