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The Northern Territory has 63 Local Government Areas; though only 6 councils are considered municipalities, there are other types of local bodies. It is expected that in 2008 rationalisation of the Local Government bodies will occur, with the proposed changes mentioned below.
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The Northern Territory is unusual in that about 22% of the territory's population lives in unincorporated areas (by comparison, only 0.02% of New South Wales population, 0.002% of Victoria's population, 0.6% of South Australia's population, live in unincorporated areas, these being the only other states or territories with both incorporated and unincorporated areas.)
There are four classes of local government areas in the Northern Territory of Australia:
The six large centres of the territory are incorporated into municipalities, dealing with similar areas to other Australian councils, except building control and planning.
Community Government councils are constituted differently from municipalities, and often take on extra functions. Some councils, due to nature of their area's land ownership, do not charge rates on property.
Incorporated associations provide some local government functions.
The 'special purpose town' of Jabiru receives its power from the entity that constructed the town, rather than the territory's local government legislation.
The Northern Territory Government has proposed in an attempt to rationalise resources that the existing LGAs be merged into nine shires and four municipal councils. The four municipal councils of:
will stay, while the further shire councils will be created:
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