The use of credit cards is a convenient and efficient way for council staff and members of the governing body to make small, frequent business-related purchases as opposed to more traditional purchase order processes.

However, as councils are responsible for the prudent management of community resources, it is important they have a robust credit card policy and related procedures in place and that cardholders understand their responsibilities.

To assist councils to develop and/or review their credit card policies and to build consistency across the sector, the Office of Local Government has developed the Guideline on the Use and Management of Credit Cards under section 23A of the Local Government Act 1993.

The Guideline is based NSW Treasury’s credit card policy and guidelines that apply to NSW state agencies to the extent its principles are relevant to local government and was developed in response to a performance audit of credit card usage at six local councils by the NSW Audit Office.

The NSW Audit Office released its Final Report on 3 September 2020.

The Office of Local Government is grateful to NSW Treasury for permission to adapt their Guideline and to all stakeholders for the useful comments and suggestions provided during consultation on a draft version of the Guideline.

For further information, please see: