The Local Government Accountability Framework Commences Operation

Certain parts of the Local Government (Accountability Framework) Amendment Act 2009 (SA) (Amendment Act), which amend the Local Government Act 1999 (SA) (Act), were proclaimed on 18 February 2010 and will commence operation in April and July this year.  This Norman Waterhouse Briefly is to update you on the main provisions of the Amendment Act that commenced operation on 8 April 2010 that affect the local government property sector. 

Revocation of Community Land Classification

Section 194 of the Act has been amended to specifically require reports prepared pursuant to section 194(2) of the Act to be made publicly available.

Sale and Disposal of Community Land

Section 201 of the Act will now permit a council to dispose of community land without first revoking the community land classification that applies to such land where:

• the land is to be amalgamated with one or more other parcels of land; and

• the amalgamated land is to be, or continue to be, classified as community land.

In all other cases where a council seeks to dispose of community land, the community land classification will still need to be revoked before the land may be disposed of.

Disposal of Community Land by Lease or Licence

For some time there has been a degree of uncertainty as to whether pursuant to section 202 of the Act a lease or licence may be granted for an initial term of 21 years with a right to renew the lease or licence for a further term of 21 years, or whether the term of the lease or licence has to be a maximum of 21 years including all renewals and extensions. 

Section 202 of the Act has been amended to clarify that the maximum term for which a lease or licence may be granted by a council over community land is 21 years including all renewals and rights of extension.  The amendment also clarifies that after the end of the 21 year term, a new lease or licence may be granted to the previous lessee or licensee, provided that the requirements of section 202 of the Act in relation to the grant of a new lease or licence are complied with.

Please note that the Amendment Act does not amend section 221 of the Act and therefore an alteration to a public road may still be granted for a maximum period of 42 years. 

Conversion of Private Road to a Public Road

Numbering of Premises and Allotments

Section 220 of the Act will now require a council to ensure that numbers are assigned to all buildings and allotments adjoining a public road created by a land division within 30 days after the Certificates of Title in relation to the land division are issued. 

Power to Enter and Occupy Land

The powers given to council employees and contractors pursuant to section 294 of the Act have been expanded to include the power to enter and occupy land on behalf of a council to carry out work.  A definition of ‘work’ has been inserted into section 294(8) of the Act, which definition provides that work includes work associated with:

• The construction, maintenance, repair and replacement of infrastructure, equipment, connections, structures, works or other facilities (including dams or other structures or facilities associated with stormwater management or flood mitigation).

• The provision of services or facilities that benefit the area of the relevant council.

• The carrying out of any other function or responsibility of the relevant council.

This amendment may assist councils that have infrastructure located on private land for which the councils do not have easements rights.  However, the amendment to section 294 of the Act only provides councils with limited rights, it does not go as far as providing councils with a statutory easement over private land on which council owned infrastructure is located, and councils will be required to pay the owner of any private land they occupy pursuant to this section rent in respect of such occupation. 

There are a number of other amendments to the Act that came into force on 8 April 2010 or will come into force on 1 July 2010, including amendments to the provisions of the Act relating to rating, annual business plans and budgets and financial statements.  We recommend that councils ensure that they are informed about these amendments and their commencement dates.  There are also many provisions of the Amendment Act that have not yet been proclaimed.  Keep an eye out for future Norman Waterhouse Brieflys notifying you of the commencement of these provisions. 

For more information on the Amendment Act, please contact Lisa Goodchild on 8217 1369 or lgoodchild@normans.com.au or Peter Fisher on 8210 1208 or pfisher@normans.com.au.

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