Last month's floods in Molong and surrounding areas in the Cabonne Shire in New South Wales have had a large impact on the region, especially small businesses. Molong has been particularly hard hit and is currently without a retail supermarket.
To assist businesses to get back on their feet and to help the community restore the economic base of the region, my Government is pleased to contribute $50,000 to the recovery fund which has been established by the Cabonne Council. I have asked the Mayor to ensure that the Australian Government's contribution is used to assist small business, the lifeblood of many regional towns like Molong.
The Australian Government has been working with the Cabonne Council and the Member for Calare since the floods to provide information and assistance to the community. In addition to the Australian Government's cost-sharing arrangements under the Natural Disaster Relief Arrangements (NDRA), and crisis payments from Centrelink for which some of those affected may be eligible, I also authorised ex gratia payments for those whose principal place of residence has been rendered uninhabitable by the floods ($1,000 for adults and $400 for children).
The primary responsibility for natural disaster recovery within Australia rests with state governments but my Government will continue to provide assistance, where appropriate, in addition to our responsibilities under the NDRA. Under those arrangements, the Australian Government reimburses state governments for half the costs of personal hardship and distress-related payments (such as emergency food, clothing and accommodation) and between 50-75 per cent of other eligible expenditure over certain thresholds. The Australian Government has, under the NDRA, reimbursed the New South Wales Government almost $140 million for natural disasters since 2001-02. In addition, the Australian Government is providing over $6 million to the New South Wales Government this financial year for natural disaster mitigation, 78 per cent of which will be directed towards flood mitigation projects.
The thoughts of the Australian Government are with those affected by the floods as they work to rebuild their lives and their communities.