Date Adopted: 7 October 2016 (OC138/2016)

Review Date: As required

The Committee is established for the purpose of engaging in and undertaking a developmental process to determine, in conjunction with the Chief Executive Officer (CEO), relevant Key Performance Measures for the CEO, for undertaking the formal review process of the performance of the CEO against the agreed Key Performance Measures in accordance with these terms of reference and for making other recommendations to the Council relevant to the employment and performance of the CEO.

Objectives of the Committee

The Committee’s terms of reference are to:

• Review the Chief Executive Officer’s performance.
• Contribute to the Chief Executive Officer’s development plan.
• Review and provide advice to Council on the remuneration and conditions of employment for the Chief Executive Officer.

Definitions

CEO: is the Chief Executive Officer.

Councillor: is a person appointed or elected by the electors of a particular ward, as a representative of the ward in the Central Desert Regional Council.

President: is the person appointed or elected as the principal Member of the Central Desert Regional Council to represent the local government area as a whole.

Staff: includes Staff, contractors, volunteers and all others who perform work on behalf of council.

Role of the Committee

Recruitment of CEO

Council’s role is to appoint the CEO, on the advice of the Committee. The Committee’s role is to identify a suitable person and refer the appointment of that person to Council.

The Committee’s role is to:

1. in accordance with Council’s Procurement Policy, to engage an appropriate consultant to manage and conduct the process of selection of a suitable candidate for the position of CEO;
2. identify and recommend to Council a suitable candidate for the position of CEO;
3. on behalf of Council, ensure compliance with Guideline 3;
4. carry out the functions of a selection panel; and
5. ensure, on behalf of the Council, that the recruitment process meets the Council’s Recruitment Policy.

The Committee is empowered to identify a single person as suitable for recommendation to the Council for appointment as CEO.

If, however, the Committee fails to reach a unanimous view as to that person, it shall on the request of any member of the Committee (made at the meeting of the Committee resolving which candidate should be recommended to Council) refer the matter to Council for determination of who, from the final short-list, is to be appointed.

Performance of CEO

Council’s role is to determine the performance plan, on the advice of the Committee, and to assess the CEO’s performance measured against that plan. The Committee’s role is to prepare a draft performance plan for Council’s  consideration and determination; to attend to the collection and collation of Elected Member feedback in relation to the CEO’s performance as measured against the performance plan approved by Council; and to present the results to Council.

The Committee’s role is to:

1. appoint or re-appoint, as necessary, a facilitator to assist the Committee to discharge its obligations in relation to the preparation of the performance review and performance plans.
2. advise Council in relation to the setting of standards and parameters for the measurement of the CEO’s performance.
3. recommend to Council the performance goals and activities that the CEO should work towards achieving / undertaking over a 12 month period and take into account feedback to the CEO from the previous year’s review and to what extent former recommendations have been acted upon.
4. advise Council in relation to the performance of the CEO as measured by key performance indicators and other standards set by Council.
5. review the performance of the CEO at six monthly intervals.
6. participate actively in the process of reviewing the performance of the CEO, ensuring that the he / she, is both consulted and advised of the process.
7. ensure that recommendations regarding the foregoing are in accord with Council’s Strategic Plan.
8. ensure that all Elected Members are invited to provide written comments of appraisal of the CEO’s performance to the Committee and that sufficient time is allowed for members to provide such comments to the Committee, that is at least two weeks, over and above mailing time.

Remuneration and Conditions of Service of CEO

Council’s role is to determine any changes in salary and/or conditions of employment of the CEO. The Committee’s role is to ensure the participation of the CEO in the process; and to make recommendations to Council as to any proposed changes in salary and/or conditions of employment of the CEO.

The Committee’s role is to:

• with the assistance of the facilitator appointed by Council, undertake the annual salary review;
• participate actively in the process of reviewing the salary and conditions of employment of the CEO, ensuring that he/she, is both consulted and informed of the process;
• recommend to Council any proposed changes in salary and/or conditions of employment of the CEO that the Committee thinks appropriate; and
• ensure compliance, on behalf of the Council, with any contractual obligations established in the CEO employment contract.

Council’s Role

Taking into account the recommendations of the Committee, to:

• determine the contract of employment for the CEO;
• appoint the CEO;
• set the standards and parameters for measurement of the performance of the CEO;
• as an elected body, and individually as elected members, participate in the CEO’s performance appraisal process;
• determine whether any variations to the remuneration and conditions of the CEO are appropriate.

Meetings

1. The Committee will meet twice a year within a month of the CEO’s six month and twelve month anniversary.
2.  Special Meetings of the Committee may be necessary from time to time and may be called by the President given three business days notice of the meeting.
3.  Minutes of meetings will only record recommendations and resolutions, and will be provided to all Committee Members in accordance with legislative requirements.

Membership

The committee is comprised of the President, Deputy President and two (2) Councillors endorsed by the Council. To ensure gender equity, the committee will attempt to ensure equal representation of male and female committee members.

Chair

The President will chair the committee.

Quorum

A quorum for the CEO Performance Review Committee is the President and two committee members.

Proxies

In order to ensure continuity and a useful level of knowledge and experience, the CEO Performance Committee members are not permitted to send proxies to the meeting.

Term of Office

The term of office is for the Local Government electoral term. A newly elected Council will appoint a new CEO Performance Review Committee. Should a Councillor be re-elected, he/she may serve multiple terms on the committee if appointed.

Reporting and Review of the Committee

Decisions made by the Committee will be reported by inclusion of its minutes at the next Council meeting. Minutes and all reports will be dealt with in closed session.

Approval and Change History

To download a pdf of the CEO Performance Review Committee terms of reference please click on: CEO Performance Review Committee Terms of Reference

Date Adopted: May, 2012

Last Review Date: 27 May 2022

Next Review Date: May, 2025

1. Introduction

The Central Desert Regional Council (hereinafter called the “Council”) hereby establishes a committee under the powers given in the Local Government Act, 2019 and Local Government (General) Regulations 2021, such committee to be known as the Finance Committee (hereinafter called the “Committee”).

2. Purpose

The Committee is established for the purpose of assisting the Council to undertake its financial functions in the months that the Council does not hold an Ordinary Council Meeting.
The Committee shall act for and on behalf of Council in accordance with the provisions of the Local Government Act, 2019 local laws and policies of the Council and this Instrument.

3. Objectives of Finance Committee

The Finance Committee will assist the Council to oversee the allocation of the local government's finances and resources. Under the control and direction of the Council, the Finance Committee will:

1. Ensure the annual budget is aligned with the Regional Council Plan.
2. Monitor and report on financial performance against the annual budget and the Regional Council Plan.
3. Formulate strategies to improve the Council's financial position.
4. Make executive financial decisions on behalf of Council when the matter cannot be held over until the next Ordinary Council Meeting.
5. Monitor compliance with appropriate legislative and accounting standards.

4. Responsibilities

1. Review the monthly income and expenditure reports, monitor progress against the budget and provide advice to Council on implications of these.
2. Approve adjustments to budget and re‐allocation of resources after consultation with affected areas.
3. Review and accept or reject Program Funding Agreements or any other offers of funding.
4. Consider and make appropriate recommendations to Council on any matters having a significant financial impact on the Council.
5. Advise Council on the short, medium and long-term financial implications of the Council's Regional Council Plan and any sub‐plans.
6. At least annually, advise Council about the adequacy of the Council's insurance coverage.
7. On a regular basis, review the financial investments of the Council.
8. At least annually, review the Council’s borrowing program.
9. Review financial delegations and policies at least annually.
10. Advise Council on the level of allowances to be paid to Councillors.
11. Review and determine action for any other financial/matters documents that need to be dealt with prior to the next Ordinary Council Meeting.
12. Work with CEO to develop the annual budget, ensure it aligns with the Regional Council Plan and present it to Council for adoption.
13. Approve the awarding of any tenders or major contracts.
14. Determine fees and charges to be made by the Council.
15. Decide which applications for financial aid made to the Council will be supported.
16. Contribute to the preparation of the annual financial statements.
17. Review the annual audited financial statement and auditor's report and recommend any necessary follow‐up.
18. Ensure there is an adequate internal control system, including a fraud protection plan, to minimise financial risk.
19. Exercise any general authority delegated by Council.
20. Deal with any tasks that have been delegated from a previous Council meeting.
21. Consider any matters referred by the CEO or the Council.

5. Membership

Members of this Committee include the President or the Deputy President and a minimum of one other Councillor/s appointed by Council.
The Committee membership will also include one (1) community member position who is suitably qualified and independent person with extensive finance and accounting skills. An accounting qualification is desirable.

6. Quorum

A quorum for the Committee is calculated as more than half the total membership and must include the President or the Deputy President.

7. Chair

The President or Deputy President will chair the Committee.

8. Proxies

In order to ensure continuity and a useful level of knowledge and experience, the Committee members are not permitted to send proxies to the meeting. The exceptions are the President and Deputy President, who may act as proxies for each other on the Committee.

9. Term of Office

The term of office is for the Local Government electoral term. A newly elected Council will appoint a new Committee. Should a Councillor be re‐elected, he/she may serve multiple terms on the Committee if appointed by Council.

10. Self‐review

At least once a year, the Committee will devote part of the meeting to reviewing its own processes and outcomes of the preceding year.

11. Timing

The Committee will meet in the months between Ordinary Council Meetings.

12. Minutes

Minutes must be kept of the decisions and actions of the Committee. Minutes will be taken by the Secretariat or other delegated staff member.

13. Reporting

The minutes of the Committee will be tabled at the next Ordinary Council Meeting.

14. Approval and Review History

To download a pdf of the Finance Committee terms of reference please click on: Finance Committee Terms of Reference