Kiama Council has joined with other NSW councils in again refusing to comply with a NSW Government directive to include Rural Fire Service (RFS) assets in its financial statements.

“Councils have no role in the purchase, the maintenance or the use of those assets,” says Mayor Neil Reilly.

“Those assets should be recorded with the Rural Fire Service.

“If they are recorded on our books, we will have to depreciate them and that will come straight off our bottom line.

“We value and support the work done by the RFS, but they are a separate organisation.”

His Mayoral Minute for the July Council Meeting noted, “Local Government NSW is encouraging councils to continue resisting pressure from the Audit Office and make their own determinations notwithstanding overtures that ongoing non-compliance with the Auditor General’s instructions may result in future qualified financial reports.”

Mayor Reilly says he does not understand the Government’s motivations for this directive, although it could be a further example of cost shifting to local government.