Division 1 Preliminary

441   Who are “designated persons”?

For the purposes of this Chapter, designated persons are:

•  the general manager

•  other senior staff of the council

•  a person (other than a member of the senior staff of the council) who is a member of staff of the council or a delegate of the council and who holds a position identified by the council as the position of a designated person because it involves the exercise of functions under this or any other Act (such as regulatory functions or contractual functions) that, in their exercise, could give rise to a conflict between the person’s duty as a member of staff or delegate and the person’s private interest

•  a person (other than a member of the senior staff of the council) who is a member of a committee of the council identified by the council as a committee whose members are designated persons because the functions of the committee involve the exercise of the council’s functions under this or any other Act (such as regulatory functions or contractual functions) that, in their exercise, could give rise to a conflict between the member’s duty as a member of the committee and the member’s private interest.

442   What is a “pecuniary interest”?

(1)  For the purposes of this Chapter, a pecuniary interest is an interest that a person has in a matter because of a reasonable likelihood or expectation of appreciable financial gain or loss to the person.

(2)  A person does not have a pecuniary interest in a matter if the interest is so remote or insignificant that it could not reasonably be regarded as likely to influence any decision the person might make in relation to the matter or if the interest is of a kind specified in section 448.

443   Who has a pecuniary interest?

(1)  For the purposes of this Chapter, a person has a pecuniary interest in a matter if the pecuniary interest is the interest of:

(a)  the person, or

(b)  the person’s spouse or de facto partner or a relative of the person, or a partner or employer of the person, or

(c)  a company or other body of which the person, or a nominee, partner or employer of the person, is a member.

Note. “De facto partner” is defined in section 21C of the Interpretation Act 1987.

(2)  (Repealed)

(3)  However, a person is not taken to have a pecuniary interest in a matter as referred to in subsection (1) (b) or (c):

(a)  if the person is unaware of the relevant pecuniary interest of the spouse, de facto partner, relative, partner, employer or company or other body, or

(b)  just because the person is a member of, or is employed by, a council or a statutory body or is employed by the Crown, or

(c)  just because the person is a member of, or a delegate of a council to, a company or other body that has a pecuniary interest in the matter, so long as the person has no beneficial interest in any shares of the company or body.

444   What disclosures must be made by a councillor?

A councillor:

(a)  must prepare and submit written returns of interests in accordance with section 449, and

(b)  must disclose pecuniary interests in accordance with section 451.

445   What disclosures must be made by a designated person?

A designated person:

(a)  must prepare and submit written returns of interests in accordance with section 449, and

(b)  must disclose pecuniary interests in accordance with section 459.

446   What disclosures must be made by a member of a council committee?

A member of a council committee, other than a committee that is wholly advisory, must disclose pecuniary interests in accordance with section 451.

447   What disclosures must be made by council advisers?

A person giving advice to the council at a council or council committee meeting must disclose pecuniary interests in accordance with section 456.

448   What interests do not have to be disclosed?

The following interests do not have to be disclosed for the purposes of this Part:

(a)  an interest as an elector,

(b)  an interest as a ratepayer or person liable to pay a charge,

(c)  an interest in any matter relating to the terms on which the provision of a service or the supply of goods or commodities is offered to the public generally, or to a section of the public that includes persons who are not subject to this Part,

(d)  an interest in any matter relating to the terms on which the provision of a service or the supply of goods or commodities is offered to a relative of the person by the council in the same manner and subject to the same conditions as apply to persons who are not subject to this Part,

(e)  an interest as a member of a club or other organisation or association, unless the interest is as the holder of an office in the club or organisation (whether remunerated or not),

(f)  an interest of a member of a council committee as a person chosen to represent the community or as a member of a non-profit organisation or other community or special interest group if the committee member has been appointed to represent the organisation or group on the committee,

(g)  an interest in a proposal relating to the making, amending, altering or repeal of an environmental planning instrument other than an instrument that effects a change of the permissible uses of:

(i)  land in which the person or a person, company or body referred to in section 443 (1) (b) or (c) has a proprietary interest (which, for the purposes of this paragraph, includes any entitlement to the land at law or in equity and any other interest or potential interest in the land arising out of any mortgage, lease, trust, option or contract, or otherwise), or

(ii)  land adjoining, adjacent to or in proximity to land referred to in subparagraph (i),

      if the person or the person, company or body referred to in section 443 (1) (b) or (c) would by reason of the proprietary interest have a pecuniary interest in the proposal,

(h)  an interest relating to a contract, proposed contract or other matter if the interest arises only because of a beneficial interest in shares in a company that does not exceed 10 per cent of the voting rights in the company,

(i)  an interest of a person arising from the proposed making by the council of an agreement between the council and a corporation, association or partnership, being a corporation, association or partnership that has more than 25 members, if the interest arises because a relative of the person is a shareholder (but not a director) of the corporation or is a member (but not a member of the committee) of the association or is a partner of the partnership,

(j)  an interest of a person arising from the making by the council of a contract or agreement with a relative of the person for or in relation to any of the following, but only if the proposed contract or agreement is similar in terms and conditions to such contracts and agreements as have been made, or as are proposed to be made, by the council in respect of similar matters with other residents of the area:

(i)  the performance by the council at the expense of the relative of any work or service in connection with roads or sanitation,

(ii)  security for damage to footpaths or roads,

(iii)  any other service to be rendered, or act to be done, by the council by or under any Act conferring functions on the council or by or under any contract,

(k)  an interest relating to the payment of fees to councillors (including the mayor and deputy mayor),

(l)  an interest relating to the payment of expenses and the provision of facilities to councillors (including the mayor and deputy mayor) in accordance with a policy under section 252,

(m)  an interest relating to an election to the office of mayor arising from the fact that a fee for the following 12 months has been determined for the office of mayor,

(n)  an interest of a person arising from the passing for payment of a regular account for wages or salary of an employee who is a relative of the person,

(o)  an interest arising from being covered by, or a proposal to be covered by, indemnity insurance as a councillor or member of a council committee,

(p)  an interest arising from appointment of a councillor to a body as representative or delegate of the council, whether or not a fee or other recompense is payable to the representative or delegate.

 

DISCLOSURE OF INTERESTS
How and when disclosed and nature of interests disclosed	Councillor	Member of council committee	Council advisor	General manager	Senior staff member	Staff member, delegate or committee member, holding “designated person” position (s 441)
• At meetings: Pecuniary interests (ss 451, 456)	✓	✓	✓	×	×	×
• In dealings with council matters: Pecuniary interests (s 459)	×	×	×	✓	✓	✓

PENALTIES FOR BREACH OF DISCLOSURE REQUIREMENTS (S 482)
Councillor	Committee member	Council adviser	Council employee
•  Counselling •  Reprimand •  Suspension from civic office for up to 6 months •  Disqualification from civic office for up to 5 years	•  Counselling •  Reprimand •  Suspension from the committee for up to 6 months •  Disqualification from membership of any council committee for up to 5 years	•  Counselling •  Reprimand •  Suspension as council advisor for up to 6 months •  Disqualification as council advisor for up to 5 years	•  Counselling •  Reprimand •  Recommend taking of disciplinary action by the council •  Recommend dismissal