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2018-2019 State Budget

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2018-2019 State Budget Hon Peter Gutwein MP Treasurer 15 June 2018 Budget Context Deliver a stronger Action on the cost economy and more of living jobs Invest in health, SIX KEY Keep Tasmanians education and safe THEMES Tasmanians in need Protect the Build Tasmania’s Tasmanian way of infrastructure for life the 21st century Budget Highlights Includes all election commitments - in full and on time Record boost to Record $2.6 billion health – infrastructure program $757 million over six years Education – $125 million for Stage 2 of the $324 million over six Affordable Housing years Strategy Strong and growing Modest Surpluses economy every year Strong Economy 114 Final Demand 115 Retail Trade 110 Tasmania 110 Australia data 106 Australia 105 trend 102 100 Tasmania Index: June 2014 =100 June Index: (2015-16 prices) 98 95 Jun 14 Jun 15 Jun 16 Jun 17 Jun 18 Jun 14 Jun 15 Jun 16 Jun 17 Jun 18 55 Business Expectations 130 International Exports 50 Tasmania 120 45 Tasmania 40 110 Australia Australia 35 100 30 90 Index, quarter4 average Index, 25 Index: June 2014 =100 June Index: 20 12 average, month moving 80 Jun 14 Jun 15 Jun 16 Jun 17 Jun 18 Jun 14 Jun 15 Jun 16 Jun 17 Jun 18 Strong Economy Employment Net Interstate Migration 249 ) ) 12 500 1000 Tasmania '000 ('000 500 ( 244 12 000 0 Tas 239 Aus -500 Australia 11 500 -1000 234 to total year Number, Employed, Employed, -1500 229 11 000 Jun 14 Jun 15 Jun 16 Jun 17 Jun 18 9 Unemployment Rate 130 Business Investment 120 Tasmania 8 Tasmania 110 16 prices) - data 7 100 6 90 Australia data(2015 %, %, trend 80 Australia 2014 =100 June Index: 5 trend Jun 12Jun 13Jun 14Jun 15Jun 16Jun 17Jun 18 70 Jun-14 Jun-15 Jun-16 Jun-17 Jun-18 Strong Economy GSP Growth, per cent 4 2018-19 Budget 3 Per cent Per 2 1 0 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 14 Average 2010-11Average to 2013- Budget Position Net Operating Balance*, 2010-11 to 2021-22 300 200 100 0 -100 $ million -200 -300 -400 2010-11 2011-12 2012-13 *Note:2013-14 2016-2014-15 17 Net Operating2015-16 2016-17 Balance excludes2017-18 2018-19 one-off Australian2019-20 2020-21 Government2021-22 payment of $730 million for the Mersey Community Hospital. Results for years 2010-11 to 2016-17 are Actuals; 2017-18 denotes the Estimated Outcome; the years 2018-19 to 2021-22 reflect the 2018-19 Budget and Forward Record infrastructure 2.6 2.2 1.8 $ $ billion 1.4 1 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 Each column represents total infrastructure expenditure (Budget plus Forward Estimates) for the relevant Budget year Record infrastructure $1.1B for roads and bridges $475M into $70M for health Southern upgrades in Remand hospitals and Centre ambulance stations Record $2.6B in job-creating infrastructure $70M for $192M for Tranche 3 of education irrigation infrastructure projects $125M - Stage 2 of our Affordable Housing Strategy Our plan for Health $757M over six • Open 298 new hospital beds years • Over 1,300 new health staff • 478 additional hospital FTEs This Budget • 120 more nursing graduates includes: • 76 new fully funded beds • Extra $20M elective Surgery $278M to finish $87M for LGH New private RHH redevelopment hospital co-located redevelopment over six years at LGH Taking education to the next level • 358 more staff, including: $324M over six • 250 Teachers years • 80 Teacher Assistants • 277 more teachers and support staff (192 teachers) • $192 million for new school and This Budget TasTAFE infrastructure includes: • Extending all high schools to Year 12 • $31 million to remove disadvantage in early years Supporting those who need it most • To provide an additional 1,500 affordable home and assist around An extra $125M to 2,000 households implement Stage 2 of our Affordable • Together with Stage 1, brings the Housing Strategy total number of new affordable homes to 2,400 $70M for $24M for $20M for $21M to National improved child eliminating support Redress Scheme safety family violence Tasmanians with disability Stronger economy – more jobs • Payroll tax cuts – reducing the Competitive payroll rate to 4% for payrolls between tax rates $1.25 and $2 million • Saves businesses up to $15,750 $10M - extend energy Extending the Payroll Tax Extend the rebate scheme for Rebate Scheme for Apprentices $20,000 First unregulated customers & Trainees (in areas of high Home Owners demand for skills) Grant Tourism - Leading the Country $12M for additional marketing, $4M Events attraction, $72M Cradle Mountain, $20M Next Iconic walk, Re-purposing Treasury Building Protecting our way of life $11.6M Community & Regional 125 $31M to improve Additional national parks front line and more police officers rangers $36M for Bushfire mitigation $3.7M for new and improved $8.8M extra for Neighbourhood fishing Houses infrastructure $10M to upgrade sports facilities for women and girls Action on cost of living Freeze water & $182M – energy $111M – rates and sewerage prices in concession for low water & sewerage 2019-20; then 3.5% income earners concessions cap 50% stamp duty First home buyers concession for 50% duty Cap power prices seniors downsizing concession (up to at CPI for 3 years (up to $7,000) $7,000) $3M - Ticket to Play vouchers for kids sport Southern Region Our Plan to Build Your Future Infrastructure More than $434 million in specific • Bridgewater Bridge, $121m over 4-years budget initiatives • Road upgrades, $51.7m - Channel and East Derwent Highway - Huon Highway - Richmond Road Health - Tasman Bridge • RHH upgrades, $28m - Southern Midlands Highway • 60 more nursing graduates, $5.2m • Greater Hobart Traffic Vision, $30.8m • 25 mental health beds, $28.3m - Derwent Ferry Service • Glenorchy Ambulance super-station, $6m - Bus priority measures - Southern Outlet fifth lane • And all in addition to the RHH - Macquarie and Davey Street redevelopment, $469m improvements • Roads to supportTasmania’s visitor economy, $25m Southern Region Our Plan to Build Your Future Community Education • Glenorchy indoor Multi-sports Facility, • New 7-12 Brighton High School, $30m* $10m • Sorell School redevelopment, $25.8m • Hobart Aquatic Centre Hydrotherapy • Revitalise Cosgrove High School, $20m* pool, $3m contribution • Revitalised school farms across Tasmania, $7.3m, with $4.3m for the Jordan River Learning Federation • Six new Early Learning Hubs, $21m* Keeping Tasmanians Safe - Sorell • New Southern Remand Centre, $70m - Kingborough • New Norfolk Police Station, $5m - Glenorchy • Sorell Emergency Services Hub, $12m * over six years North and North East Our Plan to Build Your Future $249 million in specific budget Infrastructure initiatives • Commence the $95m River Health Action Plan, with $31.4m over four years for System and Catchment Works for the Tamar Health • Launceston and Tamar Valley Traffic • LGH redevelopment, $37m first tranche Vision, $53m of $87.3m* - West Tamar Highway Traffic • LGH Ward 4K capital and beds, $17.8m Solution • 40 additional nursing graduates - Mowbray Interconnector • Northern Tasmania Paramedics, $6.4m - Charles Street Bridge and Invermay *Over six years network - Batman Highway shoulder widening - Launceston Couplet • North and North East State Roads, $7m • Visitor economy road upgrades, $23m North and North East Our Plan to Build Your Future Education Community • Scottsdale Regional Swimming Pool, $3m • Legana Primary School, $5m of $20m Relocate 100 DPIPWE staff to Northern estimated total cost • Tasmania, $2.45m • New East Tamar Early Learning Hub • Northern Tasmanian Tennis Centre • $12m Riverside High School upgrades, $2m • Reimagining the ‘Gorge’, $875,000 • Flinders Island Community Transport Keeping Tasmanians Safe pilot, $60,000 • Northern Prison, $45m first tranche of $270m – the largest infrastructure investment ever in Northern Tasmania • New Longford Police Station, $5m North West and West Coast Our Plan to Build Your Future More than $233 million in specific budget initiatives Health Infrastructure • Mersey Community Hospital capital • $72m Cradle Mountain Visitor upgrades, $35m Experience • NWRH 8-bed Acute Medical Unit, • $24m for State Roads $17.6m - Bass Highway improvements New NWRH Ante-natal clinic, $2.1m • - West Coast Roads Package King Island Hospital redevelopment • Visitor economy roads, $2.6m Stage 2, $10.5m • - Tarkine Drive • New Burnie Ambulance Station, $6m - Sumac Road • Smithton Ambulance Station training facility, $1.1m • 20 more Nursing Graduates North West and West Coast Our Plan to Build Your Future Education Investing in jobs • Penguin School redevelopment, $20m • $7m to underpin Hermal’s $190m • Devonport School redevelopment, cross-laminated plantation mill in $10.5m Hampshire • School farms across Tasmania, $7.3m, • Agriculture Centre of Excellence, $5m with $3m for Sheffield District School • Drysdale Training Kitchen, part of the • New Early Learning Hubs in West Devonport Living City Project, $1.5m Ulverstone and Waratah-Wynyard Courts and helping the vulnerable • Burnie Court Complex upgrades, $8m • AshleyYouth Detention Centre refurbishments, $7.3m .
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