$70m cut in funding for local government roads

What they promised

The new Agreement maintains the Local Government share of funding at 27% of vehicle licence fee collections. P1 State Roads Funds to Local Government Agreement 2011/12-2015/16

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What they say now

The provision of local road funding as been capped at the level projected at the signing of the Agreement in June 2011 p117 2013-14 Government Mid-year Financial Projections Statement

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11 Feb 2014 - The Barnett Government has broken the Agreement to provide 27% of motor vehicle registrations to local councils to assist in maintaining the State’s road infrastructure, cutting $70m from the budget. .

Local Government are angered at the decision of the Barnett Government to cut $70 million of local road funding over the next 3 years.  Local governments are ‘warning of dire road safety consequences’ and have sought legal advice about the decision.  P7 West Australian 23/12/2013

Local roads covered by this agreement comprise 72% of all roads in the State. 

The funding was removed in the Mid-year Review (MYR) of the State’s finances and occurred without the agreement of local governments and is in breach of the terms of the State Roads Funds to Local Government Agreement 2011/12-2015-16.  This Agreement was signed by both the Premier Colin Barnett and the Treasurer Troy Buswell.

Details of the funding changes can be found at p115 and p117 of the 2013-14 Government Mid-year Financial Projections Statement
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