The federal government has released its flood assistance package for North Queensland, offering some heartening commitments but missing some key details.
Prime Minister Scott Morrison has driven the development of a suite of new assistance measures, which were announced this morning.
The government will establish a North Queensland Livestock Industry Recovery Agency, which will provide seed funding to rebuild on-farm infrastructure and restock herds.
The scale of financial assistance is yet to be announced.
The charter of the Regional Investment Corporation will be rewritten, to enable it to refinance farmers’ existing debt with banks at more favourable rates, and to provide loans for restocking using stock as collateral.
The terms and quantum of refinancing is to be determined.
The government has also written to banks asking them not foreclose or force the sale of farms for three years, to defer interest and principal repayments where appropriate for three years, and to commit to continue lending for stock and herd replacement, supported by grants from the government and with security over the stock rather than the family home.
Westpac has responded by committing not to foreclose or force the sale of any directly impacted flood affected farming businesses in North Queensland for three years.
The only exceptions would be in cases of abandonment, degradation/neglect (including animal welfare), illegal behaviour or someone else appointing an administrator, receiver or trustee or seizing our customer’s assets.
“Whether it be through restocking grants, concessional loans or mental health support, we are stepping up to the plate and pitching in," Mr Morrison said.
"That’s what Australians would expect us to do.
“This is not about compensation, it’s about rebuilding and reconstruction.”
The North Queensland Livestock Industry Recovery Agency will be chaired by Shane Stone QC, who will report to Mr Morrison.
Mr Stone will be supported an advisory board that will include representatives of the northern cattle industry and local governments.
The agency has been instructed to deliver a long term reconstruction plan for the cattle industry.
The Prime Minister recently met with graziers during his tour of Cloncurry and Julia Creek.
“I met families who had been on the land for generations building their herd," he said.
"To see them washed away, lying in the dry mud, it’s just heartbreaking.
“Each farm is different and will need different assistance to rebuild.
"This is about farmers telling us what they need. They need to be the ones calling the shots."
The federal government has already announced a range of assistance measures:
- $75,000 grants to farmers in affected areas. Receipts and invoices are no longer required.
- $50,000 grants to small businesses in Townsville, Cloncurry, McKinlay, Richmond and Flinders.
- $1 million each for the local governments in Burdekin, Cloncurry, Douglass, Flinders, Wujal Wujal, Hinchinbook, McKinlay, Richmond, Burke, Winton and Carpentaria.
The Tax Office has announced it would:
- Deferring the due date of tax payments and lodgements
- Remitting interest and penalty charges on tax debts
- Fast tracking income tax and GST refunds
- Encouraging monthly lodgement of Business Activity Statements where a refund is expected
- Allowing affected taxpayers to vary their December quarter tax instalments to nil without penalty
