Regulation Review - IPART - NSW Government

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2 Local government compliance and enforcement functions which occupies over 50,000km 2 . 13 Population density also varies greatly, with the Central Darling having just 0.04 people per km 2 and Waverley having nearly 7,500 people per km 2 . 14 Table 2.1 indicates the extent to which councils vary in relation to population, land area, population density and average income of residents. Table 2.1 Demographics across NSW councils (2010/11) Population (‘000) Land area (km 2 ) Population density (no/km 2 ) Average income of residents ($’000) Lowest 1,269 5.7 0.04 30.91 Highest 299,797 53,508.6 7,425.65 105.95 Source: NSW Division of Local Government, Department of Premier and Cabinet, Snapshot of NSW Local Government – Comparative Information on NSW Local Government Councils 2009/10, September 2011, Table A2, pp 14-16. 2.2 What are local government compliance and enforcement functions? Local government has a wide range of responsibilities and functions. These include non-regulatory roles such as delivering services (eg, waste services, childcare facilities), providing infrastructure (eg, roads, parks, sporting facilities, libraries), undertaking procurement (eg, of services and infrastructure) and engaging in advocacy (eg, promoting proposals of local interest). Local government also administers and enforces a wide range of regulatory requirements, which affect business and the community. These compliance and enforcement functions, or ‘regulatory functions’, are the focus of our review. 13 NSW Division of Local Government, Department of Premier and Cabinet, Snapshot of NSW Local Government – Comparative Information on NSW Local Government Councils 2009/10, September 2011, Table A2, pp 14-16. 14 Ibid. 14 IPART Regulation Review
2 Local government compliance and enforcement functions We consider a local government regulatory function to be any function under an Act, regulation or other statutory instrument which empowers local government to create, impose, enforce or administer rules that control the actions of others. 15 Local government regulatory functions include: rule-making functions – making regulatory instruments, such as plans or policies that guide regulatory decision-making approval functions – issuing of permits, approvals or registrations to enable an activity to lawfully take place, often subject to conditions notification functions – receiving notification of activities compliance functions – undertaking inspections, searches or investigations, requiring monitoring or reporting enforcement functions – comprising: – issuing of orders, directions or notices to control activities – impounding, seizures or evictions – penalty notices and other enforcement action for breaches (eg, court proceedings,) referral functions – providing recommendations or advice to State agencies for regulatory action. Table 2.2 below lists examples of each of these functions by ‘priority’ regulatory area. Our review will consider local government regulatory functions – ie, local government as a regulator. It will not consider regulatory requirements imposed on local government (eg, a requirement for local government to be audited by a State Government agency or comply with a particular standard). 2.2.1 The range of local government regulatory functions Local government undertakes a wide range of regulatory activities that affect business and the community. This includes activities in relation to regulatory functions established under the Local Government Act 1993 (the LG Act), other State legislation and even quasi-regulations, such as policies and guidelines. 15 The Better Regulation Office (BRO) defines regulation as “any compulsion, obligation, demand or prohibition placed on a business (including sole traders), not for profit organisation or individual, or their activities, by an Act, Regulation or other statutory rule. This includes ministerial orders, guidelines and planning instruments” (Better Regulation Office, Guidelines for estimating savings under the red tape reduction target, February 2012, p 4). The Productivity Commission defines a regulatory role as “creating, imposing, enforcing or administering rules that prescribe the actions of others” (Productivity Commission, Performance Benchmarking of Australian Business Regulation: The Role of Local Government as Regulator, July 2012, Vol 1, p 80). Regulation Review IPART 15
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Regulation Review - IPART - NSW Government

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