Mayor Paul Hogan, having returned from the National Assembly of Local Government in Canberra, has welcomed the announcement stating that this funding is additional to the $996,000 Community Infrastructure funding provided earlier this year and the $2.47 million funding for the upgrade of the Taree Recreation Centre.

"Whilst we will need to wait for further details of the funding guidelines as to what would make suitable projects, I'm sure we will be able to put the funding to good use to improve our facilities and infrastructure."

Prime Minister Rudd announced that additional funding of $220 million for the program would be made available to councils in 2009-10. The funding will assist councils to build and modernise community facilities, including town halls, libraries, community centres, sports grounds and environmental infrastructure.

Further guidelines for the funding will be released later this year.

The $220 million funding boost will be delivered in two ways:

o $100 million allocated to all 565 of Australia's councils on a formula basis, and

o a further $120 million for larger strategic projects which will be available on a competitive basis.

The Federal Government will commence the next round of community infrastructure funding at the end of this year.

The funding is intended to support local jobs during the global economic recession and provide long-term benefits to communities by renewing and upgrading local infrastructure.

Mr Rudd also announced that $25 million would be allocated over two years to a Local Government Reform Fund to help councils better manage their infrastructure and plan for future needs in their communities.

The fund will fast-track local government and infrastructure financial and asset management and planning under nationally consistent guidelines, and will also be used to encourage greater collaboration between local governments including shared services and planning, and support for collaboration between councils.