Northern Territory Numbered Acts

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LOCAL GOVERNMENT ACT 2019 (NO 39 OF 2019) - SECT 40

Delegation

    (1)     A council may delegate its powers and functions.

    (2)     A delegation may be made to:

    (a)     the CEO; or

    (b)     a council committee; or

    (c)     a local authority; or

    (d)     a local government subsidiary.

    (3)     Despite subsection (1):

    (a)     the power to impose rates and charges cannot be delegated; and

    (b)     if power to incur financial liabilities is delegated – the council must, by resolution, fix reasonable limits on the delegate's authority; and

    (c)     a delegation cannot duplicate or derogate from the CEO's functions (including delegated functions); and

    (d)     subject to subsections (4) and (5), power to enter into a transaction on conditions that are not arm's length conditions cannot be delegated; and

    (e)     subject to subsections (4) and (5), power to make a decision that requires a council resolution cannot be delegated; and

    (f)     if power to enter into a contract is delegated – the contract must be below the threshold value.

    (4)     A council may delegate to the CEO the following:

    (a)     the power to enter into a transaction on conditions that are not arm's length conditions if the transaction will provide a community benefit;

    (b)     the power to waive a fee for service (wholly or partly) under section 289 (4) if the waiver will provide a community benefit.

Note for subsection (4)(b)

A decision to waive a fee for service (wholly or partly) under section 289 (4) requires a council resolution.

    (5)     A delegation under subsection (4) must be in accordance with the regulations and any guidelines that the Minister may make.

    (6)     A council must, within the first 6 months of its term, determine, by resolution, the threshold value for a contract for subsection (3)(f).

    (7)     In this section:

"arm's length conditions" means the conditions that might be expected to operate between commercial entities dealing wholly independently with one another in comparable circumstances.



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