Mehmet Tillem (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Minister for Infrastructure and Regional Development, Senator Johnston. I refer to the government's decision to freeze Federal Assistance Grants and rip $925 million from local councils over the next four years. Is the minister aware of comments by the Municipal Association of Victoria president, Councillor Bill McArthur, that these cuts will be a:

… black hole in Victorian council budgets, with much of it in rural communities.

Is the Municipal Association of Victoria right?

David Johnston (WA, Liberal Party, Minister for Defence) Share this | Link to this | Hansard source

The 2013-14 budget saw $2.2 billion allocated to local governments under the Financial Assistance Grant program. This includes an accelerated payment of $1.1 billion, which was paid in June 2013. The remaining $1.1 billion will be distributed in 2013-14. In the 2014-15 budget, the government announced that the indexation applied to the Financial Assistance Grant program would be paused for three years. This savings measure delivered $900 million. As a result, the national financial assistance pool will be an estimated $9.3 billion over the forward estimates. This will continue to fluctuate due to changes in the population estimates by the Australian Bureau of Statistics.

The situation is that we will accelerate the payment of $1.1 billion to June this year and distribute the remaining $1.1 billion, as I have said, this year for the Financial Assistance Grant pool. Funding increases through the Roads to Recovery program provides an additional $350 million in 2015-16. The Black Spot Program, much of which I talked about yesterday, provides an additional $200 million in 2015-16. This will significantly impact and offset the effect on local governments from the freeze on the Financial Assistance Grant program. They are paid equally in quarterly instalments to state and territory governments for immediate distribution to local government bodies. That immediate distribution helps them greatly. The fourth quarterly payment to local government— (Time expired)

Mehmet Tillem (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Is the minister aware of comments by the Local Government Association of Queensland's chief executive, Greg Hallam, that:

Rural, remote and Indigenous councils get the double whammy– a freeze on grants at a time when petrol and diesel costs will rise.

Is the Local Government Association of Queensland right?

David Johnston (WA, Liberal Party, Minister for Defence) Share this | Link to this | Hansard source

The abolition of the carbon tax would be a great saving to these particular councils.

Opposition Senators:

Opposition senators interjecting—

David Johnston (WA, Liberal Party, Minister for Defence) Share this | Link to this | Hansard source

But many of you over there think you have already done it.

Honourable senators interjecting—

John Hogg (President) Share this | Link to this | Hansard source

Order! Silence on my left and on my right.

David Johnston (WA, Liberal Party, Minister for Defence) Share this | Link to this | Hansard source

As I was explaining yesterday, the Roads to Recovery program is what is going to adjust this situation. We have advanced much money in this budget, in stark contrast to what went on under the previous Labor government. In re-introducing the fuel indexation for fuel, we are enhancing regional infrastructure and delivering new road infrastructure projects. We are reducing indexation to assist in funding by raising approximately $2.2 billion. This money is going into regional infrastructure. Regional infrastructure is something that the previous government— (Time expired)

Mehmet Tillem (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. I will make this an easy one for the minister: can you please advise us on what services local council should cut as a result of the government's grant freeze? Should it be Home and Community Care, libraries, emergency management, roads in regional areas or Meals on Wheels to the elderly? That is an easy one! Have a crack.

David Johnston (WA, Liberal Party, Minister for Defence) Share this | Link to this | Hansard source

The flippant nature of that question, when the legacy—

Honourable Senators:

Honourable senators interjecting—

John Hogg (President) Share this | Link to this | Hansard source

Senator Johnston, resume your seat. Order! If you wish to debate it—

Government senators interjecting—

On my right! If you wish to debate it, the time is after the finish of question time.

David Johnston (WA, Liberal Party, Minister for Defence) Share this | Link to this | Hansard source

The flippancy of that question about jobs, employment in regional councils, when this government is confronted with $1 billion in interest every month, highlights the fact that, over there, they do not give a fig about regional people, about jobs and—

John Hogg (President) Share this | Link to this | Hansard source

Senator Johnston, resume your seat. Senator Tillem has got to his feet.

Honourable senators interjecting—

Mehmet Tillem (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

On a point of order, Mr President—

John Hogg (President) Share this | Link to this | Hansard source

No, I understand why you are on your feet, Senator Tillem, but you are entitled to be heard in silence.

Mehmet Tillem (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

The question was in relation to which services ought to be cut. It was a very simple question, Mr President, and there is no relevance in the answer that the minister is giving.

John Hogg (President) Share this | Link to this | Hansard source

There is no point of order at this stage. The minister—

Honourable senators interjecting—

Order! Senator Johnston, resume your seat. When there is silence on both sides, we will proceed. There is no point of order at this stage. The minister still has 26 seconds, and I cannot instruct the minister how to answer the question.

David Johnston (WA, Liberal Party, Minister for Defence) Share this | Link to this | Hansard source

There should be no need for those cuts, because, as I said yesterday and today, an additional $350 million for the Black Spot Program—

Senator Wong interjecting—

And of course we all have to put up with the carping of the Leader of the Opposition. It is just unbelievable how irrelevant she really is to this whole issue, because $200 million is there for the Black Spot Program. I have said most of the coverage— (Time expired)

Ron Boswell (Queensland, National Party) Share this | Link to this | Hansard source

I have a question to the very popular Assistant Minister for Health, Senator Nash.

Honourable Senators:

Honourable senators interjecting—

John Hogg (President) Share this | Link to this | Hansard source

Senator Boswell, I will give you the call when there is silence. You are entitled to be heard in silence, Senator Boswell.

Ron Boswell (Queensland, National Party) Share this | Link to this | Hansard source

Mr President, this is probably my final question. Would you give me a little protection on this, please?

John Hogg (President) Share this | Link to this | Hansard source

Senator Boswell, can I say: you never have warranted protection in this place; you have looked after yourself very well! But, in accordance with the way this chamber is run, you will be given and afforded the same protection as everyone else.

Ron Boswell (Queensland, National Party) Share this | Link to this | Hansard source

Will the minister advise the Senate what the government's budget is doing to improve the health outcomes for Aboriginal and Torres Strait Islanders?

Opposition senators interjecting—

John Hogg (President) Share this | Link to this | Hansard source

When there is silence on my left, we will proceed.

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

I thank the much more popular Senator Boswell for his question! This government is committed to improving Aboriginal and Torres Strait Islander health as a priority. As we have reinforced through the budget, we are committed to the delivery of effective and efficient health services for Aboriginal and Torres Strait Islander people. In 2014-15, more than $920 million will be spent on the provision of Indigenous health programs. Overall funding levels for Indigenous health will continue to grow over the next four years. From 2014-15 to 2017-18, the government will invest $3.1 billion in Indigenous-specific health programs, an increase of over $500 million from under the previous Labor government in 2009-10 to 2012-13.

This government is committed to the development of more sustainable and viable services. Through the budget, we will expand activity in the key areas of child and maternal health and chronic disease prevention and management. These are priority areas to close the gap. We are expanding programs that have demonstrated their effectiveness in improving health outcomes. There is Better Start to Life, with an investment of $94 million to expand efforts to improve child and maternal health, and the expansion of Healthy for Life, with $36 million to an additional 32 Aboriginal community controlled health organisations to improve management of chronic disease. From 1 July 2014, the Indigenous Australians Health Program will be established, consolidating four existing funding streams into one, giving more flexibility and improving outcomes. Unlike the previous government, we are going to take the decisions to direct funding towards efficient and effective health services that ensure real outcomes.

Ron Boswell (Queensland, National Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Thank you, Minister, for the very comprehensive answer. I have another question for you. Can the minister advise the Senate how the $94 million for the Better Start to Life program will expand efforts to improve the health of Indigenous mothers and their children?

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

The Better Start to Life approach announced in the budget targets the health of Indigenous mothers and babies so children are given the best possible start to life. The government is committed to closing the gap by ending the cycle of disadvantage which starts with poor child health. Focusing on those critical early years means that Aboriginal and Torres Strait Islander children will get a positive foundation for life.

Through the $54 million investment in Better Start to Life New Directions: Mothers and Babies, the government will expand efforts in child and maternal health to support Indigenous children to be healthy and go to school. This expansion will mean that the sites will be increased from 85 to 137, and the Australian Nurse-Family Partnership Program will be expanded by $40 million to increase the sites from three to 13, with an absolute focus on this area.

Ron Boswell (Queensland, National Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. Minister, can you update the Senate on the next steps in the Commonwealth government's National Aboriginal and Torres Strait Islander Health Plan?

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

This government is determined to ensure real changes and improvements in health outcomes for Aboriginal and Torres Strait Islander people. I recently announced the development of an implementation plan for the National Aboriginal and Torres Strait Islander Health Plan before the end of the year. We will be developing a targeted on-the-ground implementation plan in order to translate those good intentions into actions. It is only through targeted and strategic action on the ground that real outcomes can be realised. I would like to acknowledge the important work that has gone into the health plan by the Aboriginal and Torres Strait Islander people, stakeholders, peak groups and representative organisations, who contributed to the framework. I look forward to working with those stakeholders so that we can ensure we turn that very good framework into real action and real outcomes on the ground.

Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source

Mr President, I ask that further questions be placed on the Notice Paper.