TheHonJaalaPulford

MinisterforRegionalDevelopment8NicholsonStreet

EastMelbourneVIC3002

DearMinister

Mount Alexander Shire Council Input to the Review of DEDJTR’s Regional Service Delivery Model and Strategic Directions for Regional Policy

Thankyoufortheopportunitytoprovideinputintothisreview.Councilconsidersthisanimportantreviewandispleasedtocontributetotheissuesunderconsideration.

Key Issues

Councilasksthatinundertakingthisreview,thecombinedandcompoundingeffectsoftheFederalgovernment'sdecisiontosuspendtheindexationofFinancialAssistanceGrants,andtheStateGovernment'sproposedLocalGovernmentratecappingpolicybetakenintoaccount.Together,thesepolicieswillgreatlyimpactthebudgetsofruralcouncilsandwillhavesignificantimplications forourcapacitytodeliveressentialservicestoourcommunities.

Inaddition,thereisuncertaintyaroundthecontinuationand/orextentoffutureStatefundingtoassistrurallocalgovernmentsin:

  • Maintainingruralroadsnetworks;
  • Controllingroadsideweedsandpests;and
  • MeetingourobligationsunderthePlanningandEnvironmentAct1987,

includingplanningstrategicallyforthefutureofruralcommunities.

Maintainingatleastcurrentlevelsoffundingtoeachoftheseareaswillbecriticaltokeyaspectsoftheeconomicandjobsprospectsofourcommunities.

You maybe awarethatoverrecentmonths,RuralCouncilsVictoriahas initiated aninvestigation into theSustainabilityofRuralCouncils,basedonaviewthatthereisworkcouncilscandothemselvestostreamline their operations.ItalsorespondstoVAGO's2013findings thatasthemostvulnerable,withsmallratepayerbasesandhighdependencyongovernmentfundingto maintain theiroperations,ruralcouncilsaremoreexposedtothepotentialforhigherfinancialrisksinthe future 1.

VAGO found that eighteen of the most vulnerable (i.e. rural) councils had a combined operating deficit of $34 million, which is a small amount in the context of the State economy, but a very substantial deficit being carried by small and vulnerable councils and their communities.

1VictorianAuditorGeneral’sOffice,OrganisationalSustainabilityofSmallCouncils(Melbourne:VictorianAuditorGeneral'sOffice,2013).

Regional/Rural differentiation

Weaskthatyourexternaladvisoryboardrecognisesthecleardistinctionbetweenthemajoreconomic,socialanddemographicissuesfacingruralcouncilsandthoseofregionalcities.Thatsaid,itisalsohopedthattheimportant,mutualopportunitiesandbenefitsofconstructiverelationshipsandcollaborationsbetweenregionalcities,asthehubsofregionaleconomies,andtheirneighbouringrural(hinterland)councilsaregivendueconsiderationbythe panel,particularlywithregardtoinvestmentdecisionmakingandserviceplanning.

Buildingonexistingresearch

The review occurs in a context of significant existing research and information - work that has been undertaken by local governments and up to Federal levels. This work provides a wealth of information relevant to the issues identified in the terms of reference for the review.

This includes theextensiveregionalstrategyworkthathasbeenundertaken in theLoddonMalleeregionoverrecentperiodsand related planssuchas theLoddonMalleeRegionalStrategicPlanandLoddonMalleeRegionalGrowthPlan.EachPlanhasbeendevelopedwithconsultationfromtheregionandoutlinesthefutureopportunitiesandchallengesforLoddonMallee,identifyingarangeofinitiativesthat require StateGovernmentleadershipandsupport.

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Councilhasdevelopedarangeofplansandstrategiesinordertoplanforfuturechallengesandopportunities.Ofparticularrelevancetothereviewarethe CouncilPlan2013-3017,PublicHealthandWellbeingPlan2013-2017, Economic DevelopmentStrategy2013-2017,GreenhouseAction Plan 2011-2015andWalkingandCyclingStrategy2010-2020.

BenefitsofRegionalDevelopmentFunding

ThefundingCouncilhasreceivedthroughRegionalDevelopmentVictoriaoverrecentyearshasbeencriticaltoourCouncil'sabilityto maintain qualityinfrastructure,promotegrowthandsupportcommunitydevelopment.Ithasenabledustoundertakearangeofprojectsandprogramsthatwewouldnothavehadcapacityforotherwise,andtheflow-onbenefitshavedelivered important economicandsocialoutcomesforourcommunities.

DirectfundingfromRegionalDevelopmentVictoriahascontributed to projects including developmentofourwalkingandcyclingtrails,planningandimplementationprojectstoimprovetheappearanceofoursmalltowns,tourismdevelopmentandarangeoffeasibilityandbusinessplanningprojectstosupportkeycommunityorganisations.

FuturePriorities

ThekeyprioritiesforCouncilarearticulatedinthegoalsoftheCouncilPlan2013-2017:

  • Avibrantandhealthycommunity Bettercommunityfacilities
  • Athriving localeconomy
  • Building sustainablecommunities

RegionalDevelopmentVictoriahasacriticalroleinsupportingCouncilwithitsstrategiesandinitiativesthatwillmakeprogresstowardseachofthesegoals.

Councilhasalsopreparedadocumenttohighlightits specificfuturepriorities-ProjectPriorities2013-2017.ThisdocumentoutlineskeyprojectsthatarecentraltothefuturegrowthandprosperityofourShireandwhichneedapartnershipapproachtobedelivered.Theidentifiedprojectsaddressissuessuchas broadbandaccess,housing,renewableenergy,infrastructurerenewal,educationandbusinessdevelopment.Iinviteyoutocontactmeforfurtherinformationonanyoftheprojectslistedaboveorforanyfurthercommentregardingthecurrentreview.

YoursSincerely

Phil Rowland

Chief Executive Officer

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