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Untied grants for local roads totalling $581.2 million in 2008-09 are part of financial assistance grants to councils. Features of local roads grants are:
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the amount provided is increased annually to compensate for both population growth and inflation;
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each State receives a fixed share of the grant; the share being set out in legislation;
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each council's share of the grant is determined by the State's local government grants commission;
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the grants are untied;
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South Australian councils are also to receive $14.2 million in 2008-09 in additional funding for SA local roads.
In addition, the Australian Government will provide around $1.31 billion in general purpose grants to councils in 2008-09. Like local road grants, these are escalated for population growth and inflation and are untied so that councils can spend these grants on the priorities determined by their local community, including roads.
For further information see Financial Assistance Grants to Local Government
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