The Federal Government is moving closer to a reform of Australia’s three tiers of government.

It wants to play a smaller role in places where State and Local governments are better-placed to deliver.

The Terms of Reference for a new White Paper have been released, and the Australian Local Government Association has been announced as leader of the Steering Committee overseeing the paper’s development.

Prime Minister Tony Abbott says he wants the White Paper to look at ways of reducing duplication and second-guessing between different levels of government.

The reform will seek a clearer allocation of roles and responsibilities, enhance governments’ autonomy, flexibility and political accountability, he said.

The Government hopes that consultations will help create ways for interacting with government to be made simpler for citizens.

Where Australia’s constitutional framework allows it, a number of key changes will be considered, including;

  • limiting Commonwealth policies and funding to core national interest matters;
  • reducing or, if appropriate, eliminating overlap between local, state and Commonwealth responsibility or involvement in the delivery and funding of public programs;
  • agreement between State and Commonwealth governments about their distinct and mutually exclusive responsibilities and subsequent funding sources for associated programs; and
  • equity and sustainability in the funding of any programs that are deemed to be the responsibility of more than one level of government.

“The Commonwealth will continue to take a leadership role on issues of genuine national and strategic importance, but there should be less Commonwealth intervention in areas where States have primary responsibility,” PM Abbott said.

An Issues papers will be released in the second half of 2014, a Green Paper will be released in the first half of 2015, and the White Paper by the end of 2015.