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Legislative Assembly for the ACT: 1999 Week 5 Hansard (4 May) . . Page.. 1317 ..

MS CARNELL (continuing):

2,000 positions. These reductions have been achieved without compromising on the high quality of services that are provided by our hospitals, our schools, our police or other key agencies. In short, it is because we are working smarter that we can deliver the same outputs with fewer people. For the Territory's financial position to be sustainable in the long term, however, much more work remains to be done.

There are still tough decisions that need to be made in the years ahead and this Government will not shirk them. In 1999-2000, therefore, it is anticipated that approximately 450 voluntary redundancies will be offered across the general government sector. Again, these initiatives, together with other savings measures, are fully disclosed in the budget documentation. It is important to note that these redundancies equate to a reduction of less than 3 per cent in total staff numbers. They will occur at a time when our unemployment rate is extremely low and the bulk of Commonwealth downsizing in Canberra has been completed. Mr Speaker, these changes in staffing profiles will form part of the restructuring of operations in a number of agencies, chiefly Urban Services, the Chief Minister's Department, Justice and Community Safety, the Canberra Hospital and the CIT. I cannot emphasise too strongly the fact that the only way we can achieve an operating surplus and ensure our long-term financial position is by taking these steps to reduce the costs and to improve the efficiency of the services that we provide.

While new and increased taxes and charges are electorally unpopular, it is the responsibility of the Government to ensure that the Territory's revenue base is both adequate and adequately protected. This Government makes every effort to minimise the impact of these revenue measures upon Canberrans, especially those who have lesser capacity to pay. Total revenue is due to rise by 9 per cent above the forecast outcome for 1998-99. However, this is largely due to increased Commonwealth funding. Revenue from taxes, fees and fines is forecast to increase by 4 per cent, or $24.7m. The largest single item is payroll tax, which is growing strongly, reflecting strong employment and wage growth in the private sector. We remain committed to keeping the general level of taxes and charges in the ACT at or below that of surrounding New South Wales.

A number of new revenue initiatives are detailed in the relevant budget papers as part of our commitment to full disclosure. They include a new sliding scale of gaming machine taxation rates to provide relief for small licensed clubs while increasing the rate for larger ones, a renewal fee for liquor licences and an increase in the ambulance service levy payable by private health insurance companies, bringing the ACT into line with New South Wales. The overall increase in rates revenue has been restricted to forecast CPI for the fifth consecutive year. From 1 July 2000 the Government will be introducing a polluter-pays charge to reflect the costs that pollution imposes on our environment.

Mr Speaker, this budget also responds to the concerns expressed by some sectors of the Canberra community about problem gambling. I can announce today that the Government has allocated $500,000 for research into the social and economic impacts of gambling in the ACT, to be carried out by the new Gambling and Racing Commission, if that legislation is passed. Once again, the approach we have taken to this important community issue is in stark contrast to that of the previous Government, which did absolutely nothing. Finally, this budget does not rely on major asset sales.

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