Progress in allocating GAIC funds

The Growth Areas Infrastructure Contribution (GAIC) is delivering critical infrastructure to Victorian communities in Cardinia, Casey, Hume, Melton, Mitchell, Whittlesea and Wyndham.

At 30 June 2018, the total cash receipts received from GAIC reached $393 million. In the 2017-18 financial year, significant progress was made in allocating accumulated GAIC funds, with over $246 million committed to state infrastructure projects to address priorities for health, education, public transport and other services in Melbourne’s growing outer suburbs.

This means that more than $375 million, or 95 per cent of cash receipts, have been spent on or committed to critical infrastructure in the growth areas. Collections and commitments are reported by council area below.

Position at 30 June 2018

A bar chart of collections and commitments reported by council area in million $. Cardinia: 0 collected, 7.34 committed, Casey: 123.92 collected, 144.06 committed, Hume: 91.1 collected, 78.19 committed, Melton: Melton84.42 collected 82.25 committed, Mitchell: 0.63 collected, 4.06 committed, Whittlesea 2.73 collected, 24.60 committed, Wyndham: 90.89 collected, 35.16 committed

GAIC funds are distributed to growth area councils broadly in proportion to the amount received over time. However, short to medium term variations will occur.

What GAIC funds

Since July 2016, the Minister for Planning and the Minister for Suburban Development have been authorising projects for approval by the Treasurer. GAIC funds can only be used for the purposes of state-funded infrastructure projects. Potential projects include the acquisition of land and/or construction of:

  • primary and secondary government schools and other education facilities;
  • emergency services and ambulance stations
  • health and wellbeing facilities;
  • family violence prevention facilities;
  • justice facilities including courts and police stations;
  • new railway stations and associated works; and
  • bus services for up to the first five years of operation.

Since GAIC was first introduced funds have been committed to 26 education projects, 15 rail upgrades, 10 ambulance projects, four walking and cycling improvements, four community projects, three Country Fire Authority stations, early commencement of two bus routes, two bus interchange projects, two health projects and two road projects. For a full list of projects visit the GAIC projects page.

As at 30 June 2018, over $107 million had been paid out of GAIC funds since its establishment. Full details of project payments and commitments are below and further information is provided each year in the DELWP and VPA Annual Reports. Read more in the DELWP Annual Report 2017-18.

GAIC receipts made and expenditure paid out in each Growth Area

Growth Area

Total GAIC receipts 

at 30 June 2018

$

Total expenditure and future commitments

at 30 June 2018*

$

Total expenditure

at 30 June 2018**

$

Casey

123,918,161

144,062,244

7,487,777

Cardinia

0

7,337,500

2,000,000

Hume

91,099,083

78,188,982

17,188,074

Melton

84,418,098

82,252,961

47,836,286

Mitchell

626,704

4,055,986

3,975,120

Whittlesea

2,733,559

24,601,741

17,877,963

Wyndham

90,888,611

35,164,129

10,738,511

TOTAL

393,684,215

375,663,543

107,103,731

* Includes SRO expenses paid and invoiced but not yet paid in proportion to GAIC funds received per growth area.

**Includes SRO expenses paid in proportion to GAIC funds received per growth area.

Future GAIC investment

GAIC funding decisions will be informed by a strategic pipeline of state infrastructure projects in the growth areas. The pipeline will be informed by Precinct Structure Plan approvals and the rate of development occurring in the respective growth areas.

With accumulated cash receipts forecast to grow to over $500 million by June 2019, the new governance arrangements will ensure projects are delivered when and where they are most needed.

Work in Kind

In addition, progress has been made in the development of GAIC Work in Kind (WIK) agreements. The first two GAIC WIK agreements were finalised in 2017-18, involving transfers of land for Truganina South East and Rockbank North P6 schools. The Victorian Government is continuing to explore opportunities for future WIK agreements.