Aird delivers $4bn Budget

From Mercury Tasmania
SUE NEALES
June 12, 2008 04:10pm
TREASURER Michael Aird this afternoon handed down Tasmanias first $4 billion Budget with the emphasis on big road and rail spending.
Describing it as a "kind and clever" Budget with something for everyone, Mr Aird said it delivered on promises made during the past year.
"We are putting ideas into action, for today and tomorrow," Mr Aird said.
Low income earners are set to benefit from today's Budget with all Health Care Card holders now eligible for up to $470 each a year in concessions offered on council rates, car registration, national park entry fees, and driver licence concessions.
This $14 million-a -year initiative will mean all 46,000 health care card holders -- including most Tasmanians reliant on unemployment benefits, single-parent payments and other welfare support measures -- are now eligible for the same electricity and rates concessions as the State's 98,000 old age pensioners.
In addition, the Government will expand its scheme to help low-income Tasmanians buy former government houses and new affordable housing built by the private sector, with the offer of up to $50,000 or 25 per cent equity to be contributed by the Government to share the cost of home purchase.
Big-spending initiatives included a $1.5 billion infrastructure plan to build new roads, rail, hospital and public housing over the next four years.
But new irrigation and water pipelines proposals missed out on funding, with just $5 million allocated this year to planning drought-proofing projects.
Only $15 million is available over the next four years for drinking water and sewerage proposals around the state.
But road funding is set to flow with $186 million being spent on road projects in 2008-09, including $5.5 million for the $79 million Brighton Transport Hub, $4.8 million on the Brooker Hwy and $2.2 million for the $164 million Midlands Hwy bypass of Brighton and Pontville.
But there is no funding set aside for construction of the $30 million Kingston Bypass this next year, other than $1.9 million for land acquisitions.
The Budget papers show that the Kingston bypass will not be completed now until 2012, and the Brighton bypass highway before 2013.
But $27 million will be used this year to fund rail infrastructure upgrades, track maintenance and administration costs.
Mr Aird said the big parcel of rail funding would go-ahead despite today's shock news that Tasmania's sole rail operator, Pacific National is about to pull out of Tasmania.
Mr Aird said it was all the more important until another rail operator was found to maintain the railway track in good condition.
The Treasurer said he did not believe that the Government should take over the rail network and train system unless it was an absolute last resort.
Other spending commitments in the Budget included:
A massive $1.5 billion for rising health and hospital costs

Extra $8 million a year for literacy programs increasing funding to $30 million a year,

$200,000 to fund a business proposal for a new AFL football team from Tasmania,

$1 million to start building the $23 million tourist road through the Tarkine forest

$4 million for new bike paths

$12 million over four years for research into the Tasmanian devil disease

$11.3 million towards five new Learning and Information Network Centres (LINCs) in regional Tasmania.

$152 million over four years on school maintenance and improvement.

$5.7 million for climate change initiatives.

$2.8 million for Neighbourhood Houses.

$10 million for the Environment Protection Authority.

$1 million to appoint a Tasmanian Chief Scientist.