Page 1107 - Week 04 - Thursday, 29 March 1990

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response, but will continue to press for satisfactory outcomes on those matters.

The fourth review of ACT finances about to be undertaken by the Commonwealth Grants Commission will be most important. It will be the basis for determining further transitional funding arrangements before consideration is given including the ACT in the pool of general revenue assistance for the States and Territories. The Commission is being asked to report by March 1991. The ACT Government will ensure that the Commission receives all the information it requires and is fully aware of the ACT's special circumstances. It is in our long term interest to assist so that the inquiry is comprehensive, based on sound and verifiable data and sympathetic to our particular problems.

Government Decisions

The task before the whole ACT community is large. We have sought more time to meet it and we have sought Commonwealth help in meeting it. We have said that the ACT residents must not subsidise Canberra in its national capital role, but there can be no denial of the ultimate position that we have to face. The rest of Australia will not support Canberra having more expensive State government services than they have while they subsidise us. They will not support local decisions for Canberra to have lower rates or taxes than they bear. The ACT will have to adjust to the same Commonwealth support arrangements as other Australians.

This can only be done by restructuring our services to preserve and improve the high quality we have in many areas, by increasing our efficiency and our cost effectiveness and by making specific decisions on whether rates, taxes and charges should be brought into line with the States, whenever they are not currently of that order.

It does not mean that we have to abandon our role as the administrative and service centre of a major Australian region. The Grants Commission has ensured that the ACT receives full recognition for services it provides to New South Wales residents - in our schools, our hospitals and in further education. The Government accepts its responsibility and its ability to act as the hub of the region. We have a sound working relationship with the New South Wales Government and local councils, and will maximise the opportunities that our regional centre role provides to us.

The Priorities Review Board

In early February, I established the Priorities Review Board to provide independent advice to the Government on the fundamental changes required to streamline and improve the way we provide services to the people of Canberra, and to ensure that we live within our means.


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