The long awaited Ombudsman’s report has now been released. See: https://ombudsman.vic.gov.au/our-impact/investigation-reports/investigation-into-three-councils-outsourcing-of-parking-fine-internal-reviews/
What we discover is that councils (Glen Eira, Stonnington & Port Phillip) all owe millions to drivers who were fined by outsourced agencies (ie Tenix) and requests for review were not done by council but this agency. This is seen by the Ombudsman and government as contrary to law under the Infringement’s Act and the Road Traffic Act.
What is even more reprehensible is that all of these councils knew of this for years but did not notify the public. In refusing to remove parking fines none of these councils made it crystal clear that Tenix was the body reviewing the fines and not council officers. Furthermore, all rejection letters included anonymous signatures such as ‘Appeals Review Officer on behalf of Glen Eira City Council’. The lack of transparency and accountability is commented on repeatedly. Even more insulting is that all of these councils had meetings, legal advice, etc. without once informing residents. Adding salt to the wounds is the refusal of these councils to furnish the ombudsman with the legal advice provided (which councils are legally entitled not to do). But, unless there is something to hide, why not furnish these documents? In short, the name of the game was to keep mum, avoid responsibility, and hope all this goes away.
It didn’t thanks to the public announcements by such councils as Monash and Kingston, the complaints forwarded and the initiative of the ombudsman.
All of this simply makes us wonder what else this council is keeping quiet about. When a council foregoes it duty to be open, transparent and accountable, we are in trouble.
Here are some quotes and stats from the report that relate specifically to Glen Eira.
- In 2017/18, 68,000 parking infringements were issued
- Glen Eira said that it ‘relied on Tenix to provide appropriate advice in accordance with its contractual arrangements’. Tenix responded that ‘in no way could it be reasonably interpreted that the council would require that Tenix act as its legal advisor as regards whether or not the council had the authority to contract the services in the first instance’.
- When Ombudsman officers asked the councils why they did not identify decision makers in their letters to motorists, Glen Eira said: Council is unaware of any requirement under legislation that the decision maker is identified by name in the decision notice’.
- Glen Eira has more than 36,000 affected infringements valued at $3.67 million
The most scathing and salient comment by the Ombudsman’s office is arguably the following:
The councils’ statements that they currently have no express legal obligations to identify internal review decision makers or answer questions from lawyers overlooks their broader obligations as public authorities. Councils have been entrusted with a service to the public that affects people’s rights and liabilities. With that trust comes a responsibility to behave accountably and transparently. The Infringement Act only permits certain persons to make internal review decisions. Affected motorists cannot tell whether their internal review decision was authorised and valid, unless they know the identity of the decision maker. This transparency builds public confidence in the system.
Finally, here’s Glen Eira’s lamentable response:
Despite the lack of any legal determination regarding the reasonableness of Council’s actions, we do take our responsibility to act ethically and with integrity seriously. Council will therefore reflect on the findings and recommendations of this report and give early consideration to what further action may be appropriate in the circumstances, including consideration of an in good faith reimbursement scheme.
PS: COUNCIL’S MEDIA RELEASE
February 25, 2020 at 1:01 PM
It’s in the Age too
https://www.theage.com.au/national/victoria/three-councils-to-refund-20m-in-parking-fines-20200225-p54433.html
February 25, 2020 at 2:38 PM
The media release is another reason why this council cannot be trusted with anything. The ombudsman’s report was not about investigating whether something was “appropriate” as they put it in the media release. It was 100% about whether what they were doing was legal or not and accountable.
Council was only “proactive” because they were scared shitless about what could happen and how much this was going to cost. What this would mean to the community as they claim was the last thing on their minds I would bet. We don’t even get a figure on how much was spent on lawyers for this “proactive” action.
This lot are incapable of being open and honest. Spin is their defence and their weapon. Enough to make you spew.
February 25, 2020 at 3:26 PM
By way of comparing councillors’ attitudes to returning money/savings to ratepayers, readers may be interested in one of our previous posts: https://gleneira.blog/2015/10/28/at-it-again-lousy-governance/
This involved returning approx. $1 million dollars to ratepayers since the government at the time raised the amount that developers had to pay for with their applications. The motion to return the money was voted against by these particular councillors, 2 of whom are still on council ie Hyams and Esakoff. The others who voted against were Lipshutz, Okotel, and Pilling.
The difference this time of course is that the issue becomes a legal one, plus the enormous publicity this has engendered. If Monash & Kingston have returned the funds it would be particularly churlish of Glen Eira to try and wheedle their way out. But that still remains a possibility.
February 25, 2020 at 4:33 PM
Yes and by the way residents won’t get their money refunded unless they reapply as before.
February 25, 2020 at 4:42 PM
Any decent record system should be able to pull up the relevant docs in an instant.
February 25, 2020 at 4:58 PM
Macca, likely GE doesn’t own the system Tenix does, and I bet Tenix will charge GE like a wounded bull for any info flowing back the other way. 3.67 million buck will be just the start. The CEO will want a cash bonus just to deal with the problem she has created.
February 25, 2020 at 5:50 PM
This is the tip of the iceberg. Ratepayers know absolutely nothing about how much is paid out to consultants. All we know is the annual report and the compiled figure for the year. That reveals nothing about value for money or which consultants are used time and again and the benefits of their work. Until we see a full accounting of these outsourced businesses, how much each is paid, who they are, how often they are used, then everything is hidden and unaccountable.
Nearly $50m I think goes to consultants each year. That is an astronomical amount and I doubt very much that their services are worth half of that.
February 25, 2020 at 10:35 PM
Yes, and lets not forget ex councillor Tang that little pip-squeak, who was doing a law degree whilst being a very poor councillor, on completion, went and worked for the law firm handling council business at the time. The law firm’s name slips my mind.
February 25, 2020 at 4:50 PM
Just another stuff-up in an ever increasing conga line of monumental stuff-ups
Maybe the CEO should unpack her mail order acme company parachute and bail-out, as her day dream style of city management is looking more and more like the Warner Brothers cartoon with Wylie the Coyote going over the cliff edge time and time again.
February 25, 2020 at 5:49 PM
Does anyone know how you apply to get a refund?
February 25, 2020 at 5:54 PM
Channel 10 news reported that residents would need to fill out an online form that is available on the councils’ websites. Thus far nothing has appeared on Glen Eira’s website apart from the Media Release. Please also note that this issue will be the subject of Urgent Business at tonight’s council meeting.
February 26, 2020 at 9:38 PM
Have not budgeted to pay anything as the refund process is convoluted. Who has details such as time of fine and exact nature of appeal 14 years after event? Apparently Council do not otherwise they would not ask.
February 25, 2020 at 11:40 PM
I think Cr Tang went to firm of lawyers called something like Maddox. He was also a council trustee on the Caulfield Racecourse Trust and he failed to attend the meetings when the C60 “Land Swap” came about.
February 26, 2020 at 2:59 PM
Correct, Maddox was it. “failed to attend the meetings when the C60 “Land Swap” Likely absent by design with rewards. He also admitted never answering emails written to him by residents. It was like having a councillor that went home early to watch Play School, he was just a dumb kid that expected everyone to treat like a little god, and when they didn’t he was completely out of his depth. Voting “yes” on everything made his life so much easier. He was astute enough (MODERATORS: rest of sentence deleted)
February 27, 2020 at 3:48 PM
All this fine revenue was gobbled up, probably without being counted as income, and now if being returned to ratepayers the ratepaying public will also be paying despite the decision.
February 28, 2020 at 10:14 AM
Maybe council staff and councillors will pay for it through salary deductions.