South Australian Current Acts

LOCAL GOVERNMENT ACT 1999 - SECT 273

273—Action on report

        (1)         The Minister may, on the basis of—

            (a)         information provided by the Independent Commission Against Corruption; or

            (b)         a report of the Auditor-General (under this or another Act); or

            (c)         a report of the Ombudsman (under this or another Act); or

            (d)         a report of the Behavioural Standards Panel under section 262W; or

            (e)         a report of a person who held an appointment as administrator of a defaulting council under this section provided to the Minister on, or within 6 months after, the cessation of the period of administration of the council,

take action under this section.

        (2)         Subject to subsection (2a), the action that the Minister may take is any of the following:

            (a)         the Minister may make recommendations to a council;

            (b)         if the Minister considers—

                  (i)         that a council has contravened or failed to comply with a provision of this or another Act; or

                  (ii)         that a council has failed to discharge a responsibility under this or another Act; or

                  (iii)         that an irregularity has occurred in the conduct of the affairs of a council (in relation to matters arising under this or another Act); or

                  (iv)         that a council has failed to respond appropriately to a recommendation of the Independent Commission Against Corruption or the Ombudsman; or

            (iva)         that a council has failed to comply with a direction or requirement of the Panel under section 262W; or

                  (v)         that a council has failed to address appropriately a matter that formed the basis of a request under section 271B,

the Minister may give directions to the council to rectify the matter, or to prevent a recurrence of the act, failure or irregularity;

            (c)         if the Minister considers that there has been—

                  (i)         a serious contravention or failure on the part of a council to comply with a provision of this or another Act; or

                  (ii)         a serious failure on the part of a council to discharge a responsibility under this or another Act; or

                  (iii)         a serious irregularity in the conduct of the affairs of a council (in relation to matters arising under this or another Act); or

                  (iv)         a failure to comply with a direction under subsection (2)(b); or

                  (v)         a failure to comply with a requirement to take specified action in respect of a subsidiary for the purposes of section 275,

and accordingly that the council should be declared as a defaulting council under this Division—the Minister may recommend to the Governor that the council be declared to be a defaulting council.

        (2a)         The only action that the Minister may take under subsection (2) on the basis of a report of a kind referred to in subsection (1)(e) is action of a kind referred to in subsection (2)(a).

        (3)         The Minister must, before taking action under subsection (2)(b) or (c), give the council a reasonable opportunity to make submissions to the Minister on the report on which the action is based.

        (5)         If the Minister makes a recommendation under subsection (2)(c), the Governor may, by proclamation—

            (a)         declare the council to be a defaulting council; and

            (b)         appoint a suitable person or suitable persons to be administrator or administrators of the affairs of the council.

        (6)         If a proclamation is made under subsection (5), the Minister must, within the first five sitting days after the date of the proclamation, cause a report to be laid before both Houses of Parliament of the circumstances giving rise to the making of the proclamation.

        (7)         If the Governor makes a proclamation under subsection (5), the Governor may by the same or a subsequent proclamation provide for any matter incidental to, or consequential on, the declaration of the council as a defaulting council.

        (8)         On the making of a proclamation under subsection (5), all the members of the defaulting council are suspended from their respective offices until the council ceases to be a defaulting council.

        (8a)         The members of the defaulting council are not entitled to their respective allowances under section 76 during the period of suspension under subsection (8).

        (9)         An administrator or administrators appointed under this section will, until the council ceases to be a defaulting council, administer the affairs of the defaulting council in the name of and on behalf of the council (and for that purpose will have all the powers, functions and duties of the council).

        (10)         If two or more administrators are appointed under this section, any disagreement between them will be settled by the decision of the majority or, where they are equally divided in opinion, by determination of the Minister.

        (11)         The remuneration of an administrator (which will be determined by the Governor) and any liability incurred by an administrator in the course of the administration will be paid or satisfied out of the funds of the defaulting council.

        (12)         The Governor may, by proclamation, declare that the provisions of this or any other Act apply, while the council is a defaulting council, subject to exclusions or modifications specified in the proclamation, and those provisions apply accordingly.

        (13)         The administrator or administrators appointed under this section must report to the Minister at intervals of not more than three months on the administration of the affairs of the defaulting council.

        (14)         The Governor may, by proclamation, vary or revoke a proclamation under this section.

        (15)         The Governor may, on the recommendation of the Minister made not earlier than the expiration of three months from the date on which the council was declared to be a defaulting council, by proclamation, declare the offices of all the members of the defaulting council to be vacant.

        (16)         A council ceases to be a defaulting council under this Division—

            (a)         on the making of a proclamation revoking the proclamation by which the council was declared to be a defaulting council; or

            (b)         if a proclamation is made declaring the offices of all members of the defaulting council to be vacant—on the conclusion of the elections to fill the vacant offices; or

            (c)         unless a proclamation referred to in paragraph (a) or (b) is sooner made—

                  (i)         in the case of the District Council of Coober Pedy declared to be a defaulting council by the Local Government (Defaulting Council) Proclamation 2019 ( Gazette 24.01.2019 p272 )—on the conclusion of the periodic elections due to be held in 2026; or

                  (ii)         in any other case—on the expiration of 24 months from the date on which the council was declared to be a defaulting council.