May 11, 2010

$2.35 Billion boost for local and community infrastructure

$2.35 Billion boost for local and community infrastructure

The Hon Anthony Albanese MP

The Minister for Infrastructure, Transport

Regional Development and Local Government

Leader of the House

Member for Grayndler

May 11 2010

Local and regional communities across Australia will benefit from the Rudd Government’s record $2.35 billion investment in local infrastructure and services in this year’s Budget.

The Government’s 2010-11 Budget invests funding into local communities to support jobs today while building the infrastructure they need for the future.

This funding will be provided through the following programs:

  • $2 billion in Financial Assistance Grants for local government infrastructure and services- almost $100 million more than last year’s entitlement and the highest funding on record; and
  • $350 million for local roads through the Roads to Recovery program. Over five years, this program will deliver $1.75 billion.

The Government is delivering this funding to all local governments as part of our historic partnership to build and modernise infrastructure in Australia’s local and regional communities.

Our investment is in addition to the more than $1 billion we have already provided for 5,000 local projects through the Regional and Local Community Infrastructure Program.

These major investments in local and community infrastructure are a key part of the Government’s plan to strengthen our economy so we can face the future with confidence.

Financial Assistance Grants

Local government will receive $2 billion in Financial Assistance Grants to support the delivery of basic infrastructure and services in communities, such as roads, water and sewerage, community infrastructure, as well as community services.

The Government will also pay the first installment of more than half a billion dollars to Local Councils ahead of schedule in this financial year (2009-10), to ensure Local Governments have immediate use of these record funds. This will ensure local government is a key part of our efforts to take maximum advantage of the global recovery and to prepare for future challenges

This funding is almost $100 million more than last year’s entitlement.

We will deliver this funding to every local government based on the following allocations:

  • $683 million for NSW and the ACT;
  • $481 million for Victoria;
  • $406 million for Queensland;
  • $243 million for Western Australia;
  • $153 million for South Australia – including nearly $15.5 million for supplementary local roads funding;
  • $65 million for Tasmania; and
  • $29 million for Northern Territory.

Individual councils’ allocations will be determined through independent state local government grants commissions later this year.

Roads to Recovery

The Nation Building Roads to Recovery program will deliver funding up to a national total of $350 million to every council and shire for maintenance and safety upgrades to country roads and suburban streets.

Local governments are responsible for more than 650,000 kilometres of local roads which are used by millions of local commuters and freight vehicles every year.

The Government’s record investment recognises the important contribution these local roads make to our national productivity.

Allocations for each local government area are at