Mayor’s View – 7th October, 2009
Local governments have typically received funding in the past from state governments for major infrastructure projects and for some recurrent expenditure. Rates and charges, high as they are, only account for two thirds of the total income of the Cassowary Coast Regional Council (CCRC).
The state government is now encouraging and supporting local governments to secure funds directly from the federal government, especially from Stimulus Package money.
In the next few days applications will open for $120 million available to local government for major strategic projects. Applications will close in mid December. This is the second and possibly last such tranche.
Readers might recall that the CCRC was successful in receiving approximately $2 million from the first tranche, which was applied to the Multi-Purpose Centre in Tully.
We won’t know the criteria for the next tranche until the applications open, but they are expected to be similar to the first one. Queensland’s share could be expected to be in the order of $20 – $25 million, which could fund say 10 – 15 projects across the 70 plus councils.
Last week Senator Jan McLucas, State MP Curtis Pitt and Jacque Duffy representing the Innisfail Library group, initiated a meeting with myself, the relevant Divisional Councillor, Ian Rule and Julie Murphy, the Director of Community Services CCRC.
The agenda of those calling the meeting was to promote an application for the above funds for a new Innisfail Library.
There is no shortage of possible projects and no shortage of passion from ratepayers for their preferred projects.
Council’s previously identified top priorities are water and sewerage projects. Planning is well advanced for the water and sewerage works and progressing for a replacement Jubilee Bridge.
I stress that none of the above projects have been approved for commencement and will not proceed until we know how we are going to pay for them.
For council to borrow for the water and sewerage works without state subsidies at the past historic levels, presently reduced to nil, could increase existing water and sewerage charges by more than 100%, which is clearly unacceptable.
The Jubilee Bridge replacement is likely to cost some $20 million plus. There will be extra geo-technical work required due to initial investigations indicating a problem with the foundation to the river bed near the northern bank, so we can’t finalise the design or the cost at this time. Some $12 million has been promised from the state government, but to date the federal government has not indicated any assistance and we don’t have and can’t readily find the remaining $8 million.
To add to our problems, it appears that restoration of the Flying Fish Point rock wall will also need to be undertaken at council’s expense in the next two years. Other essential outstanding post cyclone Larry restoration works include two of the Region’s jetties, at Clump Point and Dunk Island.
The time frame for the upcoming round of federal grants is tight and we certainly won’t have time for widespread community consultation or possibly for developing scenarios involving complex joint facilities.
The councillors will need to workshop our approach and make sure an application for a grant is submitted before the close date. Senator Mc Lucas has recommended that only one application be forwarded from the CCRC.
So let’s look at all options and the priorities for the region, await release of the funding rules and see if we can repeat our success and secure some of the remaining available federal stimulus package money.