The City of Parramatta sought the community's input into recent amendments to the Councillors’ Expenses and Facilities Policy. These amendments have now been endorsed by Council.

The amendments were proposed to provide clarity to Councillors, staff and the community on Councillor access to reimbursements for legal assistance, and bring the policy into line with the advice and guidance provided by the Department of Premier and Cabinet and Office of Local Government.

These amendments have been summarised as below and in the Proposed Amendments document available for download in the resource section, along with the full draft Councillors’ Expenses and Facilities Policy.

Proposed Amendments – Councillors’ Expenses and Facilities Policy – May 2020

Original

  1. Council may, if requested reimburse the reasonable legal expenses of:
  • a Councillor defending an action arising from the performance in good faith of a function under the Local Government Act, provided that the outcome of the legal proceedings is favourable to the Councillor;
  • a Councillor defending an action in defamation, provided the statements complained of were made in good faith in the course of exercising a function under the Local Government Act in a Council meeting or on Council related business (such as on-site meetings) and provided that Council is satisfied that such statements complained of occurred during the bona fide consideration of Council business, in good faith and without malice and the outcome of the legal proceedings is favourable to the Councillor;
  • a Councillor for proceedings before an appropriate investigative or review body, provided the subject of the proceedings arises from the performance in good faith of a function under the Local Government Act and the matter has proceeded past any initial assessment phase to a formal investigation or review and the investigative or review body makes a finding substantially favourable to the Councillor.

Proposed

  1. Council may, if requested, indemnify or reimburse the reasonable legal expenses of:
  • a Councillor, or former Councillor, defending an action arising from the performance in good faith of a function under the Local Government Act, provided that the outcome of the legal proceedings is favourable to the Councillor, or former Councillor;
  • a Councillor, or former Councillor, defending an action in defamation, provided the statements complained of were made in good faith in the course of exercising a function under the Local Government Act in a Council meeting or on Council related business (such as on-site meetings) and provided that Council is satisfied that such statements complained of occurred during the bona fide consideration of Council business, in good faith and without malice and the outcome of the legal proceedings is favourable to the Councillor, or former Councillor;
  • a Councillor, or former Councillor, for proceedings before an appropriate investigative or review body, provided the subject of the proceedings arises from the performance in good faith of a function under the Local Government Act and the matter has proceeded past any initial assessment phase to a formal investigation or review and the investigative or review body makes a finding substantially favourable to the Councillor, or former Councillor.

Original

  1. Reimbursement of expenses for reasonable legal expenses must have Council approval by way of a resolution at a Council meeting prior to costs being incurred. Any reimbursement of a Councillor’s, reasonable legal costs by Council would also be subject to:
  • the amount of such reimbursement being reduced by the amount of any monies that may be or are otherwise recouped by the Councillor, on any basis;
  • the amount of such reimbursement of solicitors fees being limited to the extent that only fees charged at a rate equivalent to the average hourly rate then being charged by Council's legal services panel will be paid (i.e. any portion of the expenses representing any hourly charge rate higher than the then average hourly charge rate then being charged by law firms on Council's legal services panel will not be reimbursed). Where Counsel is used, the reimbursement of Counsel fees is to be submitted to Council for approval; and
  • any reimbursement not including any damages awarded to, or made against the Councillor.

Proposed

  1. Reimbursement of expenses for reasonable legal expenses must have Council approval by way of a resolution at a Council meeting prior to costs being incurred. Any reimbursement of a Councillor’s, or former Councillor’s, reasonable legal costs by Council would also be subject to:
  • the amount of such reimbursement being reduced by the amount of any monies that may be or are otherwise recouped by the Councillor, or former Councillor, on any basis;
  • the amount of such reimbursement of solicitors fees being limited to the extent that only fees charged at a rate equivalent to the average hourly rate then being charged by Council's legal services panel will be paid (i.e. any portion of the expenses representing any hourly charge rate higher than the then average hourly charge rate then being charged by law firms on Council's legal services panel will not be reimbursed). Where Counsel is used, the reimbursement of Counsel fees is to be submitted to Council for approval; and
  • any reimbursement not including any damages awarded to, or made against the Councillor, or former Councillor

Have Your Say!

The draft Councillors’ Expenses and Facilities Policy exhibition has now closed as of 17 June 2020 at 5:00PM.

Thank you to everyone who provided feedback. These amendments have been endorsed by Council in 2020.