Treasurer Kevin Foley yesterday delivered the Rann Government’s seventh consecutive state budget, delivering a net operating surplus of $160 million in 2008-09.
The main focus of South Australia’s budget was investment in infrastructure, with $1.422 billion over four years being committed to transport, energy and infrastructure initiatives.
The Rann Government also introduced a payroll tax cut to 5 per cent, designed to ensure South Australia remains a competitive place to do business.
Key budget initiatives include:
Taxation
- Payroll threshold to increase to $552,000 from 1 July 2008 and $600,000 from 1 July 2009;
- A payroll tax cut to 5 percent from 1 July 2008 and 4.95 percent from 1 July 2009.
Health
$3.246 billion in 2008-09 including:
- $95.8 million to continue redevelopments underway at Flinders Medical Centre, the Queen Elizabeth Hospital and Lyell McEwin Hospital’s stage B project;
- $25.6 million to replace and upgrade medical equipment, including $2.6 million to replace two country mobile vans for BreastScreen SA, installing in them state-of-the-art digital mammography technology;
- $21.7 million for improving information technology;
- $7.3 million to replace and upgrade ambulance stations across the state;
- $14.3 million towards the development of the state-of-the art Marjorie Jackson-Nelson hospital;
- $7.2 million to refurbish parts of the RAH to increase capacity while the new hospital is under construction.
Education
- $70 million to provide new school buildings in schools, including $35 million for 10 new school upgrade projects, $8.6 million for Woodville High and $7.7 million for Willunga High;
- $10.46 million over four years to continue the Social Inclusions Board’s School Retention Action Plan;
- $16.8 million to introduce a new South Australian Certificate of Education from 2009;
- $800,000 in extra funds to replace ageing schools buses.
Water
$3 billion in 2008-09 for water infrastructure including:
- $2.5 billion for desalination / increased storage capacity including $97 million for Adelaide’s 50-gigalitre desalination plant at Port Stanvac;
- $260 million over next four years for managing catchments and protecting the River Murray;
- $80 million to increase water recycling, including upgrades and expansion of wastewater treatment plants and water recycling infrastructure;
- $24 million over three years to harvest rainwater and reduce water use in the home, including rebates for householders.
Housing Affordability
- New $4,000 bonus grant for first home buyers to replace the current first homebuyer stamp duty concession.
Transport
$648.4 million over four years for a program to rebuild rail and light-rail infrastructure, including:
- $209 million for electrifying the Noarlunga line;
- $83 million for electrifying the Outer Harbour rail line;
- $162 million for extending the tramline and new light-rail vehicles;
- $116 million for re-sleepering of the Gawler line;
- $64.4 million over four years for 80 extra buses, in addition to the existing replacement of bus fleet replacement;
- $29 million towards the purchase of a new ticketing system.
$226 million of new road transport funding in 2008-09, with over $700 million over four years to be spent on roads, including:
- $125 million contribution to the AusLink network over four years;
- $27.1 million over four years to improve the efficiency of the rural freight transport network;
- $1.27 million for an intelligent access program to enable remote monitoring of heavy vehicles;
- $29.4 million over four years to seal road shoulders on rural road sections.
Regional South Australia
Over $200 million for new initiatives, including:
- $9.8 million to assist rural communities recover from the drought;
- $15.9 million over four years to base a large helicopter in SA during the bushfire season;
- $11 million over four years to support the growth of mineral exploration and mining;
- $16.3 million over three years to replace and upgrade government employee housing in remote and regional areas.
Community Services
$190.6 million for community services, including:
- $15 million for early intervention case management and home visiting services to support children and their families;
- $13.2 million for increased capacity for specialised placement support, family support and reunification services;
- $7.3 million for support to NGOs responsible for carer recruitment.
