Significant improvement at Yarriambiack Shire – LG Inspectorate

The Local Government Inspectorate has found a significant improvement in governance and culture at Yarriambiack Shire Council since a 2019 investigation report.

The investigation focussed on allegations that community assets and resources had either not been properly managed or were used for the benefit of individuals.

It found significant issues including a lack of accountability, a lack of responsible use of resources, and poor governance generally. A number of the issues related to asset and resource management at the Council’s Hopetoun depot, with minimal oversight by council administration.

An inspectorate review of documentation and interviews with staff in 2022 demonstrated positive change leading to improved governance.

Chief Municipal Inspector Michael Stefanovic congratulated previous and current CEOs Jessie Holmes and Tammy Smith for delivering on a commitment to address the issues identified in the 2019 report.

Full LGI media statement:

The Local Government Inspectorate has found that Yarriambiack Shire Council’s governance and culture has significantly improved since its publication of a critical report in 2019. A visit by the Inspectorate in 2022 identified that council had addressed each of the recommendations made in the report.

The 2019 investigation focused on allegations that community assets and resources had either been not properly managed or were used to the benefit of individuals, not the community as a whole. In its report, the Inspectorate identified significant issues including a lack of accountability, a lack of responsible uses of resources and general poor governance.

A number of the issues experienced by the council were in relation to the management of council assets and resources at the Hopetoun depot. Poor governance practices were identified, as a result of a lack of leadership at the depot, limited staff education, and minimal oversight by council administration.

The Inspectorate had previously conducted a governance review in 2011 that highlighted numerous governance failings at the council. Unfortunately, it was apparent that significant improvement had not taken place between 2011 and 2019.

In 2022, the Inspectorate visited the council to review documentation and interview staff as part of the latest governance examination. It was immediately clear that there had been positive change at the council leading to improved governance. It was also noticeable that staff were far more invested in the organisation.

In the period between the 2019 investigation and our 2022 examination, council provided the Inspectorate with updates about actions that had been taken or were to be taken, and our visit confirmed that each of these had either been started or completed.

Chief Municipal Inspector Michael Stefanovic AM said “Congratulations is to be given to previous Chief executive officer (CEO) Jessie Holmes, and current CEO Tammy Smith for delivering on a commitment to address the significant number of recommendations included in the 2019 report.

“The council executive is to be commended for directing resources into important governance areas, that have delivered positive outcomes.
“In discussions with staff, we were met with a distinctly different attitude and culture from that witnessed previously. There was an enthusiasm from staff as they variously described the improvement in leadership values and the gains made through the implementation of various governance systems and processes.

“This was backed up by staff surveys, where there was an 80 per cent satisfaction level, which was a marked improvement from previous surveys.”

To facilitate these improvements, the council introduced an automated compliance management tool which improved efficiency and accountability. New human resources and Finance systems have also allowed staff to better manage their responsibilities.

All staff are now required to undertake training that is specific to their roles, as well as being familiar with the requirements of the staff code of conduct. Training was previously only undertaken in an ad-hoc manner.