Federal - CoA

[ozbob]

The Guardian --> Commission of Audit unveils radical blueprint to shrink government

[ozbob]

National Commission of Audit

--> http://www.ncoa.gov.au/

[ozbob]

ARTC among many others is suggested for ' privatisation ' ....  might stall any moves for progress in Queensland ...

[ozbob]

ARA --> Rail supports Commission Report on road user charging and infrastructure priorities

1 May 2014

Rail supports Commission Report on road user charging and infrastructure priorities

The peak body for the rail industry, the Australasian Rail Association (ARA) has welcomed the recommendation in the National Commission of Audit Report to expand road user charging for heavy vehicles and is calling on the Council of Australian Governments (COAG) to commit to the structural reforms when it meets in Canberra tomorrow.

ARA Chief Executive Bryan Nye OAM said the recommendation lends important support to the case for these reforms ahead of their consideration by COAG however stressed that the reforms should be applied only to national highways and major State-owned arterial roads and vehicles over 4.5 tonnes, discounting light vehicles.

"We are in support of the National Commission of Audit Report recommendation to expand road user charges for heavy vehicles in the form of mass-distance-location charging reforms, however whilst there is clearly a case for heavy vehicles in terms of the direct commercial benefit they gain from roads, the reforms should not be a precedent for light vehicles," said Mr Nye.

"This model ensures that heavy vehicles are charged for the true impact they place on the road network, this is the standard model of regulated utility pricing, the same model that is currently applied to the industries of rail, water, gas and electricity.

"These reforms, if implemented in a timely and appropriate manner, would assist in reducing congestion, improving the efficiency of the freight supply chain, drive productivity growth and give State Governments greater control over funding which would be based on future infrastructure requirements needed by industry to improve productivity," he said.

Mr Nye also supported the Commission's recommendation for the Commonwealth government' support of national interstate projects, such as the Inland Rail, and to invest in state infrastructure projects after a rigorous and transparent cost benefit analysis that indicates substantial net benefits to the community.

"We agree that all road and rail state based projects should undergo a rigorous cost benefit analysis, so that where appropriate the Commonwealth government can step in and assist the State's with funding for their much needed infrastructure projects," said Mr Nye.

"The ARA agrees that State and Local Governments are best placed to identify their infrastructure requirements and also welcomes the acknowledgment that States and Local Governments will, at times, require Commonwealth assistance in funding.

"The Audit recognises that State and Local Governments do not have the budgets to support all required infrastructure investment. The recommendation that the Commonwealth Government only invests in infrastructure projects that provide the most benefit to the community are supported rather than the Commonwealth picking favourites.

"Hopefully this will lend a much needed helping hand for rail which is proven to provide broad economic, environmental and social benefits beyond commercial returns," Mr Nye concluded.

[ozbob]

Brisbanetimes --> Audit report 'written by big business, for big business', says Bill Shorten

Brisbanetimes --> Tax: the flaw at the heart of the National Commission of Audit

[ozbob]

Melbourne Age --> Commission of Audit: Be afraid, but only mildly so

Melbourne Age --> Axe falls hard as audit recommends gutting Medicare, cutting pensions

[ozbob]

Twitter

Sharon Bird MP ‏@SharonBirdMP 24m

Spot on - front page of @illawarramerc today on disgraceful Abbott Gov Commission of Audit! http://t.co/O0JDtCO8RJ

[#Metro]

I read the report - the original from the source. After the bus review, I don't trust media to report anything other than infotainment and stoke pre-existing fears and biases (also known as 'poo stirring').

People with higher incomes will be paying more of their way, as they should.

Let's test the idea that the rich (say, everybody who has a net wealth of more than $1 billion) can pay the cost of the Australian Government.

Using the most extreme and unreasonable assumptions possible (100% tax, and 100% full wealth seizure and liquidation) to generate a maximum "ceiling value", it is possible to show that there are not enough billionaires in Australia to run the Australian Government for just 3 months, even if we took their ENTIRE wealth.

Working:
---
Gina Rinehart's total net worth (everything, not just income) is around $20 billion (Source: The Australian, March 29th)
The Australian Government this year is set to spend around $409 billion  (Source: s102 "Spending Outlook", Audit Commission Report, includes transfer payments to states)

There are 26 people in Australia (including Ms Rinehart) with a net worth of $1B or more (Source: Forbes)

The sum total wealth of all 26 Australian billionaires is around $85.69 billion

* Calculation

$409 billion divided by $85.69 billion = 4.77 times (i.e. Government spending if about 5x higher than combined billionaires TOTAL wealth)

So, if we rounded up every billionaire in Australia, jailed them, took ALL their money, seized all their worldly assets hit them with 100% tax and liquidated everything they owned, the numbers would *still not add up* to be enough to fund the Australian Government for more than 3 months worth of expenditure.

Of course in the real world, nobody pays 100% tax, and total wealth seizure is not possible. Therefore, the actual take is FAR FAR less than this calculation could be.

---
Conclusion: If it sounds too good to be true, it probably is.

[ozbob]

[#Metro]

In contrast, when we consider taxing all Australians:

$409 billion divided by 20 million Australians = $20, 450 per person, on average. This is a reasonable ballpark!
In practice it is less than this as there are more taxes available to raise revenue than just income tax, and some of those 20 million will be too young to pay tax. But you can see why taxes need to be levied on as many people as possible, not just "The Rich" (read: anybody with a higher income than yours).

[Stillwater]

Details of asset sales agreement whereby the Commonwealth will contribute to infrastructure projects funded by state asset sales.

https://www.coag.gov.au/sites/default/files/Signed%20National%20Partnership.pdf

There will be an interesting debate in Qld as to whether the asset sales will pay off 'Labor's debt' or whether proceeds will go to the new deal signed at COAG today.

Note section 4.