The recent budget estimates hearing in New South Wales has brought to light a series of troubling incidents, including a car bombing, disputes among council members, and an extraordinary expenditure of nearly $5,000 for counting a mere 12 votes in a mayoral election.
Local Government Minister Ron Hoenig expressed both concern and disbelief during the session, indicating that some rarely utilized powers may be reinstated in response to these issues. He has committed to providing further information to the committee after taking several questions on notice.
The hearing revealed a range of bizarre occurrences within the local government sector, challenging the common perception of its monotony. Notably, the Waverley Council sparked discussion when it was disclosed that the council had allocated nearly $5,000 for a private contractor to supervise the election process for its mayor and deputy mayor, requiring only a vote from 12 councillors.
When questioned by Greens MLC Amanda Cohn, Minister Hoenig expressed his astonishment at such a decision, stating, “I’ve been around for over 40 years, I’ve never heard of that before.” He suggested that he would reach out to the mayor of Waverley for clarification, noting that the situation appeared quite unusual.
In defense of their decision, Waverley Council stated that the hiring of an independent and qualified external returning officer was recommended by their general manager and approved by the council members. This was intended to ensure that the election was conducted in an “independent, transparent, and compliant manner.”
On a far more serious note, the hearing also addressed the ramifications of a firebombing incident involving the vehicle of Cumberland Mayor Ola Hamed. Questions emerged regarding the council-funded private security that was subsequently provided to the mayor, particularly concerning the approval process for such expenditures. Minister Hoenig acknowledged that security matters typically fall under the jurisdiction of the councils but indicated a willingness to investigate any complaints regarding improper spending.
Additionally, the committee heard about a councillor who faced charges for threatening another council member. Although the criminal case was dismissed, it was noted that the councillor was managed under mental health provisions.
Concerns were also raised regarding the financial implications of apprehended violence orders (AVOs) among councillors. It was revealed that a councillor pursuing an AVO might have to bear their own legal costs, while the defending councillor could have those expenses covered by council insurance. In one unnamed regional council, these legal costs were reportedly nearing $1 million, which had been incurred without the council’s explicit approval, as the individual sought coverage directly from the insurer.
Minister Hoenig described this situation as “somewhat bizarre” and requested further details for potential investigation.
Hawkesbury City Council also came under scrutiny for various controversies, including its relationship with local media and the prosecution of a councillor over technology expenses totaling approximately $4,000. Minister Hoenig criticized an attempt to restrict journalists from accessing council facilities as “bizarre” and indicated that he would ask the Office of Local Government (OLG) to further examine the council’s actions, cautioning that these issues can accumulate over time.
Furthermore, the hearing highlighted conflicts within councils that have led to complaints under the code of conduct. Minister Hoenig expressed his desire to prevent the “weaponization” of the complaints system and revealed that he had warned a council near the Victorian border about the potential use of seldom-applied financial surcharge powers. When informed that these powers had not been utilized in 60 years, he simply stated, “Well, we’re about to.”
In concluding remarks, the minister emphasized the importance of council governance, asserting that “Councillors run the council, not the bureaucrats.” Comments have been sought from Cumberland and Hawkesbury Councils regarding these matters.
