11 November 2020

State Budget a golden opportunity to drive a locally led economic recovery

The upcoming NSW Budget needs to invest big in local infrastructure and services to spearhead a locally led economic recovery, Local Government NSW (LGNSW) said today.

LGNSW President Linda Scott said the peak body’s Budget submission called for a cash injection into grassroots infrastructure, such as roads, cycleways and footpaths, water security and waste management facilities to bring needed improvements, economic activity and create local jobs.

“Councils are grateful for the financial support the NSW Government has delivered to help communities recover from a devastating year of drought, bushfires, floods and COVID-19,” Cr Scott said.

“The November 17 State Budget is an opportunity for the NSW Government to double down and put NSW on this winning strategy and put our State in the vanguard of economic recovery.

“Councils have a proven track record of getting the most out of taxpayers’ dollars; through local services, infrastructure, environmental management and the plethora of work they do for their communities.

“That’s why councils are best placed to drive an effective locally led economic recovery.”

Cr Scott said the biggest ticket budget request from local government related to funds for the construction and maintenance of roads, footpaths and cycleways.

“That’s not surprising since local government is responsible for 90 per cent of these vital and expensive public assets,” she said.

“But this category of local infrastructure is far from the only area of investment in which State and local government can work in partnership.

“Investment in water, public spaces, affordable housing and waste and recycling management are all innovative ways to generate jobs, support businesses and simultaneously deliver public good.

“Funding for pressing social priorities in the areas of physical and mental health, drug rehabilitation, Aboriginal incarceration, childcare, and in arts and community services delivers similar benefits, while helping to prevent future remedial expenditure.”

Other key LGNSW State Budget funding recommendations include:

• a further $250 million or a second round of the NSW Public Spaces Legacy Program – a proven program delivering local improvements and employment;
• Reinvestment of the $800 million Waste Levy into an overhaul of recycling and waste management, to address critical waste export deadlines and diminishing landfill while creating new industries and jobs;
• an additional $1 billion for the Safe and Secure Water Program to pay for badly needed upgrades to council-run regional water infrastructure, as backed by the NSW Auditor General; and
• $2 billion for 5000 additional social housing units, supporting an estimated 18,000 jobs.

“With the economy threatening to slip deeper into recession, it is critical that all spheres of government work together to rebuild the economy,” Cr Scott said.

“Councils punch above their weight in providing quality, cost-effective services and infrastructure and the best way to drive economic recovery is for the NSW Government to work with councils in delivering the range of projects and programs we’ve outlined in our State Budget submission.”

LGNSW’s State Budget submission

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