Councils are guided by a range of laws, regulations and policies to support them to make good decisions that will create positive outcomes for their local communities.
Councils should comply or take into consideration policies and guidelines to conform to best practice when making decisions on behalf of their communities.
View the vast range of guidelines and policy resources available for local Government.
Acts and regulations
Local councils must comply with various acts and regulations. The Office of Local Government administers, or shares responsibility for administering, the following:
For access to all NSW acts and regulations, visit NSW Legislation.
Local Government Act Review
The NSW Government has been leading local government reform to:
- Improve council performance, integrity, transparency and accountability.
- Streamline legislative, planning and regulatory frameworks and requirements
- Build strategic capacity of local councils so they are better placed to serve their local communities.
The reform program continues today, with a renewed focus on responsible and transparent governance, and quality, affordable services for communities.
Over the past few years there have been important amendments to the Local Government Act to improve business planning and governance, and strengthen the accountability of local leaders.
Further amendments to the Act were made in June 2019 through the Local Government Amendment Act 2019. Amendments made include:
- Ensuring councils are given the time they need to have important conversations with their communities about changes to the rating system and to make important decisions about arrangements for council elections in 2020.
- Removing some of the current limits on local Government procurement and make other amendments to cut red tape and reduce the regulatory burden on councils and local communities, and
- Allowing more opportunities for councils to share regulatory services and staff across existing boundaries to achieve higher quality services and best value for money.
The Government is examining work undertaken by the Independent Pricing and Regulatory Tribunal (IPART) in reviewing local government regulation, reporting and rating. Three separate IPART reports on these issues were released for public consultation in June 2019. Submissions have now closed. The Government is currently considering feedback and will respond in due course.
Local Government (General) Regulation Review
The Office of Local Government (OLG) is undertaking a statutory review of the Local Government (General) Regulation 2021 (LG Regulation).
The Local Government Act 1993 is supported by the LG Regulation which will be automatically repealed on 1 September 2027 unless remade before then. In 2021, the LG Regulation was remade, however, a statutory review was not undertaken.
For efficient and effective legislation, regular reviews of regulations are conducted to ensure the principles of simplification, repeal, reform, and consolidation are achieved. However, the size and scope of the LG Regulation presents challenges in conducting such reviews.
In 2005, the Local Government (General) Regulation 2005 replaced 9 regulations, making it the largest regulation in the NSW statute book. Given the size and scope of the LG Regulation and to better serve the sector, it is proposed to transfer sections of the LG Regulation into 3 stand-alone instruments. This would allow for a more focused and targeted approach to regulation, enhancing efficiency and effectiveness.
The 3 proposed new instruments are:
- Local Government (Elections) Regulation (LG Elections Regulation)
- Local Government (Council Governance and Operations) Regulation (LG Council Governance and Operations Regulation)
- Local Government (Approvals and Orders) Regulation (LG Approvals and Orders Regulation).
The OLG has completed consultation on a Regulatory Impact Statement (RIS) on the making of the standalone LG Elections Regulation. The timing of the making of the new Regulation will depend on whether and when the Local Government Amendment (Elections) Bill 2025, which is currently before the NSW Parliament and contains amendments to the LG Regulation, is passed by the Parliament.
The OLG will be undertaking a further review of the provisions contained in the LG Elections Regulation in consultation with the NSW Electoral Commission prior to the 2028 Local Government elections to support the administration of the elections.
The current stage of the review focuses on the remaining provisions of the LG Regulation:
- approvals and orders provisions
- council governance and operations provisions.
Have your say
A RIS and other supporting information are available for review by councils, other stakeholders and the wider community. Feedback on the proposed regulatory framework for approvals and orders, and council governance and operations may be submitted via a consultation feedback form until 5 pm Friday 6 November 2026.
The RIS examines the impact, including costs and benefits, of remaking the approvals and orders provisions under Part 2 (Approvals) and Part 3 (Orders) and Schedules 1 and 2 of the LG Regulation to a standalone LG Approvals and Orders Regulation. It also examines the impact, costs and benefits of remaking the council governance and operations provisions which are distributed across multiple areas of the LG Regulation, to a standalone LG Council Governance and Operations regulation.
The aim is to ensure this is the best way to deliver a responsive and accessible regulatory framework that provides clear and effective policy guidance on the approvals and orders, and council governance and operations for local government.
Read the Regulatory impact statement for local government regulations (PDF, 4.2 MB).
Interested parties, including councils, other stakeholders, and the wider community are invited to submit comments.
If commenting on a specific matter or provision, please refer to the relevant section number of the LG Regulation.
Submit your feedback in one of the following ways:
- complete the online feedback form
- download and complete the feedback form for local government regulations (DOCX, 186 KB), then
- email it to [email protected] or
- post to:
Local Government (General) Regulation Review
Sector Policy and Frameworks
Office of Local Government
Locked Bag 3015
Nowra NSW 2541
The closing date for submissions is 5 pm Friday 6 November 2026.
What will happen with submissions
OLG will review and evaluate the submissions received.
A copy of your submission:
- will be provided to the Legislation Review Committee of the NSW Parliament along with a final version of the proposed LG Approvals and Orders Regulation and the LG Council Governance and Operations Regulation following the making of the instrument
- may be published on the OLG website.
If you do not want your personal details or your submission published, please clearly state this when you make your submission.
OLG may choose to withhold from publication any submission considered offensive, threatening, defamatory or inappropriate.
Next steps
OLG will review and evaluate the submissions received, and amendments may be made to the proposed LG Approvals and Orders Regulation and LG Council Governance and Operations Regulation.
Check this page regularly for updates regarding the next steps of the review process.
Council reporting
Calendar of compliance
Councils are required to submit several reports and returns/surveys annually, as required by the Local Government Act 1993 and by OLG policy. The Integrated Planning and Reporting framework details the reporting requirements that are mandated in the Local Government Act. Learn more on the Integrated Planning and Reporting framework.
The calendar of compliance includes key deadlines for strategic management tasks for all councils and Joint Organisations in NSW. Statutory and other reporting deadlines are not limited to those included in the calendar of compliance.
Annual reporting requirements
Councils are required to submit several reports and returns/surveys annually, as required by the Local Government Act 1993 and by OLG policy.
Annual reporting requirements at a glance
| Due date / frequency | Report | Requirements | Legislative reference |
|---|---|---|---|
| Within 5 months of the end of each financial year(i.e. by 30 November) | Annual report checklist (DOCX, 834 KB) Joint Organisations (JO) annual performance statement checklist (DOCX, 814 KB) | Reports on the achievements in implementing the Delivery Program and the effectiveness of the principal activities undertaken in achieving the objectives in the Community Strategic Plan at which those activities are directed. The report must be prepared in accordance with the Local Government Regulation and the Integrated Planning & Reporting Guidelines. The report must include a copy of the council's audited financial reports. The report must be posted on the council's website. | s428 (Act)cl 217(1) (Reg) |
| Tabled at the second meeting of the incoming council and included in the annual report due 30 November in year in which an ordinary election is held | 'State of our City' report | Reports on the council's progress in implementing the Community Strategic Plan over the previous 4 years. This report looks at outcomes, i.e. what have been the results for the community and council as a result of the activities undertaken. This includes environmental issues relevant to the objectives for the environment established by the Community Strategic Plan. The report must be prepared in accordance with the Guidelines | s428(2)(Act) |
| At least every 6 months (Dates determined by council) | Progress reports | Report on progress with respect to the principal activities detailed in the Delivery Program. | s404(5)(Act) |
| Not later than 2 months after the end of each quarter (except the June quarter)(i.e. by 1 December, 1 March, and 1 June) | Budget review statement | Shows, by reference to the estimate of income and expenditure set out in the statement of Council's revenue policy included in the Operational Plan for the relevant year, a revised estimate of the income and expenditure for that year. | cl203(Reg) |
Councillor expenses and facilities
Councillor expenses and facilities policies should allow for councillors to receive adequate and reasonable expenses and facilities to enable them to carry out their civic duties as elected representatives of their local communities.
Public Private Partnerships
A Public Private Partnership is defined under the Local Government Act 1993 as an arrangement:
- Between a council and a private person to provide public infrastructure or facilities (being infrastructure or facilities in respect of which the council has an interest, liability or responsibility under the arrangement).
- In which the public infrastructure or facilities are provided in part or in whole through private sector financing, ownership or control but does not include any such arrangement if it is of a class that has been excluded from the operation of this Part by the regulations.
Any council entering into a Public Private Partnership must comply with the guidelines on the procedures and processes to be followed by Local Government in Public-Private Partnerships – January 2022 (PDF, 653 KB).
The guidelines are not intended to be onerous or require work in addition to that normally expected of a prudent organisation when entering into a complex partnership arrangement. They follow well-established practices for Public Private Partnerships at the State level.
Councils are required to submit an assessment of the project to be carried out under the Public Private Partnership to the Office of Local Government before they enter an arrangement. The general manager must certify that this assessment has been carried out in accordance with the Public Private Partnership guidelines.