MELTON council is “extremely disappointed” that a referendum for constitutional recognition of local government has been called off.
The referendum, proposed by former prime minister and Lalor MP Julia Gillard, was postponed because of the new September 7 election date. Constitutional law means the earliest a referendum could be held is September 14.
If successful, the referendum would have allowed the federal government to make direct payments to councils, bypassing state governments.
Melton mayor Kathy Majdlik said the council hoped some of the $10,000 it contributed to the ‘‘yes’’ campaign would be returned.
“Melton city council is extremely disappointed that the referendum has been postponed,” she said. “Financial recognition of local government is a loophole that needs to be closed to ensure that federal funding continues to be available for important local projects.”
Municipal Association of Victoria president Bill McArthur said MAV was trying to get council-contributed money returned, but some funds had already been spent on advertising.
“The Australian Local Government Association is in talks with the Commonwealth to work through this issue,” he said. “In the meantime, direct federal funding for community services and infrastructure continues to be at risk. This is not a problem that will go away unless the constitution is updated to reflect the modern roles of local government.”
As reported by the Weekly, Moorabool council decided not to contribute funds to the ‘‘yes’’ campaign, despite verbally backing it.