Several New England North West councils are facing the axe after the NSW Government released a damning report card from the Independent Pricing and Regulatory Tribunal (IPART) today.
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Guyra Shire Council has been deemed 'not fit' to remain an independent rural council. The Rural Council Proposal was the preferred option put forward in response to the Fit for the Future initiative. The recommendation is that Guyra become part of a New England Joint Organisation or merge with Armidale.
Eight local government areas in the region including Armidale Dumaresq, Guyra, Gwydir, Liverpool Plains, Tenterfield Shire, Uralla, Walcha and Warrumbungle Shire councils have been told they are "not fit" to stand alone.
The report by IPART found more than 56 per cent of regional NSW councils were assessed as "unfit" to remain stand-alone councils.
"Four years of independent research, analysis and NSW government consultation with councils and the community has shown that the current system of local government is not working as well as it should be," NSW Premier Mike Baird said.
According to the report, 60 per cent of councils across the state are not suitable to stand alone into the future, and the state could save $20 billion over 20 years if they were merged.
"With 60 per cent of councils not fit for the future, this IPART report shows the situation is now critical and that action is needed to ensure ratepayers get value for money and the services and infrastructure they deserve," Mr Baird said.
The report, which was made public on Tuesday in Sydney by Mr Baird and Local Government minister Paul Toole, is expected to anger local councils who have maintained opposition to forced amalgamations, under the Fit for the Future scheme.
Councils have 30 days to respond to the report.
More details in Thursday's Guyra Argus
