Section 86 Committee Facts

A Section 86 Committee (named for Section 86 of the Local Government Act) can be appointed by Council as a special committee and delegated certain powers, functions, obligations and roles. Generally, special committees are responsible for the day to day management and administration of facilities which Council own, eg public halls and recreation reserves.

Here are some facts about Section 86 Committees:

Administration

The Committee will manage all general administration including:

  • conduct and be responsible for committee meetings including the preparation of agenda, minutes and reports;
  • preparation of Annual Reports and submission of supporting documents;
  • management of facility bookings and user fees; and
  • reporting incidents.

Council will:

  • call for committee members;
  • appoint the committee;
  • advertise the AGM; and
  • hold election of office bearers.

Insurance

  • The Committee will arrange and hold adequate contents insurance and be invoiced for a portion of building insurance by Council.
  • The appointed committee is covered by Council’s Public Liability, Products Liability, Professional Indemnity, Personal Accident insurances.

Governance

  • Committee Members can be appointed for up to 2 years with an option to reapply for an additional term.
  • 12 month term for office bearers- positions include President, Treasurer, Secretary with options of more for larger committees.
  • Only required to hold 5 meetings a year including the AGM.
  • Detailed Administration Manual provided to assist with processes.
  • Support to conduct AGM and meet responsibilities as per Administration Manual.

Maintenance

  • A maintenance grant is issued by Council annually to undertake minor maintenance.
  • Maintenance up to $2000 can be undertaken without Council’s authorisation (excluding alterations).
  • Maintenance over $2000 is subject to CEO/Council’s approval.
  • All Capital Works subject to approval through Council’s annual budgeting process.

Finance

  • No leasing fee (rent) payable to Council from the Section 86 Committee.
  • Banking to be undertaken with Commonwealth Bank.
  • Option to utilise high interest bearing accounts or term deposits, and can be with any financial institution.
  • Committees set their own user fees, Council only review to make sure the charges are reasonable.
  • Annual financial auditing is supported by Council.
  • Bi-annual GST reporting by Committee to Council.
  • Operate under Council ABN.
  • Cover cost of telephone, water, sewer, power and gas services.
  • Prepare Annual Financial Report.

Committee Liaison Officer

Greater Shepparton City Council provides one point of contact for enquiries from Section 86 Special Committees. The Committee Liaison Officer will provide assistance in directing enquiries to relevant departments for follow up and action.