Vic Budget 2020-21: Key Portfolio Measures

The Department of Treasury and Finance will continue to focus on stimulus, investment, economic recovery and getting people back into work. In 2020-21, key initiatives include:

• $845 million for the Big Housing Build to construct new social housing dwellings and provide accommodation for some of the most vulnerable Victorians.
• $500 million for the Victorian Homebuyer Fund to contribute to the purchase price of a home in exchange for a proportionate equity interest in the property.
• $50 million to provide low interest loans to eligible small and medium-sized enterprises claiming the Commonwealth Government’s Research and Development Tax Incentive for up to 80 per cent of their forecast refundable tax offset.
• $25.5 million for the Venture Growth Fund which will see the Government co-invest in a venture debt facility with private investors to inject more capital for growing SME.

The Department of Premier and Cabinet initiatives in this year’s budget focuses on COVID-19 recovery measures with support for digital government uptake, which will assist with ongoing COVID monitoring and support for multicultural communities and veterans. In 2020-21, key initiatives include:

• $2 billion Breakthrough Victoria Fund to drive investment in translational research, innovation and commercialisation outcomes to accelerate growth in key industry sectors and create jobs. The focus industries will include health and life-sciences; agri-food; advanced manufacturing; clean energy; and digital technologies.
• $15 million over the forward estimates to extend the Premier’s Jobs and Investment Fund to support the attraction of strategic private sector investment in projects of state significance.
• $5.2 million to establish a free-to-use digital solution to help businesses comply with COVID-19 recordkeeping requirements and offer Victorians a seamless, secure and contactless check-in option for contact tracing purposes.
• The Government will also establish Wage Inspectorate Victoria as a Statutory Authority with powers to investigate wage theft offences and prosecute in a summary jurisdiction, as legislated under the Wage Theft Act 2020.

The Government continues to support learning outcomes for students and invest in Victorian schools. In 2020-21, key initiatives include:

• $1.56 billion over the forward estimates to establish a new funding and support model in government schools for students with disabilities.
• $890.6 million over the forward estimates for school upgrades, and $388 million over the forward estimates for special school upgrades.
• $673 million over the forward estimates to support school enrolment-based funding for government and non-government schools.
• $631.5 million over the forward estimates to provide subsidised and expand TAFE training in priority areas.
• $350 million over the next two years to support universities’ economic recovery through the Higher Education State Investment Fund.
• $219.9 million over the next two years to employ tutors in government schools to deliver learning support for students and compensate for interruptions to schooling this year.
• $84.8 million in 2020-21 to support families with children in kindergarten and $54.5 million to support Victorian kindergartens.

The Government continues to manage the ongoing impacts of the COVID-19 pandemic on the state’s health and human services. In 2020-21, key measures include:

• $862.8 million to maintain hospital capacity, with a further $1.9 billion allocated over the forward estimates.
• $492 million over the forward estimates to provide more mental health beds.
• $335.3 million over the forward estimates for the Intensive Family Preservation and Reunification Response, to promote early intervention.
• $332.7 million over the forward estimates to improve care services for children and young persons in residential care, with a particular focus on Aboriginal children in care.
• $200 million for the Metropolitan Health Infrastructure Fund.
• $135.7 million over the forward estimates to support ambulance services.
• $116 million over three years to provide hospital in the home services through the Better at Home
• $115 million in 2020-21 for the Metropolitan Health Infrastructure Fund, improving infrastructure and amenities across metropolitan health services.
• $16.6 million over the forward estimates to fund compassionate access to medicinal cannabis.

In this year’s budget, the Government has allocated significant resources in job creation and supporting businesses hit hard by the COVID-19 pandemic. In 2020-21, key measures include:

• $2.1 billion allocated to supporting businesses impacted by COVID-19 including grant payments, tax deferrals, fee waivers and support funds.
• $368.7 million in support for the hospitality industry to manage the impacts of COVID-19.
• $151.3 million to support the creation of jobs and reduce barriers to employment.
• $141.9 million towards supporting Victoria’s experience economy, including screen, live music tourism and sport
• $108 million to increase community participation in sport and recreation, particularly among under-represented communities.
• $96.3 million toward the landmark Digital Future Now investment to improve mobile coverage and broadband access in suburbs and regional towns.
• $75.2 million towards building or upgrading community facilities in greater Melbourne.

The Government continues to manage the impact of the COVID-19 pandemic on the state’s police and corrections, while also aiming to improve existing systems in the Department of Justice and Community Services. Key measures include:

• $141.2 million to enhance the safety and security of the New Youth Justice Facility at Cherry Creek.
• $103.6 million to support corrections and youth justice operations to respond to COVID-19, including testing and services for prisoners; and PPE and disinfection products.
• $77.8 million to implement fire services reform, including training and new personal protective clothing for volunteers; and replacement of fire stations and firefighting appliances.
• $62.3 million for Victoria Police system enhancements and reforms to deliver more efficient police operations with $299.5 million allocated over four years.
• $42 million to upgrade the computer-aided dispatch system to support the Triple Zero service.
• $38.9 million to support Victoria Police’s COVID-19 response.
• $26.1 million to provide additional legal services and upgrade communications technology to address COVID-19-related delays across the justice system.

The Government continues to invest in major rail projects and in road safety and maintenance, including the Keep Victorians Moving initiative and a statewide “road maintenance blitz”. Key measures include:

• $1.4 billion allocated over four years to purchase 100 Next Generation Trams.
• $438.1 million to support the sustainability of public transport operations during the COVID-19 pandemic.
• $420 million towards preparatory works for the Suburban Rail Loop, with $2.2 billion allocated over four years.
• $108.7 million to trial strategies to reduce congestion and travel times on metropolitan roads, with $212.2 million allocated over four years.
• $107.7 million towards critical infrastructure upgrades along the Dandenong Corridor.
• $37.7 million to improve safety for motorists, cyclists and pedestrians on local roads and around schools.
• $19.2 million for road maintenance and pavement works, with an additional $322.2 million allocated in 2021-22.