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Extravagant Christmas spending of local councils

Reverend the Hon. Dr Gordon Moyes: I direct my question to the Hon. Tony Kelly, representing the Minister for Local Government. Is the Minister aware of extravagant spending on Christmas celebrations by Sydney councils? For instance, the City of Sydney Council spent over $90,000 on a Christmas party for its councillors and staff and the Randwick City Council spent more than $40,000. Of the $25,000 spent by the Warringah Council, $17,000 went on gift hampers for its councillors and staff. Waverley and Ku-ring-gai Councils spent over $17,000 and $18,000 respectively. Camden Council spent $8,500 on two parties with an additional $9,000 spent on hampers for its councillors and staff. As the global economic crisis started in 2008, why were local councils allowed to spend such gross amounts of public money when it could have been used for the State’s ailing health and education systems?

The Hon. Tony Kelly: I will pass the question on to the Minister concerned. Some of those figures sound alarming but from my experience in local government there is a reason to support your staff at Christmas time. The council I was involved with used to support the outdoor staff with a Christmas function but not quite as lavish as you allude to. I can remember placing the beer order of one kilderken and one firkin—an 18-gallon keg and a 9-gallon keg.

Deferred answer

On 10 March 2009 Reverend the Hon. Dr Gordon Moyes asked the Minister for Police, Minister for Lands, and Minister for Rural Affairs, representing the Minister for Local Government, a question without notice regarding local council Christmas spending. The Minister for Local Government provided the following response:

Under the Local Government Act 1993, councils are established as autonomous bodies with rights and powers conferred by law. They are ultimately accountable to their electors for their actions. This legislation does not give me as Minister, or the Department of Local Government, wide-ranging powers to intervene in the affairs of individual councils. The amount of money that councils spend on their Christmas celebrations is entirely a matter for each council to determine in its discretion.

In relation to your comment regarding the use of council funds for the State health and education systems, council funds are separate from the State and are available to fund the provision of goods, services and facilities and carry out activities appropriate to the current and future needs of the local communities the councils represent.

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