Geospatial ICT Solutions is working with City of Holdfast Bay and the Eastern Regional Alliance on a suite of FOSS products for local government. It is early stages yet, but if successful it could be a really big deal for Local Government in the medium term.
An Open Source Local Government Software Suite is by-the-way sitting in the No.1 spot for ideas to make local government better, so there should be a fair bit of support for the project around the country.
Part of the project is AMOS - an Open Source Asset Management System. I believe that the AMOS developers will being keeping an eye on the AMS requirements section of the LGAM Asset Management System page, as they are building the system, so if you have any ideas about what functionality an Asset Management System should have please let us know, or edit the page yourself.