After months of facing questions about its financial sustainability and operational performance, Federation Council took a decisive step towards transparency and accountability voting to embark on an independent peer review of the council's financial sustainability.
At the extraordinary meeting last Friday, Cr David Fahey OAM moved a Notice of Motion outlining the need for council to engage a consultant to undertake an independent peer-reviewed business case study on its financial sustainability, and the advantages and disadvantages of amalgamation.
The motion also included allocating adequate funding of approximately $130,000 from the current year's budget to cover the cost of the review, and considering the expertise of Professor Joseph Drew, a local government specialist, as a nominee for the peer-reviewed study.
The meeting witnessed a full gallery with representatives from Federation Ratepayers Inc, the Ratepayers Advisory group, and other community members.
Federation Ratepayers Inc Chair David Bott addressed council during a public forum prior to the meeting, expressing strong support for the motion and emphasising the importance of community engagement in the review process.
"We view this review as a critical opportunity for council to engage the community in a positive and genuine manner - an opportunity that doesn't come along very often," he said.
"We believe this process should be a tripartite arrangement between council, independent reviewers, and the community.
“The best way to establish strong community engagement within this process would be to have provision within the scope of the review for the likes of a community reference group - which would provide oversight to the review process.
“This would establish a sense of trust which has been missing between the council and community.
"This community reference group, along with the council and the reviewers, should set out on a journey together, right from the initial stages, starting with a walkthrough of the terms of reference or scope where matters relevant to the review can be surfaced and evidenced.
"Good governance within the review will also be critical. Restoring the community's faith and trust in the council. This could come in the form of weekly meetings between the three parties on a weekly basis, where findings can be discussed and fleshed out along the way.
"This is our one-shot opportunity. If we don't get this right and not everybody feels they have a sense of ownership of the process, then nothing good will come of it. It's fine to understand how we got to this point, but ultimately it's how we move forward from this point that is most critical."
Mayor Bourke, while acknowledging the need for an independent review, disagreed with Mr Bott's remarks on trust.
"I think the majority have a lot of faith in council,” he said.
“Council has done a lot of extremely in-depth important work where we've come to this point to have a review to consolidate the work we have done."
Background information provided in support of the motion highlighted the need to assess the council's financial sustainability, given the anticipated Special Rate Variation (SRV) result and the potential options available to the council in the future.
It was also noted that Professor Joseph Drew, an independent expert on local government in Australia, was considered highly qualified and experienced for the task.
The decision to hold an extraordinary meeting was justified based on the availability of funding in the current year's budget, the workload of potential reviewers, and the opportunity to present a further report and obtain quotes before the June meeting.
Cr Fahey emphasised the importance of the review as a means to identify areas of improvement and ensure the council's long-term financial sustainability and was not aimed at promoting a demerger.
"Nowhere in the motion did it emphasise a demerger of Federation Council. This is about exploring the advantages and disadvantages of an amalgamation. I'd like to make that very clear,” he said.
"I brought this notice of motion not because of any lobby group, but because it's the right time to do so. We have done a lot of hard work in the last 12 months, regardless of whether the Special Rate Variation (SRV) is coming or going."
Responding to misinformation circulating in the community, Cr Fahey debunked the claim from another regional newspaper that council had budgeted $100,000 for a dog park, highlighting the need for accurate information and fact-checking in discussions surrounding the council's activities.
“There’s a lot of misinformation out there…it’s simply not true,” he said.
In his comments, Cr Fahey also appeared to address suggestions for additional oversight or involvement, such as a community reference group arguing that Professor Drew should be “left alone” and his expertise and independence should be trusted.
Cr Fahey said he viewed the review as a critical "health check" for the council, offering guidance on how to proceed and make informed decisions, regardless of the outcome of the SRV.
Speaking to the motion, Cr Rowena Black expressed her confidence in the council's executive staff while acknowledging the benefits of conducting the independent review.
“I want it to be a consultation that helps us move forward into the future and how we can be a better council and better representatives of our community,” she said.