Good morning,

Yesterday evening, Treasurer Josh Frydenberg handed down the 2021-22 Federal Budget amidst the continued uncertainty around the COVID-19 pandemic and the ongoing impact on local economies and communities.

The Budget again focuses on stimulus measures aimed at supporting jobs and investment. However there has also been a focus on the “care” economy, with significant investments in aged care, mental health, and child care.

For Local Governments, the Budget is good news. It recognises the important role that the sector plays in supporting local economies and communities and allocates funding to a number of important initiatives identified by the sector.

• Provision is made for $2.652 billion in Financial Assistance Grants funding, with $1.3 billion of that amount already brought forward from the 2021-22 estimate and paid to States and Territory Governments in 2020-21. WA will receive $157.6 million of this, with $95.3 million in general purpose funding and $62.3 million provided for local roads. 
   
• The Local Roads and Community Infrastructure Program has been extended, with a further $1 billion provided over two years from 2021-22.
   
• A further $1 billion has been provided to extend the Road Safety Program in 2022-23.
   
• An additional $28.6 million has been provided over four years from 2021-22 to deliver initiatives as part of the National Freight and Supply Chain Strategy, including funding for engineering assessments for Local Government owned road network infrastructure.
   
• $250 million in new funding has been provided for the Building Better Regions Fund.
   
• Funding has been provided for a number of recycling and waste management initiatives.
   
• $212.2 million has been provided for a range of measures to support drought response, resilience and preparedness.
   
• WA will receive $1.3 billion for priority road and rail infrastructure projects. 

• Australian Local Government Association President's Column - Tuesday, 11 May
• Budget 2021-22: What it means for the Local Government sector  - Australian Local Government Association
• Australian Local Government Association Analysis of the 2021-22 Federal Budget