Recently the IPART Fit For Future report came out and as it turns out, only one third of NSW’s councils are considered fit for future. Since the report came out, Ibis has met and discussed it with a number of councils, some of our clients were very pleased with their results, and others were disappointed at the result. Our clients, the ones who were disappointed are not necessarily surprised, but now at least know what they need to do to become, what is considered, “Fit for future”.
In the report we noticed the biggest things that cause councils not to be fit for future is their scale. In other words, do they have the ability to raise enough revenue from their ratepayers, and the resources they have at their disposal. Most councils primary source of revenue is rates, however, a lot of councils, and mainly inner city councils have access to other revenue streams such as parking fines, parking fees, etc, etc, etc,
This is causing many councils – including some of our clients – to consider mergers with neighbouring councils. This throws up many questions. By amalgamating, will the new council then have the new scalability that the NSW government has mandated upon us? Should we amalgamate with a council that is also not scalable and will this make the combined council scalable then, or will it or won’t it keep us the same? Will a scalable council combining with a non-scalable council become scalable, or will the non-scalable cause the combined Councils to become non-scalable?
So many questions and so many scenarios. How can Ibis help you?
Contact us and find out (+613) 98705177