Part 1 General
355 How does a council exercise its functions?
A function of a council may, subject to this Chapter, be
(a) by the council by means of the councillors or employees, by its
agents or contractors, by financial provision, by the provision of goods,
equipment, services, amenities or facilities or by any other means,
(b) by a committee of the council, or
(c) partly or jointly by the council and another person or persons,
(d) jointly by the council and another council or councils (including
by means of a Voluntary Regional Organisation of Councils of which the
councils concerned are members), or
(e) by a delegate of the council (which may, for example, be a
Voluntary Regional Organisation of Councils of which the council is a
356 Can a council financially assist others?
(1) A council may, in accordance with a resolution of the council,
contribute money or otherwise grant financial assistance to persons for the
purpose of exercising its functions.
(2) A proposed recipient who acts for private gain is not ineligible
to be granted financial assistance but must not receive any benefit under this
section until at least 28 days’ public notice of the council’s
proposal to pass the necessary resolution has been
(3) However, public notice is not required if:
(a) the financial assistance is part of a specific program,
(b) the program’s details have been included in the
council’s draft operational plan for the year in which the financial
assistance is proposed to be given, and
(c) the program’s proposed budget for that year does not exceed
5 per cent of the council’s proposed income from the ordinary rates
levied for that year, and
(d) the program applies uniformly to all persons within the
council’s area or to a significant group of persons within the
(4) Public notice is also not required if the financial assistance is
part of a program of graffiti removal work.
Note. Part 4 of the Graffiti Control
Act 2008 deals with graffiti removal
357 Can a council exercise its functions only within its
A council may exercise its functions within its area or outside
its area, but may exercise its regulatory functions under Chapter 7 only
within its area.
358 Restrictions on formation of corporations and other
(1) A council must not form or participate in the formation of a
corporation or other entity, or acquire a controlling interest in a
corporation or other entity, except:
(a) with the consent of the Minister and subject to such conditions,
if any, as the Minister may specify, or
(b) as provided by this Act.
(2) This section does not prevent a council from being a member of a
co-operative society or a company limited by guarantee and licensed not to use
the word “Limited” in its name.
(3) In applying for the Minister’s consent under subsection (1)
(a), the council is required to demonstrate, to the Minister’s
satisfaction, that the formation of, or the acquisition of the controlling
interest in, the corporation or entity is in the public
(3A) The regulations may make provision for or with respect to the
matters to be taken into account by the Minister in deciding whether to grant
consent under this section and the conditions that may or must be specified by
the Minister under this section.
(4) In this section, entity means any
partnership, trust, joint venture, syndicate or other body (whether or not
incorporated), but does not include any such entity that is of a class
prescribed by the regulations as not being within this
359 Can a council act as an agent?
A council may act as the agent of another person or of the Crown,
subject to the regulations.
How can a
council exercise its functions?