EDDIE WILLIAMS, HOST: Roads, rates, and rubbish, and childcare, disaster recovery, community transport, school holiday programs, even a laundromat. The role of local government has been changing and evolving over the years. It’s been growing. And a new report has found councils across the state are having to foot the bill for one and a half billion dollars in services each year, that they say should be funded by the state and federal governments. This report commissioned by Local Government New South Wales shows councils state-wide are absorbing more so-called cost shifting from the other levels of government, with that cost shifting up by around 10 per cent over the past few years.

Kristy McBain is the Minister for Local Government, and the Member for Eden-Monaro. Good morning.

KRISTY MCBAIN, MINISTERREGIONAL DEVELOPMENT, LOCAL GOVERNMENT AND TERRITORIES: Good morning.

EDDIE WILLIAMS: You’ve seen this as a mayor, and now as the federal minister. How much have you seen the role of local councils change?

KRISTY MCBAIN: I think local councils have substantially changed over the last number of years. I mean, in the last 10 or 15 years I think councils now play a critical role in that emergency response and recovery phase, which, you know, had not typically been the bailiwick of local councils. And I’ve seen that from a community level, and now as the Minister for Emergency Services, the role that councils play in response and recovery is absolutely critical for communities.

EDDIE WILLIAMS: So are they the best placed level of government for that sort of a role?

KRISTY MCBAIN: Yeah, clearly. I mean, they’ve got a local workforce and, you know, they have elected officials from that local area with, you know, that inside knowledge that the other levels of government just don’t have from that hyper-localised perspective. So it’s really important that there is a really strong partnership with local councils to be able to assist in times of emergency.

EDDIE WILLIAMS: Is that partnership there and particularly is the funding there for local councils to play these roles?

KRISTY MCBAIN: Yeah, that’s right. So obviously, you know, we rely heavily on councils in response and recovery, but, you know, that funding is there to assist them, whether it’s the immediate $1 million after a disaster is cleared to assist with clean-up, or whether it’s the ongoing disaster recovery funding arrangements where councils go and assess their infrastructure and then we work with the state government to ensure that funding can be made to- to be handed to councils to ensure that infrastructure can be repaired and replaced.

EDDIE WILLIAMS: What about the more day-to-day community services, things like childcare, aged care, disability care, the other sorts of programs that you see like community transport? Should that be part of the local government purview?

KRISTY MCBAIN: Well, I guess it’s up to every local council to prioritise the services that they’re providing in community. We’ve seen over recent times a number of councils pull out of aged care services in particular and hand those onto not-for-profits or to the market because it is a difficult sector to be operating in. In regards to childcare services, a lot of our councils are providing childcare services because there are no market operators that can do that in those areas, but there are obviously a range of funding buckets for childcare services in particular.

EDDIE WILLIAMS: Yeah, are the funding buckets all kind of working? You know, things like competitive grants are by definition competitive and some councils miss out. Where do things go from here to make sure councils have the money to deliver all this?

KRISTY MCBAIN: Well, I guess when we’re looking at competitive grants, we’re usually looking at new or upgraded infrastructure. So councils have got, you know, their own work to do in terms of understanding what their service and delivery plan is going to look like over any four-year term, what maintenance needs to be done on particular assets, and it’s up to them whether they apply for those grants to upgrade or have new assets in their community.

We have worked really closely with local councils in particular for a range of the funding options that are available through the federal government. We’re doubling Roads to Recovery, which is an automatic allocation to all of the 537 local council areas across the country to allow them to have more maintenance on local roads. And then we’ve got a range of competitive programs, including the Housing Support Program which is all about that enabling infrastructure to get more housing developments underway.

EDDIE WILLIAMS: What about Financial Assistance Grants? This is something a lot of local government groups talk about. Is the government willing to increase those?

KRISTY MCBAIN: Financial Assistance Grants is over $3 billion every year. This year’s $3.4 billion is allocated across the country to councils. We have brought forward over $1.7 billion in Financial Assistance Grants, which was paid to councils before the end of the financial year, to assist with a range of service delivery for local councils. There’s long been calls to increase that, but we also don’t want to replace the requirement of the states to do their part in this as well, and a lot of that cost shifting we’re talking about is coming from the state government requirements. And we want to make sure that there is enough money for weeds maintenance for local councils. We want to make sure that there is a range of funding opportunities that also come from the state, because it’s a requirement of all three levels of government to be working together.

EDDIE WILLIAMS: All three levels working together? Are you all getting into the same room to try to sort this out?

KRISTY MCBAIN: Look, I chair the Local Government Ministers’ Forum, and we’ve had some broad agreement on some of the things that need to be addressed, including a simple national accounting standard for local governments. It’s different across the jurisdictions. And a national approach to how councils actually, I guess, grade their assets and when they maintain them so that when grants are being applied for, we’re really comparing apples and apples across the country.

EDDIE WILLIAMS: There is a federal inquiry into local government sustainability that’s been underway. Is the Government willing to take some meaningful action, potentially look at some reforms, depending on what that inquiry recommends?

KRISTY MCBAIN: Yeah, well, it’s the first local government inquiry in over two decades. And when we look back 20 years ago, the iPhone wasn’t invented and Silverchair was still a band at the top of the chart. So it’s really important, I think, that the inquiry completes its work. We’ll reconstitute that committee so it can finalise the report. But clearly the reason we’ve done that is so that we can get a really good understanding of where the system needs to improve and how we can make that work.

EDDIE WILLIAMS: You’re hearing from Kristy McBain, the Minister for Local Government and Emergency Management and the Member for Eden-Monaro. On another issue, the NSW Health-funded Goulburn Urgent Care Service has come to an end, attracting and retaining healthcare staff to the regions being one of the challenges cited there. How confident are you that a federally funded Medicare Urgent Care Clinic in Bega will open this year and will stay viable?

KRISTY MCBAIN: Yeah, well, the closure of the Urgent Care Service in Goulburn was a very disappointing outcome for the community, and one I’ve been working to try to prevent. I’ve been advocating with the NSW Government for it to remain open. It was a well-utilised service, but ultimately the service’s contract was negotiated by the NSW Government, and the state needs to work on their model. But the Medicare Urgent Care Clinics have been a real game-changer across our health sector. In Queanbeyan alone, we’ve had more than 12,000 free presentations since it opened last year, which I think is a real testament to how much this was needed. And anecdotally, we’ve heard from a range of people that utilise the Queanbeyan Hospital, and they’ve said that it’s taken significant pressure off the hospital, which is fantastic.

We’re providing $644 million to establish another 50 Urgent Care Clinics across the country, including in the Bega Valley. The provider will be negotiated through an independent process by the Primary Health Network, and we’re really confident that it will run effectively like it does in a range of other regional areas across the country.

EDDIE WILLIAMS: When will that open?

KRISTY MCBAIN: It will go through that independent process which is being commissioned at this point in time, and I don’t have an exact date on when that’s due to finish. But as soon as I’ve got some more info, I will be out there sharing it with the community.

EDDIE WILLIAMS: And the way that will work, the way that relationship and provider comes about, is that something that will be ongoing into the long term, or a sort of year-to-year contract? How do you expect that to look?

KRISTY MCBAIN: Yeah, well the contracts are negotiated and dealt with through the Primary Health Network. It’s run at arm’s length from the federal government because we’ve got Primary Health Networks that cover every corner of Australia, and they do their job in making sure that we’ve got providers that can work within the community, and the Urgent Care Clinics are staffed effectively for our communities.

EDDIE WILLIAMS: Kristy McBain, I appreciate your time this morning. Thank you.

KRISTY MCBAIN: Great to be with you.

EDDIE WILLIAMS: The Member for Eden-Monaro, Minister for Local Government and Emergency Management, Kristy McBain.