States demand $23bn to back Rudd

Lenore Taylor, National correspondent | October 10, 2008 THE states are demanding up to $23 billion in extra funding from the federal Government's already stretched surpluses before they sign on to the major agreements that form the backbone of Kevin Rudd's new federalism agenda. A confidential brief prepared for the states reveals they have developed funding options for the five big agreements in health, schools, disability services, housing and vocational education and training, with the preferred option for an additional $23 billion over four years on top of current federal funding to the states of $33billion a year. The Prime Minister has called a special Council of Australian Governments meeting on November 17 to clinch agreement on the new deals, which must take effect from January. But the demand for such a large... [read full story]