A new manual for local governments nationally to achieve best practice in governance will be launched today by the Federal Minister for Local Government, Territories and Roads, the Hon Jim Lloyd MP.
Developed by Australias peak accounting body CPA Australia and supported by Local Government Managers Australia, the Excellence in Governance for Local Government manual is designed for mayors, councillors, and senior management to quickly and easily assess their governance performance and management practices.
In launching the initiative, Mr Lloyd says 'This manual will help those practitioners in Local Government to achieve better outcomes, I congratulate CPA Australia for this manual.'
CPA Australias National President, Mr Mark Coughlin, says 'Good governance is not just a matter for large corporations - it is essential to the operation of both the private and public sectors. This is the first time local councils in every state and territory of Australia will have a manual to further assist decision-making processes, financial management and overall accountability to the local community.
'We know that a one-size fits all, prescriptive approach doesnt meet every local governments particular circumstances, so we encourage councils around Australia to use the manuals principles to adopt practices that are best for them,' says Mr Coughlin.
Mr Lloyd says 'Local Government's role has expanded significantly in the last few decades and the Australian Government recognises this. It increasingly provides services at the expense of its traditional property based services.
'The Australian Government understands and recognises the key importance of local government in the Australian system of government and we remain committed to building on our good partnership, to ensure the best outcomes for Australian communities,' says Mr Lloyd.
National President of Local Government Managers Australia, Mr Paul Arnold, says 'While the Australian local government is one of the worlds best, we are constantly looking for opportunities to improve and build on our existing framework. This manual makes a significant contribution and is sure to become a must-have for all local government practitioners.'
The manual features a self-assessment tool to help councils get a snapshot of their current governance performance and assist them with the development of plans to build on existing work-place practice.
Mr Coughlin says, 'For councils looking to improve their approach to governance, the manual will help them with regard to accountability, transparency in decision-making, and acting with integrity to gain the confidence of its community by achieving better outcomes.'
Suitable for any local government, the manual may be used as part of an induction kit for new councillors and to determine responsibilities among elected members. It can also be used to increase awareness of the principles necessary to achieve excellence in governance throughout the organisation.
Excellence in local government governance:
- underpins the level of confidence people have in governments and public service
- impacts on the quality of outputs
- is a value-added activity
- ensures that local government meet their legislative responsibilities
- is a strong reminder of ultimate accountability of government and the public sector community it serves.
The manual was released as a draft in December 2004 and feedback was gathered from a broad cross-section of councils, local government bodies, auditors-general and academics in Australia and New Zealand.
Governance checklist
| Principle |
Checklist |
| Culture and vision |
Do you have a code of ethics or code of conduct? |
| Roles and relationships |
Do you have a shared understanding of the role of the mayor, council, councillors, CEO and administration? |
| Decision making and management |
Do you have a council plan to identify key issues for the year?
Do you have a council endorsed long-term financial plan?
Are the roles, responsibilities, prerequisite skills, qualifications and experience of the financial management team defined and documented?
Do you have a risk management policy and internal control system in place? |
| Accountability |
Do you have an audit committee?
Does the audit committee operate according to a charter approved by the council?
Do you have an internal audit function?
Does the audit function operate according to a charter and an internal audit plan approved by the audit committee?
Do you have a consultation policy? |
Download a copy of The Excellence in Governance for Local Government manual.
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