Council's 2019-2020 report saw revenues rise in a tumultuous year, despite COVID-19 and a scathing Victorian Ombudsman's investigation eventually decimating senior management of the city's government, including the abrupt dismissal of CEO Justine Linley.

Not that anyone reading the report would know the latter. There is no mention of the Ombudsman's findings, or of the response required by the Independent Broad-based Anti-corruption Commission (IBAC) of council to its weak procurement oversight.

A complete search of the report reveals the word 'ombudsman' is used once, and 'IBAC' twice, neither in regard to the matters described above.

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While the report makes significant, lengthy positive mention of the city's responses to the COVID-19 crisis, both former mayor Ben Taylor and interim CEO Janet Dore omit any acknowledgement of the failures of governance at the City of Ballarat in their respective reports.

Instead, Cr Taylor nominated the COVID pandemic and recycling crisis as challenges facing the city, while Ms Dore also praised council's response to COVID.

The 146-page report does warn ratepayers of forthcoming pain. At the bottom of Note 8.5 Events occurring after balance date, it's stated:

"On the 3rd of August 2020, the Interim Chief Executive Officer implemented an organisation restructure... As part of the restructure, the new Director level positions were declared vacant...

"...the creation of the new Director roles made the existing roles redundant. Since this date, all existing Directors have exited the organisation, and from this, the City of Ballarat will incur material direct expenses on their departure.

"Council will be required to report a significant one off increase in Key Management Personnel remuneration in the financial reports for the year ending 30 June 2021." (The Courier highlight)

A long-term council employee who backgrounded The Courier on condition of anonymity said the payouts were sizeable.

"They essentially wrote their own cheques to go," the employee said.

Former CEO Justine Linley was paid out a total of $630,000 after her dismissal: six months' wages and entitlements.

The Courier asked the City of Ballarat why the ombudsman's report and the dismissal of CEO Justine Linley were not examined in the annual report.

In response, CoB wrote: "Apart from Mr Terry Demeo, Infrastructure and Environment Director who resigned in May and the CEO, the remaining City of Ballarat Directors did not depart the organisation during this reporting period...

"Items including leadership transition, organisational restructure and all implementation work of the Interim CEO will be reported on in the 2020-2021 Annual Report following the Ombudsman Victoria Report."

CoB did not address the omission of the Ombudsman's report.

City of Ballarat increased its revenue from rates by $6.114 million in 2020 compared to the previous year, while fines and fees as cash flow increased by $1.24 million.

However a lack of wage growth for council employees was blamed on the state government rate-capping regime in the report - a finding disputed by the Australian Services Union.

"The Victorian Government's rate capping policy has limited the amount of revenue the City... can raise to fund the delivery of infrastructure and community services," the report says.

"This limitation on the City of Ballarat's ability to raise income has... limited the organisation's capacity to deliver wage growth for staff, however it has not impacted on... capacity to deliver services to the community."

"Rate capping is suppressing wages across local government in Victoria, but City of Ballarat management made a concerted effort to further hold down wages," the ASU said.

A council employee said one former director threatened to 'privatise the pool' if BALC staff continued to resist its preferred EBA.

ASU secretary Lisa Darmanin says the CoB used COVID as a bargaining tool in the period covered by its most recent annual report.

"City of Ballarat executive management made every effort to hold down workers' wages and this particularly affects the lowest-paid workers at council," Ms Darmanin told The Courier.

"Management's first wage offer, presented without any agreement from unions representing employees at council, was rejected by a vote of staff."

"Most disturbing were the threats to workers ongoing employment if they did not endorse council management's preferred enterprise agreement offer."

"The Australian Services Union hopes that the next CEO at the City of Ballarat treats all workers at the council better than they have been treated in recent years."

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