Fund to deliver $22 million benefit for all Canberrans

The Chief Minister and Minister for Territory and Municipal Services, Katy Gallagher, and the Deputy Chief Minister and Treasurer, Andrew Barr, today announced the Government will inject an extra $22 million into maintaining and upgrading the urban amenity of Canberra in the next Territory Budget.

The ACT Labor Government will establish an Urban Improvement Fund in the next ACT Budget, with funding to come directly from the Lease Variation Charge (LVC).

"Canberra is a great place to live, and we already enjoy a very high standard of living. I know that Canberrans share a great sense of pride in the look and feel of our city," the Chief Minister said.

"The ACT Labor Government already provides record levels of funding, that goes directly to improving and maintaining our local spaces and places. In 2011-12 alone, $120 million will be spent on municipal services and local infrastructure upgrades.

"This fund will mean an extra $22 million in 2012-13 for more parks and playgrounds, more mowing, more shopping centre upgrades, better footpaths and more repairs to roads," the Chief Minister said.

Mr Barr said it is only right that the money received from developers – who are profiting from Canberra’s liveability – is put directly back into the community.

"The ACT Labor Government recognises the important contribution that is made by developers through their building of housing and commercial developments. But it is also fair that when they make large profits from varying the lease on their land for development - making it more valuable - that the community also benefits.

"I expect developers to also benefit from the improved amenity of our city and should acknowledge that their contribution will now go directly to improving the very city they choose to invest in.

"The Government has forecast $22 million to be received from developers this year – $5.9 million has already been received and another $15.5 million is expected this financial year. This money will now go directly to improving our city in the next Budget," Mr Barr said.

The Chief Minister said that the ACT Labor Government was working hard to ensure Canberrans continue to enjoy a very high standard of living.

"This announcement will see the returns from development reinvested back into the community – it’s fair, it’s focused and it benefits everyone," the Chief Minister concluded.