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In terms of Proclamation No 152 of 15 December 1995 (Establishment of Rural Local Government Structures) the Klein Karoo Regional Services Council was disestablished and replaced by the Klein Karoo District Council (Province of Western Cape Provincial Gazette Extraordinary No 5004 of 15 December 1995).

On 22 September 2000 the Garden Route (previously Garden Route/Klein Karoo and Eden) District Municipality was established in terms of sections 12 and 14 of the Local Government: Municipal Structures Act 1998 (Act 117 of 1998) (Province of Western Cape Provincial Gazette No 5592 of 22 September 2000, Provincial Notice No 497 of 22 September 2000).

On 28 January 1858 the division of Oudtshoorn was subdivided into six districts for Divisional Council purposes of Act No 5 of 1855 (Cape of Good Hope Government Gazette No 2899 dated 29 January 1858, Proclamation dated 28 January 1858). The first meeting of the Council was held on 23 June 1858.

On 1 July 1976 the Divisional Council of Oudtshoorn was reconstituted with the Divisional Council of Uniondale to form the amalgamated Divisional Council of Klein Karoo-Langkloof.

The Municipality of Oudtshoorn was constituted on 26 August 1863 under provision of Proclamation No 29 of 1863 in terms of Ordinance No 9 of 1836 (Cape of Good Hope Government Gazette, No 3497, 1 September 1863).

In terms of the Local Government: Municipal Structures Act, 1998 (Act 117 of 1998) the existing Oudtshoorn Municipality as well as the De Rust/Blomnek Transitional Local Council, Bo-Langkloof Transitional Representative Council, Dysselsdorp Transitional Council and Oudtshoorn Transitional Representative Council was disestablished and the Oudtshoorn Local Municipality established (Province of Western Cape Provincial Gazette Extraordinary No 5592, 22 September 2000, Provincial Notice No 502, 22 September 2000). The Oudtshoorn Local Municipality forms part of the larger Garden Route District Municipality (previously known as the Eden District Municipality).