Media release – City of Launceston, 29 April 2022
Council considers Future of Local Government review
The City of Launceston will advocate for the establishment of a greater Launceston metropolitan council as part of a proposed submission to the State Government’s Local Government Board Review into the Future of Local Government in Tasmania.
Last year, the State Government announced the Future of Local Government in Tasmania review, with the objective of creating a more robust and capable system of local government.
The Local Government Board has been undertaking community engagement in recent weeks, and has asked for Tasmanian councils to provide written submissions exploring the optimal future design for Tasmania’s local government sector.
The City of Launceston’s draft submission has been prepared by councillors and council staff, and its formal endorsement will be considered at next week’s council meeting. The City of Launceston’s draft submission focuses on the ‘spill-over effect’, which occurs when a central municipality provides services that are used by residents from surrounding municipalities who do not contribute to their costs.
“It is clear that the spill-over effect is impacting the urban area in northern Tasmania with Launceston being at a financial disadvantage relative to other councils,” the draft submission notes.
“As it currently stands, Launceston is required to provide and maintain regional level infrastructure, which is not required to be provided by surrounding councils.
“While the residents of surrounding council areas live close together and are most benefited by the regional assets provided by the City of Launceston, they are not providing any funding for their maintenance — aside from fees and charges for use of these assets where it is applicable.
“In fact, the costs borne by City of Launceston ratepayers and avoided by the residents of other municipal areas are in excess of $4.2m annually.”
The draft submission urges the Board to explore the creation of a metropolitan council in the greater Launceston area and to encourage greater resource sharing between rural and city councils.
Launceston Mayor Albert van Zetten said the City of Launceston’s position in the northern Tasmanian region was unique among all councils in Tasmania, as it was impacted by the ‘spillover effect’ more than any other council in the state.
“The draft submission suggests a metropolitan council model should be explored for the northern region so that the costs of regional assets are more equitably dispersed across the communities which benefit,” Mayor van Zetten said.
“A future metropolitan-based council could address the spill-over effects which we see in Launceston, but there would be other benefits including more effective regional planning and a more integrated approach to strategic growth.
“In addition, the draft submission suggests cost savings should not be the primary goal of future local government reform; rather the goal needs to be determining how we create a more robust and capable system of local government.
“I look forward to the discussion around the table next week as the City of Launceston considers endorsing this draft submission to the Future of Local Government in Tasmania Review.”
Media release – West Tamar Council, 3 May 2022
West Tamar Council Concerned About the Damage Caused by City of Launceston’s Proposed Local Government Board Review
The West Tamar Council is participating in the State Government’s Local Government Board Review which has an agreed scope and established road map that needs to be followed. One of the main aims of the review is to consider the roles and functions that should be delivered by local government in Tasmania.
The proposed submission by City of Launceston has the potential to distract everyone from this very important aspect of the review as it is being seen as a revenue grab without understanding the impacts this could have on the broader northern region. What Launceston has created is uncertainty for the 850 plus northern Tasmanian council employees. Until the roles and functions of local government are better understood, it is premature to talk about boundary adjustments which shouldn’t be played out in the media at this early stage.
City of Launceston’s draft submission talks about the uniqueness of Launceston as a city. The reality is that they don’t have to compete with adjacent cities in being the main retail, professional, health and major events centre for the northern region, drawing people from neighbouring councils and much further afield. Their spending puts money into Launceston’s facilities and businesses which is why they exist. This happens in every region and state across the country.
“Every region works on the basis of interdependence and our region is an excellent example of this,” Mayor Holmdahl said. “There is no doubt that people who live in the surrounding councils look to the City of Launceston for many things, however that is a two-way street in which City of Launceston also looks to its neighbours for sustainability and vibrancy. This is a normal and common situation, it’s the interdependence of the region.”
“Our council has a good understanding of the local area and contributes appropriately to the fabric, amenity and infrastructure of the West Tamar and the wider northern region by providing state level recreation facilities, modern community and health hubs, a regional standard museum and heritage centre, and numerous local facilities. Our council is not against reform, but any change needs to be substantiated and in the best interests of our residents and ratepayers.”
