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LOCAL GOVERNMENT AMENDMENT ACT 2024 (NO. 47 OF 2024) - SECT 91

91 .         Part 8 Division 1 replaced

                Delete Part 8 Division 1 and insert:


Division 1 — Inquiry by Inspector

8.1.         Terms used

                In this Division — 

        inquiry means an inquiry under section 8.2(1) or (2);

        Inspector’s report means a report prepared under section 8.4.

8.2.         Inquiry by Inspector

        (1)         The Inspector may, on the Inspector’s own initiative, conduct an inquiry into a local government and its operations and affairs.

        (2)         The Minister may direct the Inspector to conduct an inquiry into a local government and its operations and affairs and, if so directed, the Inspector must conduct the inquiry accordingly.

        (3)         A direction under subsection (2) may be a direction to conduct a general inquiry or an inquiry into a specific matter.

        (4)         Even though the Inspector is directed by the Minister to conduct an inquiry into a specific matter, the Inspector may inquire into any other matter that comes to the Inspector’s attention during the inquiry if the Inspector considers it necessary or expedient to inquire into that matter.

        (5)         The Inspector must —

            (a)         advise the Minister and the local government concerned if and when an inquiry is commenced under subsection (1); and

            (b)         advise the local government concerned if the Inspector is directed by the Minister to conduct an inquiry under subsection (2).

        (6)         If the Electoral Commissioner is responsible for the conduct of an election (as defined in section 4.1) —

            (a)         the validity of the election cannot be the subject of an inquiry; and

            (b)         the Inspector must obtain the written agreement of the Electoral Commissioner before any other aspect of the election becomes the subject of an inquiry.

        (7)         Nothing in this section limits the authority of the Inspector, or another authorised officer, to exercise the powers conferred under Parts 8A and 8B to conduct an investigation into a local government and its operations and affairs, whether in response to a complaint or on the Inspector’s own initiative.

8.3         Delegation by Inspector

        (1)         The Inspector may delegate the power to conduct and report on an inquiry to an inspectorate officer, another public service officer or an employee as defined in the Public Sector Management Act 1994 section 3(1).

        (2)         A delegation under subsection (1) may include a delegation of any power of the Inspector under Part 8B Division 6 for the purpose of conducting the inquiry or preparing the report on the outcome of the inquiry.

        (3)         The Inspector cannot delegate the power to conduct and report on an inquiry to a monitor.

        (4)         A delegation under subsection (1) must be in writing signed by the Inspector.

        (5)         A person to whom a power is delegated under subsection (1) cannot delegate that power.

        (6)         A person exercising or performing a power that has been delegated to the person under subsection (1) is taken to do so in accordance with the terms of the delegation unless the contrary is shown.

        (7)         This section does not limit the power of the Inspector to perform a function through an officer or agent.

8.4.         Report on inquiry

        (1)         The Inspector must —

            (a)         prepare a report on the outcome of an inquiry conducted by the Inspector; and

            (b)         give a copy of the report to the Minister.

        (2)         The Inspector’s report —

            (a)         must include —

                  (i)         a summary of the powers that were exercised; and

                  (ii)         the relevant findings of the inquiry;

                and

            (b)         may include any recommendations that the Inspector considers appropriate.

        (3)         Without limiting subsection (2)(b), the Inspector may recommend — 

            (a)         that a council be dismissed; or

            (b)         that a council that has been suspended be reinstated; or

            (c)         if subsection (4) applies — that a council member be dismissed; or

            (d)         that a council member who has been suspended be reinstated.

        (4)         The Inspector can recommend that a council member be dismissed only if the Inspector is satisfied on reasonable grounds that —

            (a)         at least 1 of the following applies —

                  (i)         the member has failed, or is failing, to perform the member’s role, functions or duties under this Act;

                  (ii)         the member’s conduct has impeded, or is impeding, the ability of another person to perform their role, functions or duties under this Act;

                  (iii)         the member’s conduct has impeded, or is impeding, the ability of the local government to comply with the principles that apply to it under section 5.40;

                and

            (b)         the seriousness or duration of that failure or conduct makes it inappropriate for the member to continue to be a member of the governing body of the local government.

8.5.         Copies of report to be given to local government and suspended council members

        (1)         Unless the Minister directs otherwise, the Inspector must give a copy of the Inspector’s report to —

            (a)         the local government concerned; and

            (b)         if the council of the local government is suspended — each council member; and

            (c)         if a council member is suspended — that member.

        (2)         Before giving the report as required under subsection (1), the Inspector may remove from the report anything that —

            (a)         could prejudice any legal action arising from the inquiry; or

            (b)         could prejudice any inquiry that the Minister may wish to institute under Division 2; or

            (c)         could be considered defamatory; or

            (d)         the Inspector considers ought, for any other reason, to be removed.

        (3)         Unless the Minister directs otherwise, the Inspector is not required to act under subsection (1) if —

            (a)         the report contains no findings adverse to the local government concerned, its council, a council member or any other person; or

            (b)         the Inspector is satisfied that it would not be in the public interest to act under that subsection.

8.6.         Advice from local government and council members

        (1)         Within 21 days after receiving an Inspector’s report that includes recommendations, or within a longer period allowed by the Minister, the local government must give the Minister and the Inspector written advice setting out —

            (a)         the things that the local government has done or proposes to do to give effect to the recommendations; and

            (b)         if the report recommends that the council be dismissed, its comments on that recommendation.

        (2)         A council member who is suspended or who is a member of a council that is suspended may, within 21 days after receiving an Inspector’s report or a longer period allowed by the Minister, give the Minister and the Inspector written advice setting out the member’s comments on the recommendations.

8.7.         Minister may take action to ensure recommendations are put into effect

        (1)         The Minister may, if the Minister thinks fit, order the local government, or any member of its council or any of its employees, to give effect to any 1 or more of the recommendations in the Inspector’s report in a manner and within a time specified in the order.

        (2)         The Minister must not make an order under subsection (1) until —

            (a)         the Minister has received advice in respect of the recommendations —

                  (i)         under section 8.6(1); and

                  (ii)         under section 8.6(2) if the report was provided to a council member;

                or

            (b)         the time allowed by section 8.6(1) or (2) runs out, if no advice has been received by then.

        (3)         If an order by the Minister under subsection (1) is not complied with according to its terms, the Minister may, by order, suspend the council or the council member.

8.8.         Reinstatement of suspended council or council member on recommendation of Inspector

        (1)         Subsection (2) applies if —

            (a)         a council is suspended under section 8.15C while an inquiry is held that relates to the council; and

            (b)         the Inspector recommends in an Inspector’s report that the council be reinstated.

        (2)         The Minister must by order reinstate the council.

        (3)         Subsection (4) applies if —

            (a)         a council member is suspended under section 8.15E while an inquiry is held that relates to the council member; and

            (b)         the Inspector recommends in an Inspector’s report that the council member be reinstated.

        (4)         The Minister must by order reinstate the council member.

        (5)         Nothing in this section restricts the Minister from —

            (a)         reinstating a council by order under section 8.28(3); or

            (b)         reinstating a council member by order under section 8.30D.

        Note for this section:

                Section 8.15H sets out other circumstances in which a suspended council member must be reinstated after an inquiry.

8.9.         Minister may recommend that council be dismissed

        (1)         This section applies if the Inspector recommends in an Inspector’s report that a council be dismissed.

        (2)         The Minister must decide whether to make a recommendation under subsection (4) in respect of the Inspector’s recommendation.

        (3)         The Minister must not make a decision under subsection (2) until —

            (a)         the Minister has received advice under section 8.6(1)(b) in respect of the recommendation or

            (b)         the time allowed by section 8.6(1) runs out, if no advice has been received by then.

        (4)         The Minister may recommend that the Governor dismiss the council, but the Minister does not have to make that recommendation.

        (5)         If the council has been suspended, the Minister may, by order under section 8.28(3), reinstate the council even if the Inspector has recommended its dismissal.

8.10.         Minister may recommend that council member be dismissed

        (1)         This section applies if the Inspector recommends in an Inspector’s report that a council member be dismissed.

        (2)         The Minister must decide whether to make a recommendation under subsection (4) in respect of the Inspector’s recommendation.

        (3)         The Minister must not make a decision under subsection (2) until —

            (a)         the Minister has received advice under section 8.6(2) in respect of the recommendation; or

            (b)         the time allowed by section 8.6(2) runs out, if no advice has been received by then.

        (4)         The Minister may recommend that the Governor dismiss the council member, but the Minister does not have to make that recommendation.

        (5)         If a council member has been suspended, the Minister may, by order under section 8.30D, reinstate the member even if the Inspector has recommended the member’s dismissal.

8.11.         Dismissal of council or council member by Governor

        (1)         The Governor may, by order made on the recommendation of the Minister under section 8.9(4), dismiss a council.

        (2)         The Governor may, by order made on the recommendation of the Minister under section 8.10(4), dismiss a council member.

8.12.         Referral to other authorities

                The Inspector may refer any matter arising out of an inquiry to an authority of the State, the Commonwealth, another State or a Territory that has power under a law to investigate or take action in relation to a matter of that kind, and may pass to that authority any document or property that the Inspector has obtained in the course of the inquiry.

8.13.         Local government may have to meet inquiry costs

        (1)         The Minister may order a local government to pay to the State all or part of the costs of an inquiry if —

            (a)         an Inspector’s report contains findings adverse to the local government, or to its council or any member, or to any of its employees; or

            (b)         the inquiry was instituted at the request of the local government.

        (2)         The local government must comply with the order.




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