Cassowary Coast Regional Council

It is interesting to assess the 2008 federal budget in terms of its effects on the Cassowary Coast Region.

Before the budget was released last week I drew attention to three issues pertaining to our region that the budget could influence: -

1. Would the federal government correct the unfair taxation advantages given to investors in the managed timber plantation schemes, which are affecting the sugar industry’s viability?
2. Would the grant of $770,000 from the federal ‘Regional Partnerships Program’ to the Tully Multi Purpose Centre (MPC) still be forthcoming?
3. Would the federal government, awash with money, recognise that the other two levels of government are constantly cash short? The reliance of local government on rate income, which is in essence a wealth tax, being in need of fundamental review.

Unfortunately we scored zero out of three!

1. There was no change to this inequitable taxation law. The sugar industry’s demise continues.
2. The grant to the MPC was withdrawn. I am advised that this sets a precedent for cancelling previously approved grants following a change of government. The file was apparently withdrawn from the federal government’s Townsville office to Canberra in January and council staff had no success in progressing documentation for the grant.This means that the CCRC contribution to the MPC would now be some $3.5 million, including unfunded sponsorship and outside parking and lighting. Even at $2.3 million, council’s contribution looked prohibitive, hence my trip to Brisbane last week with Tully High P&C president Phil Spokes (whose fare was not paid by council), to convince the state government to increase funding to the project. The case presented was that the Cardwell Shire Council was about to approve the funding from rate income, but that the financial position now of the CCRC is such that it does not have the money for this type of project when there is, for example, urgent major sewerage repair work required elsewhere in the region. The disproportionate contribution from the local community versus the state, given the proposed major usage of the building by Education Queensland was also pointed out. The state government acknowledges the issues and the urgency and will respond to council’s concerns.
3. Whilst there will be a review of taxation there has been nothing forthcoming that the terms of reference will include recognition of the first tier of government, local government and of the need for appropriate funding.

Innisfail resident’s fears may have been raised without cause following this past week’s widespread media coverage of the testing of ‘Agent Orange’ in the Johnstone catchment, upstream of the Innisfail water supply intake, in the 1960’s. The alleged increased incidence of cancer has received widespread media coverage since the recent release of defence documents. Queensland Health has subsequently issued a statement denying any increased cancer rates in the Innisfail area. Council welcomes this statement, but will call for a review of the locations and circumstances in which “Agent Orange” was trailed, and of any residual effects and outcomes.

Cr Bill Shannon
Mayor