Concern for ‘vexatious’ proceedings allowing residents to shut down Victorian councils

A shire council in central Victoria has been shut down by the efforts of just one resident.

The bins will still be collected, roadworks will continue, and the libraries will still open.

But any big decisions have been suspended because there are only two people left at the council table.

Five councillors at Hepburn Shire Council have been forced to stand down after local businessman David Penman launched rare private prosecution proceedings against them. 

For a small fee paid at a magistrates court, Mr Penman was able to lay his own unproven and untested criminal charges against the councillors.

Advocacy groups are worried similar “vexatious” proceedings could happen to other councils in Victoria unless the state government steps in.

RCV condemns ‘nuisance lawfare’ 

Under the Local Government Act, any councillor facing criminal charges, no matter who lays them, has to stand down from council.

With five councillors standing down, Hepburn shire no longer has enough councillors for a quorum, meaning no decisions can be passed.

Rural Councils Victoria chair Robert Amos has urged immediate government intervention.

“It’s untenable that the Local Government Act gives individuals the power to trigger the automatic stand-down of an elected councillor before any independent authority has assessed the merits of the case,” Mr Amos said.

“If people have acted inappropriately then they should face justice. But currently the law is being weaponised to disrupt councils and undermine local democracy.

An amendment to the Local Government Act is before parliament aiming to close the loophole being used by Mr Penman in the Hepburn shire.

“This legislative change must be completed as soon as parliament resumes next week,” Mr Amos said.

Rural Councils Victoria has also called on Victorian Attorney-General Sonya Kilkenny to request the Director of Public Prosecutions to consider taking over all current private prosecutions against councillors.

The president of the Municipal Association of Victoria, Jennifer Anderson, echoed calls for the government to address the amendment to the Local Government Act as a matter of urgency.

“Some of the other parts of the bill we think we don’t agree with and need more work,” she said.

“But this part of the bill is really important because it’s councillor conduct.

“It’s really important that there’s a framework there that is not fragmented, is well-resourced and is done expediently so that the situations can be sorted through in a timely manner with justice for all.”

In response to questions directed to Minister for Local Government Paul Hamer, a Victorian government spokesperson said the developments at Hepburn shire were concerning.

“Hepburn shire residents deserve a council that serves them, and we are very concerned about the situation unfolding,” the spokesperson said.

The ABC has also contacted Attorney-General Sonya Kilkenny for comment.