East Gippsland and Wellington shires have been named among 60 regions nationally to receive new funding from the Drought Communities Program as part of a suite of further drought support measures announced by the Federal Government.
The Nationals Member for Gippsland Darren Chester last week wrote to the Prime Minister requesting a whole of government approach, encouraging a policy to prioritise drought stricken communities for job-creating infrastructure projects.
Mr Chester said East Gippsland and Wellington shires would each receive an initial allocation of $1 million in grant funding on top of direct assistance to farming families.
“The Federal Government will provide money directly to councils, so they can choose projects that will have the biggest impact for their own communities,” Mr Chester said.
“Council could choose to upgrade or build new community facilities, hold events or coordinate drought-relief activities.”
Mr Chester said councils would be invited to submit proposed projects and priority would be given to those that use local businesses to the greatest degree possible.
Mr Chester advocated for Wellington and East Gippsland shires to be included in the Drought Communities Program after advice from local farmers that current conditions are the worst they have experienced in more than 90 years.
“The nation’s attention has been focused on conditions in Queensland and New South Wales, but Gippslanders know that the drought is here too. Farmers across central and East Gippsland also need access to the whole range of support measures,” Mr Chester said.
Separately, the Federal Government also announced tax breaks, low interest loans and simplifying the application form for Farm Household Allowance.
Mr Chester said farmers would be able to immediately deduct the cost of fodder storage assets, rather than depreciate over three years.
“These changes will make it easier for farmers to invest in and stockpile fodder including storage tanks, silos, bins and hay sheds totalling $75 million over four years,” Mr Chester said.
“I urge local farmers to consider the assistance available and not self-assess.”
The Government is doubling the amount a farmer can borrow in low-interest loans to $2 million and increasing the total amount available for these loans to $500 million in any one year.
Last month, the Government announced additional funding for recipients of the Farm Household Allowance (FHA) of $12,000 per couple, bringing the year’s FHA assistance to $37,000; and a $7200 boost for singles, bringing the year’s assistance to $22,000. An increased asset threshold from $2.6 million to $5 million was also introduced to make more farmers eligible for FHA support.