Wednesday, 24 April 2024
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Stimulus package to boost economy
2 min read

A $2 MILLION Economic Stimulus package is set to drive local employment and engage suppliers within the region, according to Gawler Council.

The local stimulus package is comprised of grants programs and council-delivered projects including in sport and recreation, and involving council and community buildings and local infrastructure.

During a special meeting last month, councillor David Hughes praised the timely economic and wellbeing stimulus package as a boost for local sporting and community clubs.

“I think this will help those groups who have unfortunately been falling through the cracks a bit,” he said.

“It will be good for the clubs that haven’t been able to fundraise.”

However, councillor Ian Tooley questioned whether council was “rebadging” projects already in the pipeline in order to call them economic stimulus.

Gawler Mayor Karen Redman deemed the rebranding of certain future projects under the guise of an economic stimulus package as “unfounded and incorrect”.

“Prior to the onset of the COVID-19 pandemic in early 2020, council had already considered and earmarked the deferral of $2 million of capital works from both the 2020/21 and 2021/22 financial years, towards the specific intent of ‘fast-tracking’ debt reduction, so as to provide increasing borrowing capacity for council’s next major iconic asset investment (namely the Karbeethan Reserve redevelopment),” she said.

“Accordingly, a raft of capital projects were subsequently deferred at that time.

“With the onset of the COVID-19 pandemic, council (and appropriately) recalibrated its focus towards considering financial stimulus/rate relief measures that it could implement to assist our community in its time of need.

“A natural reaction was for council to then consider what, if any, of the $2 million deferred capital projects could drive local employment/local supplier engagement outcomes as part of an Economic Stimulus package.

“Consequently, the $2 million deferred capital projects were then considered in this context. “Ultimately, less than $300,000 of the $2 million previously deferred capital projects were incorporated within the $2 million Economic Stimulus Package, as the priority consideration in this regard was towards projects and initiatives that could drive local employment/local supplier engagement outcomes.”

Ms Redman said all tiers of government have announced major economic stimulus packages, which are collectively designed to aid communities by reinvigorating the economy via boosting employment and spending.

“Stimulus packages… deliberately increase government spending towards offsetting decreased private spending, thereby endeavouring to stimulate a floundering economy,” she said.

“Accordingly, the $2 million stimulus package recently announced by the Town of Gawler, is deliberately designed to increase local employment and spending within the community during the COVID-19 pandemic.

“The funding is also direct at providing assistance to the many valuable community groups that have been struggling through the crisis.

“The funding will provide a much needed boost.”

A breakdown of the local stimulus package grant programs and council-delivered projects can be viewed on council’s website.