The "Local Authorities Act 1902" abolished divisional boards and created city, town and shire councils. Under this Act, Bulloo Divisional Board was abolished and its functions were transferred to Bulloo Shire Council on 31 Mar 1903.
Bulloo Shire was abolished on 17 Jul 1930 to become part of Quilpie Shire, but was reconstituted on 4 Jul 1931.
Local Government Councils under the "Local Government Act 1993" and subsequent "Local Government Act 2009" and through local laws: promote economic development; own and manage public infrastructure including roads and public works, sewerage, and water storage and distribution; regulate activities which affect the environment including air, noise and water quality, land use and waste disposal, pests and noxious weeds, and building control; provide community services including recreational and cultural facilities and public health services.
Under the "Local Government Act 2009". local governments have " the power to do anything that is necessary or convenient for the good rule and local government of its local government area" including conduct joint government activities, engage in business enterprises. construct and maintain roads and other infrastructure. Indigenous Councils which are also Trustee Councils are responsible for business related to trust land while Community Forums may be established to discuss community issues.
Councils generate revenue from rates, service charges, grants and subsidies from state and federal governments, and loans for major projects.
The Bulloo Shire is undivided and the Bulloo Shire Council is comprised of 5 councillors including the mayor.