Rural Councils Victoria is calling on the State Government to act immediately to close what it says is a legislative loophole in the Local Government Act that is allowing “vexatious” private prosecutions against elected members and local government staff.
It follows the sidelining of a total of five Hepburn Shire Councillors and staff this year due to private criminal charges being initiated by a local businessman.
Under Victorian law, any individual can initiate a private criminal proceeding without the involvement of police. For more serious accusations, councillors subject to these proceedings are required to step aside until they’re resolved.
The ongoing private prosecution of Hepburn Shire councillors and staff has left the Council with just two elected members, meaning it lacks a quorum and is unable to hold meetings.
Rural Councils Victoria Chair, Robert Amos says urgent Government intervention is required.
“It’s untenable that Local Government Act gives individuals the power to trigger the automatic stand-down of an elected councillor before any independent authority has assessed the merits of the case,” he said.
“If people have acted inappropriately then they should face justice, but currently the law is being weaponised to disrupt councils and undermine local democracy.
“We fear that without urgent action, a tidal wave of vexatious nuisance lawfare proceedings could grind local councils to a standstill,”
Specifically, Rural Councils Victoria is urging that:
- Victorian Attorney-General, Sonya Kilkenny, request the Director of Public Prosecutions consider taking over all current private prosecutions against Councillors and determine, as quickly as possible, whether they should proceed. These matters must be considered on their merits.
- Victorian Local Government Minister, Paul Hamer, fast tracks planned legislative changes so Councillors are no longer automatically required to stand-down for a private prosecution, and that this legislation is retrospective.
“The Victorian Government is already planning to close this legal loophole, but there is now more urgency. It must be done immediately.” Cr Amos said.
“This legislative change must be completed as soon as Parliament resumes next week.
“What is happening in Hepburn today could happen to any council tomorrow.”
Municipal Association of Victoria President, Jennifer Anderson has backed the call for Government intervention.
“The Hepburn example highlights the need for much more sensible standdown arrangements for councillors – something the MAV and our sector is keen to work through with Government,” she said.
“Currently, when concerns about councillor conduct are raised, they enter a framework that is fragmented, under-resourced and slow. Delay serves no one. It leaves genuine matters unresolved, and it may leave a good councillor who has been unfairly complained about, and their community, in limbo for months.
“We are asking the State Government to commit to structural reform, with proper funding and clear statutory timeframes, so that complaints are dealt with promptly and fairly.
“Again we call for meaningful collaboration between the State Government and the MAV and the local government sector on the Local Government Legislation Amendment (Stronger Communities) Bill 2026.”
The Victorian Government has now introduced legislation proposing that automatic standdown apply only where proceedings are brought by or on behalf of a law-enforcement agency.
In a statement, Hepburn Shire Councillor, Tim Drylie – one of the organisation’s two remaining councillors – said the reform must be dealt with urgently and must clearly address existing cases.
“This is not about avoiding accountability. It is about ensuring independent scrutiny before an entire community loses its elected representation, council services are disrupted, staff and resources are diverted, and significant public funds are spent on legal representation. These are costs and consequences that could have been avoided had the legislation included appropriate safeguards in the first place,” said Cr Drylie.
“Any Victorian council could be placed in the same position. Good government means accepting responsibility for the systems within its control. Hepburn’s community should not lose its democratic voice because those systems were not strong enough to protect it.”
