The Commission
The Victorian Local Government Grants Commission consists of a Chairman and two members appointed by the Governor in Council.
- Mr John Watson (Chair) - term expires on 31 October 2023
- Ms Marg Allan - term expires on 31 October 2025
- Mr Michael Ulbrick - term expires on 31 October 2025
VLGGC Fact Sheet PDF, 100.51 KB provides an overview of the Commission and the financial assistance grants to Victoria’s 79 councils.
The Annual Allocation Report, released annually in September, provides more details of the methodology and activities of the Commission.
Legislation
The Commonwealth Government’s Financial Assistance Grants Program provides annual funding to councils to support the delivery of services to their communities. The grants are untied, allowing councils to spend the funds according to local priorities.
The Commission's primary function is to recommend grants provided by the Commonwealth Government to councils in Victoria according to the Local Government (Financial Assistance) Act 1995 and a set of national distribution principles.
The operations of the Commission are governed by the Victorian Local Government Grants Commission Act 1976
The Act establishes the Commission for the purpose of making recommendations of financial assistance to councils, provides for the appointment and remuneration of Commission members and specifies the general operations of the Commission, including meetings of the Commission and the annual reporting requirements.
All of the Commission's costs are met by the Victorian Government through the Department of Government Services (join department from January 2023).
National Distribution Principles
Horizontal equalisation
General purpose grants are to be allocated on a ‘full horizontal equalisation basis’, by assessing the relative needs of councils.
Effort neutrality
The Commission must use an effort or policy neutral approach when assessing council finances.
Minimum grant
The minimum general purpose grant for a council is calculated based on a nominal per capita distribution of 30 per cent.
Other grant support
Recognition of any other relevant grants to councils.
Aboriginal peoples and Torres Strait Islanders
Recognition of the needs of Aboriginal peoples and Torres Strait Islanders.
Council amalgamation
Following amalgamation, the maintenance of grants to newly formed councils.
Local roads
Local roads grants are allocated to councils based on an assessment of the preservation of its road assets.
More information on national principles, please refer to the Commonwealth Act and Annual Report.