Local governments and Indigenous institutions engage in ways that have broad implications for Indigenous/settler relations. However, relations between local governments and Indigenous institutions has been largely overlooked in academic literature, with most research focused on the federal, state and territory levels of government. This means there is a lack of knowledge about the level at which Indigenous institutions most clearly manifest their influence and interact with non-Indigenous organisational entities. Moreover, it is at this level where Indigenous institutions are arguably their strongest and most relevant, as Aboriginal and Torres Strait Islander cultures are inextricably linked to places, sacred sites, and communities which are of a localised nature. This dissertation therefore investigates the following question: What is the nature of relations between local governments and Indigenous institutions? This question is addressed by looking at relations between local governments and institutions from three angles: native title, Indigenous representation and reconciliation. Local governments play a central role in land planning, management, and development, while Indigenous Traditional Owners have an ancestral and spiritual connection to land and are deeply invested in how it is used, a situation increasingly recognised through determinations of native title. For Traditional Owners who have obtained recognition of their native title, local governments must consult or negotiate with them as a requirement of the Native Title Act 1993 (Cth). Indigenous people serve on local governments as elected councillors, and also take part in the practice of reconciliation with Indigenous people in their municipal areas. This study explores the relations between local governments and Indigenous institutions in the state of Queensland, and focuses on two cases: The Torres Strait in Far North Queensland, and the Redland local government area in South-East Queensland. A qualitative approach is utilised, with primary data collected in interviews with local government employees, executives and elected councillors (Indigenous and non- Indigenous), and with Traditional Owners and Registered Native Title Bodies Corporate. The main finding of this research is that relations between local governments and Indigenous institutions are oriented towards mainstream values, principles and regulatory requirements, which has the unintended effect of marginalising Aboriginal and Torres Strait Islander people from local government processes. It is argued that the lack of Indigenous recognition in the Local Government Act 2009 (Qld) is the main cause of this marginalisation. After the 2008 local council amalgamations, mainstreaming became the approach for all local governments in Queensland, and in this system, native title, Indigenous representation, and reconciliation are all adversely affected. Local governments misunderstand and infringe upon Traditional Owners’ native title rights; Indigenous councillors are disproportionately affected by the rules governing conflicts of interest; and reconciliation is treated by local governments as a voluntary exercise divorced from accountability. Without stronger impetus from legislation, local governments will continue to ignore Indigenous institutions while maintaining the barriers to Aboriginal and Torres Strait Islander participation in this crucial level of government.