nsw govt spending will be good, page-2

12.27pm

NSW to spend more on roads

May 24, 2005

THE NSW government will borrow $3.5 billion to fund increased spending on roads, rail, hospitals and education, Treasurer Andrew Refshauge said today.

Announcing his first state Budget, Dr Refshauge said the government would invest $34.7 billion in infrastructure over the next four years, an increase of $4.7 billion.

Government trading enterprises will borrow $2.5 billion to finance the new spending while the state government itself will borrow $1 billion.

"This is a Budget that builds for the future by investing in our infrastructure," Dr Refshauge told parliament today.

"This is a Budget for growth and security, for development, for social equality, for the long-term needs of our stake."

The government will spend $2 billion on rail, up $257 million, to fund 600 new carriages and upgrade city stations.

More than $137 million will be spent on replacing 268 standard public buses, while $40 million will go towards completing the purchase of 80 high capacity buses.

In health, the government will spend $227 million on 800 new hospital beds. Bathurst, Orange, Queanbeyan and Bloomfield hospitals will be upgraded and redeveloped over the next three to five years.
The Mona Vale Hospital emergency department and Manly Hospital intensive care unit also will be upgraded.

Road funding will rise by $93 million to $2.9 billion this year, with work to continue on existing projects and the Great Western Highway to be widened to four lanes between Katoomba and Woodford.

In education, $492 million will be spent over four years to purchase 100,000 computers for schools, more IT support staff and improved internet bandwidth.

New schools will be built at Second Ponds Creek and St Marys, in Sydney's west, and $80 million will be spent on upgrading 10 TAFE institutes.

Fire services will be boosted, with the rural fire service to get 200 new tankers and 40 new engines, and the metropolitan fire service to get 52 extra fire services and 53 new engines.


NSW Budget - 2005

Main features of NSW's 2005-06 budget

May 24, 2005

Reintroduction of a land tax-free threshold from January 1, 2006, at $330,000. The previous tax-free threshold was $317,000.

Marginal land tax rate of 1.7 per cent on unimproved value of land in excess of $330,000.

General insurance stamp-duty rate on certain insurance policies to increase from 5 per cent to 9 per cent from September 1.

Vendor duty will remain in place.

Operating surplus of $303 million for 2005-06.

Infrastructure expenditure of $34.7 billion over the next four years, including $8.2 billion in the coming year.

More than half of total infrastructure expenditure to go to transport ($2.488 billion) and electricity ($1.762 billion).