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LOCAL GOVERNMENT ACT 1989 - SECT 185E

Council may apply for higher cap

    (1)     A Council that is the subject of a general Order may apply to the Essential Services Commission for a special Order specifying a higher cap for one or more specified financial years (up to a maximum of 4 years).

    (2)     An application under this section must be made—

        (a)     by 31 March before the first capped year to which the application relates; or

        (b)     by such other date fixed by the Minister by notice published in the Government Gazette.

    (3)     An application under this section must be accompanied by the prescribed fee (if any) and must specify—

        (a)     a proposed higher cap for each specified financial year; and

        (b)     the reasons for which the Council seeks the higher cap; and

        (c)     how the views of ratepayers and the community have been taken into account in proposing the higher cap; and

        (d)     how the higher cap is an efficient use of Council resources and represents value for money; and

        (e)     whether consideration has been given to reprioritising proposed expenditures and alternative funding options and why those options are not adequate; and

        (f)     that the assumptions and proposals in the application are consistent with the Council's long term strategy and financial management policies set out in the Council's planning documents and annual budget.

    (4)     The Essential Services Commission may make guidelines specifying any further matters in respect of applications for a special Order.

    (5)     The Essential Services Commission may do any or all of the following in relation to a Council making an application under this section—

        (a)     direct the Council to submit the application in a manner and form determined by the Essential Services Commission;

        (b)     direct the Council to provide the Essential Services Commission with any information that the Commission considers would be relevant to the application;

        (c)     provide any further advice or guidance to the Council in relation to the application.

S. 185E(6) substituted by No. 9/2020 s. 364.

    (6)     The Essential Services Commission may, if satisfied that the higher cap proposed by the Council or another higher cap set by the Essential Services Commission (but not higher than the higher cap proposed by the Council) is appropriate having regard to—

        (a)     the matters specified in subsection (3); and

        (b)     whether the directions given under subsection (5) (if any) have been complied with; and

        (c)     the Council's record of compliance with any previous general Order and any special Order

make a special Order directing the Council that the capped average rate in respect of a specified financial year must not exceed the base average rate by more than the average rate cap specified in the special Order.

    (7)     If the Essential Services Commission makes a special Order in respect of a Council, the applicable cap on rates for the year or years specified in the special Order is the higher cap set out in the special Order.

    (8)     If the Essential Services Commission makes a special Order under this section, the Commission must by notice published in the Government Gazette specify—

        (a)     that a special Order has been made under this section; and

        (b)     the Council to which the special Order applies; and

        (c)     the higher cap; and

        (d)     each financial year to which the higher cap applies to the Council.

S. 185F inserted by No. 65/2015 s. 8.



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