GE Governance


We have finally received a copy of the Municipal Inspector’s Report and have uploaded it into our permanent archive, under the heading INSPECTOR’S REPORT.

A short foreward first! We believe that the report was released to the media last Wednesday, without the knowledge of all councillors. In other words, there was a leak! Further, we have also learnt that once an individual went to council chambers requesting a copy of the findings, the service desk were under instructions to call down someone like Paul Burke, or other directors.

The media having in its possession the report, sought feedback from community members. The report has thus been widely distributed and we now place it for all to see on our website. Please read it carefully, and offer your comments. The findings, the processes adopted by certain individuals within council, are of major concern.

POSTSCRIPT: We’ve taken up a suggestion made by one of our readers and uploaded both the 1998 Walsh Report and the 2005 Whelan Report. Wonderful symmetry here – Walsh, Whelan, Wolf and Walker! These earlier reports are now also archived under  Whelan and Walsh Reports on the left hand side of the homepage.

From council minutes (31st August, 2010)

URGENT BUSINESS
Crs Lipshutz/Magee
That an item of Urgent Business be considered in-camera after Item 12.4 pursuant to S.89(2)(e) relating to the investigation by a Municipal Inspector.

The MOTION was put and CARRIED unanimously.

There was no report on the outcome of this ‘urgent business’.

PS: Section 89 outlines the reasons when a meeting may be declared closed to the public. Section 89(2)e states: “proposed developments”!!!! A typo perhaps? Or anything will do?

48 hours down and still no sign of the Municipal Inspector’s findings on Council’s website! What’s the holdup? Why can’t such a simple thing be seen to immediately? Makes us think that perhaps the ‘in camera’ discussion did not augur well for the community; that councillors may be reluctant to release the report in a format that is easily accessible 24 hours per day, can be sent around to all and sundry, and which may contain some major (or minor) embarrassment for certain individuals.

Expecting residents to roll up to Council, hat in hand, asking for a copy is simply not good enough in 2010. Besides, this council has often cried ‘wolf’ when it comes to photocopying costs on such things as public submissions and public questions. So how much will it cost to print off perhaps hundreds and hundreds of the Municipal Inspector’s report!

Come on councillors. Show some guts – fulfil your obligations to govern in an open and democratic manner. Hiding behind the service desk does you no credit!

Media release from council, Wednesday 1/9/2010 

Investigation makes recommendations 

 Glen Eira City Council has now officially received the findings of a Local Government Investigations and Compliance Inspectorate (Inspectorate) investigation into the Council.  

The Inspectorate investigated complaints about the Council and individual Councillors. The Inspectorate also investigated complaints about the performance of Council officers. The investigation found no prosecutable breaches, but made a number of recommendations to improve business practice and the community’s perception of Council. In relation to Council officers, the investigation made no adverse findings and no recommendations. The first complaint was received in November 2009. Of 43 complaints received, both prior to and subsequent to the investigation being made public, 27 were investigated. 

The recommendations include comprehensive Councillor training, ensuring consistency in the accuracy of minutes of all meetings, electronic mail procedures, ensuring committees are properly constituted and the need to avoid unauthorised opinion on behalf of Council. 

Other than the recommendations made, the Inspectorate has determined that no further action is warranted in relation to the complaints. It is apparent that a number of complaints were dismissed as there was no evidence to support a breach of the act. 

To the extent that the Inspector had concerns with councillors’ accountability and transparency, they related to conduct concerning the CEO reappointment process and contract that properly took place confidentially. There was no suggestion that the Council or councillors were improperly concealing any activities or deliberations from the public, rather that proper records had not been kept. 

The functions of the Inspectorate include:  

  • breaches of the Local Government Act 1989  
  • Investigating allegations against councillors and senior council officers concerning Local Government Act 1989
  • Conducting compliance audits with all Victorian local councils for requirements under the Local Government Act, 1989
  • Monitoring the corporate governance of councils
  • Monitoring electoral provisions
  • Undertaking prosecutions for breaches of the Local Government Act;
  • Recommendations for matters to the Victorian Civil and Administrative Tribunal (VCAT)
  • Provide recommendations to councils for continuous improvement
  • Providing advice through the Secretary of the Department of Planning and Community Development to the Minister for Local Government where there is serious failure of corporate governance.
In this instance the Inspectorate has determined only to make recommendations to Council for improvement.Councillors commit to the highest standards of accountability and transparency and will work with officers to produce a framework for the implementation of the recommendations in response to the Inspectorate’s findings.
Complainants will receive individual notification of the outcome of the investigation in relation to each particular complaint they have made.
Copies of the full report are available from Council’s Service Centre on 9524 3333.  

 

Once again we witness the attempt to ram through a vital policy document that will set the strategic direction of ‘environmentally sustainable development’ in the municipality for years to come. We have chosen the phrase ‘ram through’ deliberately. Time and time again, Glen Eira has produced draft policy documents that do not stand up to close scrutiny, nor do they ever address the concerns raised by residents.

On Tuesday night, councillors will be expected to vote on a policy that is inept, lacking vision and detail, and which fails to provide indicators that can effectively gauge the success or failure of the proposed objectives. In fact, the entire process needs to be critically questioned. Where has there been open discussion? Council cites one forum which took place in 2009, and then the call for submissions. The final draft, regardless of what council claims, again ignores these submissions in all important areas. Yet, the powers that be, expect this to be voted on.

If council is genuine in its desire to ‘consult’ and ‘engage’ with the community, then the following must happen:

  1. The vote on this policy is deferred
  2. Those submitters wishing to address council be given the opportunity to speak
  3. Suggestions made by residents and not accepted by council deserve full and comprehensive reasons as to why those suggestions have not been taken up.
  4. Blatant errors in the draft be explained – ie. with a staff of 1000 well paid individuals, residents should expect that correct information is supplied, evaluated, and incorporated into such strategic documents.
  5. Responses to submissions deserve more than the one sentence ‘brush off’ found in council’s summary/response notes.
  6. Action plans, MUST MEAN MORE THAN “CONSIDER”, “INVESTIGATE”, “INFORM”. Council needs to get its language right, and begin to realise that the public will no longer accept platitudes and motherhood statements as substitutes for ‘action’ on important issues.
  7. Councillors must reject this draft; send it back to the drawing board, and insist on full, and open public consultation.

 

The above comments perhaps sound harsh. But we’ve taken the time to carefully digest all of the published submissions. They are thoughtful, insightful, and offer much that is of concern and value to the community. The simple fact, that most of these comments have largely been ignored is unconscionable. We invite all interested residents to read the following which are verbatim extracts from some of these submissions. Please note that there was plenty more that could have been included.

Extracts:

 …the strategy does not seem to be a particularly strategic document

Many peer councils have established sophisticated and strategic documents which do not appear to have been adapted by GEC in this instance. The absence of quantifiable and measurable targets and priorities is perhaps the single greatest gap in the strategy. There exist many measures, benchmarks and standards to assess progress towards integrating sustainability into the diversity of council powers and responsibilities. The range of actions listed in the Action Plan 2010-2012 often bear no relation to the vision or the core areas identified, nor the analysis. For example the failure to include references to e-waste in the core document but listed under the action plan reinforces the impression of a piecemeal approach.

The statement about balancing environmental with economic and social considerations appears to undermine the vision. It is suggested that this be addressed more fully and spell out how council will approach reaching ‘best practice’ and which standards or benchmarks will be applied.

There is no reference in the Strategy to Planning and urban design issues. Some references are made in the action plan, but without an overriding purpose and sense of direction. This is one area where council can have a powerful long-term impact on the built environment. Given the pace of development in the municipality, clear direction to developers is urgently needed. We are building poor housing stock which will be grossly unsustainable for many decades, due to lack of attention to basic siting, shading, water and energy consumption post development. Action to adopt the STEPS/SDS process would have a much greater impact than hundreds of information fact sheets.

It is a puzzle why the section on low cost council is included in the document. How does this relate to the community ratings and findings that council demonstrate leadership that historically has not been funded through rates or other tiers of government. How does council propose to address this growing community demand within its low cost model and where GEC wishes to position itself? Surely council cannot realistically achieve its vision without considerable growth in investment in environmental sustainability. Waiting for other levels of government to act has meant GEC has missed out on millions of dollars of partnership opportunities with State and Federal government and other providers.

Providing information as the main role to households and business is not in accordance with current best practice, nor with the leadership role outlined for Council in 2.5

Local government does not have ‘limited opportunities’ to influence greenhouse gas emissions in the community. On the contrary, Local Government has been a most active and influential player where it has committed and acted on community engagement. Local governments have developed policies, targets, programs, established partnerships, advocated and worked with the active community members to enable changes at the local level.

Paragraph 6 is incorrect. Several councils already adopted zero emissions targets, both for corporate or community emissions by varying specified dates.

The information on street lighting being a Victorian govt jurisdiction is not correct. The asset is privately owned with council responsible for the energy bills. There is absolutely no indication that state government will bear any costs for replacement to T5s. Council should look to a financial plan to change over lights. Installations are being updated elsewhere, for example, in Frankston

The action plan lists many areas for investigation without a clear intent or strategic goal. This risks an ineffective and inefficient use of council resources. ‘I investigated and found it was too costly, too hard,’ does nothing. Council must relate its practices to those best practices occurring across councils in Melbourne, set clear goals, standards and benchmarks. Setting a 5 star green standard for all new building means something. Becoming more environmentally sustainable these days does not and is no longer satisfactory performance for any municipality with the resources available to Glen eira.

In my view, the proposed waste management policy fails to meet the objectives of the vision statement. We are not getting ‘value for money’ and the policy will not help residents ‘improve the sustainability of their households’. The council needs to do a lot more homework on this issue....

An area of key interest to me concerns the protection of significant trees on private and public land….I note that this topic is covered by a two line sentence in the draft strategy, namely “to prepare options to identify significant trees on private and public land and a means to protect them.” While this is a good first step I am most concerned that it does not go far enough. In the first place the strategy only requires this action to be implemented by July 2012…..furthermore the action only calls for the development of options to identify trees and the means to protect them. It should include an implementation clause to ensure that procedures are actually put in place to protect the trees. Developing options cannot be a two year task. There are plenty of examples of procedures elsewhere.

 

The Draft document states that council ‘has limited ability to protect and enhance the local natural environment..’ this is clearly not the case. Council manages many hectares of park and street vegetation, and also has a role in managing water, energy consumption, pollution, pesticide and herbicide use, all of which impact on biodiversity. Council has a role in urban planning, including decisions about public open space and permeable areas mandated for developments.

The Draft document has confused biodiversity issues with other environmental issues. For example, ‘native vegetation’ is not necessarily indigenous vegetation, and ‘purchasing environmentally friendly products and services’ does not necessarily protect biodiversity. Nor does ‘effectively’ discharging storm water protect biodiversity. There is a need to integrate biodiversity strategy with other strategies, especially street tree strategy, water strategies, and urban building codes, otherwise biodiversity initiative might be annulled by contradictory policy in other areas.

Residents would expect council to be moving progressively toward building a sustainable future based on being socially sustainable, economically sustainable, and environmentally sustainable. The draft seems to recognise this objective but fails to draw up a strategic document that could be used effectively as a planning instrument to fulfil this goal of becoming a sustainable council.

The following article appeared in yesterday’s Caulfield Leader –

 

Letter uproar: Councillors slam former deputy over CEO allegations

“GLEN Eira councillors have strongly denied former deputy mayor Helen Whiteside’s claims of ‘‘bad governance’’ and ‘‘unacceptable behaviour’’ while continuing to suppress her threepage letter of resignation.  

Councillors were to vote on whether to release the letter at last week’s council meeting, but Cr Michael Lipshutz moved a motion to just ‘‘note’’ her resignation instead. Though Cr Jim Magee pushed for it to be made public, his requests were largely ignored.

Mrs Whiteside has provided more detail about her decision to quit on July 30. She said she wanted to know why the cost of reappointing chief executive Andrew Newton – who has held the role for 10 years – soared from $6500 to $44,000. Mr Newton was reappointed for two years in April. ‘‘I was aware of the cost and how it was escalating,’’ Mrs Whiteside said. ‘‘I was on the committee and I was not kept in the loop. I was appalled the cost of reappointing him was over $44,000 when I left office.’’

Mayor Steven Tang refuted suggestions of bad behaviour. ‘‘To the extent former councillor Whiteside’s comments are based on attributing ulterior motives to opposing views, I reject this inference wholeheartedly,’’ he said.

Cr Michael Lipshutz said he was saddened and disappointed ‘‘that Helen has not only resigned but has done so with spite and malice denigrating in such an untruthful way the council and her colleagues’’. Cr Margaret Esakoff is the new deputy mayor.” (end of article)

It is with sheer amazement that we read Whiteside’s ‘explanation’ for her departure. If this is not disingenuous then we don’t know what is! Professed concern for ratepayers $44,000 is ‘noble’ – but hey! This information was made public months and months ago via a public question. So it’s only now that Whiteside quits? Why the silence for months and months? Perhaps the real reason is not our hard earned cash being spent, but the simple fact that her preference was a five year term for Newton. Seems that her admitted ‘disappointment’ at the two year contract is a more plausible reason. Further, given Magee’s support of this position, then of course he would also push for the release of her letter.

Then we have the ‘other side’ – Lipshutz and co. Seems that their tirade against Whiteside and the resultant bad publicity, has cautioned them to write the following epistle which appeared in today’s Moorabbin Leader under the tag line We’re Here to Help –

“We write in response to an article ‘Glen Eira councillor walks out’ (Leader August 11th).  As Glen Eira councillors we have sworn an oath to undertake the duties of the office of councillor in the best interests of the people of the municipal district of Glen Eira.

We understand that in representing the people of Glen Eira we will disagree from time to time.

We respect each other’s right to hold informed but different views and have always understood that disagreement does not mean disharmony.

We encourage a spirit of debate at council where councillors may respectfully take diametrically opposed positions on one issue and then strongly agree on the next. These differences do not affect our ability to maintain professional and cordial relationships.

We look forward to welcoming our new councillor colleague and offer him or her all the assistance required  to fully and effectively represent the Glen Eira community.”

City of Glen Eira councillors.

We can now really rest assured that the ‘spirit of debate’ is alive and well and that there is no ‘disharmony’ within the wonderful ‘club’ that is Glen Eira!

Lipshutz in his tirade again Whiteside claimed:

“all Councillors without exception and whether or not agreeing with each other have concentrated on the issues and have not allowed any personal differences to impinge upon their work as Councillors. This is clearly reflected in the voting pattern inasmuch as there is no voting pattern.”

‘No voting pattern’ – you’ve got to be kidding. Residents have been repeatedly told that councillors engage in ‘robust’ and ‘vigorous’ debate. Pity is, that this does not occur in the Council chambers – only behind the veil of secrecy of councillor briefings. Councillor briefing meetings are meant to ‘inform’, not to orchestrate voting patterns that will later be performed for the gallery in the council chambers.

As evidence of the above, we ask readers to consider the following table. We have gone through the minutes of every council meeting since the election of the current crop of councillors and added up the number of resolutions put to the vote, and the actual number that were passed unanimously. The results are staggering – just on 90% of resolutions/recommendations have been passed unanimously. The vast majority that were merely ‘carried’, involved planning applications. Even here, the ‘carried’ vote overwhelmingly supported the officer recommendations. Paltry amendments came into play only when there were plenty of objectors!

The stuff that really mattered, such as major policies, and shoddy/misleading reports by council officers, were to an incredible degree accepted fully and generally without amendment. The last council meeting which was jam packed with important strategies that will determine future directions were all passed unanimously with some innocuous amendments such as ‘advocating’ to state and federal governments.

Please note that in the numbers provided we did not count such votes as leave of absence, confirmation of previous minutes, etc. 

The table is a sad indictment on the gross failure of Glen Eira Council to conduct itself with integrity. Add to the table the even more startling fact that most votes are taken with little or no debate, then the whole governance process reeks with repetitive breaches, over an extended period of time, of the provisions of the Local Government Act for open, transparent, and honest conduct of Council meetings. Clearly the whole council should be sacked.

Dateof Council Meeting No. ofResolutions for each meeting No. of resolutionspassed

UNANIMOUSLY

9th December 2008 2 2
16th December 2008 23 23
3rd February 2009 13 12
24th February 2009 22 19
17th March 2009 19 16
7th April, 2009 18 17
30th April 2009 10 9
12 May 2 2
19th May 2009 13 12
9th June 2009 17 13
30th June 2009 26 24
21st July 2009 19 18
11th August 2009 8 7
1st September 2009 21 20
22nd September 2009 14 13
13th October 2009 19 15
4th November 2009 19 19
24th November 2009 21 18
15 December 2009 25 22
2nd February 2010 13 12
23rd February 2010 12 10
16th March 2010 8 6
17th March 2010 1 1
7th April 2010 9 9
27th April 2010 13 11
17th May 2010 19 17
8th June 2010 16 14
22nd June 2010 1 1
29th June 2010 23 20 (and one lost motion)
20th July 2010 17 12
10th August 2010 18 18
     
TOTAL 461 412 EQUALS 89.37%
     

From the minutes of August 8th 2010 Council Meeting –

Right of reply

(a) Cr Lipshutz – “I wish to make a personal statement and it arises from an article in The Leader that was published today.

Helen Whiteside was first elected in 2005 with me. Indeed we campaigned together and worked closely together since that time. We are not only colleagues but friends, showing very similar views as to what sort of city we wanted Glen Eira to be. Accordingly while I wish to pay tribute to the significant work Helen performed as a Councillor, I have to say I am saddened and disappointed that Helen has not only resigned but has done so with spite and malice in denigrating in such an untruthful way the Council and her colleagues. Colleagues who honoured her by electing her as a Mayor and a Council which she once lead.

I firmly believe that we were elected to make decisions on behalf of residents but equally as a functioning democracy we don’t always win every battle. You win some. You lose some. But essentially the Council or indeed any level of government to function properly there must be respect that the majority decision prevails. One does not take one’s bat and ball home merely because you lost a vote. You didn’t agree with the umpire’s decision. Regrettably, Helen has been unable to accept the majority decision. I recall that when she was first elected, she was faced by attack by certain members of the public about her role as a nurse. She wanted to resign. When she was elected I said only the preferences from Cr Penhalluriack and me she was miffed and wanted to resign. In each case, she was successfully prevailed upon to remain. In this case she could not accept the decision with respect to the re-appointment of the CEO and removed herself from her colleagues. She fomented dissent and division and ceased to be a team player.

 In a leading article in The Leader she cites her reason for resigning as the continued investigation by the Local Government Investigation and Compliance Inspectorate, the re-appointment of the CEO and some Councillors’ unacceptable behaviour.

It is my considered view that Council has worked well, co-operatively and respectfully to each other and Officers. I am unaware as to any matter of such magnitude as would warrant a resignation and indeed all Councillors without exception and whether or not agreeing with each other have concentrated on the issues and have not allowed any personal differences to impinge upon their work as Councillors. This is clearly reflected in the voting pattern inasmuch as there is no voting pattern. Councillors look at issues and decide on issues and not on personalities. It is decidedly healthy that there are differences of opinion and that those opinions whether expressed here in the chamber or elsewhere are stated without fear. On occasions debate and discussions have been robust but in all the time that I have been a Councillor we have always been able to agree to disagree. There’s only one Councillor in all the time that I have been on Council has been unable to do so – it has been Helen who removed herself in recent times from the Councillor Group. Clearly she does not wish to be associated with the other 8 Councillors. Who was guilty of bad behaviour? 

Helen has also raised the ongoing investigation. Let it be clear that the Inspectors have told me that the Inspectorate will investigate any matter brought before them no matter how spurious. This Council and every Councillor has not only fully cooperated with the Inspectorate but has afforded the Inspectorate access to every document for which a request has been made. I totally and categorically reject any suggestion that Councillors have not complied with the Municipal Inspector’s requests. 

Any suggestion or any or innuendo to the contrary is absolutely false. Helen has also asserted that there has been no that there have been decisions made leading to bad governance. Regrettably again she forms that view because she was a minority position. While we can always do things better I am confident that Councillors are well aware of the need for good governance and we have complied with all requirements. 

I can respect that Helen in keeping with her record of threatening to resign when the going gets tough has now resigned but I find it unacceptable and inappropriate that in doing so she has demeaned and denigrated the organisation that she has led as a Mayor.

It is sad that Helen has sour grapes towards her colleagues but to suggest that Council is not united, to suggest that Councillors are or have been engaged in bad behaviour or that there are significant governance issues is not just incorrect but is plainly wrong. 

I, for one, have never considered resigning, nor will I. Barring any unforeseen circumstances, I will be serving my full term and I am committed to ensuring this Council continues to work as it has to date: co-operatively, respectfully and diligently. When I lose a vote, I will not pack up and leave.”

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.

From Agenda items for Tuesday’s Council Meeting:

“Cr Whiteside’s submitted a three page letter of resignation. Councillors have been provided with a copy of her letter. Her resignation took effect on Friday 30 July” 2010.”

AND

“Determine whether to publicly release former Cr Whiteside’s letter of resignation with any redactions as may be deemed necessary pursuant to S77(2) of the Local Government Act 1989.”

Once more there is plenty of scope for speculation. Did Whiteside spit the dummy over policy issues? If so, then surely the community has every right to know the bases of such policy disagreements. Only when issues are out in the open, and individuals given the opportunity to mount their case will residents receive the kind of council they expect. The cloak of silence is anathema to good governance.

Or, did Whiteside’s letter denigrate officers/councillors? If so, then this still is no excuse for secrecy. Both Councillors and officers are afforded the opportunity under Local Law to engage their ‘Right of Reply’. This has been done numerous times in the past.

Or, was the Municipal Inspector’s involvement the catalyst for this final spitting of the dummy? Who knows?

One thing is clear – Whiteside could have announced her retirement at next week’s council meeting. She chose not to. Three typed pages also does not suggest an amicable departure. Nor does the potential gag of the ‘confidentiality clause’ fill residents with confidence. The test now is to see what individual councillors decide and their ‘reasons’ for such decisions.

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