LOCAL GOVERNMENT DISASTER FUND

The Hon. B.V. FINNIGAN (15:07): I seek leave to make a brief explanation before asking the Minister for State/Local Government Relations a question about local government disaster funding.

Leave granted.

The Hon. B.V. FINNIGAN: Recently we have all welcomed winter rains. However, there have been reports of the downside of the flows of water—tourists and residents in the outback being stranded or inconvenienced by heavy rains causing flooding. There have been reports of flash floods and road washouts. Local government is often the first port of call to repair damage caused by these kind of events. Will the minister advise the house how the state government helps local government to recover from natural disasters?

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister for the City of Adelaide) (15:07): State government does recognise difficulties faced by councils confronted by natural disasters for which they cannot use the ordinary risk management approach of insurance. I welcome the opportunity today to inform members of the house about the work done to assist some of the more remote areas in our state through the Local Government Disaster Fund.

The fund was established in 1990 to help councils remediate damage caused by natural disasters or other major, uninsurable events such as flooding and also bushfires. The fund is administered by the disaster fund committee which assesses the claims made to it by councils. These claims must exceed 5 per cent of a council's general rate revenue to qualify and a council is expected to commit the equivalent of 10 per cent of its works budget towards the damage bill.

The fund offers an independent engineer to work with affected councils to provide advice and assistance and, where necessary, to determine claims. Each claim made to the disaster fund is assessed on its individual merits, and councils are also encouraged to take preventive measures to mitigate potential future damage as part of their ongoing works program.

More than $7.6 million has been made available to councils in the past two financial years, much of it linked to widespread storms which swept the Mid North in late 2007. The committee considers claims made for funds from an annual allocation of $1.29 million available from the fund. Heavy flooding occurred in Andamooka in early 2010 that resulted in the dumping of silt on local roads and damage to private property within the town. The Department for Transport, Energy and Infrastructure reacted promptly to the situation and cleared the silting from the road. So far there have been no claims for assistance from the disaster fund.

The state government, through the Department of Families and Communities, has provided emergency grant assistance to some families who suffered loss or damage as a result of the flooding. This was in the form of a $700 grant for immediate assistance, a $5,600 grant for loss of personal effects and a $5,600 grant for house repairs. The disaster committee comprises five members, and the committee met on 25 August this year and approved a claim from the Orroroo Carrieton council for $373,869.

The APY lands communities will receive up to $1.145 million in 2010-11, subject to repair work being completed during this financial year, and following significant damage to roads as a result of storms in the area in late November and December 2008. The repair work was assessed following consultation with DPC, the Department for Transport, Energy and Infrastructure and the fund's independent engineer. The size of the claim was complicated, obviously, by the remoteness of the roads in question and the cost of transporting suitable materials to the location.

The significant rainfall across parts of the central region of South Australia on 12 March 2009 damaged local roads within the area, and the disaster fund committee received a claim from the Flinders Ranges council and has provided more than $270,000 in assistance from the fund at this time.