The demerger of Cootamundra-Gundagai Regional Council (CGRC) is a complex and detailed process that extends well beyond the work of the Demerger Transition Committee.
While it may appear that the transition simply involves reinstating former boundaries, changing signage and logos, and allocating staff and equipment between the future Cootamundra and Gundagai Councils, the reality is far more intricate. The process requires the careful separation of nearly a decade of integrated systems, contracts and operations to ensure two independent, fully functioning councils are established without disadvantaging either community.
CGRC mayor Councillor Abb McAlister said the work underway involves rebuilding standalone systems, renegotiating contracts and, in many cases, duplicating critical infrastructure.
“Essentially, we are undoing almost ten years of integration,” Cr McAlister said.
“This includes separating complex IT platforms, supply chains, human resources and payroll systems, facilities, real estate arrangements and vendor contracts. It is detailed and methodical work that must be done carefully to ensure continuity of services.”
Importantly, much of this work is occurring behind the scenes, alongside Council’s day-to-day service delivery.
The largest and most resource-intensive component currently underway is the upgrade and preparation of Council’s core business system – Enterprise Resource Planning (ERP) system. The ERP system, supports rates and charges, accounts payable and receivable, payroll, asset management, works orders and general accounting. It underpins almost every aspect of Council operations.
Preparation for the future Cootamundra and Gundagai councils involves three key stages:
Upgrade the ERP to the latest version – scheduled to go live on 9 March. This stage has required extensive staff training and user-acceptance testing, temporarily drawing staff away from regular duties.
Scoping of the new Cootamundra and Gundagai systems – involving detailed consultation with staff across the organisation to determine how the system will operate within two separate councils and how data will be appropriately allocated. This work must be completed prior to December to demonstrate to the Minister for Local Government that appropriate planning is in place.
Build and data transition – the development of two new ERP environments and the transfer of data from the existing CGRC ERP system to the successor councils, scheduled closer to the planned commencement date of 1 July 2027.
CGRC Councillors and Council’s executive recognise that staff are undertaking this significant body of work in challenging circumstances. The demerger process has created ongoing uncertainty, particularly in relation to future organisational structures and employment arrangements, while existing service expectations remain unchanged.
Despite these challenges, staff across the organisation continue to work professionally and diligently to maintain essential services while progressing the transition project.
Council acknowledges that, at times, response times or service delivery timeframes may not be at optimal levels as this substantial project progresses in parallel with normal operations. The organisation appreciates the community’s patience and understanding during this once-in-a-generation transition.
Council remains committed to keeping the community informed as key milestones in the demerger process are achieved.