NSW Governments policy Fit For the Future was announced in October 2014. This is their introduction to the policy.
To have a strong future, we need strong councils providing the services and infrastructure communities need.
The NSW Government has been working with local councils since 2011 to achieve our shared vision of strengthening local communities. Now it is time to take the next step on the reform journey.
Our reform package of up to $1 billion will provide support and incentives to help each council become Fit For the Future.
Fit For the Future is the most significant investment the State has ever made in the local government sector. The package is the Government’s response to the findings of a comprehensive three-year independent review of local government.
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Councils are being asked to submit a proposal by 30 June 2015 outlining how they intend to become Fit for the Future. Under the definition of Fit for the Future councils must show that they have effective services and infrastructure, plus 'scale and capacity to effectively engage across community, industry and government.'
They are provided with a a Self-Assessment Tool, an Improvement Proposal Template andguidance, and a Merger Proposal Template and guidance.
Councils must choose between two templates: template one if they are proposing to merge; and template two if they want to maintain their existing boundaries, which is called a council improvement proposal. It’s a firmly guided choice.
Application guidelines for councils tempted to complete template two — and go against the ILGRP recommendations to merge — are warned: “If the panel recommended a merger then this is the first option you should consider”.
In regard to North Sydney and Mosman councils, the ILGRP report recommends an amalgamation with Willoughby, Lane Cove, Hunters Hill and parts of Ryde councils. This would be a very large council (350,000 residents).
The tools and templates provided by 'Fit For the Future' do not envisage a council the size of Mosman (29,000 residents) and it hard to see how any individual council of this size can successfully argue that it is 'fit for the future'. However, there is an inference that if a Council proposes a merger with its neighbour, there is a chance this may be accepted as an alternative to a mega amalgamation. Councils are encouraged to check in early to see if their merger proposals will be sufficient.
Assessment of councils fitness will be made by an expert committee in October 2015.
The State election is in March 2015. The Baird Government is well ahead in the polls and likely to be elected. The government is resisting calls to say it will not force amalgamations.
The assumption is that if Councils do not make a genuine effort to merge, that mergers will happen anyway. Councils exist under State legislation and are dependent on state and commonwealth grants. Mosman Council receives $2.4m in operating grants and contributions and $1.7m in capital grants and contributions.
These are links from the Fit For the Future website.
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