Palaszczuk Government pays its share of disaster recovery costs

The Palaszczuk Government will reimburse approximately $2.5 million in council-owned plant and equipment costs for reconstruction activities to more than 30 councils that have been left out of pocket by the Turnbull Government.

Deputy Premier and Minister for Infrastructure, Local Government and Planning Jackie Trad said the Commonwealth’s decision to retrospectively change the rules for councils using their own plant and equipment for disaster recovery activities penalised already struggling Queensland councils.

“Retrospective changes to Natural Disaster Relief and Recovery Arrangements (NDRRA) unfairly exposed more than 30 councils that used their own plant and equipment to deliver 2014 reconstruction works to approximately $10 million in costs that are now considered ineligible by the Turnbull Government,” Ms Trad said.

“It is unfair for councils that adopted a best value for money approach to build back their disaster-stricken communities under the rules which applied at the time have been penalised by the Turnbull Government’s retrospective application of policy.

“Some of the hardest hit councils such as Barcoo, Barcaldine and Winton were already doing it tough dealing with drought or other repeated disaster events and have a comparatively low rates base to fund this unplanned expenditure. 

“For this reason, the Palaszczuk Government has decided that we will not wait for the Turnbull Government to reverse its unfair and unprecedented decision.

“Instead, we intend to pay Queensland’s 25 per cent share of the NDRRA funding owed to councils in plant and equipment costs now deemed ineligible by the Turnbull Government, a reimbursement of approximately $2.5 million across impacted councils. 

“Queensland will always stand by our disaster-stricken communities and this is yet another example of our commitment.”

Ms Trad said while the Palaszczuk Government was honouring its commitment, it would continue to lobby the Commonwealth to meet its obligations to pay its 75 per cent share of the NDRRA funds.

“Queensland continues to deliver the best value for money when it comes to reconstruction activities and in many cases the use of council’s internal workforce and plant and equipment is the best option,” Ms Trad said.  

“The use of council-owned plant and equipment is an integral component for achieving value for money in reconstruction and for some councils it is not only the most effective means of delivering their program, but the only way they can effect recovery. 

“We will continue to advocate on behalf of Queensland councils for the permanent use and reimbursement of council day labour and council-owned plant and equipment through the continuing natural disaster funding reform negotiations. 

“We urge Malcolm Turnbull and Minister for Justice Michael Keenan to reconsider its position, listen to local Mayors and even some of their own colleagues and reimburse the councils that have been left out of pocket.”

ENDS

Media contact: Anna Jabour 0429 890 942