The local government sector faces another year of significant change with the powers of the Local Government Inspector (Inspector) who was appointed last year, taking effect from 1 January 2026.

Under Local Government (Local Government Inspector) Regulations, which are now in force, the Inspector has the power to manage complaints, investigate alleged breaches of the Local Government Act 1995 (WA) (the Act), appoint monitors, issue enforceable orders and infringements, and, where necessary, impose sanctions in response to serious behavioural or governance issues within local governments. In addition, adjudicators appointed by the Minister for Local Government will determine matters relating to behavioural and conduct complaints, replacing the former Local Government Standards Panel.

Many of our local government clients are taking a keen interest in how the new Inspector role will develop. Common questions include:

1. Can I report conduct that predates 1 January 2026 to the Inspector, or is that still the Standards Panel?

• Yes. All new complaints relating to alleged breaches of and/or non-compliance with the Act and its subsidiary legislation are managed by the Inspector, even if the incident(s) the subject of the complaint occurred before 1 January 2026. This is subject to the notice periods for a complaint which are outlined at question 3 below.
• Minor breach complaints lodged before 1 January 2026 will continue to be dealt with by the Local Government Standards Panel.
• Serious breach complaints lodged before 1 January 2026 will be progressed by the Department of Local Government, Industry Regulation and Safety (LGIRS).

2. What type of conduct can I report?

• A person may complain to the Inspector regarding a behavioural, conduct or other specified breach, and the Inspector is to determine the type of breach involved (namely, whether it is a Behavioural, Conduct or Specified breach).
• It is important to note the following reporting requirements remain in place:
  (a) An allegation of serious misconduct by either a council member or an employee of a local government must be reported to the Corruption and Crime Commission
  (b) An allegation of minor misconduct by an employee of a local government must be reported to the Public Sector Commission
• A comparison of the previous and new categories of breaches is outlined below.

3. Who receives a complaint and what are the timeframes involved?

A person can complain by completing a 'Breach Complaints Form' available online and emailed to the Inspector. A person can also complain to a local government in accordance with the Code of Conduct.

4. Who can make a complaint?

Any person who has 'reason to believe' a council member has engaged in a breach can make a complaint. This includes members of the public.

5. How will complaints be dealt with?

The manner in which a breach complaint is handled will depend on how the Inspector categorises the alleged breach.

Behavioural breach complaints against council members are typically referred to the relevant local government for management under its Code of Conduct. However, where a council member has at least two prior behavioural breach findings since 1 January 2026, and the Inspector considers the matter warrants escalation, the complaint may be referred to the Principal Adjudicator for determination as a conduct breach.

For conduct breach complaints that are not recurrent breaches, the Inspector will refer the matter to the Principal Adjudicator together with any supporting information or documentation.

The Adjudicator has discretion to invite affected parties to participate in mediation. Where both the complainant and respondent agree, the Adjudicator may defer making a determination pending the outcome of that process.

The Adjudicator is responsible for determining whether the alleged breach occurred. Prior to making any finding or issuing orders, the respondent must be afforded a reasonable opportunity to make submissions.

Where a conduct breach is established, the adjudicator may determine that no sanction is warranted, or may impose one or more of the following:

• Public censure
• Public apology
• Counselling
• Training
• Withholding of fees and allowances for up to three months
• Exclusion from committee meetings for up to three months, or suspension for up to three months.

If an apology, counselling or training is ordered, the respondent must notify the Inspector upon compliance. The Adjudicator will communicate the outcome and any sanctions to the complainant, respondent and Inspector.

Reminder of additional compliance deadlines as a result of recent regulatory changes and transitional provisions:

From 1 January 2026:

• New complaints framework begins.
• Complaints can be lodged with the Inspector.
• Maintain existing complaints registers to deal with minor breaches (until 15 October 2027) and establish a new register to deal with behavioural, conduct and specified breaches which have found to have occurred and orders made as a result (see section 5.96C of the Act)
• Employee Code of Conduct must address secondary employment outside local government.
• Ensure Council and Committee meetings are only closed for prescribed reasons or apply to LGIRS for approval.

By 1 April 2026:

• All local governments must adopt an updated Model Code of Conduct for council members, candidates and committee members to align with the new complaints handling system (to reflect the content outlined in the Local Government Regulations Amendment (Local Government Amendment Act 2024) Regulations 2025)

By 1 July 2026:

• All local governments must ensure insurance policies exclude coverage for prohibited legal expenses as outlined in section 6.14A of the Act and reg 17D of the Financial Management Regulations. For example, a local government must not directly or indirectly pay for the liabilities of a council member arising from an order of an adjudicator.

By 31 December 2026:

• Council members elected between 1 July 2025, and 31 December 2025 must complete mandatory training and submit a declaration of completion within one month of this date.

If you would like assistance with understanding the new complaints framework or require support with updating your local government’s policies and procedures to ensure compliance with the new legislative requirements, please contact a member of our Local Government team.