The Model Code of Conduct for Local Councils in NSW

1. The Model Code of Conductfor Local Councils in NSW

2. 2 The Model Code of Conduct • Learning outcomes • To know your obligations under the Model Code of Conduct • To understand how the code operates in practice

3. 3 Why have a code of conduct • Sets minimum standards of behaviour for council officials • Ensures consistency of standards across councils • Ensures public confidence in the integrity of council and the sector as a whole

4. 4 To whom does the code apply • • Every council is required to have a code of conduct • Applies to “council officials” • elected councillors • the general manager • all persons employed by council • delegates of council • administrators

5. 5 Council’s adopted code • Councils can adopt the Model Code without amendment • Amendments to the Model Code are only valid if they are not inconsistent with the Model Code • Amendment is not inconsistent because it imposes more onerous standard

6. 6 Structure of the Model Code • • Part 1: Context – purpose & principles used to interpret the standards in the Model Code • Part 2: Standards of conduct – these are enforceable • Part 3: Procedures – guides the management of complaints about breaches of the code of conduct

7. 7 Key principles • The Model Code is based on the eight key principles • Group exercise: The key principles and your council

8. 8 Ethical decision making • • Is my decision • lawful • consistent with council’s policies and objectives • considered other parties • raise conflict of interests • in the public interest and can withstand public scrutiny

9. 9 The Model Code standards • • General conduct • Conflict of interests • Personal benefits • Relationships between council officials • Use of information and council resources • Reporting breaches

10. 10 General conduct obligations • • Avoid conduct that could constitute an act of • disorder or misbehaviour • Avoid conduct that is unlawful, improper or unethical • Exercise your powers in a proper and responsible manner • Treat others with respect

11. 11 Conflicts of interests • • A conflict of interests exists where • you could be influenced or • a reasonable and informed person would perceive that you • could be influenced • by a personal interest when carrying • out your public duty

12. 12 Conflicts of interests (continued) • You must identify potential conflicts of interests and resolve them in the public interest • Two types: - Pecuniary conflicts of interests - Non-pecuniary conflicts of interests

13. 13 Overview Resolving Conflicts of Interests Less than significant non-pecuniary Significantnon-pecuniaryandpecuniary Must declare and nature of interest Must declare and nature of interest Explain why no further action required Leave the meeting area

14. 14 Pecuniary interests • “Reasonable likelihood or expectation of appreciable financial gain or loss” • On your part or on part of associated person

15. 15 Councillor pecuniary interest obligations • • Lodge initial and annual returns disclosing • required details • • Declare pecuniary interests at meetings • Leave meeting – out of sight

16. 16 Declaration of pecuniary interests • Declaration must be made at meeting • Nature of the interest to be stated and recorded in minutes • Do not participate in the debate or the vote • Leave and remain out of sight of the meeting • Do not return until business completed

17. 17 Non–pecuniary conflicts of interests • An interest that does not amount to a pecuniary interest under the Act • An interest giving rise to conflict as per clause 7.10 of Model Code • Model Code recognises two forms of non-pecuniary conflict of interests: - significant - less than significant

18. 18 Managing non-pecuniaryconflicts of interests • • Consider the following • do you have a personal interest in a matter you are officially involved in? • public perception • is the conflict significant (clause 7.16 Model Code)? • if less than significant, minimum is: • disclosure in writing • record nature of interest in minutes • provide explanation of why you consider further action is not required

19. 19 Managing non-pecuniaryconflicts of interests (continued) • • If you have a significant non-pecuniary conflict of interests then you must: • remove the source of the conflict, or • have no involvement in the matter

20. 20 Exercise • Case Study: “Bowled Out?”

21. 21 Non–pecuniary conflicts of interests – political donations • Political donations may give rise to a non-pecuniary conflict of interests • Some political donations require specific action to be taken

22. 22 Non–pecuniary conflicts of interests – political donations • Must be treated in same way as a significant non-pecuniary conflict of interests if: - donation over $1000 (“reportable donation”) - received in the previous 4 years - donor has a matter before council

23. 23 Exercise • Case Study: “Political Donation”

24. 24 Gifts and benefits • Two kinds: - token - of value

25. 25 Gifts and benefits • Do not accept gifts or benefits of value • Never accept offer of money • Only accept gifts of token or nominal value that do not create a sense of obligation • Consider improper and undue influence

26. 26 Exercise • Case Study: “Tickets for the State of Origin”

27. 27 Roles of council officials • Councillors’ policy-making role • Role of general manager • Staff to undertake duties in diligent manner • Right to question unlawful directions

28. 28 Interactions between council officials • • Councillors and staff must interact in an • appropriate manner • • Councillors must not seek to direct, influence • or interfere with staff in performance of their duties • Inappropriate interactions are a breach of the code

29. 29 Exercise • Case Study: “Road to Trouble”

30. 30 Exercise • Case Study: “The Planner and Access”

31. 31 Access to information • • Staff to provide full and timely information to councillors • in accordance with council procedures and law • • Information given to one councillor should, on request, • be available to all • Obligation on councillors/administrators to examine all information carefully in order to make well informed decisions on matters they are dealing with

32. 32 Use of council information • • Confidential information must • not be used to harm council or anyone else • not be disclosed to unauthorised people • only be used for council purposes and • not be used for personal benefit • • You must protect personal information

33. 33 Exercise • Case Study: “Keep it Confidential”

34. 34 Use of council resources • Not to be used for personal or private purposes • Re-election is a personal interest on the part of a councillor

35. 35 Reporting breaches of the code of conduct • • Report breaches of the code of conduct to • the general manager, in writing • • Reports about general manager are to be • made to Mayor, in writing • Allegations of suspected breaches not to be made at council meetings or in public forums

36. 36 Protected Disclosures • • Must be made to • council’s Protected Disclosures Officer or • general manager or • ICAC (corrupt conduct) • NSW Ombudsman (maladministration) • Department of Local Government • (serious and substantial waste) • • Must show or tend to show corrupt conduct, maladministration or serious and substantial waste

37. 37 Complaints about staff, delegates & council committee members • • Complaints about staff to be made to general manager • • General manager may make enquiries, determines course of action • • Where general manager makes no enquiries must give reasons in writing • • Enquiries by general manager must comply with the • relevant industrial award and procedural fairness • Sanctions depend on the severity, scale and importance of the breach

38. 38 Complaints about councillors and general manager • Complaints about councillors to be made to general manager • Complaints about general manager to be made to Mayor • General manager/Mayor assess complaint • Options for general manager/Mayor: - take no further action, giving reasons in writing - resolve using appropriate strategies - discontinue & refer to more appropriate body - refer to conduct review committee/reviewer

39. 39 Conduct review committee/reviewer • • Council must appoint 3 or more persons independent of council to act as conduct reviewers: • can act for more than one council • must operate in accordance with guidelines, as a minimum • a sole reviewer can be chosen • committee must consist of at least 3 members

40. 40 Role and procedures ofconduct review committee/reviewer • • Have same complaint handling options as general manager/Mayor • May make enquiries to establish the facts • of the allegation • • Operate according to rules of procedural fairness • • Make report/recommendation to council • Report on findings only at completion of deliberations

41. 41 Sanctions • • Imposed after a determination that code has been breached by councillor or general manager • Council has range of options regarding sanctions: • - Censure the councillor • - Require an apology • - Counsel the councillor or general manager

42. 42 Reporting on complaints • General manager: - must report annually to council on code of conduct complaints

43. 43 Suspension of councillors– DLG and PIDT • • May suspend a councillor if • Behaviour has been disruptive over a period • More than one incident of misbehaviour • The pattern of behaviour is sufficiently serious to warrant suspension or • Single incident of misbehaviour is sufficiently serious • to warrant suspension

44. 44 Suspension of councillors (continued) • • Process can be commenced • On request of council • On request by Director General • Report from Ombudsman or ICAC states there • are grounds for suspension

45. 45 Council requests for suspension • • Council can only request suspension if • the councillor has been censured on two or more occasions • the councillor has been expelled from a meeting on • at least one occasion • the councillor’s behaviour is sufficiently serious to • warrant suspension

46. 46 Director General’s powers of suspension • Suspend a councillor for up to one month or • Refer a matter to the Local Government Pecuniary Interest and Disciplinary Tribunal (PIDT) only where the councillor has previously been suspended

47. 47 The PIDT’s powers of suspension • Counsel the councillor • Reprimand the councillor • Suspend a councillor for up to six months • Suspend councillor’s right to remuneration for up to six months without suspending the councillor