Local Government Act 2009

This section applies if—

a local government disburses local government funds in a financial year; and

the disbursement—

is not provided for in the local government’s budget for the financial year; and

is made without the approval of the local government by resolution.

The local government must, within 14 days after the disbursement is made, publish a notice of the disbursement—

on the local government’s website; and

in other ways the local government considers appropriate.

If the disbursement is not made for a genuine emergency or hardship, the councillors who knowingly agree to the disbursement are jointly and severally liable to pay the local government—

the amount of the disbursement; and

interest on the amount of the disbursement, at the rate at which interest accrues on overdue rates, calculated from the day of the disbursement to the day of repayment; and

any fees, charges, penalties or other expenses incurred by the local government in relation to the disbursement.

Those amounts may be recovered as a debt payable to the local government.