Federal Budget 2016: You won’t believe what they’ve cut and spent
WE’VE trawled through the Budget to find all the things the government is spending your money on - and other hidden nasties.
WE’VE trawled through the many, many pages of the Budget papers to find all the little things the government is spending your money on. Here’s what they hope you won’t notice.
WHAT THEY’RE SPENDING:
COUNSELLING FOR FARMERS
Farmers in drought-affected areas will get a boost, with the government providing $7.1 million over four years to keep extra rural financial counsellors. It will see an extra 15 counsellors each year to help farming families cope during droughts.
MORE TREE PLANTING
An extra $20 million over two years will be provided from 2018-19 for the planting of native trees and to re-establish green corridors and urban forests.
LOOKING FOR MORE FRIENDS
More than $42 million will be spent building two new Australian embassies in Papua New Guinea and China, and extending another one in Kiev, Ukraine. The one in PNG will be built in Lae, instead of Buka. It’s hoped the extra embassy in China will open new investment opportunities for Aussie businesses.
WIPING OUT EXOTIC MOZZIES
The Budget has set aside $3 million over three years for “exotic mosquito control” in the Torres Strait. The troublesome Asian Tiger mosquito is threatening transport hubs, particularly Horn and Thursday Islands, but the Government has a hi-tech plan to keep the pest under control.
The funding will also go towards better communication and data sharing with Papua New Guinea about communicable diseases and health issues that may arise from travel between PNG and Torres Strait.
INNOVATION, INNOVATION, INNOVATION
It’s the word of the moment and the government is willing to put $2.4 million over two years to bring forward the opening of “Landing Pads” to support emerging Australian companies in global “innovation” hot spots.
The opening of these hubs in Singapore and Berlin will be brought forward so they open in 2016/17, instead of 2018/19.
MOBILE GAMES FOR PRE-SCHOOLERS
Kevin Rudd said “a laptop for every child”, Scott Morrison says “a smartphone for every preschooler”. Pre-school kids will be given the opportunity to study foreign languages through “play-based learning using mobile devices” thanks to a $5.9 million expansion of the Early Learning Languages Australia program over two years. Grants of up to $500 will be available to assist up to 1000 low socio-economic preschools with purchase of devices.
NEW STAFF FOR INDEPENDENT SENATORS
Whichever independent senators are left standing after the election will enjoy the services of an extra staff member.
Government savings will provide $5.2 million over five years to increase the number of personal employee positions to non-government independent Senators from two to three personal employees.
It’s supposed to help rookie senators “with the consideration of the detailed policy and legislative information that comes before the Senate”.
DESTROYING HERPES RIDDEN CARP
Who knew our carp problem was so bad? A $15 million cull to the bony, slimy fish that plagues the Murray Darling basin has been accounted for in the Budget. That money will go to destroying 95 per cent of aquatic pest’s population in the region.
MAKING ELECTION PAPERS LOOK PRETTY
Almost $5 million over two years will go to “enhance the EasyCount vote counting system and printing of party logos on ballot papers”.
RESPECTING THE DIGGERS
The Office of Australian War Graves has been given $7.5 million over four years to rebuild 1000 irreparably damaged war graves and restore more than 2800 grave plaques in the Lae War Cemetery in Papua New Guinea. The money will also help the agency improve the safety of the Hellfire Pass Memorial Museum in Thailand, and conduct a scoping study for the refurbishment of the Australian War Memorial in London.
DEERY ME
Bambi won’t be happy, from July 1, the government will make it cheaper to produce deer velvet in Australia. It will stop charging an excise levy on the production and sale of deer velvet, and will also remove the charge on exports of deer velvet and the customs charge on live deer exports. Looks like there will be more Aussie deer heading overseas.
WILL MYGOV ACTUALLY WORK NOW?
Because it has been such a roaring success so far, the government is providing $50.5 million over five years to the Department of Human Services and the Digital Transformation Office to support the operation of myGov. Let’s hope it works come tax time.
MAKING REFUGEES FEEL WELCOME
The government is providing $10.9 million extra funding over three years to the Department of Social Services to provide additional support to recently arrived humanitarian migrants. It’s not clear what the program entails, but the government says the extra money will help “strengthen their sense of belonging to Australian society and to increase their social and economic participation”.
CIDER-LICIOUS
Punters who love a low-strength cider may soon enjoy a cheaper brew after the government extended the brewery refund scheme. From July 1, 2017, producers of low strength fermented beverages such as non-traditional cider will be able claim back some of the excise they pay, at a cost to the government of $9 million. At the moment breweries can get a 60 per cent refund of the excise they pay on beer, up to a maximum of $30,000 a year. Unfortunately most alcopop and wine producers will miss out.
CUTS AND OTHER HIDDEN NASTIES:
PASSPORT FEE HIKES
Passport fees are going up. Starting next year, adults will have to fork out an additional $20 for passports, while children and seniors will have to pay an extra $10. Those who need their passport in a hurry are also getting slogged, with priority processing fees to increase by $54.
The fee hikes will bring in an additional $172.9 million over the next four years. At the same time, the government is providing an extra $46.7 million to the Department of Foreign Affairs and Trade to produce passports.
UNI STUDENTS TO LOSE BIG TIME
Look for the Treasurer’s detail on what they plan for universities over the next four years in the reams of Budget papers and you won’t find a thing.
But hidden in a tiny table is the significant detail they plan to somehow save $2 billion through deregulation by 2020, indicating big cuts to higher education funding.
The document declares the Government has walked away from the 2014-15 Budget’s controversial proposal to deregulate fees. But pending “further consultation”, the proposal to cut funding to universities by 20 per cent, along with changes to how student loans are repaid and recovered remain on the table.
By deferring any action until 2018, i.e. outside the 2016-17 Budget period, it looks like the Government has intended to put the controversial issue on the back burner, and save unpopular decision making for after the election.
SAY GOODBYE TO YOUR LOCAL ATO
Gone will be the days of popping down to your local ATO for bread, milk and your quarterly PAYG instalment. The government will save $21.8 million over four years by closing down stand-alone Australian Taxation Office shopfronts in favour of myGov shopfronts.
CUTS TO ABC
The ABC has signalled “changes to staffing and programming” after the Budget confirmed lower funding for the national broadcaster. Labor increased the ABC’s funding by $60 million over three years while it was in office, but this has been reduced to $41.4 million by the Coalition. It’s an effective cut of $18.6 million.
THE HUMAN COST OF BUDGET CUTS
The sprawling Department of Human Services will be getting an $80 million haircut over four years through “ongoing administrative efficiencies”.
NO LOVE FOR WORK FOR THE DOLE
Now that he has his shiny new, “real” work for the dole scheme, the Treasurer is clearly over the original. The Government wants to make the old scheme more “cost effective”, i.e. spend less on it, and save close to $500 million in the process.
LIMITS ON DUTY FREE CIGARETTES
We know smoking is bad but is this restriction really necessary? Currently, smokers can feel the rush of buying cigarettes without the massive taxes, which we now know are about to rise significantly each year, on their way out of the airport.
At the moment they’re allowed to bring 50 cigarettes or equivalent tobacco products duty-free into Australia. But Mr Morrison has decided that number should be reduced to only 25.
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