The Local Government Act permits a council (ie by formal resolution in an open council meeting) to impose various service charges. Section 162 of the Act states:

 (1) A Council may declare a service rate or an annual service charge or any combination of such a rate and charge for any of the following services-

    (a)  the provision of a water supply;  

   (b)  the collection and disposal of refuse; 

   (c)  the provision of sewage services; 

   (d)  any other prescribed service.

A Special Council Meeting was called on May 11th, 2010 where the following was adopted unanimously:

“The Act requires that Council advertise the proposed Budget i.e. make it publicly available for information and comment.

An information session will be held for the public on Monday, 24 May 2010 to provide an overview of the 2010/11 draft Annual Budget.

The public have until 10 June 2010 to lodge Budget submissions.

Budget submissions received from the public will be reported to Council at the Special Council meeting of 15 June 2010; thereafter, the Budget will be submitted for adoption.”

The PROPOSED BUDGET included the increase in charges for waste collection of a 240 litre bin from $151.20 to $260.00 per annum. An additional $20 was added to the previously announced charge of $240

Yet, in a letter signed by the Mayor, Cr. Tang, and dated the 23rd April, 2010 there is stated unequivocally the following:

“Given the additional cost of collecting waste, the garbage charge for a 240 litre bin will now be $260 for the 2010-2011 financial year’.

We raise this issue and ask:

  1. How can Tang declare any service charge increase PRIOR to a full council resolution?
  2. Did councillors even know of this letter?
  3. What does this say about the governance practices and open decision making at Glen Eira?

Ironically, in the same minutes of 11th May, at item 9.12, we are told that Council’s share of the Clayton tip revenue will reap $637,000!!! The stated cost of the State government land fill levy was also $600,000!!!

The most important issue though is that of governance and due process. Tang’s letter makes it absolutely clear that the decision to impose the $20 surcharge had  been made before it was even discussed in Council. We wonder if other councillors even knew of this letter, or even had the opportunity to debate it before it went out. Not only does it usurp their power as a council, but it mocks the whole principle of transparent decision making and potentially the law of the land.