Region set to reap a $400m-plus stimulus

Andrew Mathieson
MORE than $400 million will flow into the hip pockets of the region’s households from the Federal Government’s bid to stop the economy heading toward recession, according to estimates.
A spokesperson for federal Member for Corangamite Darren Cheeseman calculated his electorate and neighbouring Corio would reap about $411 million from the $42 billion national stimulus package.
The proposed funding injection included a raft of tax cuts, primary school upgrades, increased public housing and a push for greener houses.
Average families would be eligible for cash bonuses of $3800 for two working adults and two school-aged children. Workers on salaries below $100,000 would receive bonuses of up to $950.
The package has yet to pass a Senate inquiry for approval.
Mr Cheeseman’s spokesperson estimated about $100 million in tax cuts and payments would flow to the Corio and Corangamite electorates, while primary schools would have more than $200 million to spend on upgrades.
About $53 million would go to affordable public housing, while the Government would spend around $21.5 million on insulation and solar-power subsidies for homes.
Andrew Scott, the chief executive of regional councils alliance group G21, welcomed the splurge.
He said G21 had been lobbying the Government for investment on behalf of the region’s five councils and more than 150 community and business organisations.
“I think it’s a very positive package,” Mr Scott said.
“What they’ve done is sensible in the sense they’re targeting things that will have a short-term economic impact and we’ll end up spending back into the economy.”
The Government has encouraged families to spend rather than save the cash.
Mr Scott said the package would be worth “scores of millions of dollars” to the growth of Geelong.
He predicted the region’s small builders would enjoy a boom as a result.
“We will also get benefit from the schools through the building packages,” he said.
“The nature of that tends to be the sort of amounts they’re putting on the table are picked up by smaller builders.
“They always tend to be local contractors.”
Harvey Norman Corio proprietor George Habib was preparing for a rush on electrical goods.
He said customers were expressing interest in purchasing plasma and LCD televisons days after the package was announced.
“People have been out here not actually spending yet but they’re certainly looking at what they can spend it on,” he said.