SPEECH BY THE PRIME MINISTER
THE HON.* E. G. WHITLAM,
AT PENRITH CIVIC RECEPTION*.-
11 SEPTEMBER 1974
THE PROBLEMS AND CHALLENGES OF LOCAL GOVERNMENT
HAVE NATIONAL IMPLICATIONS QUITE DISTINCT FROM THE-IR
RELEVANCE TO PARTICULAR LOCALITIES. WHEN THE
INSTITUTE OF MUNICIPAL ADMINISTRATION WAS ESTABLISHED
' IN 1952 ON A FEDERAL BASIS IT REALISED THAT " WHILE
LOCAL GOVERNMENT IS LOCAL AND, IN FACT, DERIVES ITS
FUNCTIONS'FROM EACH RESPECTIVE STATE, THE DEVELOPMENT
, AND STRENGTH OF-IT IS A MATTER OF NATIONAL IMPORTANCE
AND OF NATIONAL CONCERN. 1
IT WAS TWENTY YEARS BEFORE A NATIONAL
AUSTRALIAN GOVERNMENT WAS PREPARED TO TAKE A SIMILAR
ATTITUDE. ONLY SINCE LABOR WAS ELECTED IN DECEMBER 1972
HAS ANY ATTEMPT BEEN MADE TO GIVE PRACTICAL HELP TO
LOCAL GOVERNMENT IN MEETING THE INCREASING DEMANDS
MADE UPON IT. ./ 2
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Nr KNOWS BETTER THAN THOSE INVOLVED IN
LOCAL GOVER'. MENT THE LONG YEARS OF NEGLECT AND
INDIFFERENCE FROM WHICH IT HAS SUFFERED AND THE
ATMOSPHERE OF PERPETUAL FINANCIAL CRISIS THAT
SURROUNDS IT FOR GENERATIONS. I HAVE OFTEN MARVELLED
AT THE DEDICATION AND FORTITUDE OF MEN AND WOMEN WHO
HAVE CONTINUED TO SERVE LOCAL'GOVERNMENT IN THE FACE
OF SUCH ODDS. NOW THE PROSPECTS ARE CHANGING.
THE RECENT GRANTS TO LOCAL GOVERNMENT COUNCILS ALL OVER
AUSTRALIA'-WITH THE LION'S SHARE COMING TO NEW SOUTH
WALES ARE THE BEGINNING OF THE END OF THE INEQUALITY
BETWEEN ' COUNCILS AND BETWEEN REGIONS THAT HAS BEDEVILLED
' THE GROWTH OF RESPONSIBLE AND RESPONSIVE LOCAL GOVERNMENT
IN AUSTRALIA. ALL MY GOVERNMENT'S POLICIES HAVE BEEN DIRECTED
TO ELEVATING THE STATUS AND IMPORTANCE OF LOCAL GOVERNMENT
WITHIN THE FEDERAL SYSTEM, AND ESPECIALLY HAVE THEY BEEN
DIRECTED TO GIVING LOCAL GOVERNMENT ACCESS TO THE RESOURCES
TO DO ITS JOB. WE SHOULD NEVER FORGET THE DISGRACEFUL
WAY LOCAL GOVERNMENT HAS BEEN NEGLECTED AND DOWNGRADED SINCE
THE VERY BEGINNINGS OF OUR FEDERATION, .1/ 3
THE ΓΈ' ZBTS OF LOCAL GOVERNMENT AND SEMI-GOVERNMENT
AUTHORITIES HAVE MULTIPLIED MORE THAN TWELVE TIMES SINCE
THE WAR, STATE DEBTS SIX TIMES, UP TO LAST YEAR LOCAL
GOVERNMENT AUTHORITIES WERE BORROWING MORE EACH YEAR THAN
THE TOTAL AMOUNT OF THEIR OUTSTANDING DEBT OVER 20 YEARS
OR SO AGO, AT THE SAME TIME THERE HAVE BEEN ACCELERATING
DEMANDS QUITE NATURAL AND PREDICTABLE DEMANDS ON
LOCAL GOVERNMENT SERVICES, YET NOTHING WAS DONE TO
REDRESS THESE DEFICIENCIES; NOTHING WAS DONE TO CORRECT
A SYSTEM THAT ALLOWED THEM TO WORSEN YEAR BY YEAR.
THERE WAS NO SHORTAGE OF EVIDENCE ABOUT THE NEEDS OF
LOCAL GOVERNMENT, THE BARNETT REPORT ON LOCAL GOVERNMENT
" AREAS AND ADMINISTRATION IN NEW SOUTH WALES REPORTED LAST
YEAR THAT IN THE VIEW OF MOST SHIRE COUNCILS IN NEW SOUTH
WALES " THEIR AREAS COULD NOT SURVIVE WITHOUT A CONTINUANCE
, OF LARGE CENTRAL GOVERNMENT GRANTS AND, WITHOUT EXCEPTION,
COUNCILS BELIEVED THE AUSTRALIAN GOVERNMENT'S INVOLVEMENT
IN FINANCING LOCAL GOVERNMENT WAS ESSENTIAL."
THE RECENT GRANTS COMMISSION RECOMMENDATIONS REFLECT
MY GOVERNMENT'S COMMITMENT TO SUCH NECESSARY ASSISTANCE TO
THAT PART OF GOVERNMENT WHICH IS CLOSEST TO THE PEOPLE,
LET ME REMIND YOU OF HOW THOSE GRANTS CAME ABOUT, ,/ 4
WYf"! N SIX MONTHS OF LABOR'S ELECTION TO
GOVERNMENT ri DECEMBER 19721 THE AUSTRALIAN PARLIAMENT
PASSED A NEW GRANTS COMMISSION ACT AUTHORISING THAT
BODY TO INQUIRE INTO APPLICATIONS FOR ASSISTANCE BY
REGIONAL ORGANISATIONS OF LOCAL GOVERNMENT. ANY
ASSISTANCE RECOMMENDED BY THE COMMISSION AND APPROVED
BY THE AUSTRALIAN GOVERNMENT WAS TO BE PAID TO THE STATES
UNDER SECTION 96 OF THE CONSTITUTION ON CONDITION THAT
IT BE PASSED ON TO THE LOCAL GOVERNMENT COUNCILS CONCERNED$
ADDITIONAL MEMBERS WERE APPOINTED TO THE COMMISSION AND
ITS STAFF WAS EXPANDED TO ENABLE IT TO DEAL WITH THIS
LARGE NEW RESPONSIBILITY. FROM NOW ON, THE COMMIS. SION
IS TO PLAY THE SAME ROLE IN REDUCING INEQUALITIES BETWEEN
REGIONS AS IT HAS BETWEEN THE STATES SINCE 19331
LAST MONTH MY GOVERNMENT APPROVED ALLOCATIONS. OF
$ 56,345,000 TO LOCAL GOVERNMENT ORGANISATIONS THROUGHOUT
AUSTRALIA. OF THISI $ 21,359,1000 CAME TO* NEW SOUTH WALES.
WE ACCEPTED THE GRANTS COMMISSION'S RECOMMENDATION THAT NO
CONDITIONS BE ATTACHED TO THE WAY IN WHICH LOCAL GOVERNMENT
BODIES SPEND THESE, THEIR FIRST ALLOCATIONS UNDER THE
AUSTRALIAN LABOR GOVERNMENT'S NEW SCHEME TO HELP REDUCE
INEQUALITIES BETWEEN REGIONS THROUGHOUT AUSTRALIA. THE
SYDNEY WESTERN REGION WILL RECEIVE A TOTAL OF $ 3,380,0004,
OF WHICH PENRITH CITY COUNCIL IS TO GET $ 330,000.' 111/ 5
A .0ON AS THE GRANTS COMMISSION REPORT WAS
TABLED IN ' E HOUSE OF REPRESENTATIVES, I SENT
TELEGRAMS TO ALL COUNCILS INFORMING THEM CF THEIR
INDIVIDUAL GRANTS, I TRUST THAT THE MAJORITY OF
COUNCILS DERIVED AS MUCH PLEASURE FROM RECEIVING THEM
AS I HAD IN SENDING THEM, IT IS ALWAYS EXHILARATING TO
BE ABLE TO DELIVER THE GOODS, I TRUST YOU WILL ENJOY
THE PROCESS OF TYING UP THE PACKAGE AS YOUR COUNCIL
DELIBERATIONS DICTATE, SINCE WE ATTACHED NO STRINGS
TO OUR LONG-AWAITED PRESENT,
OUR SECOND GREAT INITIATIVE LAST YEARWAS TO SEEK
A VOICE AND A VOTE FOR LOCAL GOVERNMENT ON THE LoAN COUNCIL,
OUR PURPOSE WAS, AND STILL IS, TO ADMIT REPRESENTATIVES OF
ALDERMEN AND COUNCILLORS FROM EACH STATE AND ENABLE THE
., COMMONWEALTH, ON REQUEST, TO RAISE APPROVED LOANS RAISED
BY THE COMMONWEALTH ON BEHALF OF THE STATES, I NEED HARDLY
REMIND YOU OF THE RESULTS OF* THAT SPECIAL PREMIERS CONFERENCE
IN OCTOBER LAST YEAR WHICH TURNED OUR PROPOSALS DOWN,
WHEN THE PREMIERS REJECTED THESE PROPOSALS TO BALANCE THE
FUNCTIONS AND FINANCES OF THE THREE TIERS OF GOVERNMENT
TO ENSURE ADEQUATE SERVICES AND DEVELOPMENT OF RESOURCES,
WE HAD NO ALTERNATIVE BUT TO PROCEED WITH A REFERENDUM,
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THAT REFERENDUM WAS CARRIED IN NEW SOUTH WALES,
LARGELY BEC'JASE SO MANY LOCAL GOVERNMENT PEOPLE SUPPORTED
IT IN THE FACE OF STRONG OPPOSITION FROM THE STATE
PREMIER AND THE FEDERAL OPPOSITION PARTIES WHO TRIED TO
SCARE THE PEOPLE AWAY FROM IT. I BELIEVE THAT YOU
SUPPORTED THAT REFERENDUM BECAUSE YOU REALISED WHERE
YOUR HOPE FOR SURVIVAL LAY, THE PEOPLE OF NEW SOUTH WALES
SUPPORTED IT BECAUSE RESPONSIBLE LOCAL GOVERNMENT BODIES
ENCOURAGED THEM TO DO SO.
WHAT OF THE FEAR OF A FEDERAL TAKEOVER OF LOCAL
GOVERNMENT? IT IS A GHOST WHICH MUST BE LAID TO REST.
FOR MY PART I HAVE NO WISH TO SEE LOCAL GOVERNMENT BECOME
AN APPENDAGE OF THE NATIONAL GOVERNMENT ANY MORE THAN I
WANT IT TO REMAIN AN APPENDAGE OF THE STATE GOVERNMENTS.
BUT I DO WANT IT TO HAVE ADEQUATE AND REASONABLE ACCESS
TO THE NATION'S FINANCIAL RESOURCES. IT MUST BE ELEVATED TO
ITS PROPER PLACE IN AUSTRALIAN SOCIETY AND GIVEN THE MEANS
TO CARRY OUT ITS WORK FOR THE LASTING BENEFITS OF THE
AUSTRALIAN PEOPLE, THE AUSTRALIAN LABOR GOVERNMENT HAS
SHOWN THE WAY.