Anthony Albanese, Minister for Infrastructure, Regional Development and Local Government, have announced the Rudd Labor Government will offer $3.2 million for a new sport and recreation facility at Northam in Western Australia's central wheat belt.

The Rudd Government is contributing just over half of the funding for this $5.8 million project, which will be managed by the Shire of Northam.

This funding is part of our $800 million Regional and Local Community Infrastructure Program, which will be confirmed in tonight's Budget.

The new recreational facility will provide high quality sporting facilities for local residents and help bring regional and inter-state sporting teams to the area.

The project will construct a new indoor sports hall and upgrade lighting at the oval. It will also provide function and activity rooms, gymnasium, creche and viewing areas.

The Rudd Government is making the largest one-off investment in local infrastructure in Australia's history.

Through our economic stimulus plan, we are investing in projects, such as this, to support local jobs and economies during the global recession.

The funding announced today builds on more than $345,000 already provided to the council for 10 local infrastructure projects in the Shire of Northam.

Nearly 70 per cent of the stimulus plan is on infrastructure, with construction of projects already underway.

More than 3,000 projects are being funded by the Government's Regional and Local Community Infrastructure Program across Australia to support jobs and deliver long-term benefits to our local communities.