Federal Budget 2018-19: Federal Government fails to match State Government City Deal pledge

THE Federal Government’s 2018/19 Budget has left Geelong’s City Deal out in the cold.

Australian Federal Treasurer Scott Morrison on Tuesday. Picture: Lukas Coch/AAP

THE Federal Government’s 2018/19 Budget has left Geelong’s City Deal out in the cold.

Treasurer Scott Morrison’s Budget announcement last night failed to match the $153.2 million pledged to the City Deal in last week’s State Budget, for which the State Government was seeking matched funding.

The City Deal is an agreement between federal, state and local governments to work together to fund a series of major projects for the regional centre.

The funding snub will stall the construction of Geelong’s long-awaited convention centre — lauded as a game-changer for the region’s economic welfare — and comes despite the Federal Budget kicking in more than $170 million for City Deals in Launceston and Western Sydney.

Budget statements from the Department of Infrastructure, Regional Development and Cities point towards ongoing negotiations for Geelong’s City Deal — an agreement between all levels of government to fund various major projects.

The lack of funding comes despite Corangamite federal Liberal MP Sarah Henderson last week declaring; “…I look forward to our City Deal agreement being finalised as soon as possible”.

The Federal Budget included some good news for Geelong, with $20 million to be put towards the construction of Avalon Airport’s new international terminal — expected to create more than 400 jobs in the region.

AVALON AIRPORT INTERNATIONAL EXPANSION TO RECEIVE $20 MILLION FUNDING BOOST

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The airport funding comes as part of the Commonwealth’s 10-year $75 billion national infrastructure plan, which also committed $50 million to fund the duplication of rail between Waurn Ponds and South Geelong train stations.

Provision for the duplication funding had already been included in forward estimates.

The $50 million is expected to be on top of $100 million ­included in the previous ­Federal Budget for the project, and is tipped to pave the way for V/Line to run more ­services between Geelong and Melbourne and add platforms at Marshall, South Geelong and Waurn Ponds stations.

“Our $75 billion 10-year rolling infrastructure plan will continue — strengthening our economy, busting congestion in our cities, making rural roads safer and getting our products to market,” Mr Morrison told Parliament in his Budget speech.

The Australian Animal Health Laboratory (AAHL) in Geelong — referred to as “Australia’s national biocontainment laboratory” in budget papers — is expected to receive major upgrades through a $341.5 million capital works investment for the CSIRO’s properties throughout the country.

Geelong could also benefit from the Building Better Regions Fund, which has funded major projects throughout Geelong, will be boosted with $206.5 million to fund round three of the regional support program.

“A stronger economy. More jobs. Guaranteeing essential services. The Government living within its means. That is what this Budget is about,” Treasurer Scott Morrison said as he presented the Budget.

Originally published as Federal Budget 2018-19: Federal Government fails to match State Government City Deal pledge