Disaster recovery change sparks council funding fears
A plan to replace the recovery fund has fueled fears that councils will be left with the bulk of the bill as Australia’s most disaster-prone state plans to hold an Olympics.
Queensland’s provincial mayors traveled to Canberra to stop the state’s disaster funding renewal after the state government also expressed concerns.
North-west councils fear they will be forced to pick up a multibillion-dollar bill as Queensland pumps money into 2032 Olympic Games infrastructure.
Under the Commonwealth’s new model, funding for disaster-affected communities will be split 50-50 between federal, state and territory governments.
Previously the ratio was 64-36, with the lion’s share covered by the Commonwealth.
“We have a Queensland government approaching the Olympics and we are concerned that there is no guarantee the state will contribute additional funding,” Burke Shire Mayor Ernie Camp said. he said.
“Councils will eventually address this funding gap.”
He said his sparsely populated district generated only $3.5 million in revenue, compared to 2023 flood damage that would cost more than $200 million.
He was part of a Gulf council contingent lobbying for funding changes in Canberra as the region counts the cost of recent disasters.
Hurricane Narelle left a trail of destruction across the far north in March, sparking a push for funding to build emergency shelters and dedicated disaster management centres.
Months earlier, Cyclone Koji had devastated livestock and extensively damaged roads, isolating communities in the northwest.
Carpentaria Shire Council chief executive Anne Andrews said her district’s annual road damage bill alone was routinely up to $60 million.
“We are the road builders in our territory and use local contractors and labor hire, which allows our First Nations and local community to be gainfully employed, live and work on Country,” he said.
Mr. Camp pointed to an independent review that recommended against increasing state contributions to disaster relief funding.
The review noted that flexible funding arrangements for remote First Nations communities should be considered to support community self-determination for disaster preparedness, risk reduction and resilience.
Queensland Disaster Recovery Minister Ann Leahy was very concerned that the disaster funding change would impact the council’s response and recovery.
“Councils will not be funded under the proposed regulations to set up evacuation centres, so it will really start to limit what volunteers do,” he told reporters on Tuesday.
“Or it will introduce more taxes and cost transfers to voluntary organisations, which is really disappointing.
“Because we are the most disaster-prone state… the proposed disaster cuts will impact insurance, councils and volunteers.”
Federal Emergency Management Minister Kristy McBain said no council would be worse off because of new funding changes prompted by recommendations from the Independent Review of Commonwealth Disaster Finance.
“We are currently consulting with states, territories and councils on our proposed new Disaster Recovery Funding Framework,” he said in a statement.
“During the review, and following years of extensive discussions with councils and state and territory governments, we heard that the current system needs to be fixed.
“Our reforms will make the process simpler and faster for councils to move forward and no council should be worse off.”
