Council has welcomed the announcement of a new five-year Local Government Federation Compact, which includes a commitment to increase Financial Assistance Grants to local government.
The Compact, announced at the Australian Labor Party National Conference in Adelaide, represents an important step towards strengthening the financial sustainability and capability of councils across regional, rural and remote Australia.
Financial Assistance Grants are a vital source of untied funding for councils, helping to deliver local roads, infrastructure and community services.
The Compact includes commitments to:
- Increase the flexibility of Roads to Recovery funding to allow councils to purchase plant and equipment and undertake road maintenance with their own trained workforce, where possible.
- Support and increase apprenticeships and other employment programs within local government.
- Develop new capabilities for councils to deliver outcomes in areas including housing, planning, emergency management and aged care.
- Improve transparency through the Australian Government publishing an annual summary of funding provided to local government.
Lismore MP Janelle Saffin welcomed the Compact, describing it as a significant outcome for regional communities, including Tenterfield. See more in the full media release below.
The Compact follows years of advocacy by Local Government NSW and local government representatives for a stronger and more sustainable funding partnership between the Australian Government and councils.
For councils such as Tenterfield Shire, long-term, reliable funding is critical to maintaining essential infrastructure and delivering the services our community and villages rely on every day.
The Compact is expected to be progressed through further work between the Australian Government, local government associations and unions, with implementation to follow.
Council will continue to keep the community informed of any progress.
View more
- Media Release – Local Government Federation Compact a major win – Janelle Saffin
- Media Release – Federation Compact a major step towards fairer council funding – ALGA
- Media Release – Funding increase a big win for rural, regional and remote councils – LGNSW
- Media Release – 2026 National General Assembly of Local Government communique – ALGA
- Media Release – 538 Councils unite in urgent motion at national assembly to call for fairer funding – ALGA