Share Government grant funding on FacebookShare Government grant funding on TwitterShare Government grant funding on LinkedinEmail Government grant funding link
Local governments only collect around 3.5% of taxation nationally and need support from other spheres of government to provide and maintain the assets their communities need, such as swimming pools, playgrounds, sports facilities, and roads.
Councils receive funding from both federal and state governments to support operational or capital needs. Typically, these grants are tied to a specific purpose being the construction of an asset, or maintenance of roads.
A council's main source of ongoing operational grant funding is the Local Government Financial Assistance Grants. This grant is provided by the Commonwealth Government to help councils provide local services and infrastructure. The grants are not tied and can be used to meet the needs and priorities of local communities. Unfortunately, the value of these grants has declined during the past three decades from around 1% of Commonwealth taxation revenue to around 0.53%.
If the Financial Assistance Grant was reinstated back to 1% of Commonwealth taxation revenue, the impact on financial sustainability on local government would be significant. In our present situation, an increase of funding back to 1% would address 50% of the total operating deficit.
Local governments only collect around 3.5% of taxation nationally and need support from other spheres of government to provide and maintain the assets their communities need, such as swimming pools, playgrounds, sports facilities, and roads.
Councils receive funding from both federal and state governments to support operational or capital needs. Typically, these grants are tied to a specific purpose being the construction of an asset, or maintenance of roads.
A council's main source of ongoing operational grant funding is the Local Government Financial Assistance Grants. This grant is provided by the Commonwealth Government to help councils provide local services and infrastructure. The grants are not tied and can be used to meet the needs and priorities of local communities. Unfortunately, the value of these grants has declined during the past three decades from around 1% of Commonwealth taxation revenue to around 0.53%.
If the Financial Assistance Grant was reinstated back to 1% of Commonwealth taxation revenue, the impact on financial sustainability on local government would be significant. In our present situation, an increase of funding back to 1% would address 50% of the total operating deficit.
