Portfolio Releases

Local communities must benefit from Commonwealth - State regional development merger

16th December, 2008 
Local communities must not be allowed to suffer as a consequence of the Federal Government’s proposal to fold the Area Consultative Committee (ACC) network into regional development boards, Leader of The Nationals and Shadow Minister for Regional Development and Local Government, Warren Truss, warned today.

The Federal and New South Wales governments have reached an agreement to merge the ACC network with state operated and controlled regional development boards in that state. The new network will be branded Regional Development Australia (RDA).

“The Parliamentary Secretary for Regional Development, Gary Gray, states in his press release that his intention is to roll this model out across all states and territories,” Mr Truss said.

“I also note that local government is to have guaranteed representation under the arrangements for RDA. I am sure that many local government authorities will welcome this involvement.

“However, no two states have the same model of regional development boards. There will be a number of concerns about how the NSW model can be translated to other states that will need to be addressed.

“It will be a significant task to synchronise the traditional roles of ACCs, state regional development boards and local government economic development agencies at the local, state and federal levels.

“In NSW for instance, regional development board members are paid for their service. In contrast, ACC members are volunteers. Will RDA board members be paid under the proposal? Who will be responsible for selecting board members and who will chair each board? How will chairs be appointed? Who is the chair accountable to?”

“Some regional development boards are more concerned with generating employment opportunities, whereas the Federal Labor Government has ruled out providing funding for local private sector projects that would boost economic development and job opportunities.”

Mr Truss said that there would need to be sufficient safeguards in the funding agreement between the Commonwealth and states to prevent the states from cost shifting or winding back services and leaving the Commonwealth with the bill.

“If local communities are to benefit from the proposal, state and Commonwealth regional development funding levels must be at least maintained,” Mr Truss said.

“The states should increase their regional development role. In some states they do it well but in other states they are barely active. The Commonwealth must ensure that the states develop a genuine commitment to engaging local communities. All parties must work diligently to generate improved social and economic opportunities in all areas. State governments must not be able to walk away from the agreement and leave the Commonwealth or the local Council to pick up the pieces as we have seen in so many other areas of traditional state responsibility.

Mr Truss also expressed concern about the future of local ACC offices, committee members and staff.

“One of the great strengths of the ACC network is its close connection to the community. The committees are made up of local, unpaid volunteers who give their time, skill and expertise to help grow and sustain their communities. That experience and spirit must not be lost under the new model.

“The presence of ACC offices in local communities must not be reduced or diminished. The offices need to be maintained and resourced appropriately so they can be poised to cultivate and capture opportunities as they arise. One thing that rural and remote communities can ill-afford is Labor’s trend to relocate and amalgamate services in the larger regional centres.

“The Federal Government must also ensure that ACC staff and have the opportunity to continue in their roles under RDA. I know that some staff have already moved on as a result of the ongoing uncertainty surrounding the future of the ACC network, but their professionalism, enthusiasm, knowledge and networks would be of great value to RDA and it would be a tragedy to lose that experience,” Mr Truss said.



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