FOR PRESS: 0~ AIb P. M. No. 38/ 1969
ADDITIONAL DROUGHT RELIEF FOR QUEENSLAND
Statement by the-Prime Minister, Mr. John Gorton
The Commonwealth Government has agreed to provide
additional drought relief assistance to the Queensland Government.
The Commonwealth appreciates that the drought situation
in Queensland has become increasingly serious and that further
Commonwealth help is required to assist the State Government.
We will therefore meet the whole cost of any relief
expenditure which the State may incur in 1968-69 in excess of
$ 4 million. The effect of this arrangement will be to place an upper
limit of $ 2 million on the expenditures which the State will need to
finance this year under the current drought relief arrangements which
are on a dollar -for -dollar sharing arrangement between the
Commonwealth and the State.
This dollar -for -dollar arrangement includes the following
measures which the Commonwealth approved in March 1969:-
* Rail and road subsidies on the transport of fodder and
the movement of livestock to agistment:
* Carry on finance for drought -affected farmers who are
unable to obtain credit from normal commercial sources:
* Grants to local authorities in rural areas to relieve
unemployment caused by drought.
The Commonwealth is prepared to confer with the State
towards the end of June regarding the arrangements which might apply
for 1969-70. The Commonwealth has now agreed that freight rebates
on the movement of non-starving" stock from drought areas to slaughter
will be treated as eligible expenditure for purposes of drought relief.
My Government will also facilitate a scheme for the
provision of wheat for stock feed on credit terms ( 12 months credit at
42% interest). / 2
-V -2-
In addition to these financial measures, the Commonwealth
has agreed to make available on appropriate conditions land at the
Army's Shoalwater Bay training area for grazing drought-affected cattle.
The Commonwealth has already provided approximately
million to Queensland since 1965-66 as reimbursement to that
State for drought relief expenditure. It has also given additional amounts
totalling approximately $ 5 million for special revenue assistance to
offset the effects of drought on the State's revenue.
CANBERRA
1 May 1969