The Australian Local Government Association (ALGA) has applauded the key role the Federal Government has identified for Local Government in its $42 billion stimulus package announced on 3 February.
Some $890 million has been earmarked for projects to improve community infrastructure and safety on the nation’s roads.
The joint statement from the Prime Minister, Treasurer and Minister for Infrastructure stated, “Black Spots, Boom Gates, Regional Roads and Community Infrastructure is an investment that will improve road safety and quality of life in local communities.
“The program is a key element of the Government’s $42 billion Nation Building and Jobs Package to support up to 90,000 Australian jobs.”
Specifically this part of the package will fund:
- around 350 additional safety improvement
projects under the Black Spot Program - bring forward the installation of around 200
new boom gates and other safety measures
at high risk rail crossings - $500 million expansion of the Regional
and Local Community Infrastructure
Program – Strategic Projects - $150 million of critical maintenance works
on Australia’s national highways.
It is expected that construction of local community infrastructure will commence almost immediately and largely be completed within two years.
“This rapid injection of funds into local communities through community infrastructure projects will deliver local jobs to specific communities in the short term and long term,” the joint statement said.
ALGA President, Councillor Geoff Lake, said that it is clear that the Australian Government sees Local Government, with its dispersed and localised networks, as the best placed sphere of government to spend money quickly and at short notice throughout all local communities in Australia.
“At this time when the economy and our communities are facing the worst economic crisis since the Great Depression we have to pull together and develop innovative solutions for the benefit of the nation,” Councillor Lake said. “The $890 million for transport and community infrastructure puts Local Government squarely at the front line of Australia’s response to the global economic meltdown.”
He noted that the Federal Government has already included a number of proposals made by ALGA in its Budget submission through this funding package.
The $500 million for community infrastructure builds on the announcement last November of the $300 million Regional and Local Community Infrastructure Program (RLCIP) funding for councils across Australia.
“This injection of additional funding for community facilities at the local level is without precedent and will mean a boost for jobs in local communities hit by the economic slowdown,” Councillor Lake said. “It will also mean that projects previously unable to be afforded by councils will now be able to be delivered immediately.
“Local Government also welcomes the
$3.9 billion decision to provide free insulation for 2.7 million homes and to fund an increased rebate for solar hot water. These decisions demonstrate that there can be benefits both for the economy and the environment from targeted investments.
“The Government can also be assured that Local Government will be doing all in our power to assist in the delivery of the $6.6 billion housing initiative by ensuring speedy planning approval of housing and other developments that form part of the stimulus package.”
With the Opposition declaring it would vote against the package in both the House of Representatives or the Senate, the Rudd Government requires the support of the five Greens and the two cross benchers in the Senate to pass its
legislation for the $42 billion package.
At the time of going to press, the Senate inquiry was under way. Leader of the Greens, Senator Bob Brown, told ABC Radio that he believes the package can be improved and some anomalies fixed. He specifically pointed to the fact that Local Governments that didn’t apply by 23 December last year for grants under the $50 million strategic projects section of RLCIP funding currently don’t have access to the new $500 million community infrastructure program.
“Many smaller Local Governments with job rich opportunities in their own locality are therefore shut out of this package,” Senator Brown said.
Applications for projects under the remaining $250 million of RLCIP closed in late January, with every council having submitted their proposal for projects by this deadline. These are now being assessed by the Department of Infrastructure, Transport, Regional Development and Local Government. Minister Albanese is anticipating making the first announcements on approved projects by mid February.