Local Government Candidates and Groups
All local government candidates and groups have obligations under the Election Funding and Disclosures Act 1981 (the Act).
The Funding and Disclosure Guide for Local Government Candidates, Groups and Official Agents is now available. The guide provides candidates, groups and their official agents with information about their obligations under the Act and practical information about how to complete and lodge a declaration form.
Disclosing political donations and electoral expenditure
The official agent for each local government candidate or group is required to disclose the political donations made to or for the benefit of the candidate or group and all electoral expenditure incurred for the candidate or group. Disclosure of donations and expenditure is done by completing a declaration form for the group or candidate.
Declarations for the 2009 local government by-elections held between 1 January 2009 and 30 June 2009 must be lodged with the Authority no later than 25 August 2009. These declarations cover a reporting period up to 30 June 2009.
Candidates contesting the Goulburn-Mulwaree, Gwydir and Wakool local government by-elections will also be required to lodge disclosure forms for the following disclosure period ending 31 December 2009. These disclosure forms are due between 1 January and 25 February 2010.
Disclosure periods
Candidates are required to disclose in the declaration only those political donations received and electoral expenditure incurred during the disclosure period.
The disclosure period for declarations to be lodged by 25 February end 31 December.
The disclosure period for declarations to be lodged by 25 August end 30 June.
Candidate registrations for a local government by-election
If you contest a local government by-election you must be registered as a candidate with the Election Funding Authority before you accept political donations for the by-election.
If you do not accept any political donations you are not required to register as a candidate with the Authority.
The registration process is separate to being nominated as a candidate. The NSW Electoral Commission provides information about nominations for local government elections.
To register as a candidate for a local government by-election complete the Application for Registration of a Candidate form and lodge it with your Returning Officer.
Candidate registrations for the upcoming local government close at 5pm on the day nominations close for the by-election.
Group registrations for a local government election
If you and other candidates are forming a group for a local government election you must register the group with the Authority in order for the group to accept political donations. A group is two or more candidates who form a group for the purposes of being entered as a group on the ballot paper for a ward or an undivided Council.
If the group does not accept any political donations there is no requirement to register the group with the Authority.
The registration process is separate to requesting to form a group on a ballot paper. The NSW Electoral Commission provides information about how candidates can request to form a group on a ballot paper for the local government elections.
To register a group for a local government election complete the Application for Registration of a Group form and lodge it with the Authority or with the Returning Officer. Registrations close at 5pm on nomination for the election the group is contesting.
Appointing and registering an official agent
An official agent is responsible for:
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managing political donations and electoral expenditure on behalf of a candidate or group,
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keeping proper records of a candidate or group's political donations and electoral expenditure, and
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lodging a declaration of political donations and electoral expenditure on behalf of a candidate or group.
Candidates and groups who do not appoint an official agent and register the agent with the Authority cannot accept $1,000 or more in political donations and cannot incur $1,000 or more in electoral expenditure during the election period (the election period for a local government by-election commenced 13 October 2008 and ends 30 days after the by-election).
A candidate who is a member of a group cannot be the official agent for the group. A candidate who is a member of a group cannot be the official agent for another candidate in the group.
A candidate who is a member of a group can be the official agent for a another group or candidate. A candidate who is not a member of a group can be the official agent for another candidate or group.
Official agents must:
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be on the NSW electoral roll,
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have not been convicted of an indictable offence, an offence under the Election Funding and Disclosures Act 1981, an offence involving dishonesty or an electoral offence, and
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have successfully completed the training provided by the Authority.
The Authority has provided an online training program for prospective agents. Complete the online training today.
Once a prospective agent has successfully completed the training program complete a Notice of Appointment of Official Agent form and lodge it with the Authority or with the Returning Officer. The Authority will register the person as the candidate or group’s official agent if all the necessary criteria are met.
Candidates and groups who receive less than $1,000 in political donations and incur less than $1,000 in electoral expenditure are not required to appoint an official agent. In the case where a candidate does not have an agent, the candidate is deemed to be their own agent. In the case where a group does not have an agent the head candidate in the group is deemed to be the agent for the group.
Political donations
Candidates and groups can only accept $1,000 or more in political donations if:
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the candidate or group is registered with the Authority,
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the candidate or group has an official agent, and
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political donations are made to the official agent.
Candidates and groups who are contesting a local government election must be registered with the Authority before accepting political donations.
A political donation is a gift (monetary or otherwise) made to or for the benefit of a candidate or group. Political donations include:
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monetary donations,
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the purchase of tickets and other items for a fund raising event,
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the giving of a gift or the provision of a service at no charge (or at a discounted charge) also known as a gift ‘in kind’, and
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annual subscriptions or membership payments to political parties.
Political donations of $1,000 or more are known as reportable political donations. Reportable political donations include multiple donations made by the same person to the same candidate or group in the same financial year and the donations in aggregate are $1,000 or more.
The official agent must keep a record of the details of all reportable political donations including:
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the name of the candidate or group to or for whose benefit the donation was made,
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the name of the donor,
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the residential address of the donor or, if the donor is not a person, the official address of the donor,
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the ABN of the donor if the donor is not a person,
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the date the donation was made,
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the amount of the donation.
In the case of donations that are not reportable your official agent (or the candidate or group where there is no agent) is required to record the total amount of non-reportable donations received and the total value of the non-reportable donations.
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reportable political donations can only be accepted from entities with an ABN or from individuals,
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you cannot accept reportable political donations from unknown persons or entities,
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you cannot accept indirect campaign contributions valued at $1,000 or more including office accommodation, vehicles, computers and other equipment,
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you cannot receive loans unless the details of the loan are recorded and disclosed, and
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volunteer labour is not an in-kind gift or indirect campaign contribution.
Campaign accounts
Candidates and groups must have a campaign account before accepting $1,000 or more in political donations or incurring $1,000 or more in electoral expenditure. Political donations are to paid into the account by the official agent and payments for electoral expenditure must be paid from the account by the official agent.
The official agent must be authorised to operate the campaign account. Candidates and groups are not permitted to operate the campaign account (i.e. make deposits, withdrawals or payments).
A campaign account can only be used for the following purposes:
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deposit personal funds of the candidate or group,
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deposit political donations,
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make payments for electoral expenditure,
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make a payment to a candidate or group to reimburse them for personal funds they paid into the account,
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make political donations to councillors, members of Parliament, candidates or groups who are members of the same party as the candidate or group.
Issuing receipts for political donations
When an official agent receives a reportable political donation ($1,000 or more) for a candidate or group they must:
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obtain the details of the donation,
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write out a receipt (or acknowledgement slip for gifts and services provided in kind) for reportable political donations and issue the receipt to the donor; and
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deposit the donation into the candidate or group's campaign account.
Each receipt and acknowledgement slip must contain a statement to advise the donor of their obligation to disclose political donations to the Authority.
The Authority provides receipt books to candidates, groups and their official agents. Contact us to request receipt books and we will send some to you. There are 50 receipts per receipt book.
Electoral expenditure
Electoral expenditure is any expenditure for or in connection with promoting or opposing, directly or indirectly, the election of a candidate or a group of candidates or for the purpose of influencing, directly or indirectly, the voting at an election.
This includes, but is not limited to, expenditure for:
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advertisements in radio, television, the Internet, cinemas, newspapers, billboards, posters, how-to-votes and any other printed election material;
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the distribution of electoral material;
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raising funds for an election;
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stationery, telephone, postage, electronic transmissions;
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employment of staff for election campaigns;
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election campaign research.
The official agent (or candidate or group where there is no agent) must keep proper records of electoral expenditure including receipts or invoices for expenditure items and samples of all advertising and printed material.
Am I allowed to accept ‘in-kind’ contributions or indirect campaign contributions?
Parties, elected members, candidates and groups are not allowed to receive the following indirect campaign contributions if the value of the contribution exceeds $1,000:
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the provision of office accommodation, vehicles, computers or other equipment,
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the full or part payment by a person of electoral expenditure incurred or to be incurred by a party, elected member, candidate or group,
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a person waiving all or part of a payment that is to be paid by a party, elected member, candidate or group to the person.
All other in-kind gifts of any value may be accepted by parties, elected members, candidates and groups.
An acknowledgement slip must be issued to the donor when they make an in-kind gift valued at more than $1,000. The acknowledgement must show the value of the gift, a description of the gift, the date of the gift, the name, address and ABN (if applicable) of the donor. Contact us to request free acknowledgement books.
In kind gifts and indirect campaign contributions must be disclosed as political donations by the party, elected member, candidate or group who received the gift.
Volunteer labour is not an in-kind gift or indirect campaign contribution.
Auditing declarations
Declarations must be audited by a registered company auditor before being lodged with the Authority unless you meet one of the following exemption criteria:
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you are lodging a ‘nil’ declaration, or
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the political donations and electoral expenditure disclosed on a declaration are $2,500 or less.
