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This is a Bill, not an Act. For current law, see the Acts databases.
New South Wales
Local Government Amendment (Ethics
Review Panel) Bill 2000
Contents
Page
1 Name of Act 2
2 Commencement 2
3 Amendment of Local Government Act 1993 No 30 2
4 Amendment of Defamation Act 1974 No 18 2
Schedules
1 Amendment of Local Government Act 1993 3
2 Amendment of Defamation Act 1974 14
b00-700-p02.842
New South Wales
Local Government Amendment (Ethics
Review Panel) Bill 2002
No , 2002
A Bill for
An Act to amend the Local Government Act 1993 to provide for the establishment
of an Ethics Review Panel to monitor and investigate local councils and
councillors; and for other purposes.
Clause 1 Local Government Amendment (Ethics Review Panel) Bill 2002
The Legislature of New South Wales enacts: 1
1 Name of Act 2
This Act is the Local Government Amendment (Ethics Review Panel) 3
Act 2002. 4
2 Commencement 5
This Act commences 3 months after the date of assent, unless 6
commenced sooner by proclamation. 7
3 Amendment of Local Government Act 1993 No 30 8
The Local Government Act 1993 is amended as set out in Schedule 1. 9
4 Amendment of Defamation Act 1974 No 18 10
The Defamation Act 1974 is amended as set out in Schedule 2. 11
Page 2
Local Government Amendment (Ethics Review Panel) Bill 2002
Amendment of Local Government Act 1993 Schedule 1
Schedule 1 Amendment of Local Government Act 1993 1
(Section 3) 2
[1] Chapter 14, Part 5 3
Insert after section 490: 4
Part 5 Local Government Ethics Review Panel 5
490A Establishment of Ethics Review Panel 6
There is constituted by this Act a body corporate with the 7
corporate name of the Local Government Ethics Review Panel. 8
490B Constitution of Ethics Review Panel 9
(1) The Ethics Review Panel consists of the following members: 10
(a) one officer of the Department appointed by the Minister 11
(who is to be Chairperson of the Panel), and 12
(b) one person appointed by the Minister on the 13
nomination of the Local Government and Shires 14
Associations of New South Wales (who is to be Deputy 15
Chairperson of the Panel), and 16
(c) two persons (not being members of the same 17
organisation) appointed by the Minister who, in the 18
Minister's opinion, have experience or expertise in the 19
field of ethics. 20
(2) Schedule 4A has effect with respect to the Ethics Review 21
Panel. 22
490C Functions of Ethics Review Panel 23
(1) The principal functions of the Ethics Review Panel are as 24
follows: 25
(a) to review the probity and ethical behaviour of 26
councillors, 27
Page 3
Local Government Amendment (Ethics Review Panel) Bill 2002
Schedule 1 Amendment of Local Government Act 1993
(b) to ascertain whether councillors are complying with 1
their duty under section 439 to act honestly and exercise 2
a reasonable degree of care and diligence in carrying out 3
their functions under this or any other Act, 4
(c) to review the compliance of councillors with their 5
relevant codes of conduct adopted by their councils 6
under section 440, 7
(d) to make recommendations and provide advice to 8
councillors on the ethical implications of their conduct, 9
(e) where the Panel considers it appropriate, to publish 10
recommendations made under paragraph (d), 11
(f) to report to Parliament regarding the ethical behaviour 12
of councillors and any other matters considered by the 13
Panel. 14
(2) The Ethics Review Panel may, as it sees fit: 15
(a) instruct, advise and assist councils, councillors and 16
members of staff of councils on ways to improve ethical 17
behaviour and practices, and 18
(b) educate councils, councillors, members of staff of 19
councils and the public on strategies to improve ethical 20
behaviour and practices in local government, and 21
(c) educate and disseminate information to the public on 22
the detrimental effects of unethical behaviour in local 23
government and the importance of maintaining the 24
integrity of local government. 25
(3) The Ethics Review Panel is to conduct its investigations with 26
a view to determining: 27
(a) whether any unethical conduct has occurred, is 28
occurring or is about to occur, and 29
(b) whether any laws governing councils, councillors or 30
members of staff of councils need to be changed for the 31
purpose of reducing the likelihood of unethical conduct, 32
and 33
(c) whether any methods of work, practices or procedures 34
of any council or councillor did or could allow, 35
encourage or cause unethical conduct. 36
Page 4
Local Government Amendment (Ethics Review Panel) Bill 2002
Amendment of Local Government Act 1993 Schedule 1
(4) The Ethics Review Panel may: 1
(a) make findings and form opinions, on the basis of the 2
results of its investigations, in respect of any conduct, 3
circumstances or events with which its investigations 4
are concerned, whether or not the findings or opinions 5
relate to unethical conduct, and 6
(b) formulate recommendations for the taking of action that 7
the Panel considers should be taken in relation to its 8
findings or opinions or the results of its investigations. 9
(5) The Ethics Review Panel is not to make a finding, form an 10
opinion or formulate a recommendation that section 74B 11
(Report not to include findings etc of guilt or recommending 12
prosecution) of the Independent Commission Against 13
Corruption Act 1988, as applied by section 490D of this Act, 14
prevents the Panel from including in a report, but this 15
subsection is the only restriction imposed by this Act on the 16
Panel's powers under this section. 17
(6) The following are examples of the findings and opinions 18
permissible under subsection (4) but do not limit the Panel's 19
power to make findings and form opinions: 20
(a) findings that particular persons have engaged, are 21
engaged or are about to engage in unethical conduct, 22
(b) opinions as to whether consideration should or should 23
not be given to the prosecution of or the taking of other 24
action against particular persons, 25
(c) findings of fact. 26
490D Application of provisions of Independent Commission Against 27
Corruption Act 1988 28
(1) The provisions of the Independent Commission Against 29
Corruption Act 1988 listed in subsection (2) apply to and in 30
relation to the Ethics Review Panel as if they were provisions 31
of this Act and as if: 32
(a) a reference to the Commission were a reference to the 33
Ethics Review Panel, and 34
(b) a reference to the Commissioner were a reference to the 35
Chairperson of the Ethics Review Panel, and 36
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Local Government Amendment (Ethics Review Panel) Bill 2002
Schedule 1 Amendment of Local Government Act 1993
(c) a reference to an Assistant Commissioner were a 1
reference to the Deputy Chairperson of the Ethics 2
Review Panel, and 3
(d) a reference to corrupt conduct were a reference to 4
unethical conduct, and 5
(e) a reference to a public official were a reference to a 6
councillor, and 7
(f) a reference to a public authority were a reference to a 8
council, and 9
(g) a reference to an officer of the Commission were a 10
reference to an officer of the Department exercising 11
delegated functions of the Ethics Review Panel under 12
section 490E, and 13
(h) the reference to section 74 in section 74B of that Act 14
were a reference to section 490C of this Act, 15
and with any other necessary modifications. 16
(2) For the purposes of subsection (1), the following provisions of 17
the Independent Commission Against Corruption Act 1988 18
apply: 19
(a) sections 10, 17, 18 and 19 (1) (other than section 10 (4) 20
and (5)), 21
(b) Division 2 of Part 4 (other than section 20 (4)), 22
(c) Division 3 of Part 4 (other than sections 30 (2) and 23
3636B), 24
(d) section 53, 25
(e) section 74B, 26
(f) section 112. 27
(3) For the purposes of section 661 of this Act, a notice under 28
section 21 or 22 or a summons under section 35 of the 29
Independent Commission Against Corruption Act 1988 as so 30
applied, is taken to be a direction given under Part 5 of Chapter 31
13 of this Act by a person authorised to give the direction. 32
Page 6
Local Government Amendment (Ethics Review Panel) Bill 2002
Amendment of Local Government Act 1993 Schedule 1
490E Delegation to Departmental officer 1
(1) The Ethics Review Panel may delegate to an officer of the 2
Department any of the Panel's functions under this Act, other 3
than this power of delegation. 4
(2) An officer of the Department may exercise delegated functions 5
under this Part and any other Part of the Act at the same time. 6
Note. For example, an officer of the Department exercising delegated 7
functions under this Part may also act as a Departmental representative 8
under Part 5 of Chapter 13 of the Act. 9
490F Annual reports 10
(1) The Ethics Review Panel must, within the period of 4 months 11
after each 30 June, prepare a report of its operations during the 12
year ended on that 30 June and furnish the report to the 13
Minister. 14
(2) A report by the Panel under this section in relation to a year 15
must include the following: 16
(a) a description of the matters that were referred to the 17
Panel, 18
(b) a description of the matters investigated by the Panel, 19
(c) any recommendations for changes in the laws of the 20
State, or for administrative action, that the Panel 21
considers should be made as a result of the exercise of 22
its functions, 23
(d) any other general recommendations regarding the ethical 24
behaviour of councillors, councils' codes of conduct or 25
other ethical issues relating to local government, 26
(e) a description of its activities during that year in relation 27
to its educating and advising functions. 28
(3) The report is to form part of the annual report of the 29
Department. 30
Page 7
Local Government Amendment (Ethics Review Panel) Bill 2002
Schedule 1 Amendment of Local Government Act 1993
[2] Schedule 4A 1
Insert after Schedule 4: 2
Schedule 4A Constitution and procedure of the 3
Ethics Review Panel 4
(Section 490B) 5
Part 1 General 6
1 Definitions 7
In this Schedule: 8
Chairperson means the Chairperson of the Panel. 9
Panel means the Ethics Review Panel. 10
member means any member of the Panel. 11
Part 2 Constitution 12
2 Terms of office of members 13
Subject to this Schedule, a member holds office for such period 14
(not exceeding 3 years) as is specified in the member's 15
instrument of appointment, but is eligible (if otherwise 16
qualified) for re-appointment. 17
3 Remuneration 18
A member (other than the Chairperson) is entitled to be paid 19
such remuneration (including travelling and subsistence 20
allowances) as the Minister may from time to time determine 21
in respect of the member. 22
4 Deputies 23
(1) The Minister may, from time to time, appoint a person to be the 24
deputy of a member, and the Minister may revoke any such 25
appointment. 26
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Local Government Amendment (Ethics Review Panel) Bill 2002
Amendment of Local Government Act 1993 Schedule 1
(2) In the absence of a member, the member's deputy may, if 1
available, act in the place of the member. 2
(3) While acting in the place of a member, a person: 3
(a) has all the functions of the member and is taken to be a 4
member, and 5
(b) is entitled to be paid such remuneration (including 6
travelling and subsistence allowances) as the Minister 7
may from time to time determine in respect of the 8
person. 9
(4) For the purposes of this clause, a vacancy in the office of a 10
member is taken to be an absence of the member. 11
5 Vacancy in office of member 12
(1) The office of a member becomes vacant if the member: 13
(a) dies, or 14
(b) completes a term of office and is not re-appointed, or 15
(c) resigns the office by instrument in writing addressed to 16
the Minister, or 17
(d) is removed from office by the Minister under this 18
clause, or 19
(e) is absent from 4 consecutive meetings of the Panel of 20
which reasonable notice has been given to the member 21
personally or by post, except on leave granted by the 22
Minister or unless the member is excused by the 23
Minister for having been absent from those meetings, or 24
(f) becomes bankrupt, applies to take the benefit of any law 25
for the relief of bankrupt or insolvent debtors, 26
compounds with his or her creditors or makes an 27
assignment of his or her remuneration for their benefit, 28
or 29
(g) becomes a mentally incapacitated person, or 30
(h) is convicted in New South Wales of an offence that is 31
punishable by imprisonment for 12 months or more or 32
is convicted elsewhere than in New South Wales of an 33
offence that, if committed in New South Wales, would 34
be an offence so punishable. 35
Page 9
Local Government Amendment (Ethics Review Panel) Bill 2002
Schedule 1 Amendment of Local Government Act 1993
(2) The Minister may at any time remove a member from office. 1
6 Filling of vacancy in office of member 2
If the office of any member becomes vacant, a person is, 3
subject to this Act, to be appointed to fill the vacancy. 4
7 Chairperson and Deputy Chairperson 5
(1) In the absence of the Chairperson, the Deputy Chairperson 6
may, if available, act in the place of the Chairperson. 7
(2) While acting in the place of the Chairperson, the Deputy 8
Chairperson has all the functions of the Chairperson and is 9
taken to be the Chairperson. 10
8 Disclosure of pecuniary interests 11
(1) If: 12
(a) a member has a direct or indirect pecuniary interest in a 13
matter being considered or about to be considered at a 14
meeting of the Panel, and 15
(b) the interest appears to raise a conflict with the proper 16
performance of the member's duties in relation to the 17
consideration of the matter, 18
the member must, as soon as possible after the relevant facts 19
have come to the member's knowledge, disclose the nature of 20
the interest at a meeting of the Panel. 21
(2) A disclosure by a member at a meeting of the Panel that the 22
member: 23
(a) is a member, or is in the employment, of a specified 24
company or other body, or 25
(b) is a partner, or is in the employment, of a specified 26
person, or 27
(c) has some other specified interest relating to a specified 28
company or other body or to a specified person, 29
is a sufficient disclosure of the nature of the interest in any 30
matter relating to that company or other body or to that person 31
which may arise after the date of the disclosure and which is 32
required to be disclosed under subclause (1). 33
Page 10
Local Government Amendment (Ethics Review Panel) Bill 2002
Amendment of Local Government Act 1993 Schedule 1
(3) Particulars of any disclosure made under this clause must be 1
recorded by the Panel in a book kept for the purpose and that 2
book must be open at all reasonable hours to inspection by any 3
person on payment of the fee determined by the Panel. 4
(4) After a member has disclosed the nature of an interest in any 5
matter, the member must not, unless the Minister or the Panel 6
otherwise determines: 7
(a) be present during any deliberation of the Panel with 8
respect to the matter, or 9
(b) take part in any decision of the Panel with respect to the 10
matter. 11
(5) For the purposes of the making of a determination by the Panel 12
under subclause (4), a member who has a direct or indirect 13
pecuniary interest in a matter to which the disclosure relates 14
must not: 15
(a) be present during any deliberation of the Panel for the 16
purpose of making the determination, or 17
(b) take part in the making by the Panel of the 18
determination. 19
(6) A contravention of this clause does not invalidate any decision 20
of the Panel. 21
9 Effect of certain other Acts 22
(1) Part 2 of the Public Sector Management Act 1988 does not 23
apply to or in respect of the appointment of a member. 24
(2) If by or under any Act provision is made: 25
(a) requiring a person who is the holder of a specified 26
office to devote the whole of his or her time to the 27
duties of that office, or 28
(b) prohibiting the person from engaging in employment 29
outside the duties of that office, 30
the provision does not operate to disqualify the person from 31
holding that office and also the office of a member or from 32
accepting and retaining any remuneration payable to the person 33
under this Act as a member. 34
Page 11
Local Government Amendment (Ethics Review Panel) Bill 2002
Schedule 1 Amendment of Local Government Act 1993
Part 3 Procedure 1
10 General procedure 2
The procedure for the calling of meetings of the Panel and for 3
the conduct of business at those meetings is, subject to this Act 4
and the regulations, to be as determined by the Panel. 5
11 Quorum 6
The quorum for a meeting of the Panel is a majority of its 7
members, of whom one must be the Chairperson or Deputy 8
Chairperson. 9
12 Presiding member 10
(1) The Chairperson (or, in the absence of the Chairperson, the 11
Deputy Chairperson) is to preside at a meeting of the Panel. 12
(2) The presiding member has a deliberative vote and, in the event 13
of an equality of votes, has a second or casting vote. 14
13 Voting 15
A decision supported by a majority of the votes cast at a 16
meeting of the Panel at which a quorum is present is the 17
decision of the Panel. 18
14 Transaction of business outside meetings or by telephone 19
(1) The Panel may, if it thinks fit, transact any of its business by 20
the circulation of papers among all the members of the Panel 21
for the time being, and a resolution in writing approved in 22
writing by a majority of those members is taken to be a 23
decision of the Panel. 24
(2) The Panel may, if it thinks fit, transact any of its business at a 25
meeting at which members (or some members) participate by 26
telephone, closed-circuit television or other means, but only if 27
any member who speaks on a matter before the meeting can be 28
heard by the other members. 29
(3) For the purposes of: 30
(a) the approval of a resolution under subclause (1), or 31
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Local Government Amendment (Ethics Review Panel) Bill 2002
Amendment of Local Government Act 1993 Schedule 1
(b) a meeting held in accordance with subclause (2), 1
the Chairperson and each member have the same voting rights 2
as they have at an ordinary meeting of the Panel. 3
(4) A resolution approved under subclause (1) is, subject to the 4
regulations, to be recorded in the minutes of the meetings of the 5
Panel. 6
(5) Papers may be circulated among the members for the purposes 7
of subclause (1) by facsimile or other transmission of the 8
information in the papers concerned. 9
15 First meeting 10
The Minister may call the first meeting of the Panel in such 11
manner as the Minister thinks fit. 12
[3] Dictionary 13
Insert in appropriate order: 14
Ethics Review Panel means the Local Government Ethics 15
Review Panel constituted by this Act. 16
Page 13
Local Government Amendment (Ethics Review Panel) Bill 2002
Schedule 2 Amendment of Defamation Act 1974
Schedule 2 Amendment of Defamation Act 1974 1
(Section 4) 2
Section 17KB 3
Insert after section 17KA: 4
17KB Matters relating to Local Government Ethics Review Panel 5
(1) There is a defence of absolute privilege for a publication to or 6
by the Local Government Ethics Review Panel constituted 7
under the Local Government Act 1993 or to any member of 8
that Panel as such a member. 9
(2) This section applies in relation to any hearing before the Local 10
Government Ethics Review Panel or any other matter relating 11
to the powers, authorities, duties or functions of that Panel. 12
(3) This section extends to publications made before the 13
commencement of this section. 14
Page 14
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