The Hodgman Liberal Government’s top priority is jobs, and today I can announce $22.3 million in new and brought forward infrastructure projects will be undertaken this financial year in order to maintain the momentum in our economy.
There is no doubt our economy is recovering and the momentum for long term growth is building.
Since the election 7,200 jobs have been created, visitors are pouring in, there’s a construction boom underway and retail records are breaking with tills ringing as a result.
But we still believe more can be done and that is why in this year’s Budget we included a $315 million jobs package, and a $1.8 billion infrastructure package.
In almost all years there has always been a number of unavoidable delays that occur in regards to capital projects so I requested advice from Treasury as to what that level may be this year. I was advised that around $20 million of infrastructure budgeted for this year was unlikely to be spent by June 30 2016, for various reasons.
Rather than simply report on this occurrence once the financial year is over as Governments have done in the past I have decided to actively manage and re-profile our capital spending to maintain the momentum that is building in our economy.
By actively managing the Budget and capital spending of Agencies, the Hodgman Government will both maintain economic momentum and ensure that we can deliver better services as soon as practical. We want to get on with "shovel ready" projects as much as we can within the Budget we set for ourselves.
This will ensure that we maintain the infrastructure spend as budgeted, and maintain the positive momentum in the economy.
Projects that could not be completed this financial year will be provided the funds they require in next year’s budget.
The temporary reallocation of these funds is an important decision which will keep the economy heading in the right direction.
Breakdown of funding brought forward
Education $9.975m
Bothwell District High School $500,000
General upgrade of learning and specialist areas, toilets and external spaces
Cooee Primary School $500,000
General upgrade of learning and specialist areas, toilets and external spaces
Cressy District High School $1.1m
Refurbishment of existing areas to provide modern contemporary flexible learning environments
Elizabeth College $400,000
Provide new and refurbish storage facilities for the college performing arts centre
Margate Primary School $450,000
Refurbish a terrapin building, relocate after school care and online access centre
New Norfolk High School $1.4m
Refurbishment of existing areas to provide modern contemporary flexible learning environments
Oatlands District High School $500,000
Upgrade to the administration area, toilets and general learning areas
Prospect High School $500,000
Refurbish and modernise existing teaching areas and hospitality facilities
Rokeby High School $1.5m
Major refurbishment to provide contemporary science facilities
Sheffield High School $500,000
Refurbishment to provide contemporary science facilities
Springfield Gardens Primary School $600,000
Internal refurbishment to allow the school to consolidate onto one site
Strahan Primary School $400,000
Multi purpose hall upgrade to resolve acoustic issues and appearance
Ulverstone Primary School $525,000
Alterations and additions to the current administration area
Woodbridge District High School $1.1m
Refurbishment of existing areas to provide modern contemporary flexible learning environments
Health and Human Services $3.76m
Funds for the Repatriation hospital, St Johns Park, St Mary’s Health Centre and THS sexual health
Justice $2m
Mary Hutchins Women’s Prison Improvements
State Growth $5m
Huon Highway - Glendevie climbing lanes $3m
Wrinkler's Lagoon Bridge $2m
TasTAFE $1.5m
Drysdale
Grand Total 22.3m
Estimated Project Underspends:
DHHS Glenorchy Tier Three Community Centre
Funding was allocated in 2015-16 for the redevelopment of the Glenorchy Community Health Centre but due to a review of the Integrated Care Service Model in 2014-15 demolition and early works were delayed. The THS recently confirmed the project is now progressing, but the original cash flows will be delayed relative to those provided for in the Budget.
DHHS Mersey Hospital Upgrade
Funding was allocated in 2015-16 for the upgrade of the Mersey Community Hospital. However this will now be spent next year due to ongoing negotiations with the Australian Government in the context of the recently ratified two year Agreement.
Education School of Special Education North
The Department advised that it estimated to only expend half of the allocated this financial year. Ongoing discussions with the school community have meant that the project is progressing on a slower timeframe than anticipated in the Budget.
Education School of Special Education North West
The Department advised that it estimated to only expend around half of the allocated funds this financial year, owing to longer than anticipated timeframes in finalising the design of the school through interactions with key stakeholders.
Police Vessel
The Department advertised the tender for the project in September 2015. However, advice from the Department in relation to other project milestones indicated that the design was likely to be approved in March 2016, and that construction was estimated to commence in April 2016. Based on these current timeframes the Department considered it unlikely that the significant Budget allocation of $5 million would be fully expended in 2015-16, and revised cash flows were appropriate .