ID :
165573
Thu, 03/03/2011 - 11:40
Auther :
Shortlink :
http://m.oananews.org//node/165573
The shortlink copeid
Flood levy to pass with Xenophon's support
SYDNEY (AAP) March 3 - The federal government's $1.8 billion flood levy should be the last disaster levy Australians ever have to pay, independent senator Nick Xenophon says.
The government is set to get its controversial levy passed by parliament after agreeing to a deal with the South Australian senator on future disaster-relief funding.
The agreement will force the states and territories to take out insurance, create their own disaster funds, or take equivalent measures.
With the support of all the other crossbench senators, the levy will become a reality from July, affecting most Australians earning over $50,000.
But Senator Xenophon said the deal struck with Labor on Thursday would ensure Australians weren't slugged in the future.
"Never again will we have a situation where there will need to be a levy for a natural disaster - this is a good thing for taxpayers," he told reporters in Canberra.
"It's about ensuring state governments do the right thing.
"No longer will they be able to gamble billions of dollars of taxpayers' funds because they haven't taken out proper insurance for their assets."
Senator Xenophon denied the move would lead to skyrocketing premiums.
The government welcomed Senator Xenophon's pledge of support, saying it could now get on with the critical job of rebuilding Queensland and other flood-devastated areas.
The commonwealth will rework its Natural Disaster Relief and Recovery Arrangements in line with the agreement.
States and territories will not be eligible for the maximum level of commonwealth support unless they undergo regular, independent assessments of their insurance arrangements.
If the federal attorney-general recommends changes and states and territories don't comply, their funding will be cut.
"States and territories have a responsibility to taxpayers to put in place cost-effective insurance arrangements," Prime Minister Julia Gillard said in a statement.
Senator Xenophon insisted there would always be a place for commonwealth disaster funding, but the changes would ensure the states wore their share of responsibility.
He pointed the finger squarely at the Queensland government for failing to have the appropriate disaster funding safeguards in place when the recent floods hit.
He accused it of an ongoing campaign of misinformation, including a recent suggestion that holding up the flood levy would delay insurance payments for Queenslanders.
Queensland could learn a lot from the Victorian Managed Insurance Authority, which set the benchmark in providing wide-ranging insurance for the state government, Senator Xenophon said.
He expects a vote on the levy later this month.
The government is set to get its controversial levy passed by parliament after agreeing to a deal with the South Australian senator on future disaster-relief funding.
The agreement will force the states and territories to take out insurance, create their own disaster funds, or take equivalent measures.
With the support of all the other crossbench senators, the levy will become a reality from July, affecting most Australians earning over $50,000.
But Senator Xenophon said the deal struck with Labor on Thursday would ensure Australians weren't slugged in the future.
"Never again will we have a situation where there will need to be a levy for a natural disaster - this is a good thing for taxpayers," he told reporters in Canberra.
"It's about ensuring state governments do the right thing.
"No longer will they be able to gamble billions of dollars of taxpayers' funds because they haven't taken out proper insurance for their assets."
Senator Xenophon denied the move would lead to skyrocketing premiums.
The government welcomed Senator Xenophon's pledge of support, saying it could now get on with the critical job of rebuilding Queensland and other flood-devastated areas.
The commonwealth will rework its Natural Disaster Relief and Recovery Arrangements in line with the agreement.
States and territories will not be eligible for the maximum level of commonwealth support unless they undergo regular, independent assessments of their insurance arrangements.
If the federal attorney-general recommends changes and states and territories don't comply, their funding will be cut.
"States and territories have a responsibility to taxpayers to put in place cost-effective insurance arrangements," Prime Minister Julia Gillard said in a statement.
Senator Xenophon insisted there would always be a place for commonwealth disaster funding, but the changes would ensure the states wore their share of responsibility.
He pointed the finger squarely at the Queensland government for failing to have the appropriate disaster funding safeguards in place when the recent floods hit.
He accused it of an ongoing campaign of misinformation, including a recent suggestion that holding up the flood levy would delay insurance payments for Queenslanders.
Queensland could learn a lot from the Victorian Managed Insurance Authority, which set the benchmark in providing wide-ranging insurance for the state government, Senator Xenophon said.
He expects a vote on the levy later this month.
