Local government road funding to increase under new agreement

  • Funding pool for local roads set to increase by $21 million over forward estimates
  • Agreement guarantees local governments 20 per cent of WA licence fee collections for road projects
  • Local road improvements to enhance safety, employment, remote access and tourism

Overall funding for Western Australia's vast network of local government roads will increase under a new agreement struck between the McGowan Government and the WA Local Government Association (WALGA).

The State Government has approved a new five-year State Road Funds to Local Government Agreement which guarantees councils receive 20 per cent of total State vehicle licence fee collections.

The agreement means the pool of funding shared by local governments will escalate from $182.3 million in 2018-19 to an estimated $203.4 million in 2022-23. This is compared to a decline to $150.4 million in 2015-16 under the previous Liberal National Government.

WALGA was involved in the negotiation of the funding deal and has endorsed the arrangement.

In addition to funding under this agreement, the State Government is committed to funding about $260 million of other works on the local government road network between 2018-19 and 2021-22.

Under the new agreement, funding will be split into two categories.

The local government managed programs will receive 66 per cent of annual funding in direct grants, road project grants, State Black Spot allocations and for strategic and technical support.

The remaining 34 per cent of funding goes to the Main Roads managed programs, which include State initiatives on local roads, bridgeworks and bridge inspections, and remote Aboriginal access roads.

As noted by Transport Minister Rita Saffioti:

"The local road asset base in WA is worth more than $25 billion and forms a critical component of the State's transport network. These roads cover more than 127,000 kilometres or 86.5 per cent of all the roads in WA.

"Although the State Road Funds to Local Government Agreement is not the only source of State Government road funding for councils, it is a significant plank in local governments being able to plan for and deliver important road services throughout WA.

"The agreement recognises the need for co-operation and co-ordination between the two tiers of government which have an interest in roads. It will ensure that the most efficient, effective and equitable use can be made of the limited funds available for roads and that the best possible outcomes are achieved.

"It's important to note the agreement includes funding to improve access to remote Aboriginal communities. This will help improve social disadvantage brought on by sub-standard road access.

"There is also a strong commitment to providing opportunities for Aboriginal employment as well as facilitating local economic development through local employment.

"Funding under the agreement also supports tourism for national park roads, upgrades on Rottnest Island and on Kings Park roads."

As noted by President of WALGA Lynne Craigie:

"WALGA and local government welcome the decision by Cabinet to enter in to the fifth State Road Funds to Local Government Agreement.

"The agreement demonstrates the commitment by both levels of government to managing an effective road network and provides certainty to local governments over the funding arrangements."

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