5.2 Budget initiatives

This chapter includes a summary of the major Budget initiatives which will contribute to the achievement of the Outcomes Statement over the term of the Government. Three outcomes underpin the Government’s vision of A Clever, Caring Capital:

• A Healthy, Safe, Diverse and Contributing Community;
• A Dynamic, Sustainable Economy; and
• Accessible, Cost-effective Services.

The three outcomes are mutually reinforcing and equal in their importance. The initiatives listed below contribute to all three outcomes rather than exclusively to one. However, they are categorised here according to main impact.

A Healthy, Safe, Diverse and Contributing Community

Justice and Community Safety

This initiative provides for the detention of additional remandees at the Belconnen Remand Centre (BRC). It will allow the BRC to operate at its maximum capacity and therefore reduce the number of detainees who would otherwise be sent to prisons in NSW.

This initiative will expand the capacity of the Belconnen Remand Centre to accommodate an additional 6 detainees. The funding will provide the resources to operate the BRC at a new maximum capacity of 52 detainees.

Expansion of the BRC will alleviate the need to remove some remandees to prisons in NSW when the total number of remandees exceeds the BRC’s existing capacity.

This initiative provides for an increase in the payment to NSW Department of Corrective Services for prisoners held in NSW Institutions. It reflects an increase in the charge levied by NSW, and a higher number of ACT prisoners.

This initiative reflects an increase in the price paid by the Territory for ACT Community Policing in accordance with the financial arrangements set out in the 1990 Agreement between the ACT and Commonwealth Governments. This increase is due to a wage increase granted to the AFP by the Commonwealth.

This initiative provides additional resources to enhance the DPP’s prosecution capacity in recognition of a marked increase in the number of matters being dealt with over the last several years. The funds will enable the employment of two additional lawyers and support staff.

This initiative provides additional resources to meet increases in workload in pre-sentence reporting and the supervision of orders.

This initiative provides for the Department’s IT modernisation program which is part of a whole of government program to ensure Year 2000 compliance and that common operating systems are available across government.

This initiative provides for the establishment of a victim support service following amendments to the Criminal Injuries Compensation Act 1983. The support service is intended to be comprehensive and is a substitute for lump sum payments for pain and suffering in the majority of cases. It will be specifically designed to address the practical and emotional needs of victims injured by crime.

The initiative is subject to the passage of amendments to the legislation currently before the Assembly.

This initiative will establish an Aboriginal Justice Advisory Committee (AJAC) in the ACT. The AJAC will be the Government’s primary adviser on Aboriginal justice issues. This initiative is consistent with recommendations of the Royal Commission into Aboriginal Deaths in Custody.

This initiative will see the phased introduction of a 3^rd generation computer aided dispatch system for the Emergency Services Bureau. It will provide solutions to the Year 2000 problems as well as improved redundancy and survivability of both the ESB and AFP systems.

Subject to the passage of amendments to the to the Criminal Injuries Compensation Act 1983 currently before the Assembly, support services will substitute for lump sum payments for pain and suffering in the majority of cases. In addition to the $0.5m savings identified in the 1998-99 Budget it is estimated that further savings of $1m per annum will be achieved in 1999-2000.

In accordance with its Ownership Agreement, the Department of Justice and Community Safety is continually improving the management of expenses and revenues in order to achieve at least the planned operating result. The Department is committed to a savings target in 1999-2000 of $0.1m from its administrative expenses. It is planned to achieve the savings from efficiencies gained from the administrative restructure resulting from the March 1998 Administrative Orders and from market testing of the provision of court reporting, recording/transcription and litigation support services.

The administrative restructure has provided opportunities to reduce costs associated with financial management of the Department by having a single set of bank accounts, a single Oracle installation and a single Annual Report including financial statements.

In accordance with its Asset Management Plan the Department is continuing to examine the overhead costs associated with its present accommodation and plans to relocate/collocate functions wherever possible to improve service delivery and reduce costs. Rent reviews are also due for GIO and Allara House and it is anticipated that market conditions will enable favourable renegotiations of rental costs.

The Government’s contribution to the Legal Aid Commission has been reviewed and a reduction of $0.1m is planned for 1999-2000.

This reduction occurs against a background of a significant increase in 1997-98 of funding for legal aid cases for which the ACT has jurisdictional responsibility. This increase followed successful negotiations in 1997 as a result of which the Commonwealth agreed to fully fund cases for which it is responsible. This released approximately $0.6m for ACT cases.

The move to self-regulation by the Building Controller has led to speculation that the Fire Safety Section of the Fire Brigade would be downgraded. This is not the case. However, it has provided an opportunity for the Fire Safety Section to generate additional user charges revenue, which the Fire Commissioner believes is readily achievable. Accordingly the Government Payment for Outputs has been reduced and user charges revenue (which is to be retained by the Fire Brigade) has been increased by an amount of $0.050m.

This initiative introduces a range of fees in the Supreme Court and the Magistrates Court, which are in line with reasonable practice and are similar to those existing in New South Wales.

This initiative increases the revenue that is collected from the yearly renewal of liquor licences under the Liquor Act 1975. The fee establishes a threshold of purchases ($100,000) above which a fee of $2,000 will be payable. A lower fee of $750 will be payable by licensees whose purchases are below the threshold. The onus will be on the licensees to satisfy the Registrar that their purchases were less than the threshold.

This initiative takes advantage of the existing infrastructure at the Trade Measurement facility at Kingston to develop commercial opportunities to test large bulk petrol and bulk LPG tankers on a fee for service basis.

Department of Urban Services

This initiative extends road safety measures through the introduction of speed cameras and red light cameras in the ACT.

Speed and red light cameras are employed in most Australian jurisdictions. Their introduction has led to significant reductions in vehicle crash numbers and in the number of motorists exceeding the speed limit.

There are around 8,000 accidents in the ACT each year, with an average of 17 fatalities and 750 casualties (with about 220 hospital admissions). This costs our community around $180m per annum, much of which comprises hospital, rehabilitation and emergency service costs. A recent study by AARB Transport Research indicates a reduction of 23% in fatal and serious injury crashes on roads where speed cameras have been installed. Achieving a 5% reduction in crash occurrence and severity in the ACT could save the community about $9m per annum, let alone the reduction in personal trauma.

Speed cameras are to be introduced into the ACT by 1 July 1999 and red light cameras from 1 July 2000.

This initiative will implement a range of measures including a pilot subsidy program for water efficient shower heads, extension of the Energy Advisory Service, a pilot public housing ‘retrofit’ program to reduce resource consumption and greenhouse emissions, further analysis into how to reduce energy use in government operations and collection of emissions inventory data for the development and implementation of the ACT Greenhouse Strategy. These measures are aimed at reducing the ACT’s greenhouse gas emissions and assisting in the achievement of the ACT’s emission reduction targets.

This initiative provides for an increase in maintenance of infrastructure over the next three years. This includes:

• repairs to minor structures and stone pitched batters;
• repainting and replacing various sections of guard-rail and bridge rails throughout the Territory and in particular within the urban area to improve safety and route delineation;
• standardisation of mowing regimes across the City;
• increased cleaning services in areas of high demand;
• the removal of dead trees and shrubs, woody weeds, suckers etc., and leveling ground surfaces to enable mowing in areas not previously mown because of these obstacles; and
• more detailed maps of the mowing regimes in all suburbs utilising the Geographic Information System computer application.

Under this initiative, $1.3m will be spent on a new "Streetsmart" program to spruce up Canberra for the Olympics 2000. Provision of $0.5m has been made to upgrade and replace road medians, kerbs and guttering, guardrails, open space drains, shrub beds and street furniture. An extra $0.450m will be spent on new line markings and replacing road signs, an extra $0.250m into footpath improvements, and an extra $0.100m on weed control.

This initiative is to promote community participation in civic affairs and celebrations including Christmas 1999 and New Year 2000 in the City. Christmas and New Year celebrations in 1999 will be on a greater scale and reflect community expectations for the millennium.

This initiative provides for the preparation and production of the Year 2000 ACT State of the Environment Report.

Reporting on the state of the ACT environment is important in understanding and communicating conditions and changes in the environment, and assessing the implications of these changes for quality of life, the economy and the environment. It will also assist in tracking progress towards environmental goals, and assessing the effectiveness of policies and action in this regard.

Department of Education and Community Services

This initiative provides for the restructure and upgrade of the existing staffing arrangements at the Quamby Youth Detention Centre. There will be a strengthened management structure, and youth workers must be qualified. This will enable the introduction of a case management capacity, skill development and education courses for young offenders. In addition, $0.065m has been allocated through the Department of Health and Community Care for improved health and medical services at Quamby.

This initiative will establish an integrated support package for parents. The strategy emphasises the importance of early and accessible support for parents. The strategy will be delivered through videos, booklets and brochures which will be available through schools, child care centres and other community agencies. It will complement the substantial funding that Government provides for family support.

This initiative provides for a child protection case management system ($0.373m for 1999-2000 and $0.053m for outyears). The case management system will replace and integrate a series of systems which track clients in the children’s youth and family services areas and provide complete case histories when assessing risk.

This initiative also includes a family group conferencing arrangement ($0.2m). The Children and Young Persons Bill will provide for family group conferences as an alternative to applications to the Children’s Court.

This initiative involves extending the current drug testing and education programs undertaken by the Commonwealth on "national" elite athletes to "state-level" athletes. All states and territories have agreed to introduce state and territory legislation to enable the testing of "state-level" athletes.

This initiative will provide structural change into high school teaching and learning to provide for a more flexible learning environment, focused on the learning needs of young adolescents in the 21st century and with more emphasis on achievement of competencies. It will involve curriculum and organisational restructuring and will be combined with developing IT competency standards in close consultation with business.

This initiative will create more opportunities for beginning teachers to gain employment in ACT government schools and colleges over the next three school years, by giving a limited number of classroom teachers over the age of 45 years the opportunity to consider early retirement through a retirement incentive package. The program will result in a 20% increase in the number of permanent offers of employment to beginning teachers in each of the three years 2000 to 2002.

This initiative provides additional resources to enable DECS to pay all anticipated subsidy payments for ACTEW services used by eligible non-profit organisations. This initiative does not extend the scheme but rather ensures funding for projected levels of payments.

The 1999-2000 Budget maintains funding for public education in real terms for the fifth consecutive year. An extra $5.249m has been included in the Government Schooling budget. Details of the calculation of this amount are included in Budget Paper No. 4.

The 1999-2000 Budget maintains funding for non-government education in real terms for the fifth consecutive year. Extra indexation funding totalling $2.760m has been included in the Territorial budget for non-government education and includes indexation on both the ACT and Commonwealth components, $0.650m and $2.110m respectively. In addition to the indexation, increased annual funding of $0.4m for non-government schools and $0.1m in grants for students with disabilities has been included, both over a four year period commencing in the 1999 school year.

This initiative will be targeted to strengthen drug education in schools, consistent with community response to the draft Education Policy Framework for Government Schools.

The draft framework is intended to facilitate the development of drug education programs for students from Kindergarten to Year 12. The draft framework makes it clear that schools operate within the context of ACT legislation. This legislation prohibits the use and misuse of illegal drugs on school premises. The approach taken in the draft framework aims to reduce the adverse health, social and economic consequences of the use of alcohol, tobacco and other drugs by minimising the harm associated with their use.

The Government has announced an initiative aimed at encouraging schools with low or declining enrolments to consider amalgamating with other schools. Schools which decide to amalgamate will be provided with $0.100m additional funds each year for two years.

No dollar amounts for impact on budgets has been included as payments of the incentive is dependent upon schools deciding to amalgamate.

CIT has benchmarked its delivery expenses against the Australian average of other states and has commenced a program of internal budget adjustments to increase its efficiency while maintaining its delivery of service.

Assets rationalisation savings will arise from transfer of the School of Applied Arts and Design to the Reid campus and a review of equipment holdings across the Institute. The savings will result from a combination of rationalisation of assets, reduction of delivery and support expenses. This savings program will not reduce educational outputs or diminish the delivery of quality improvements recently achieved.

High Performance Sport is subject to regular review to ensure that athletes performances warrant ongoing support. This initiative combined with a review to examine support strategies past the Year 2000, focuses on ensuring the quality of support to our top athletes is not diminished by spreading resources too thinly over too many athletes.

Modifications to several sport programs will be made and a reduction in numbers of athletes on scholarship will be implemented. However, the number of ACT sports serviced by the Academy will be unchanged.

Department of Health and Community Care

The Government recognises the unmet demand for services for people with disabilities and has allocated additional funding of $1m in this budget as a demonstration of the priority it has placed on meeting these needs.

This initiative relates to the HACC Program, jointly funded by the Commonwealth, states and the territories to target people with disabilities, elderly people and their carers. HACC has an annual growth component. The growth funding in 1999-2000 is targeted at the priority areas of respite care and in-home support services.

Program funding is expected to total $12m in 1999-2000 with the bulk of this being allocated to non-government service providers.

This initiative makes a significant investment in technology and communications to provide for the Information Technology Modernisation program within the context of the whole of government initiative for the modernisation of information technology and telecommunications for the Public Service.

The program will provide a secure, robust, reliable, Year 2000 compliant IT infrastructure that is urgently required to support critical information systems. Also, a strategic platform for information systems that will facilitate improved integration of hospital information will be provided. This will result in improved clinical case management and health outcomes assessment.

The initiative will also provide a pilot telemedicine video conferencing infrastructure to support clinical service delivery within the ACT and extending to surrounding southern NSW regions.

This initiative is for the development and implementation of quality improvement and safety practices which reward or promote quality in the delivery of health care.

The program will ensure that quality improvement and enhancement of health care services is achieved in line with a strategic plan which will be completed by 30 June 1999.

This initiative will provide financial assistance under the Hepatitis C Lookback Program in the ACT.

The inclusion of a financial assistance component in the Lookback Program for eligible individuals is a positive move to minimise stress and anxiety among recipients of blood from Hepatitis C positive donors and to minimise the cost of litigation to the wider community.

The Commonwealth will contribute up to 40% of the assistance provided under the scheme.

The Integrated Diabetes Management Service is aimed at providing a coordinated multi-disciplinary team approach to care for people with diabetes and those at risk of developing diabetes in the ACT. It will involve the development of strong partnerships and information flows between providers and consumers, enhancing the potential for greater health outcomes across the continuum of care for persons with diabetes and related illnesses.

The Service sits comfortably within the policy context at a national and Territory level and recognises best clinical and management practice for people with diabetes.

This initiative is for the development of a cancer data base system and protocol hypothesis testing methodology to a prototype stage by the Clinical Health Outcomes Centre.

The program will support the aims of the Clinical Health Outcomes Centre to research the health outcomes of treatment, especially within acute care, and to support the use of evidence based medical practice to improve patient outcomes in the ACT health system.

Allied Health Services will transfer from The Canberra Hospital to ACT Community Care from 1 July 1999. This transfer supports the concept of an integrated health system providing a seamless service focused on best meeting the needs of individuals and population groups. It aims to strengthen the primary health care sector and to increase the role of community and home based services as an alternative to acute hospitalisation.

A Territory wide integrated mental health program is to be developed during 1999-2000 to improve mental health outcomes for clients. The aim of the program is to improve integration and mainstreaming of services and to increasingly focus on community based care with a reduced emphasis on institutional care.

The Department will also be developing program and funding models for other services including Womens and Childrens Health.

This initiative is to build a foundation for achieving healthier communities. It will broker cross sectoral collaborations to assist communities address their priority health and quality of life needs. This involves developing long-term structural solutions to complex and interrelated issues, especially with those who have poorer health status. There is particular emphasis on building local support for public health action and developing local participatory approaches to health and environmental issues.

The program will support Canberra’s nomination to the World Health Organisation as a Healthy City by developing the Capital Health Development Plan, a three to five year blueprint for strategic alliances and projects that maintain and improve the health and wellbeing of our communities.

This initiative is to provide a comprehensive, residential treatment program for adolescent substance abusers. It will be based upon the Ted Noffs Foundation Program for Adolescent Life Management (PALM) and includes case management and behavioural skills for adolescents and their families. This is a joint program with the Commonwealth and the Department will contribute funding for four years.

The program will provide a service to youth in Canberra and the surrounding NSW region.

This initiative is to implement aspects of the Victorian Men’s Awareness Network model which targets men and encourages them to take responsibility for their health. It directs men to existing health services, in particular, to general practitioners. It also links into other programs such as workplace, secondary school and Aboriginal health programs.

The program will contribute to the upskilling of general practitioners and allied health professionals about the needs of men. It will also contribute to projects which use a health promotion approach to facilitate access of men from all age groups to existing services. The program will complement initiatives being investigated by the ACT Division of General Practice.

In order to provide a more comprehensive and integrated health service to people in custody the Government has transferred the Corrections Health function to the Department of Health and Community Care and has allocated an additional $0.206m to upgrade this important service.

This will result in the development of a more appropriate model of health service to people in custody.

The Government has introduced legislation into the Assembly that will require licensed clubs to make minimum mandatory contributions to community organisations out of their gaming machine profits.

Licensed clubs currently enjoy a monopoly on gaming machines. In return for this monopoly the Government believes it is only reasonable that clubs have an obligation to contribute some of their gaming machine profits back to the broader community. Under the proposed arrangements, the level of minimum community contributions would initially be set at 5 per cent of a club’s net gaming machine revenue each year, increasing to 7.5 per cent over a three year period.

Each club will be required to contribute its 5 per cent minimum level under two categories of community contributions. Category A contributions (3 per cent in the first year, rising to 5 per cent over three years) will cover those made to assist in improving the living standards of low income or disadvantaged people or improving community welfare in the Territory. Category B contributions (2 per cent in the first year, rising to 2.5 per cent over three years) will cover those that contribute to the development and support of the social fabric of the community, including assistance to sport or other recreational activities.

A Dynamic, Sustainable Economy

Chief Minister’s Department

In 1999-2000, the Government will continue to build on the successes of the past twelve months by continuing to develop programs that will contribute to a dynamic and sustainable economy. Ongoing funding is being provided to the range of business assistance and support programs announced last year.

The ‘Pathways to Successful Business Development’ was launched in February 1999. The ‘Business Pathways’ are programs designed to stimulate the ACT economy and create employment opportunities, particularly in the target sectors of:

• information and advanced technology;
• environmental technology;
• education;
• tourism;
• information and business services;
• light manufacturing and assembly;
• viticulture; and
• sport.

The ‘Pathways’ concept is designed to support existing business, attract new business and encourage partnerships with the business community which will deliver jobs, investment, recognition and pride. Continued funding is provided for programs such as:

• ACT Business Incentive Scheme (ACTBIS), that assists the development of significant new business investment in the ACT;
• Small Business Mentoring Program, that provides six months of business mentoring to small business owner/managers and targets small businesses operating full time or near full time with a minimum turnover of $0.050m;
• New Enterprise Loan Guarantee Scheme, that provides access to an unsecured loan for selected people to establish a new small business;
• ACT Business Licence Information System (BLIS), including its migration to the Internet; and
• the development, in conjunction with the Commonwealth Government, of the ‘Business Gateway’, an Internet-based service which will provide comprehensive advice on all government business and business-related programs.

Support will also continue to be provided to the ACT Industrial Supplies Office, the Supplier Development Committee and the Australian Electronic Business Network.

Increased funding is provided for:

• ACT Industry Development Program, that provides smaller businesses with strategic planning consultancy services and advice on ways in which the business may grow through innovation in management practices, products, services or processes; and
• marketing Canberra as a business destination both nationally and internationally.

The ‘Pathways to Employment Opportunities’ package, also launched in February 1999, outlines the innovative approach the Government is taking to assist job seekers. ‘Employment Pathways’ aims to assist unemployed people in securing real jobs and supports the development of a workforce that meets the needs of industry and employers. Continuing programs included in the package are:

• Open Access Centres, providing career counselling, accredited courses and additional self-paced learning packages;
• Restart, an integrated program of assistance to help mature aged job seekers get back into the workforce. The program covers such areas as vocational skills training, job search, job matching and job placement assistance. An employer-incentive payment for people over 40 years old placed in a job for six months is a special feature of this program; and
• New Future in Small Business program, targeting unemployed residents of the ACT and region who are generally over 40 years of age with priority given to those who have generally been made redundant or retrenched and are considering establishing a small business. Assistance is provided in assessing the feasibility of business ideas and getting the business idea off the ground. The program offers ongoing mentoring support for up to 12 months after completion of the formal program.

Within this concept, a number of ongoing employment programs are being transferred from the Chief Minister’s Department to the Department of Education and Community Services. These programs, which are essentially training in nature, will complement similar programs in the Office of Training and Adult Education and ensure optimal service delivery. The programs being transferred are:

• Pathways Into Non-Traditional Occupations (PINTO), aimed at encouraging young women to enter non-traditional areas of employment in the trades and professions;
• Annual Employment Program, providing jobseekers with essential entry level job skills and is particularly targeted at the older unemployed, women, Aboriginal and Torres Strait Islander peoples and people from non-English speaking backgrounds;
• Security Industry Training Program for Indigenous People offering training in the security industry;
• Selfstart, a motivational program aimed at increasing the employment prospects of disadvantaged job seekers, particularly mature age and young people by boosting self confidence, self esteem, presentation skills and developing a positive attitude;
• Freshstart, a program aimed at giving ex-remandees and ex-detainees of Quamby Youth Dentention Centre opportunities to improve their training and job prospects;
• Upskilling, aimed at providing people over 25 with an opportunity to enhance literacy, numeracy and computing skills; and
• Indigenous Program, offering traineeships to Indigenous people in specific areas such as the sport and recreation, and culture and heritage industries.

This initiative provides for the reprioritisation of activities within the Office of Business Development and Tourism. This offers an opportunity to fund initiatives, focusing on areas which offer optimal return on the Government’s investment. These include a direct marketing program that will target businesses considered to have ACT-relocation potential, focusing on smart, global industries that may be attracted by the ACT’s natural competitive advantages. The Government’s international marketing activities will focus on 2-3 targeted countries where export opportunities will be promoted, as will Canberra’s status as an investment and migration destination. The reprioritisation also supports additional funding to the ACT Industry Development Program.

A new ACT Promotion Centre will be built as part of the redevelopment of the Regatta Point site. The Government will work cooperatively with the National Capital Authority in developing the complex, which will serve as a venue for showcasing Canberra to visiting delegations, business people and VIPs. Under arrangements entered into with the NCA, the Territory will contribute $1m towards the capital costs associated with the Regatta Point redevelopment in return for a 20 year lease on a significant part of the complex.

This initiative will enable the Canberra Tourism and Events Corporation (CTEC) to support the Canberra National Multicultural Festival, which was inaugurated in March 1999. The amalgamated festival is designed to attract additional visitors to the ACT. It also assists in the creation of a healthy, safe, diverse and contributing community through its multicultural and ‘fun’ aspects. The new Festival will now be funded on an ongoing basis through the CTEC events program, replacing the previous three year funding arrangement.

This initiative will enable the Canberra Tourism and Events Corporation to bring a round of the Asia Pacific Rally Championship to Canberra. The intention is to maintain the international standard of the rally and to provide for ongoing development of the EPIC Super Special stage in 2000, to ensure necessary international motorsport safety requirements are met.

This initiative provides for the Centenary of Federation celebrations and events. The Centenary of Federation is of particular significance to Canberra, given its status as the national capital, a unique symbol of Federation. The celebrations will include an ACT Federation Float for participation in the NSW, Victorian and ACT 2001 parades; an ACT Centenary of Federation Arch, similar to Federation arches from 1901; and an ACT Federation Flower, as part of a national marketing initiative. There will also be a range of ACT Centenary of Federation events and festivals and an ACT Centenary of Federation component to CHOGM.

This initiative progresses the Very High Speed Train project, which arguably has the most potential to influence economic development in the ACT, providing job creation and business growth.

The funding is for the ACT’s contribution to the ‘Prove-Up’ process and the ACT Government’s share of evaluation costs associated with the preferred proponent’s developed submission. There is agreement between Governments that a success fee will be paid by the proponent when the contract to construct is concluded between the successful proponent and governments. The ACT share of the success fee would provide an offset covering most of the ACT’s joint government contributions.

This initiative will provide security services for hosting the Olympic Football event. The international profile of Canberra will be increased due to the focus of overseas media on the tournament. There will be a direct positive economic impact arising from the 10 days of Olympic competition.

As part of the 2000 Olympic Games, the Olympic Torch will pass through all states and territories of Australia. This initiative provides for community events during the ACT leg of the relay, which will be conducted from 5-7 September 2000.

The Torch relay will draw visitors to Canberra from the surrounding region and generate community pride in the city. The international profile of Canberra will be increased due to the focus of overseas media on the torch relay and the cities through which it travels. There will be a direct positive economic impact arising from the three days in which the torch will be in Canberra.

This initiative will enable the implementation of separate workers’ compensation arrangements for the ACT public sector. The project is to be funded from savings in the workers’ compensation premium paid by the Government in 1998-99.

ACT Gambling and Racing Commission

This initiative will establish the ACT Gambling and Racing Commission, which is to commence operations on 1 July 1999. The Commission will control, supervise, and regulate gambling and racing activities in the Territory through consolidating the functions of the Casino Surveillance Authority with the racing, betting, gaming, and lotteries elements from the Chief Minister's Department.

The Commission will be responsible for:

• the development and implementation of the regulatory framework for interactive gaming in the ACT;
• the regulatory oversight of ACTTAB Limited; and
• the coordination and oversight of research and data collection activities in respect of gambling in the ACT.

The above figures include $0.5m for a Gambling Project Fund, which is to be an initiative funded through a budget allocation that provides for research, data collection and studies to determine the social and economic impacts of gambling in the ACT. The Gambling Project Fund will also be used to establish programs to address gambling related social issues.

The Commission’s establishment also involves another $1m in 1999-2000 and $0.8m in the forward years. This is for the establishment and implementation of interactive gaming (ie gambling through the Internet). This has been offset by a projected increase in Territorial revenue, from taxes on interactive gaming.

Office of Asset Management

* The figures above relate to an injection by Government of $5m in 1999-2000 which results in annual accommodation rental savings in both 1999-2000 and the forward years.

This initiative will facilitate tenant relocations, fitout and refurbishment of Government tenancies, in order to reduce recurrent accommodation expenses and increase service delivery capabilities of tenants.

In 1996-97 the Government decided that a five year time frame (1997 to 2002) be adopted for achievement of the office accommodation utilisation target of 15m² per office employee. Achieving this is a combination of better utilising existing office space, both owned and leased, and terminating leases on leased properties at expiry, where that property is not core to the service delivery requirements of the relevant agency(s).

The program will support agencies’ service delivery requirements and their longer term accommodation requirements. The works will also increase the serviceability and utilisation of the alternative premises selected for these tenants, consistent with diligent asset management practices, including an enhanced return on the assets.

* The financial impact is subject to endorsement of the preferred development model by the Government.

This initiative provides capacity for the first stage of the redevelopment of the Kingston Foreshore. This includes significant infrastructure and site remediation required prior to development.

This will support the Government’s policies on planning and tourism for the Territory, creating the potential for a water front precinct with a strong arts, cultural, tourism and leisure theme, with significant job creation and multiplier economic effects.

Department of Urban Services

This initiative implements a charge of 10c per kilolitre on water use under the Water Resources Act 1998 to promote conservation of a scarce resource, and to reflect the full cost of water supply.

The initiative will help to produce a more sustainable environment by promoting water conservation it will fund environmental initiatives in year one and will contribute to the management of water resources and environmental management in subsequent years.

For the median household, the water abstraction charge will amount to approximately $28.00 a year.

To assist ACT rural irrigators competing with business in NSW, a competition equalisation payment scheme has been adopted which will reduce the water abstraction charge to the equivalent of NSW charges.

Implementation of authorisation fees under the Environment Protection Act 1997 paved the way for a pollution loading scheme. The fees are based on equivalent NSW charges for pollutant loading which ensures consistency across state boundaries.

The initiative will help to achieve more sustainable environment protection practices by providing polluters with a signal of the costs of pollution. This will encourage waste activity managers to think of ways to reduce pollution into our air, water and soil.

The major activities in the ACT to be affected by the pollutant loading fee include ACTEW sewage and treatment at the Lower Molonglo Water Quality Control Centre, the Totalcare waste incinerator and Queanbeyan Sewage Treatment Works (which is in the ACT).

Urban Services is committed to ensuring that its services are efficient and competitive.

In 1999-2000 Urban Services will deliver savings through market testing horticultural and cleaning services, landfill disposal operations, parking management and domestic animal control services. Other departmental activities in the areas of environmental management and regulation, nature conservation and management, information planning and services and corporate support functions will also be market tested.

As a result of the review into territory planning and development management functions a reorganisation of PALM is currently underway to provide better focus and improved service delivery.

In recognition of the restructuring program facing the Department the Budget provides for a repayable loan of up to $10m in 1999-2000 to facilitate a program of voluntary redundancies as a result of market testing, benchmarking and reorganisation to meet changing priorities and needs. There are also expected to be some staff reductions in the policy and corporate areas as a result of the better management and utilisation of resources. The extent to which the loan is drawn down will depend upon the amount of work retained by the Department and the take up rate of voluntary redundancy packages.

The loan facility provides for up to 180 voluntary redundancies in 1999-2000 with 70 positions to be reprofiled to achieve a better full-time/seasonal employment mix, resulting in a net reduction of 110 positions.

Under current employment arrangements all redundancies will be voluntary and staff taking up such offers will be offered financial and career counselling.

The ACT has been seeking full participation, along with participation in relevant programs and working groups of the Commission.

Full ACT participation in the Murray-Darling Basin Ministerial Council and its executive arm, the Murray-Darling Basin Commission, demonstrates the Territory's commitment to fulfilling its responsibilities in the management of the country's largest and most important water catchment. It also enables the ACT to have full access to the information resources of the Commission and assist the ACT in implementing the Council of Australian Government water reforms. ACT involvement in the Council and the Commission assists in ensuring that water management arrangements developed for the Basin do not disadvantage the ACT.

The cost of ACT’s participation in the Murray-Darling Basin Ministerial Council is $0.256m of which $0.106m is funded from within existing departmental resources.

nder the scheme, eligible residents are entitled to 10 trees and 40 shrubs. This entitlement is not reduced. The cost reduction is to be achieved by the Nursery offering a set range of plants from which customers will choose as tube stock rather than as older plants.

Accessible, Cost Effective Services

The Government has acted to reduce compliance costs for non government organisations. Service purchases and grants valued at up to $20,000 in any one year will require less documentation. Application forms will be limited to a maximum of five pages, and reporting requirements will be limited to one report, of no more than two pages in length, per annum.

Chief Minister’s Department

This initiative will enable ACT taxpayers to utilise more convenient options to make electronic payments for rates and land tax.

The increase in funding is to meet increased demand for electronic payment options within the existing range of services available. It is planned to establish a cost effective Direct Debits payment option by 1 January 2000 which will gradually replace the credit card payment facilities.

This initiative provides for additional responsibilities to be undertaken by the existing Independent Pricing and Regulatory Commission (IPARC). The Commission is to be renamed the Independent Competition and Regulatory Commission (ICRC), in keeping with its expanded role.

IPARC is the ‘independent umpire’ that currently sets prices for electricity and water, and in the future will examine a wider range of charges, including bus fares and milk prices. It is independent of government and takes into account a wide range of community views in making its pricing determinations.

The additional funding provided in this and future budgets will enable a permanent secretariat to be established to support the new ICRC, and an expanded role that will include investigating competitive neutrality complaints and general oversight of the implementation of competition policy in the ACT.

The Chief Minister’s Department has been able to identify savings in the Forward Estimates that can be used to improve the bottom line of the Territory. The savings primarily result from buildings associated with the Kingston Foreshore redevelopment no longer being required to be maintained, and the savings being achieved from contract for the provision of property services being put out to tender.

In addition, Chief Minister’s Department has restructured the manner in which it undertakes certain activities which has led to budget savings. This includes the phasing back of resources following the effective implementation of a number of reform program activities.

The Government is addressing the key result areas of providing most government transactions online by 2001 and making Canberra a leader in Information Technology (IT) in both the public and private sectors by 2001 through:

• the establishment of the Office of Information Technology and Multimedia in Chief Minister’s Department to facilitate the Government’s transition and involvement in the developing information economy;
• implementation of the IT Modernisation project which involves the upgrading and replacement of the Government’s IT infrastructure. There will be one common operating environment linked by a Wide Area Network with a significant capacity to transfer information electronically. This will have a beneficial impact on work processes, with increases in efficiencies and productivity, especially in the areas of electronic service delivery and provision of online transactions;
• ensuring the government’s IT systems are ready in time for the Year 2000. All critical systems have been identified and tested and, where necessary, are being either replaced or rectified so that each will be ready in advance of 1 January 2000. In addition to repair work, contingency plans for each system will also be in place;
• identification of areas where the government will be able to readily achieve progress in electronic service delivery and provide transactions online. These initiatives will benefit the community and facilitate opportunities for agencies to leverage the investment in IT and gain benefits in productivity and efficiencies. Significant progress is being made in pursuing an appropriate Smartcard Interoperable Platform for applicable Government services;
• developing the IT industry in Canberra, through continuing to support IT businesses under the ACT Business Incentive Scheme. In 1998-99, the government supported expansion of EDS Australia, Intec Australia, Compucat Research, Tower Software under the ACT Business Incentive Scheme;
• developing a 3 to 5 year strategic plan for the development of the local IT industry in partnership with the industry;
• adopting a strategic local approach in response to what is a worldwide shortage of skilled IT resources. The Government proposes to better define what IT skills are required by the IT industry both now and in the future and provide and facilitate improved training; and
• targeting IT skills development for teachers with a focus on increasing computer familiarity and usage of IT in teaching/learning. The ACT Year 10 Information Technology Competencies Project ensures IT competencies for 95% of Year 10 students in Government schools by 2001. This gives school leavers in the ACT the best opportunity.

Department of Urban Services

The implementation of an Electronic Service Delivery strategy and supporting technology will enable a range of electronic information services and transactions to be implemented and managed collectively across several electronic delivery channels, including the Internet, Austouch kiosks and call centres.

The objective is to ensure that most Urban Services’ transactions will be on-line by 2001. This work will include the setting up of the Urban Services computer systems and infrastructure to allow customers to undertake electronic payments via the Internet. The work also includes further developing ways to manage government information, and creating standards to make the information about services more conveniently accessible to the community.

A replacement registration and licence system is required to ensure continued operation of systems and procedures underpinning the registration of vehicles and driver licensing and the revenues derived in addition to the parking and traffic infringement operations and revenues.

The investigation of alternative system functionality and compatibility with ACT requirements as well as system modification and development for ACT needs is programmed to occur over 1999-2000 and the first half of 2000-01.

This initiative provides increased funding for the cost of increased services implemented to reverse the recent decline in patronage and fare revenue. As part of the ongoing reform and restructuring of ACTION to reduce costs, improve productivity and strengthen its commercial focus, a new network and new fare structure have been introduced. Additional funding has also been provided in recognition of the decline in revenues over those initially projected in the forward estimates.

A $1.238m capital injection for funding redundancy costs has been provided in 1999-2000, and $0.495m in 2000-01. A new Enterprise Agreement will deliver work place reforms and allow for workplace restructuring including staff reductions across a number of areas.

In recognition of the need for working capital to fund ACTION’s operations and assist to restructure ACTION to be more commercially competitive in the longer term, a $2m capital injection has been provided in 1999-2000.

The program will ensure the delivery of public transport services for the ACT community, in the form of scheduled route bus services, school bus services and special needs transport services at the times and frequency people need and at a price they can afford.

This initiative provides increased funding for the refurbishment, upgrading and improvement of public housing to comply with the requirements of the Residential Tenancies Act 1997 and to meet the Government’s landlord obligations to provide safe, secure and habitable accommodation for its public housing tenants. Funds have also been provided towards meeting the Government’s 1998-99 commitment to providing 200 units suitable for accommodating older people over the three years, 1998-99 to 2001-02.

Expenditure on the capital program has been increased 22% (or $7.750m) from $34.6m in 1998-99 to $42.4m for 1999-2000. This increased funding has been applied towards the provision of 74 additional units suitable for older people ($3.1m) and increased funding of measures to rejuvenate the stock through refurbishment, improvements and upgrades to properties to better meet the needs of tenants ($4.650m).

Increasing the sale of dwellings that no longer suit the needs of housing tenants has largely provided funding for this increased expenditure. Revenue from property sales is expected to be $33.1m in 1999-2000, up 22.6% from $27m in 1998-99.

In addition, funding for repairs and maintenance of the stock of public housing properties has been held at $19.340m for 1999-2000 (1998-99 - $19.540m).

Department of Health and Community Care

Funding has been doubled for the additional throughput pool ($3m in the 1998-99 Budget) to target excessive waiting times for elective surgery.

The additional funding of $3m will be made available for the purchase of additional elective surgical activity in 1999-2000 and 2000-01 from public hospitals and where appropriate from private sector providers.

The Calvary Hospital is currently undergoing a major refurbishing of the Emergency and associated outpatient areas to improve non inpatient services. This is Stage 1 of a two stage approach.

The Government is continuing with its commitment to improve service areas at Calvary Hospital and this Forward Design project will provide the necessary lead in to the second stage project. Stage 2 will provide improvements to other non inpatient service areas plus the consolidation of administrative functions in existing under-utilised space.

This initiative is to undertake improvements to accommodation for the ACT Community Care drug and alcohol service located at The Canberra Hospital. This will be achieved by a total reconfiguration of the two storey building which will improve residential and day service accommodation.

This initiative provides funding for a reconfiguration and refurbishment of the current day surgery unit and these modifications will help to improve the workflow of the unit and increase the chair and bed capacity of the service. It is recognised internationally that increasing the use of day surgery is one of the most effective ways to reduce the costs associated with surgical and medical service provision.

This initiative will see an expansion of the methadone program to meet the growing demand for treatment. Methadone treatment remains one of the most effective means of reducing illicit drug use, criminal and asocial behaviour (National Drug and Alcohol Research Centre). This funding will provide up to 100 additional places on the methadone program.

This program will fund increased treatment places in the public program (initial assessment and stabilisation of treatment), community pharmacy program (longer term fee paying clients) and explore alternative means of providing methadone in the ACT. It will complement drug trials of buprenorphine and naltrexone conducted in the ACT and throughout Australia.

Up to $6m has been allowed for by Government for the proposed redundancy program within The Canberra Hospital for 1999-2000. The objective of the program will be to identify positions within the hospital which have become redundant as a result of improvements in work practices and efficiencies as a result of the hospital’s continuous improvement process. It is expected that this program will result in savings of at least $6m.

The rectification plan is an overall strategy developed by The Canberra Hospital, and designed to review all aspects of business operation with a view to identifying efficiencies and savings. The change management process commenced in 1998-99 and will continue into 1999-2000. Savings from the Rectification Plan are estimated at $5.8m. This brings total savings under these two programs to $11.8m.

It is essential that service units within The Canberra Hospital be able to demonstrate cost-effectiveness when benchmarked against other public and private sector providers. From 1 July 1999, the Pathology Unit will operate as a business unit with the service to demonstrate contestability by 1 July 2000. During 1999-2000, the Imaging and Pharmacy Units will develop the necessary mechanisms to allow them to operate as business units by 1 July 2000.

A co-payment for pharmaceuticals provided to outpatients and patients on discharge similar to that applying in community pharmacies will be introduced to ACT public hospitals from 1 July 1999. This will bring the ACT into line with the states and the Northern Territory.

Legislative Assembly Secretariat

This initiative addresses the recurrent costs of Information Technology Modernisation for the Legislative Assembly. It forms part of a whole of government initiative across all agencies to progressively upgrade and expand IT equipment within the Public Service, including measures to address the Year 2000 problem. Capital funding for 1998-99 has been found from within existing resources.

This initiative provides for repair and maintenance work to the Assembly Building’s facade, roof and guttering to address a leakage and the need to reseal the facade of the Building.

This initiative comprises the establishment of a new position to provide support in the Legislative Assembly’s Chamber ($0.028m), additional funds for Attendant staffing to cover out-of-hours opening of Assembly Building ($0.019m) and increased remuneration for the Clerk of the Assembly ($0.013m).

Executive

This initiative provides the recurrent costs of Information Technology Modernisation for the Executive. It forms part of a whole of government initiative across all agencies to progressively upgrade and expand IT equipment within the ACT Public Service, including measures to address the Year 2000 problem.