State budget offers funding to kickstart North Rail Yards
The state government has committed $500,000 to a proposed housing solution in North Queensland. PLUS: North’s winners in 2024-25 budget.
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The state budget has committed an initial $500,000 towards a Townsville City Council housing project as part of its commitment towards addressing a housing crisis.
The initial funding aims to support the delivery of the North Rail Yards, but budget documents outline there would be a further $35m set aside for the housing project which could offer a large amount of affordable housing in the heart of the city.
But the release of such funding would depend entirely on “due diligence” as well as additional funding from the Townsville City Council or its entity.
Townsville’s Acting Mayor Paul Jacob believed the initial funding would likely to be used for remediation of the site, which was contaminated with hydrocarbons and metals.
He said the housing project was important for Townsville because social and private homes in the central location would reinvigorate the central business district.
The council officers would now focus on examining the state budget numbers and to determine the available time frames, before working with the council owned entity that directed the project.
“It’s a great starting point and we need that money to actually start, plan, and do the things we have to do remediate the site,” Mr Jacob said.
“But to get that $35m to go towards that housing project, I’m assuming the government is saying the housing project is for social housing.”
These directors could attract additional funding and reduce the burden to the Townsville ratepayer by negotiate with housing developers, at an appropriate distance from elected representatives.
Chief legal officer David Sewell advised councillors that funding from governments was necessary for the project because of the land contamination, which would be costly to fix.
“We’d prefer council didn’t bear all of that cost because no developer is going to step in to contribute all of that cost,” he said.
Besides this funding Treasurer Cameron Dick also emphasised the government’s Homes for Queenslanders plan, and in its determination to invest $1.1bn into social and affordable housing across the state in the next financial year.
Townsville would receive a total $40.5m towards housing, land acquisition and homelessness services according to budget documents.
Of this funding, $18.4m would be spend on constructing new social housing projects, $10.9m would be spent on upgrading existing social housing, $4m would be spent on further land acquisition, $2.5m would be spent buying existing properties, and about $4.8m would be spent on housing and homelessness services.
Mr Dick said population was constantly increasing beyond what was being forecast, which was putting pressure on housing needs.
He said the budget would provide funding for more than 600 modular homes across the state as the government planned to build one million homes by 2046 as part of its Homes for Queenslanders scheme.
“It is a real plan backed by real investment, a total of $3.1bn over five years,” Mr Dick said.
“This includes the delivery of 53,500 social homes by 2046.”
Budget a ‘mixed bag’ for Townsville
Townsville Enterprise’s chief executive Claudia Brumme-Smith said the State Budget has overlooked long-term opportunities for liveability and to attract workers to the region.
“It is a mixed bag with wins for some areas, but some significant gaps in others for regional Queensland,” she said.
She said there was no commitment to the second stage of the Townsville Port expansion or for the Flinders Highway, but there was supported investment in health, economic development and other infrastructure projects.
Ms Brumme-Smith said the economic advocacy group will now focus on lobbying in the lead-up to the state election in October to guarantee future commitments.
“As a region we are anticipating a requirement for an additional 20,000 construction and operational workers in the next five years,” she said.
“With an unemployment rate of less than 3.6% and rental vacancies below 1%, we can’t wait another election cycle to see housing, workforce attraction and liveability commitments delivered.”
Crime and justice
The Townsville Courthouse will be getting a multimillion dollar expansion in a budget which has also offered funding for anti-crime measures to protect Townsville.
The upgrades to the courthouse are expected to cost $7.5m across four years which is aimed at mitigating the demand on North Queensland’s justice system.
$500,000 had been committed to in the next financial year according to the state budget’s documents released on Tuesday, which leaves another $7m unconfirmed in the following three years.
Big-ticket items such as the police helicopter and the $100m Kirwan police mega complex are receiving ongoing cash.
It would spend up to $15m in the next two years for the establishment of an interim police aerial support capability for POLAIR in Townsville, which would include contemporary communication and aerial video downlink capability. Polair is already operational in the city.
The budget revealed further funding would be allocated to make this permanent, but would not disclose the amount at this stage, as the procurement stage was ongoing.
“This capability will assist police in tracking vehicles, arrest offenders and locate missing persons to enhance community safety, including periodic deployment to other North Queensland locations as required,” the budget document said.
The State Government aimed to spend almost $900,000 in the next two years to support the administration of court reforms such as the Townsville Youth Court and Court Link.
It would also spend an additional $3.5m in the next financial year in Townsville and Brisbane Youth Detention Centres for mental health, cognitive disability and physical health screenings.
It would be part of a $7.1m initiative across two years to employ two senior medical officers and two nurses in these centres.
Increasing prison capacity
Townsville Correctional Centre is set to receive $5.2m for an “capacity uplift”.
It is among four prisons to receive cash in the budget for a capacity uplift including Palen Creek, Numinbah and Lotus Glen prisons with a total investment of $22.4m.
Staff at Townsville Correctional Centre have revealed issues with overcrowding at the prison in recent years, with the state government also announcing an expansion of the complex in last year’s budget.
It is not known if the capacity uplift cash is for the expansion or existing prison.
CopperString 2023 boost
The state government is investing heavily in the power network in North Queensland, including $712m for CopperString 2023 in this year’s budget.
The project will connect the North West to the National Electricity Market in Townsville.
In total, the government will invest $106bn towards CopperString 2032 over the lifetime of the project with construction to start in 2024 with completion expected in 2029.
It will also invest $24.8m on network augmentation in Townsville and $111.2m in network replacement in the region.
Almost $7m for Palm school
Bwgcolman Community School will receive more than $6.9m for administration building upgrade and a new home economics building.
Pimlico State High School ($853,000), the Queensland Pathways State College ($282,000), The Willows State School ($516,000), Mundingburra State School $516,000), Townsville South State School ($361,000) and William Ross State High School ($1.1m) are receiving cash to help complete or get projects underway.
More than $14.3m will be spent on school hall projects in Townsville.
Road infrastructure upgrades
Almost $50m will be invested this financial year in the Townsville Connection Road upgrades, which includes the Bowen Road Bridge duplication.
The Burdekin River Bridge is also up for $4m in cash for rehabilitation Riverway Dr will receive $15m for state two works, Halliday St to Gouldian Ave will receive $3.4m, Ross River Rd will also receive $2.1m in cash for safety upgrades and the Harvey Range Developmental Rd will receive a little more than $5m. An additional $50.3m will go towards other road projects.
Cash for the regions
Ayr will receive funding for a fire station and groundwater monitoring, and Stage 1 of a new water treatment plant, but there is little else to excite regional North Queensland advocates hoping for funding for big-ticket items in their regional communities.
Budget documents confirm $4m will be spent on remediation works at Ayr Fire and Rescue Station, which is contaminated with per and polyfluoroalkyl substances (PFAS), and that there would be further planning on the future site.
$665,000 has also been allocated in 2024/25 to monitor the Ayr aquifer for PFAS, with a total $1.4m to be spent across three years.
The budget confirms $20m to be spent on the first stage of the Ayr water treatment plant in the next financial year, with additional funding of $47m reserved over three years.
$13.4m would be held to help with maintenance and operation costs which would be released once the construction has been completed.
Hinchinbrook Island National Park would receive $1.8m for facilities along the Thorsborne Trail, while $2.5m has been allocated for a new sewage plant at Hinchinbrook Harbour for the next financial year.
$50,000 has been set aside for the Dallachy Rd section of the Bruce Highway for floodway installation.
Charters Towers Central State School and high school had $387,000 each for upgrades and refurbishment, while the Charters Towers to Mingindi inland freight route had a committed $30.8m in the 2024/15 budget.
Queensland Health would spend a total $943m on ageing hospital and health infrastructure including Hughenden and Richmond.
The government would also spend a total $2.8m over two years for the development of the Hughenden Irrigation Project while a review of the Gulf Water Plan is conducted.
$21.7m has been budgeted for the Mount Isa to Townsville railway, while $4.6m will be spent on the Burke Development Rd between Cloncurry and Normanton.
In Mount Isa $5.5m has been budgeted for new police resident accommodation, $3.5m for the upgrade of a diversionary centre, and $8m for capital expenditure for the Mount Isa Water Board.
Originally published as State budget offers funding to kickstart North Rail Yards
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