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ARTICLE · 23 MAY 2013

Constitutional recognition of local government: a much-needed reform

Corrs Chambers Westgarth
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A referendum on constitutional recognition of local government would be a step towards securing financial certainty.

AustraliaGovernment, Public Sector
Luke McDonald
Luke McDonald
Samuel Volling
Samuel Volling
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The Commonwealth Government's proposal to hold a referendum on Constitutional recognition of local government is a welcome step towards securing certainty around the financial future of local government. This reform is much needed, and long overdue.

Earlier this month, Prime Minister Julia Gillard announced the Commonwealth intends to hold a referendum on 14 September 2013, the date of the Federal Election, on financial recognition of local government in the Australian Constitution.

The referendum will seek to amend section 96 of the Constitution to expressly enable the Commonwealth to financially assist local government bodies.

Section 96 currently allows the Commonwealth to "grant financial assistance to any State on such terms and conditions as the Parliament sees fit."

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