The 2017-17 Federal Budget contains a number of significant funding commitments for Queensland and for councils.
Following sustained lobbying by the LGAQ and ALGA, indexation of Financial Assistance Grants will be restored from 2017-18. The Federal Government has also announced that half of the 2017-18 allocation will be brought forward for payment in 2016-17.
Accordingly, each Queensland council will receive their respective share of $232.6 million of the 2017-18 grant payment for next year in this year, with the balance of $232.6m to be paid in 2017-18. Forward year allocations are $482.5m in 2018-19, $505.9m in 2019-20 and $508.6m in 2020-21.
The LGAQ welcomes the recognition of the importance of infrastructure funding made available to Queensland including to local government. Roads to Recovery, Bridges Renewal, and a number of other important funding programmes have been extended for the next three years to 2020-21.
Particularly significant to Queensland are the Federal Government’s commitments to road funding (most to be allocated between the state and local government projects):
- Roads to Recovery - $142.4m in 2017-18, $85.8m in 2018-19, and $81.4m in 2019-20 and 2020-21;
- Black Spot Projects - $17.9m each year over the next 3 years to 2019-20, and $12.2m in 2020-21;
- Bridges Renewal Program - $26.9m in 2017-18, $20.9m in 2018-91, $24.3m in 2019-20 and $12m in 2020-21;
- Developing Northern Australia: Improving Cattle Supply Chains - $26.2m in 2017-18 and $28.8m in 2018-19;
- Developing Northern Australia: Northern Australia Roads - $37.3m in 2017-18, $86.8m in 2018-19 and $95.4m in 2019-20;
- Heavy Vehicle Safety and Productivity Program - $15.1m in 2017-18 and $14.5m in 2018-19, $8m a year thereafter.
Other major funding announcements relevant to Queensland local governments include:
- NDRRA: payment estimates for previous events - $187.4m in 2017-18 and $54.6m in 2018-19;
- Queensland Tourism Cyclone Debbie Recovery (tourism infrastructure) - $3.5m in 2016-17;
- Supporting Drought-affected Communities Program - $2.5m in 2017-18 and $2.6m in 2018-19;
- National Partnership on the Management of Established Pests and Weeds - $1m in 2017-18 and in 2018-19;
- National Partnership on Implementing Water Reform in the Murray-Darling Basin - $2m year 2017-18 to 2019-20;
- Sustainable Rural Water Use and Infrastructure Program - $18.1m in 2017-18, $28.2m in 2018-19 and $20m in 2019-10;
- National Partnership on the Water Infrastructure Development Fund: Feasibility Studies - $15.6m in 2017-18 and $5m in 2018-19;
- National Partnership on the North Queensland Stadium - $50m in 2017-18, $35< in 2018-19 and $5m in 2019-20.
National programme funding allocations also available to Queensland and councils include:
- $50 million to determine the effectiveness of the National Indigenous advancement strategy.
- Affordable Housing – $1.9 billion to support State affordable housing services, including $1.4 billion through the National Affordable Housing SPP and $553.6 million through National Partnerships in 2017-18. From 2018-19, funding from the National Affordable Housing SPP will be combined with new funding for homelessness under the new National Housing and Homelessness Agreement that will target jurisdiction-specific priorities including supply targets, planning and zoning reforms and renewal of public housing stock while also supporting the delivery of frontline homelessness services.
- National Housing Infrastructure Facility – $1 billion over 5 years to support local governments through a range of options to finance critical infrastructure such as transport links, power and water infrastructure and site remediation works.
- Extension of the National Cities Agenda – $7.7m allocation in 17/18 ($23.5m over 4 years from 17/18).
- Adaptation Partnership – $550,000 in 2017-18 to establish an Adaptation Partnership to bring together Australia’s core national expertise on climate resilience and adaptation research: the National Climate Change Adaptation Research Facility and the CSIRO.
Further details and background can be found here:
ALGA fact sheet with key points
ALGA fact sheet local government finance analysis
ALGA fact sheet transport analysis
Australian Government Budget documents
For any further information please contact Ms Sarah Buckler, General Manager – Advocacy on 1300 542 700.