Local councils have warned the Abbott Government not to abandon Queensland communities by withdrawing much of the Federal funding support for towns and regions hit by cyclones and other natural disasters.
Mayors have teamed together to fight proposed changes that will see the loss of potentially billions of dollars in Federal funding for flood recovery and reconstruction.
The proposals under Government consideration would cut the Federal share of disaster recovery funding from 75 percent to 50 percent.
Disasters causing less than $2 million in damage would not receive any Federal assistance.
Local Government Association of Queensland President Margaret de Wit said the Productivity Commission proposals would represent a ‘massive cost shift’ and allow the Federal Government to avoid a large part of its responsibility to help communities struggling in the wake of cyclones and other disasters.
“Communities need to realise the impact of these proposed changes and that if the Federal Government accepts them they and their local councils will be left to find other ways to pay for what are always hefty damage bills.
“The community will be left with an ugly choice: either pay more for reconstruction or be forced to leave large parts of their disaster-hit towns and regions in ruins for months until they can be repaired.’’
She said the current disaster funding system was sound, efficient and in little need of reform.
“What we are seeing here are changes that might look good on a bureaucrat’s whiteboard but would have dire consequences in regional communities in Queensland.”
Cr de Wit said the Government had dragged its feet on the issue while councils had been patient and diligent in ensuring the Productivity Commission and other agencies had all information relevant to the inquiry.
“Whatever the Government decides will have a profound effect on council budgets so they need to know where they stand as soon as possible.
“If councils are in for additional costs in regard to their response to natural disasters they need to factor those costs in now.’’