About the allowance review
Mayors and councillors are entitled to receive an allowance while performing their duties as an elected official. Pursuant to section 39 of the Local Government Act 2020 (LGA 2020), allowances for the Mayor, Deputy Mayor and Councillors are provided in accordance with a Determination of the Victorian Independent Remuneration Tribunal under the Victorian Independent Remuneration Tribunal and Improving Parliamentary Standards Act 2019.
Despite the repeal of the allowance provisions under the Local Government Act 1989 (LGA 1989), those sections of the Local Government Act 1989 continue to apply in respect of allowances until such time as the first Determination is made by the Victorian Independent Remuneration Tribunal. This is in line with section 74 of the Local Government Act 1989.
Accordingly, Council is required to review and determine the level of mayoral and councillor allowances within the period of 6 months after a general election or by the next 30 June, whichever is later.
At its meeting on 18 May 2021 Hepburn Shire Council resolved to endorse, in principle, the setting of the Mayoral and Councillor allowances at the top level 1 category which is:
- Mayoral Allowance - $62,884
- Councillor Allowance - $21,049
- Plus, an additional 9.5% of the above allowances is payable as an equivalent of the Commonwealth Superannuation Guarantee.
A person has a right to make a submission under section 223 of the Local Government Act 1989 in respect of a review of allowances.
The Victorian Independent Remunerational Tribunal has determined that Councillor allowances will increase by 1.5%.
Thus, on 18 December 2022, allowances will increase as follows:
Allowance as of 18 December 2022
Please disregard the previous figures circulated.
A 1.5 per cent increase has also been applied to the base allowance values which take effect on:
- 18 December 2023
- 18 December 2024 (only applicable to Mayors and Deputy Mayors)
- 18 December 2025 (only applicable to Mayors and Deputy Mayors).
Please see enclosed a copy of the Determination and Statement of Reasons, which is also available on the Tribunal’s website.