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Senate demands changes to stimulus package as vote looms

The Senate is preparing to vote on the Rudd Government’s $42 billion stimulus package on Thursday night, but debate still rages over the details of the legislation.   Prime Minister Kevin Rudd has put more pressure on the Senate to pass the bill by saying some of the infrastructure funds will go towards rebuilding towns […]
Patrick Stafford
Patrick Stafford

The Senate is preparing to vote on the Rudd Government’s $42 billion stimulus package on Thursday night, but debate still rages over the details of the legislation.

 

Prime Minister Kevin Rudd has put more pressure on the Senate to pass the bill by saying some of the infrastructure funds will go towards rebuilding towns in fire-ravaged Victoria.

The Victorian Government would “give priority to construction (of) school infrastructure in communities affected by bushfires,” Rudd told Parliament.

But Opposition Leader Malcolm Turnbull urged Rudd not to link the Government’s stimulus package with the Victorian bushfires and floods in Queensland. “We encourage the Government to address the relief of these communities in specific legislation separate from other measures,” he said.

And both the Federal Opposition and independent Senators have said they will not vote for the bill in its current form, citing problems with both the “tax bonus” and infrastructure sections of the legislation.

Turnbull said that the Government “should sit down with the Opposition and negotiate a new package, which we believe should be between $15 and $20 billion”.

The Greens says the money used for one-off cash payments to taxpayers may be put to better use, with leader Bob Brown expected to meet with Treasurer Wayne Swan today.

“We are not going to stand in the way of the nation getting an economic stimulus, but it doesn’t mean we have to accept everything that’s in the package,” Brown told ABC radio.

Family First Senator Steve Fielding wants $4 billion spent on creating new jobs.

“If the Prime Minister wishes me to vote for this $42 billion package, he should take a more conciliatory approach and welcome ideas from the cross-benchers.”

Independent Senator Nick Xenophon says the cash bonuses should be scrapped and that money used for the Murray-Darling basin and other infrastructure projects

“I think if you’re serious about a stimulus package, you need to look at a nation-building approach that would have long-term benefits for Australia,” Xenophon told AAP.

The Senate is expected to vote on the legislation tomorrow.

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