{"id":212994,"date":"2018-07-05T17:43:36","date_gmt":"2018-07-05T07:43:36","guid":{"rendered":"https:\/\/southburnett.com.au\/news2\/?p=212994"},"modified":"2020-07-30T15:49:32","modified_gmt":"2020-07-30T05:49:32","slug":"fags-grant-will-draw-interest","status":"publish","type":"post","link":"https:\/\/southburnett.com.au\/news2\/2018\/07\/05\/fags-grant-will-draw-interest\/","title":{"rendered":"FAGs Grant Will Draw Interest"},"content":{"rendered":"
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A Federal Government decision to pay councils their annual FAGs grant six months early will not accelerate any Council projects this year, or create any new ones<\/figcaption><\/figure>\n
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South Burnett Mayor Keith Campbell (Photo: SBRC)<\/figcaption><\/figure>\n

July 5, 2018<\/strong><\/p>\n

The South Burnett Regional Council will put this year’s Financial Assistance Grant (FAGs) to work immediately … by putting the money in the bank.<\/p>\n

The Federal Government’s FAGs grants are a major source of funding for all councils, and are normally paid quarterly.<\/p>\n

But last Wednesday Local Government Minister Dr John McVeigh announced the government was paying half of every council’s 2018-19 FAGs grant sixth months early this year.<\/p>\n

This means the South Burnett Regional Council will soon get a cheque for $3,495,884.<\/p>\n

FAGs grants are “untied” and can be used in any way a council wishes.<\/p>\n

The South Burnett Regional Council uses the money for roadworks, infrastructure projects and maintaining services.<\/p>\n

On Thursday, Mayor Keith Campbell said while he welcomed the government’s decision to pay half this year’s FAGs grant early, it would not lead to any extra works projects.<\/strong><\/p>\n

“We budget for our FAGs grant in advance of receiving it each year, and the money goes into the total pool we have available to spend on projects,” the Mayor said.<\/p>\n

“Those projects are scheduled at around the same time we draw up the Budget, so receiving the money earlier doesn’t really change anything.<\/p>\n

“We can only tackle projects when we have the people and equipment scheduled as available to do them.”<\/p>\n

The Mayor said because of this, the Council will put the money in the bank to earn some interest on it until the funds need to be drawn down to pay for specific projects in this year’s works schedule.<\/p>\n

This would make the Council a few extra dollars that could be used as a buffer against unexpected contingencies over the coming year, he said.<\/p>\n