Transcript Local Government`s Role in Fostering National Productivity and

AUSTRALIAN LOCAL
GOVERNMENT ASSOCIATION
Local Government’s Role in Fostering
National Productivity and Innovation
Mayor Troy Pickard, President
Australian Local Government Association
18 May 2016
About ALGA
• Federation of state and territory local government
associations
• Established in 1947
• Municipal Association of Victoria is a member
• MAV represented by Cr Bill McArthur and
Cr Coral Ross
• Cr Bill McArthur is ALGA’s Senior Vice President
• Small secretariat based in Canberra
Role of Productivity & Innovation
One of the “3 Ps” contributing to growth:
• Population increases
• Productivity growth
• Participation in the workforce
• Productivity growth has been slower than
it should have been in the last decade
• Maintaining and growing future living
standards dependent on higher
productivity growth
Productivity on the COAG Agenda
New national economic reform agenda to achieve:
• A stronger more productive economy,
• Greater fairness and equity, and
• More efficient and high quality services.
Local government needs to respond to and play its part in
this national agenda
Local Government’s Role
Local Government performs an important role in
facilitating and driving productivity and innovation.
Major Economic Contributor:
• Employs more than 187,000 people - 10% public sector
• Annual operational expenditure in excess of $33b
• Manages non-financial assets worth more than $354b
Enables Productivity and Innovation:
• Provides infrastructure and services
• Shapes local regulatory and planning regimes
• Collects data and could collect more – digital transformation
ALGA’s 2016 Federal Election Plan
“Local Government’s Plan for an
Innovative and Prosperous Australia”
• Investment in productive infrastructure in
partnership with the Federal Government
• Developed over the past year
• Linked to our 2016 Budget Submission
• Released last month in advance of the
election
• Includes an assessment of the GDP and
employment benefits of initiatives
Five Key Priority Areas
1.
2.
3.
4.
5.
Financial Assistance Grants (indexation & quantum)
A targeted freight strategy
An increase in local roads funding
A community infrastructure program
Work on climate change
Also calling for:
• Review of municipal funding arrangements
for indigenous communities.
• Adequate funding for human services
• Better natural disaster funding
• Legislative or administrative funding certainty
ALGA’s Plan for an Innovative and
Prosperous Australia
•
•
•
•
Financial Assistance Grants - indexation and quantum
A targeted freight strategy – to increase freight productivity
An increase in local roads funding – to address the backlog
Community infrastructure program – to stimulate local
economies
• Work on climate change – to promote adaptation
Outlay over three years would be an aggregate of $4.05
billion but would add an additional $7.5 billion to GDP
and create 19,300 jobs over the same period.
Advocacy for ALGA’s Election Plan
• Builds on and is consistent with ALGA’s
2016 Budget Submission Advocacy on
budget submission has reinforced our
election proposals
• Election Plan released early and sent to
MPs and political parties
• Already the subject of advocacy with
Ministers and backbenchers
• Councils asked to identify local benefits of
proposals
• June NGA – important part of our advocacy
Productivity through Innovation
in the Digital Economy
• Local Government in a privileged
position
• Collects huge amounts of data
• Shapes local regulatory and planning
regimes
• Owns or has access to infrastructure to
support digital transformation
• Local Government is a winner from
digital disruption
Digital Economy: Data
• Utilisation of Local Government facilities
• Transactions with Local Government for
services
• Frequency, level of expenditure,
geographic patterns user characteristics,
behaviour patterns
• Data is valuable for improving and
better targeting services
Digital Economy: Infrastructure
• Local Government manages $354b
of assets
• Data collected from ‘The Internet of
Things’ provides invaluable
infrastructure information
• Data can be used to better measure
infrastructure use and extend asset
life
• Significant potential for LED street
lights as technology enablers
Digital Economy: Regulation
• Presents an opportunity for Local
Government to rethink its regulatory
environment
• Capitalise on disruptions and facilitate the
evolution of regulatory and compliance
regimes
• Better manage compliance regimes
through a more focused risk management
approach
• Work with disruptive industries and design
workable regulatory environments
Digital Productivity Exemplars
• City of Boston (US) apps Street Bump,
Trash Day, Flu Shot
• Mosman Council (NSW) parking
technology
• Singleton Council (NSW) use of
unmanned drones
• Brimbank Council (Vic), transitioning
services to be available online
Digital Productivity –
Opportunities for Partnerships
• More dialogue between each sphere of
government to develop national
solutions
• Digital transformation should be led
nationally
• Councils require assistance to
embrace and transition to digital
economy
• Digital Divide challenges
• Need to improve digital literacy
Digital Transformation
• Digital transformation will facilitate
innovation and productivity
improvements for local government
• Digital transformation can improve
liveability of places and quality of life
Local Government wants new ways to
collaborate with communities
• Need to understand more about the
‘costs v benefits’ of digital technology
• Digital transformation offers the
opportunity to improve community
outcomes and our productivity
Thank you
Any Questions?
AUSTRALIAN LOCAL
GOVERNMENT ASSOCIATION