Kerry Foster has followed how other councils approached the state government’s reforms before making their submissions to the Independent Pricing and Regulatory Tribunal.

It comes after the Independent Local Government Review Panel determined the Eurobodalla’s merger potential was “low” in a 2012-2013 review and stated it had sufficient scale and capacity to continue as a stand-alone council.

Ms Foster said some councils, such as Cootamundra and Harden, had gone against the panel’s recommendations and instead “chose to define their own destiny”.

Willoughby council too resolved to consult with its community in a telephone survey, a citizens’ panel and community meetings on four options regarding standing alone or merging with neighbours.

Ms Foster said the panel’s recommendation for Eurobodalla was a “starting point – not an end point”.

“Council’s understanding of the (panel) recommendation assumes no change and therefore no requirement to engage the community,” she said.

“Somehow council has overlooked that Fit for the Future arose from the (panel) recommendations, but with the state government’s added twists.

“The difference in perspective is that (the panel) document made recommendations looking backwards, and the state government is making Fit for the Future recommendations looking forward.”

Ms Foster said Eurobodalla “missed the boat” when it did not access the $105 million of state funds offered for NSW councils to make the changes needed to provide better services.

“Cooma-Monaro and Snowy River took advantage of Fit for the Future funds and engaged KPMG to review resource plans and provide viable options,” she said.

“To our north, Shoalhaven City Council is one of a small number of councils participating in the joint organisation pilot program.

“(Eurobodalla) council has withheld meaningful Fit for the Future information from the community.

“This has led to many in the community being ignorant of local government reform initiatives.”

Ms Foster said the state government’s $1 billion investment to local government reform demonstrated a commitment to achieve real reforms.

“Federal and state governments want local government reform – without it Australia’s system of government will face increasing affordability issues,” she said.

“Councillors who voted for the Eurobodalla Shire’s proposal have shown a serious lack of imagination.

“It is a lost opportunity.

“There is every possibility that they will come to rue the day that they followed senior staff advice and did nothing in the period set aside to consult the community on a matter meant to change how local government is delivered to the people.”