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Bills Digest No. 109 2002-03
Commonwealth Electoral Amendment (Members of Local Government Bodies)
Bill 2002
WARNING:
This Digest was prepared for debate. It reflects the legislation as introduced
and does not canvass subsequent amendments. This Digest does not have
any official legal status. Other sources should be consulted to determine
the subsequent official status of the Bill.
CONTENTS
Passage History
Purpose
Background
Main Provisions
Concluding Comments
Endnotes
Contact Officer & Copyright Details
Passage History
Commonwealth
Electoral Amendment (Members of Local Government Bodies) Bill 2002
Date Introduced:
12 December 2002
House:
House of Representatives
Portfolio:
Special Minister of State
Commencement:
On Royal Assent
Purpose
The purpose of this brief Bill is
to amend the Commonwealth Electoral Act 1918 (the Electoral Act)
to ensure local councillors are not penalised by State or Territory laws
as a result of their decision to stand for federal Parliament. It was
argued in the second reading speech that:
This amendment to the Commonwealth Electoral Act
1918 is necessary to reinforce the Commonwealth's authority to
legislate exhaustively—subject to the Constitution—on qualifications
for election to the Commonwealth parliament.(1)
The Bill is aimed at ensuring local councillors do not
have to resign their positions in order to be candidates for federal office.
As outlined in the Information and Research Service's
Research Note on Candidacy
of Local Councillors for Federal Office, the impetus behind the Commonwealth
Electoral Amendment (Members of Local Government Bodies) Bill 2002 (hereafter
'the current Bill' or 'this Bill') was a Queensland law, assented to in
May 2001,(2) that sought to declare vacant the position of
any local councillor who was a candidate for State or Federal elections.
The Queensland
Local Government Act 1993 was amended to read:
224A Councillor ceases to be councillor on becoming
candidate for an Australian Parliament
A councillor ceases to be a councillor if—
(a) under the Electoral Act 1992, section
88(3), the councillor becomes a candidate for an election as a member
of the Legislative Assembly; or
(b) under the Commonwealth Electoral Act 1918
(Cwlth), section 176, the councillor is declared to be a candidate
for an election.
The Local Government
Association of Queensland (LGAQ) was unhappy about the new law, believing
it unfairly discriminated against local councillors. They successfully
challenged the provision relating to federal candidacy (s. 224A(b)) in
the Queensland Supreme Court, after succeeding in getting the case remitted
down from the High Court.(3) The Commonwealth Government intervened
in the case, arguing that the Queensland provision was invalid.(4)
The Supreme Court agreed. It unanimously held that this was because it
was inconsistent with sections 163, 164 and 327(1) of the Commonwealth
Electoral Act. The majority also held that the State Parliament 'did not
have the legislative power to enact such a law'.(5)
Despite their success in having the Queensland law struck
down, the Commonwealth remains concerned about control over the qualifications
and disqualifications for federal office. This concern persists because,
first, the Queensland Supreme Court decision does not prevent any other
State or Territory from trying to pass a law similar to that which was
enacted in Queensland. This would leave the Commonwealth, or another party
such as a local government representative body, to have to launch once
again a similar court case to that run against the Queensland provision.
A second, related, reason is that the Queensland Supreme
Court judgement has been called into question.(6) Critical
to the court's decision was the view that the Queensland law placed a
burden on candidates for federal office sufficient to allow section 224A(b)
to 'be characterised as a law relating to the conduct of Federal elections'.
The response of lawyer and academic Anne Twomey is simple:
It is hard to see how this is so. The Queensland
legislation does not in any way prevent or hinder local councillors
from nominating for election to the Federal Parliament. There is no
additional category of disqualification from the right to nominate.
All the legislation does is vacate the office of the councillor. This
is completely understandable. It is a general principle, frequently
applied, that people who hold high statutory or elective office must
resign from that office before running for a different elective office.
This prevents people from using the mantle of one office, unfairly,
to get elected to another office. It also avoids any conflict of interest,
where a person’s campaign may conflict with his or her duties of office.(7)
These are the kinds of arguments that led, back in 1902,
to the drafting of section
164 of the Commonwealth Electoral Act, which states:
A person who is, at the hour of nomination, a member
of:
- the Parliament of a State;
- the Legislative Assembly of the Northern Territory of Australia;
or
- the Legislative Assembly for the Australian Capital Territory;
is not capable of being nominated as a Senator or
as a Member of the House of Representatives.
That section thus prevents sitting State or Territory
parliamentarians from becoming federal Senators or Members.(8)
If a State Parliament cannot enact such a law as section
224A(b), the question is 'why is it that the State Parliament cannot legislate
for the qualification and disqualification of its local councillors?'(9)
One of the three justices of the Supreme Court, Justice Davies criticised
the Commonwealth's submission that the Queensland law was invalid because
it attempted to deny or alter the Commonwealth's executive capacity. He
said:
s. 224A(b) does no such thing. Its direct effect
and practical operation is plainly only upon councillors of a State
local government. And a legitimate purpose of it may be seen in the
need to ensure that local councillors are not distracted from their
duties as such or placed in a position of conflict with those duties
by standing as a candidate for some other office...
In my opinion [s. 224A(b)] is not invalid as being
beyond the legislative competence of the Queensland Parliament.(10)
He did however still find the provision invalid for the
other reasons outlined above. It can be seen that the Queensland Supreme
Court decision was by no means uncontroversial, and followed lines of
reasoning that a court in another State (or a higher court) may choose
to disregard. This then may be a second reason that the Commonwealth still
wishes to legislate, through the Commonwealth Electoral Act, to protect
the positions of local councillors. A third reason may be that the issue
might arise before the High Court, and the Commonwealth may wish to strengthen
its claims, based on the Electoral Act, that a law such as was enacted
in Queensland is invalid.
The current Bill is identical in text (differing only
in name) to a Bill tabled on the last day of sitting prior to the proroguing
of Parliament in 2001. The Bill when it first appeared was called the
Commonwealth Electoral Amendment (Prevention of Discrimination Against
Members of Local Government Bodies) Bill 2001. Contrary to what was printed
on the cover of some
versions of that bill, it was in fact not presented and read. Rather,
Senator Robert Hill tabled a draft Bill and with it a 'proposed second
reading speech' by Senator Ron Boswell.(11) This appears to
have followed an unsuccessful attempt by the Government to amend another
Bill, already before the Parliament at the time,(12) that sought
to amend the Electoral Act for purposes unrelated to the present discussion.
The proposed Bill would create an unusual situation.
On the one hand it seeks to prevent discrimination against local councillors
standing for Parliament. On the other hand, there has long been uncertainty
as to whether section 44(iv) of the Constitution might in fact prevent
local councillors from being candidates. This issue is canvassed extensively
elsewhere, such as in the House of Representatives Standing Committee
on Legal and Constitutional Affairs' Report on Aspects
of Section 44 of the Australian Constitution, and the Parliamentary
Library's publication, Candidates,
Members and the Constitution.(13) It is outlined here
just briefly.
Section
44 of the Constitution addresses grounds under which a person may
be disqualified from sitting in the Parliament. It reads in part:
44. Any person who
…
(iv) Holds any office of profit under the Crown,
or any pension payable during the pleasure of the Crown out of any
of the revenues of the Commonwealth
…
shall be incapable of being chosen or of sitting
as a senator or a member of the House of Representatives.
The untested question of Constitutional law is whether
being a local councillor constitutes holding an 'office of profit', and
if so, whether that office can be said to be 'under the Crown'.(14)
The detailed legal arguments need not be canvassed here. The point is
that for some years political parties have tended to consider it advisable
for local councillors to resign before contesting a federal election,
in case they could be disqualified under 44 (iv). Senator Nick Minchin
illustrated this approach in his evidence to the Joint Standing Committee
on Electoral Matters in 1997:
At one stage, after all our candidates had bulk nominated,
we received some advice that any connection with local government
might well constitute an office of profit...
I think eight of our 12 candidates happened to be
local councillors and I had to get all of them to withdraw their nominations.
Fortunately, we received this advice and acted on it before the closing
of nominations. But we had to get them all to withdraw, all to resign
from their council positions and then all to renominate. As you can
imagine, when you are running an election campaign that is the sort
of headache and nightmare you do not need...That was a bruising and
memorable experience.(15)
Indeed, the Australian Electoral Commission cautions
prospective candidates:
such positions as councillors and employees of local
government, and members of the governing bodies and the employees
of statutory authorities, could be at risk of disqualification, depending
on their particular circumstances.(16)
This Bill thus seeks to protect the candidacy of those
whom, in other contexts, are being advised that they may be constitutionally
unable to take office. This certainly explains paragraph 8 of the Explanatory
Memorandum for the Bill, which says in part:
The amendment to the Electoral Act should in no way
be considered to remove or alter any existing Constitutional barriers
to qualifying for standing for election. The onus is on all intending
candidates and specifically, members of a local government body, to
ensure that they Constitutionally qualify for election.
This Bill thus attempts to address one aspect of an issue
that really awaits a long overdue decision by the Parliament to address
problems with section 44 of the Constitution. These issues were identified
in 1981 by the Senate Standing Committee on Constitutional Affairs and
again by the House of Representatives Standing Committee on Legal and
Constitutional Affairs. They were recognised by the Joint Standing Committee
on Electoral Matters in 1996. That same year, all parties in the Senate
supported a motion by Greens Senator Bob Brown calling for the government
to propose a Constitutional amendment that would seek to implement long-needed
changes to section 44.(17) Senator Bob Brown also sought to
give effect to the House of Representatives Committee's recommendations
through a Private Senators' Bill in 1998.(18)
As has been written elsewhere,(19) an important
question to ask could be not only whether the currently proposed Electoral
Amendment Bill should pass, but also when is the Parliament going to initiate
a referendum to reform section 44 of the Constitution?
There are many arguments for and against the current
Bill. They are briefly summarised before being set out in more detail
and considered in the context of a very similar debate that took place
in 1902.
- The Commonwealth should have exclusive control over anything to do
with candidacy for federal office, and this Bill may help guarantee
this by preventing any doubts emerging regarding States' ability to
prevent local councillors from seeking federal office.
- Electoral laws should maximise the pool of talent from which future
MPs are drawn and protect that diversity of choice.
- Local council experience gives prospective candidates a legitimate
track record on which to stand for other office. This should not be
treated as an unfair advantage, but as a perfectly valid reason to seek
election to parliament. Laws that interfere with this should not be
tolerated, and the current Bill helps ensure they are not tolerated.
- If there are concerns about abuse of the resources of local government
office, regulation should be aimed at protecting against that abuse,
not indiscriminately restricting the ability of all councillors to become
candidates.
- Voters should be trusted to decide whether it was right for a local
councillor to stand for office in another tier of government. If the
voters think it is OK, why should the parliament prevent it? The current
Bill will help ensure voters have that choice.
- The current Bill would not provide local councillors seeking federal
office with any legal protection not already afforded by section 327(1)
of the Electoral Act.
- The current Bill would explicitly treat local councillors very differently
from State MPs. Section 164 of the Electoral Act prevents State MPs
from standing for federal office. The Commonwealth could be accused
of inconsistency if it retained this ban while simultaneously passing
the current Bill, designed to ensure local councillors can be candidates.
Why should these two categories of elected politician be treated so
differently under federal electoral law?
- Taken in conjunction with section 44 of the Constitution, the Bill
will confuse prospective candidates by sending contradictory signals
about whether local councillors are eligible to stand for federal office.
- Local councillors should not be encouraged to see their offices as
merely stepping-stones to 'higher' ambitions.
- There is potential for conflict of interest to arise between a person's
role as a councillor, and their motivations as a candidate for (or holder
of) federal office. Particularly in light of the Queensland Supreme
Court decision, the Commonwealth needs to take responsibility for preventing
conflicts of interest arising for elected officials, and the current
Bill is a move in the wrong direction on this point.
- Allowing local councillors to run for federal office encourages them
to do so, and in doing so increases the number—and cost to taxpayers—of
local government by-elections.
- Both local government and federal government roles require a lot of
work. It is simply not practical for anyone to try and do both, so the
Commonwealth should not be passing laws that might encourage the perception
that such a thing should be attempted. (This might lead to an argument
not to oppose the Bill totally, but to amend it so that it prevents
holding offices at both levels simultaneously, while still seeking to
protect local government office-holders during candidacy).
This Bill is poised to celebrate the centenary of debate
on a related federal law: the electoral law preventing State MPs from
being candidates for federal election. Debate on that issue spanned the
period March to September 1902. The restriction that was debated at that
time can currently be found in section 164 of the Electoral Act set out
above.
This restriction (in a slightly different form) was introduced
during debate on the original Commonwealth Electoral Bill in 1902. It
had also been a regular topic during the Constitutional Conventions of
the 1890s, which had ultimately decided that such a disqualification should
not be put in place.(20) The debate in 1902 was vigorous, and
in fact there was no disqualifying provision in the Bill as it was first
read.(21) It appeared to be introduced by the government some
months later as an amendment, largely in retaliation against some States
that had introduced provisions preventing federal MPs from being candidates
in State elections.(22) Many of the points likely to emerge
during debate of the current Bill were canvassed in the 1902 debates,
and in the Queensland parliamentary debates in 2001, when section 224A(b)
of the Queensland Local Government Act 1993 was originally passed
into law.
Many federal MPs have served in local government. In
fact, as of January 2003, each side of politics had 20 MPs who had served
in local government (amongst coalition MPs, the breakdown was 16 Liberal
and 4 National). Only one MP outside the major parties—Lyn Allison of
the Australian Democrats—has been a councillor. Thus nearly one in five
federal MPs has been an elected councillor at some time. Many current
MPs have served in local government immediately prior to their election
to federal Parliament; a few have served in the two offices concurrently.(23)
Clearly local government experience is an important part of the background
of federal politicians.
The need to encourage talented candidates to make themselves
available for higher office was a reason why some federal MPs objected
to the restrictions on State MPs implemented in 1902, and is likely to
be a reason to support the current Bill. There were certainly some heated
objections to the restriction proposed in 1902. At that time Senator Higgs
(Labor, Queensland) remarked that he had:
never heard a more illiberal proposition made. It
is almost dog-in-the-manager [sic] policy for us to debar the members
of a State Parliament from contesting a seat in the Senate or the
House of Representatives. It is not in keeping with what we understand
to be the dignity of the members of this Parliament. Because the members
of a State Parliament have seen their way to debar members of the
Commonwealth Parliament from contesting a seat in the State Parliament
that is no reason why we should descend to their level… The appearance
of such candidates [State MPs] in the field will give a wider choice
to the electors. If we carry this amendment, their area of choice
will be restricted, because very many of our best men, after having
been to the expense of contesting a State election, will not be prepared
to risk losing their seats in the State Parliament, and undertaking
the expense of a Federal contest… The State Parliament is a very good
school for the Federal Parliament, just as a municipal body is a very
good school for the State Parliament…(24)
These remarks were echoed in debate in the Queensland
Parliament in 2001, with Mrs Pratt (Ind.) saying that 'a council is an
exceptional training ground for any member of parliament'(25)
and Mr Bell (Ind.) opposing the restrictions because 'people should be
positively encouraged to take their grounding in local government as a
legitimate way of receiving appropriate training for higher levels of
service in the state and federal parliaments'.(26)
In the 1902 debate, Senator O'Connor (Protectionist,
NSW) argued that, had the founders of the Constitution thought a restriction
on candidacy for Federal office desirable, it would have been included
in the existing disqualification provisions of the Constitution. Its absence,
he reasoned, indicated it was intended that State office holders should
be able to be candidates. 'We should be doing a wrong to ourselves, and
a wrong to the people of Australia', he concluded, 'if we restricted or
interfered in any way with their right of choosing their representatives.'(27)
There is another side, however, to arguments about encouraging
representatives to move between levels of government. It may not be desirable
for local councillors to become too focussed on future opportunities.
The result could be that councillors 'did not care about representing
[voters] at council level if they could go further and viewed their election
to council purely as a stepping stone to higher self-promotion'.(28)
The law would need to strike a balance, encouraging the transfer of skills
without encouraging people to fail to take their local government duties
seriously.
Finally, it is possible to distinguish between encouraging
elected representatives to move between tiers of government and giving
that encouragement by actually allowing them to hold one office while
seeking another. One of the supporters of the Queensland restrictions
insisted 'There is no argument that local government representation has
provided useful professional development for many elected representatives
at the state and federal levels'.(29) Requiring councillors
to vacate office if seeking election to another tier of government was
not aimed at discouraging them from taking that step, but merely ensuring
that they were focussed on one task rather than two, potentially conflicting,
tasks. This issue is further addressed later in this Bills Digest.
Much of the debate about the 1902 provisions centred
on whether holding State office gave candidates an unfair advantage (as
Senator Lt-Col Neild (Free Trade, NSW) maintained), or was proof of a
candidate's worth (as Senator Playford (Protectionist, South Australia)
insisted). Senator Styles (Protectionist, Victoria) favoured the restriction.
He ruminated:
The Premier of a State and all his colleagues could
contest a seat in the Federal Parliament with the advantage of all
their prestige and influence. They would almost be certain to secure
seats as against abler men who held no public position.(30)
He thought failure to introduce the restriction would,
as a result, actually make the fields of candidates smaller rather than
larger: 'I apprehend that outside parliamentary life there are hundreds
of able men who would see at once that they would have no show with the
State Premier and his colleagues in the field'. Thus they would not stand
for office.
There was also concern at that time that State MPs would
extract a substantial and unfair advantage from their free rail travel
passes. It should be recalled that at that time, all travel was by land,
the electorates were physically larger than in the present day, and the
railways more extensive. In addition, many candidates were probably poorer
than today, and there was no public funding of elections. In this environment,
being able to travel at no cost from town to town was a valuable campaign
resource. It hardly seemed fair that some candidates would have it while
others did not.
During debate in Queensland, it was similarly asked 'why
should ratepayers pay the salary of councillors who are not focussed on
working for them?'(31) Supporters of the restriction also were
concerned about 'the councillors from the various local authorities who
have abused their position and have effectively conducted ratepayer funded
campaigns for election to higher office'(32) and people campaigning
'in the council car with the council phone'.(33)
No one would suggest that abuse of office is something
to be endorsed. However supporters of the current Bill will point out,
as did Mr Seeney (National) in the Queensland debates, that failure to
protect the right of local councillors to stand will:
nobble the field and make it difficult for people
who have established a leadership profile in a community and, therefore,
would be considered to be frontrunners in the group seen as the best
candidates for an election.(34)
That is, advantages enjoyed by a local councillor in
the campaign may not be the product of their abuse of council resources,
but because of their profile and achievements while in local office. Supporters
of the current Bill will argue that the regulatory focus should be on
protecting against abuse of the resources of office, rather than
implementing a blanket ban against holders of office.
One of the main causes of concern about office-bearers
in one jurisdiction being candidates for, or office-bearers in, another
level of government is the potential for conflict of interest.
During debate on Senator Brown's Constitutional Alteration
(Right to Stand for Parliament – Qualification of Members and Candidates)
Bill 1998 (see also discussion below), Senator Ellison (Liberal, Western
Australia) asked:
is it important to preserve the basic principle embodied
in that provision, that is, that a person should not hold two offices
which may give rise to a conflict of duty or the appearance of such
a conflict?(35)
If participants in debate over the current Bill are concerned
about this issue, they might oppose the kind of guarantee that this Bill
seeks to provide. Supporters of the approach taken in this Bill will need
to address the question of why they see no conflict of duty, or appearance
of such, between being a local councillor and seeking federal office.
Far from passing the current Bill, its critics might
desire to enact a law to prevent local government councillor candidacy.
Why? In its decision, the Queensland Supreme Court considered that it
was beyond the legislative competence of a State to pass legislation that
vacated the office of a local councillor who became a candidate for, or
was elected to, federal office.(36) Let us assume for the moment,
despite the concerns of Twomey and others, that the case proves to be
sound and enduring law. This means that States now cannot prevent people
from holding federal office and local government positions simultaneously.
Yet federal parliament makes numerous decisions that affect local councils,
and provides 19 per cent of their funding.(37) There is, as
participants in the 1902 federal and 2001 Queensland debates have outlined,
a case to be made for this situation to be remedied, in order to prevent
conflicts of interest. The Queensland Supreme Court decision appears to
leave responsibility for this in the hands of the Commonwealth, even though
local councils are creatures of State law. It may be that, far from supporting
the present Bill, there is thus now a case for the Commonwealth to act
to prevent conflict of interest situations arising, by at the very least
requiring that a person does not simultaneously hold offices in two tiers
of government.
Incidentally, the Queensland Supreme Court decision raises
some broader issues in this area that the Commonwealth may now need to
address. If the principles enunciated in that decision are applied elsewhere,
then numerous other state prohibitions on certain officials from standing
for parliament may also be invalid. These include positions such as ombudsmen
and directors of public prosecutions.(38)
During the debate in Queensland, Mr Bell (Ind.) made
an interesting point about conflict of interest. His point concerned the
claim that there would be a conflict of interest during candidacy (not
to be confused with conflicts arising from holding two offices simultaneously),
as a local councillor's actions could be affected by seeking election
elsewhere. He said:
Quite honestly, the conflict of interest, if it were
to exist at all, would not be abridged or removed by the fact that
someone resigns at the point of nomination. That conflict surely would
have existed long before that if it were to occur at all.(39)
Bell rightly recognised that people generally do not
become candidates for federal office out of the blue. It would be a move
planned months, and perhaps years, in advance. Local councillors planning
such a move would know their intentions long before the day of nomination,
which was the time at which the Queensland law would come into play. Bell's
point was that a law that declared the councillor's position vacant when
they officially became an election candidate would do little to address
potential conflicts of interest arising during the preceding months, as
the candidate perhaps looked for opportunities to boost their chances
of a future political career elsewhere.
Preventing this kind of conflict of interest situation
cannot be considered to be a significant factor behind Queensland's restriction
on local councillors. A corollary to this argument could be that supporting
the current Bill does not mean one is not concerned about conflict of
interest issues. Rather, it recognises that they cannot be eliminated
through the kind of law Queensland sought to enforce. Conflict of interest
issues, the argument continues, should be confronted, but will not be
addressed by stopping a person from being a councillor just during an
actual election campaign.
It might be argued that the Commonwealth's Bill will
ensure that costly council by-elections continue to take place, as local
government representatives continue to stand for federal office (triggering
by-elections because, if elected, councillors usually resign their local
office). Certainly, supporters of the Queensland law claimed it would
save ratepayers money because 'it will save by-election money'.(40)
Yet this must mean that those supporters believed there would be fewer
by-elections because fewer people would move from the local sphere to
another level of government. In other words, supporters of the Queensland
law (and thus opponents of the current Bill) believed the attempted Queensland
restrictions would have the effect of discouraging local councillors from
standing for higher office. Yet this contradicts the claims of their fellow
advocates for the new regime, who said the restrictions were not meant
as a discouragement, but merely to avoid conflicts of interest etc.
In fact, if the aim was genuinely to save money, then
one would adopt the approach advocated by Mr Bell, of requiring a councillor
to stand down from their office while a candidate, and surrender office
only if elected.(41) This however is not the approach that
the Commonwealth's Bill seeks to take.
Opponents of the current Bill may put forward the pragmatic
argument that people simply cannot do both jobs at once. Both local government
work and being a federal MP are demanding roles. Regardless of any in-principle
objections, it could be argued that no one should hold both offices
concurrently because no one could do both jobs concurrently. It
might be considered that the law should simply reflect this reality. This
argument relates more to holding office than to candidacy, but it remains
relevant to the current Bill. They may also say that protecting and proclaiming
the value and professionalism of service in any tier of government would
be best achieved by ensuring that it is not possible to hold two positions,
at two different levels of government, at once. The current Bill is oriented
instead toward ensuring that holding office simultaneously is possible.
It can be argued that it should be left to the voters
to decide whether they want a local councillor in their area to take up
federal office. If the electorate thinks a currently serving local councillor
would best serve them in another forum, should they not be free to exercise
that choice? In 1902, the opponents of section 164 of the Electoral Act
repeatedly made this point, saying State MPs should be free to stand.
Even earlier, in the Constitutional Conventions, Mr Higgins said 'I am
perfectly prepared to leave it to the electors of the State Parliament
to say whether they will trust [federal] affairs in the hands of those
who occupy seats there'.(42) Sir Edward Braddon concurred:
'we should leave it to the judgment of the people of the States, who,
after all, are the arbiters in this case, to say what should be done'.(43)
The same may be said for local government: let the voters judge whether
a councillor has done the wrong thing in seeking federal office while
still holding their municipal office. Thus the current Bill should be
supported, ensuring that this judgement is left in the hands of voters,
rather than being usurped by State governments.
Leaving aside the pros and cons of allowing the candidacy
of local councillors, there is a more fundamental question about the consistency
of treatment of elected office holders. It could be argued that it makes
no sense to create additional protection for local councillors while not
at the same time moving to abolish the section 164 prohibition on the
candidacy of State MPs. Opponents of the current Bill will be asking why
local councillors deserve special treatment not available to State MPs?
The Federal Parliament has benefited from the skills of local councillors
and State MPs. Yet the latter are banned from being candidates for federal
office, while the current Bill proposes to protect the ability of the
former to stand. As was outlined earlier, the ban on State MPs very nearly
did not become federal law a century ago, precisely because people could
see advantages in having State MPs standing for federal office. Many even
thought the offices should be able to be held concurrently. The current
Bill seems to apply all those arguments to local councillors, while ignoring
the implications for State MPs.
Supporters of the Bill may argue that the Constitutional
recognition of the States puts their representatives in a different position.
This argument may have some weight when dealing with the question of holding
both jobs simultaneously. It is less clear, however, how it is relevant
to the question of candidacy. There is a case to be made for treating
State and local representatives in the same way while they are candidates
for federal office. In this case, amending section 327 (as proposed by
the current Bill) could only be part of the solution; section 164 would
have to be modified as well.
During the 1902 debates, Senator O'Keefe (Labor, Tasmania)
sought to distinguish candidacy from incumbency. He suggested:
It is not reasonable that a man should be able to
occupy at the same time one seat in the Federal Parliament and another
in the State Parliament, but we should stop at that, and not show
the selfish spirit which it appears some State Parliaments have shown.(44)
O'Keefe wanted to prevent people simultaneously holding
two elected offices. However, his view was that a distinction should be
made between candidacy for office and actually taking one's place in Parliament.
He did not want to prevent a person being a federal candidate while
also being a State MP. This distinction exists, ironically enough, in
current Queensland law. The Parliament
of Queensland Act 2001 section 68 states in part:
(1) Any of the following persons who is elected as
a member can not take his or her seat until the person stops holding
the membership or appointment mentioned in relation to the person—
(a) member of the Commonwealth Parliament or of a
legislature of another State;
In section 72 it also states:
(1) A member’s seat in the Assembly becomes vacant
if any of the following happens—
…
(e) the member becomes a member of the Commonwealth
Parliament or of a legislature of another State;
Queensland has thus implemented the distinction between
candidacy and incumbency that Senator O'Keefe unsuccessfully suggested
for the federal legislation back in 1902. It might be possible, through
amendments, to consider making such a distinction in the current Bill.
Up to this point, this Bills Digest has accepted the
legal premise of the Bill and outlined the issues for debate. There are
however questions to be considered about the Bill's legal effect, regardless
of one's views about the underlying question of policy. It is worth recalling
that the current Bill seeks to amend the provisions in the existing Electoral
Act concerning political freedoms (s.
327). The current text of section 327 reads:
Interference with political liberty etc.
(1) A person shall not hinder or interfere with the
free exercise or performance, by any other person, of any political
right or duty that is relevant to an election under this Act.
Penalty: $1,000 or imprisonment for 6 months, or
both.
(2) A person must not discriminate against another
person on the ground of the making by the other person of a donation
to a political party, to a State branch or a division of a State branch
of a political party, to a candidate in an election or by-election
or to a group:
(a) by denying him or her access to membership
of any trade union, club or other body;
(b) by not allowing him or her to work or to
continue to work;
(c) by subjecting him or her to any form of intimidation
or coercion;
(d) by subjecting him or her to any other detriment.
Penalty: (a) if the offender is a natural person—$5,000
or imprisonment for 2 years, or both; or (b) if the offender is a
body corporate—$20,000.
If we consider the legal issues that were argued in relation
to subsection 327(1) during the Queensland Supreme Court case, the approach
of the current Bill may be called into question.
One of the points successfully argued in the Queensland
Supreme Court was that the Queensland law was invalid because it was inconsistent
with subsection 327(1) of the Commonwealth Electoral Act. On this all
the judges agreed.(45) Let us begin by accepting the opinion
of the Supreme Court on this point. In its decision, the court unanimously
agreed that section 327(1):
indicates that the field of operation [of the Electoral
Act] extends to the prevention of any interference(46)
with a right under the Constitution and the Act to stand for election
as such.
The legal question, therefore, was whether the Queensland
law interfered with this field of operation. The Court then concluded,
contrary to the arguments made by the Queensland Government, that section
224A(b) of the Local Government Act did seek to enter the field of operation
of section 327(1) of the Commonwealth Electoral Act, and to detract from
its operation.(47) The Queensland law was therefore invalid.
Now, if that is the case, the current Bill may be unnecessary because
the law is already adequate to achieve the Commonwealth's goals. The Bill
would create no protection not already afforded by the scope of 327(1).
The current Bill would seem to be of relevance only if the reasoning of
the Queensland Supreme Court were to be in some way overturned in a higher
court, or disregarded by another jurisdiction's Supreme Court.
A key question then is to understand the logical consequences
of setting aside the reasoning of the Queensland Court.
If one were to disagree with the argument of the Queensland
Supreme Court, it would be for the reasons outlined by the State of Queensland,(48)
which considered that the State law was nothing to do with federal office,
but was about qualifications to be in local government. Yet in this case,
amending section 327 in the manner proposed by the current Bill may still
be no help. This is because rejecting the Queensland Supreme Court's arguments
regarding the scope of subsection 327(1) necessarily implies accepting
that the Queensland law is not concerned with federal electoral
matters. That is, the Queensland law should have been considered to be
a law regulating qualifications for Queensland local government office.
But if it is a law concerning local government, then it becomes unclear
on what basis the Commonwealth's legislation would lie. Local government
is a creature of State government: it is not a federal matter. If the
Queensland law is considered to be about qualifications and disqualifications
for holding a Queensland local government position, what grounds has the
Commonwealth to interfere in this matter? Thus, if one were to
reject the Queensland Supreme Court's arguments, then amending section
327 of the Electoral Act in the manner proposed by the current Bill might
still not fulfil its objective, because the amendment would not be
relevant to the qualifications for local government office.
It might be said that the point of the Bill is to give
greater clarity, particularly to prospective candidates and State governments,
about their legal rights and obligations under the Commonwealth's Electoral
Act. That is, the new clause in a sense codifies aspects of the Supreme
Court judgement in the key location to which people turn when they are
considering electoral matters: the Electoral Act. This however could be
seen to be a weak reason to enact legislative change. It also could send
a confusing, rather than clarifying, signal, contradicting the current
approach of the Electoral Commission, which warns candidates to be careful
not to fall foul of section 44(iv) of the Constitution concerning offices
of profit under the Crown.
There is a related policy question about why the government
has not mentioned the simultaneous holding of local and federal
office in its proposed new section 327(3). It only mentions nomination
and candidature. Is this because the federal government is undecided about
whether people should be able to hold such offices in parallel? Is it
signalling to the States (and perhaps the courts) that it thinks a State
law preventing such dual incumbency would be legally acceptable, even
though State laws regulating candidacy are not? Or is it concerned that
extending its proposed Bill to incumbency would attract a dispute that
might finally lead to the High Court ruling on whether elected local government
positions are offices of profit under the Crown? It would be interesting
to get some clarification of this issue.
Finally, there is also a question concerning the effect
of seeking to nullify a State law to the extent to which 'the law discriminates
against a member of a local government body' (emphasis added). This is
the question of whether declaring a council position to be vacated because
a councillor has nominated for federal election could in fact be said
to be 'discrimination' against them. It is possible to envisage that a
court would consider that causing a councillor's office to be vacated
was not discrimination, because it was (again, as Queensland argued) a
matter of disqualifications for local government office that the State
can legitimately control. It might also turn out that any disputes under
the clause contained in the current Bill could turn on the question of
how the State law was constructed. Take for example a State law containing
conflict-of-interest provisions that prevented all sorts of judicial and
elected officers (such as judicial positions and ombudsmen as well as
local councillors) from simultaneously seeking other elected office. Would
this mean that including local councillors in such a list would not violate
the proposed new section 327(3), because it was not 'discriminatory' (on
the grounds that the restrictive provisions applied to a whole class of
persons equally)?
These are just some of the complex legal and policy questions
the Bill as currently formulated raises.
There was no debate in the Senate on the Bill that was
tabled by Senator Hill at the end of the last Parliament in late 2001,
so it is not clear what position other parties or independents might take
on this proposal. Senator Boswell did however issue a media release in
which he stated that:
The Democrats agreed to this amendment [meaning the
content of the tabled Bill], however, Federal Labor filibustered in
the Senate and did not allow the debate to proceed.(49)
At this stage, therefore, it seems possible that the
ALP will oppose the Bill, while the Democrats may support it. The Greens
have been advocating reform in this area for some time. Their focus has
been on section 44 of the Constitution generally, rather than any particular
issue such as the candidacy of local councillors. In 1998, Senator Brown
(Greens, Tasmania) introduced the Constitutional
Alteration (Right to Stand for Parliament – Qualification of members and
Candidates) Bill 1998. In his second reading speech, he remarked on
the restrictions caused by the 'office of profit' provisions of s. 44
(iv):
This situation is discriminatory, and it deprives
the federal parliament of a huge pool of talented potential politicians,
including every public servant. At every recent election it has caused
trouble and expense as someone unwittingly falls foul of the constitution.(50)
These views would seem to suggest that the Greens might
favourably view a Bill that sought to preserve the ability of as wide
a range as possible of people to stand for office.(51)
The proposed new subsection as it is currently drafted
would appear to prevent discrimination against a candidate in a federal
election, but not to prevent such discrimination against a person nominated
for, or declared to fill a casual Senate vacancy, unless they had been
a candidate in a previous election. This is because the current Bill prevents
discrimination only against candidates in an election, whereas
the procedure for filling a casual vacancy is not an electoral procedure.
Item 1 of Schedule 1 amends section 327 of the
Commonwealth Electoral Act, which is concerned with the protection of
political liberties. Item 1 prevents a State or Territory law from discriminating
against a member of a local government body because they stand, or are
declared as a candidate, for federal Parliament.
This tiny Bill has opened up some large questions:
- How should State and local politicians be treated as candidates for
federal office, and why should they be treated differently?
- Who is going to regulate conflict of interest issues between the federal
and local spheres of government, and when and how will they go about
it?
- If local councillors are elected to Commonwealth Parliament, are they
or are they not at risk of disqualification owing to holding an office
of profit under the Crown?
- House of Representatives Debates, 12 December 2002, p. 10271.
- Local
Government and Other Legislation Amendment Act 2001
- LGAQ (Inc) v State of Qld, [2001]
QCA 517; LGAQ (Inc) v State of Qld, [2001]
HCA 75; Stephen Fynes-Clinton, 'Riding the legal merry-go-round',
Council Leader, vol. 27, no. 6, 2001-02, pp. 20–3.
- Daryl Williams, Queensland
Local Government Case, Media Release, 3 October 2001.
- Anne Twomey, 'The
limitation of State legislative power', Constitutional Law and
Policy Review, vol. 4, no. 1, 2002, p. 18.
- ibid.
- Twomey, op. cit., p. 19.
- This ban was to be found in s. 96 of the Commonwealth Electoral
Act 1902, and was included in s. 70 of the Electoral Act when first
consolidated in 1918.
- Twomey, p. 18.
- [2001] QCA 517 at: 14–15.
- Senator Robert Hill, Senate Debates, 27 September 2001, p.
28224.
- The Commonwealth Electoral Amendment Bill 2001. A Supplementary
Explanatory Memorandum was released in connection with the proposed
additional Schedule for the Commonwealth Electoral Amendment Bill 2001,
but the additional schedule never made it into that Bill.
- House of Representatives Standing Committee on Legal and Constitutional
Affairs, Aspects of Section 44 of the Australian Constitution,
July 1997, Canberra.
- The parties to the Queensland Supreme Court case did not seek to argue
that local councillors held an 'office of profit under the Crown', so
this question remains unaddressed by the courts.
- Cited in House of Representatives Standing Committee on Legal and
Constitutional Affairs, Aspects of Section 44 of the Australian Constitution,
July 1997, Canberra, p. 67.
- Australian Electoral Commission, 'Constitutional Disqualifications
– Section 44 of the Constitution', Electoral
Backgrounder No. 13, October 2001.
- Senate Debates, 29 October 1996, p. 4659.
- Constitution
Alteration (Right to Stand for Parliament – Qualification of Members
and Candidates) Bill 1998.
- Ian Holland, Candidacy
of Local Councillors for Federal Office, Research Note No.
21, 2002, Parliamentary Library, Canberra, p. 2.
- See Convention Debates, Sydney, 1891, pp. 877–81; Adelaide,
1897, pp. 1181–2; Sydney, 1897, pp. 996–1011. The decision to omit such
a disqualification is described in Quick and Garran's Annotated Constitution
of the Australian Commonwealth, 1901, p. 488, though their account
contains an error. They state that Sir Edward Braddon moved the insertion
of a disqualification clause at the 1897 Convention in Adelaide. In
fact Dr Cockburn moved it, and Braddon spoke against it.
- Senate Debates, 24 January 1902. The provision (which became
clause 98a of the Bill) was introduced in the House of Representatives
after the original version of the Bill passed the Senate, 21 March 1902.
The amendment, to which the Senate ultimately acquiesced, had originally
failed in the Senate, when debated in committee on 12 March 1902. It
also failed, the second time around, by 10 votes to 11. Senate Debates,
21 August 1902, p. 15267. When the House of Representatives insisted
upon the amendment (House of Representatives Debates, 24 September
1902, p. 16045), the Senate only acquiesced by a single vote (Senate
Debates, 25 September 1902, p. 16100). There was thus very nearly
no law preventing State MPs from being candidates for federal office.
- The government minister responsible for the Bill, Sir William Lyne,
quoted the relevant legislative provisions from NSW, South Australia
and Victoria, and indicated that 'The Acts of other States contain similar
provisions'. House of Representatives Debates, 30 July 1902,
pp. 14719–20.
- MPs who have served concurrently are: the Hon. Paul Calvert (Liberal,
Tasmania), elected to the Senate for a term deemed to have begun in
July 1987 and Councillor in the Municipality of Clarence until 1988;
the Hon Roger Price (Labor, Chifley), elected to the House of Representatives
in 1984 and Alderman in Blacktown City Council until 1987; and Julian
McGauran (National Party, Victoria), elected to the Senate for a term
deemed to have begun in July 1987 and Councillor in Melbourne City Council
until 1988. These dates are based on the 2002 Parliamentary Handbook
entries for the Senators and members. It is possible that a few other
MPs, for whom complete data is not available, have served concurrently.
- Senator Higgs (ALP), Senate Debates, 12 March 1902, p. 10874.
- Mrs Pratt (Ind.), Queensland Parliamentary Debates, 17 May
2001, p. 1045.
- Mr Bell (Ind.), Queensland Parliamentary Debates, 17 May 2001,
p. 1055.
- Senator O'Connor (Protectionist), Senate Debates, 12 March
1902, p. 10875.
- Mrs Pratt (Ind.), Queensland Parliamentary Debates, 17 May
2001, p. 1045.
- Mr English (ALP), Queensland Parliamentary Debates, 17 May
2001, p. 1045.
- Senate Debates, 12 March 1902, p. 10875.
- Mr English (ALP), Queensland Parliamentary Debates, 17 May
2001, p. 1045.
- Mr Lawlor (ALP), Queensland Parliamentary Debates, 17 May 2001,
p. 1050.
- Ms Stone (ALP), Queensland Parliamentary Debates, 17 May 2001,
p. 1055.
- Mr Seeney (National), Queensland Parliamentary Debates, 17
May 2001, p. 1047.
- Senate Debates, 3 December 1998, p. 1239.
- The Court in particular cited the Smith v Oldham case: (1912)
15 CLR 355. Cited by McMurdo P, [2001] QCA 517 at para. 9.
- Commonwealth Grants Commission, Review of the Operation of the
Local Government (Financial Assistance) Act 1995, Canberra, June
2001, p. 9.
- Twomey, op. cit., p. 19. Holders of most of these offices would probably
nevertheless be unable to hold office because of the 'office of profit'
provision of the constitution. Nevertheless, this fact itself merely
serves to highlight the apparent contradiction between the way the current
Bill seeks to treat councillors, and the way many other public offices
are treated when it comes to candidacy for elected positions.
- Mr Bell (Ind.), Queensland Parliamentary Debates, 17 May 2001,
p. 1054.
- Mrs Carryn Sullivan (ALP), Queensland Parliamentary Debates,
17 May 2001, p. 1056.
- Mr Bell (Ind.), Queensland Parliamentary Debates, 17 May 2001,
p. 1054.
- Constitutional Convention Debates, Adelaide, 22 April 1897,
p. 1181.
- Constitutional Convention Debates, Adelaide, 22 April 1897,
p. 1182.
- Senate Debates, 12 March 1902, p. 10876. He reiterated the
argument when the Bill was returned from the House of Representatives
with a list of amendments: Senate Debates, 21 August 1902, p.
15257.
- Justice McMurdo, [2001] QCA 517 at para. 2; Justice Davies at para
63; Justice Williams at para 81.
- This prevention of interference extends to prevention of interference
by a body politic: see the Acts Interpretation Act 1901, s. 22.
This specific point was not however, argued: see Justice Davies, [2001]
QCA 517 at para. 31.
- Justice Davies, [2001] QCA 517 at para. 61.
- As well as by Twomey and Justice Davies in his dissenting judgement
on this particular point.
- Senator Ron Boswell, Commonwealth
Intervenes in Local Government Court Action, Media Release, 3 October
2001.
- Senate Debates, 24 June 1998, p. 3986.
- The Greens may have recently developed an added interest in Section
44 issues. There was some debate about whether their House of Representatives
member, Mr Michael Organ (elected in the Cunningham by-election), might
be ineligible to be an MP under the 'office of profit under the Crown'
provision. He was employed by the University of Wollongong as a librarian,
and was on leave without pay both when a candidate and once he had taken
office. There was a suggestion that this might be an office of profit
under the Crown because Universities are established by statute, and
because so much of their funding is from the government. See Paul McInerney,
'Organ's eligibility questioned', Illawarra Mercury, 20 December
2002.
Ian Holland
12 February 2003
Bills Digest Service
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