Garnaut Fitzgerald Review of Commonwealth-State Funding

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CHAPTER 11: Simplicity, Transparency and Accountability – Anomalies and Unintended Consequences Inadequate recognition of the costs of social and physical infrastructure in large cities by the CGC has affected State Government capacity to maintain the quality of urban services. In Sydney at least, this seems to have some causal relationship to resistance to high levels of international migration, which, if it were to the influential in Commonwealth immigration policy, would be seriously damaging to development, nationally and in all States. Law and order International studies have demonstrated the positive correlation between crime rates and town size (International Crime Victims Survey Working Group 2000). The CGC’s current assessments of State spending on law and order do not properly reflect this influence. A small allowance is made for extra demands on police, but none for extra demands on courts and the prison system. Equal treatment of Indigenous Australians The CGC assumes that Indigenous people, identified in the five-yearly census, are comparable in terms of their needs for State services if they are comparable in terms of characteristics such as age, location, income and English fluency. This approach is questionable. The Census populations are based on self-enumeration, and show significantly different trends over time across States. Table 11.1: Census counts of Indigenous people (by place of enumeration) Census NSW VIC QLD WA SA TAS ACT NT 1971 23 873 6 371 31 922 22 181 7 299 671 255 23 381 1976 40 450 14 760 41 345 26 126 10 714 2 942 827 23 751 Increase % 69 132 30 18 47 338 224 2 1981 35 367 6 057 44 698 31 351 9 825 2 688 823 29 088 Increase % -13 -59 8 20 -8 -9 0 22 1986 58 999 12 600 61 250 37 786 14 285 6 716 1 059 34 738 Increase % 67 108 37 21 45 150 29 19 1991 69 999 16 729 70 102 41 769 16 223 8 882 1 592 39 893 Increase % 19 33 14 11 14 32 50 15 1996 101 485 21 474 95 518 50 793 20 444 13 873 2 899 46 277 Increase % 45 28 36 22 26 56 82 16 2001 119 865 25 078 112 772 58 496 23 425 15 773 3 576 50 785 Increase % 18 17 18 15 15 14 23 10 Source: ABS cat. no. 3105.0.65.001 FINAL REPORT [164]
CHAPTER 11: Simplicity, Transparency and Accountability – Anomalies and Unintended Consequences The actual utilisation of services by Indigenous people varies widely across States. This is seen in the utilisation rates for hospital services (Table 11.2). Table 11.2: Hospital utilisation rates NSW VIC QLD WA SA TAS ACT NT AUST Indigenous 238.0 220.2 408.1 537.6 471.5 70.0 254.9 554.7 378.4 Non-Indigenous 167.7 186.4 168.9 162.9 207.0 142.7 134.9 142.6 173.9 Source: CGC 2002b While differences in utilisation of health services could reflect policy, the differences are sufficiently large that other factors at least need to be considered – differences in the extent of self-enumeration and different needs for services. Anecdotal evidence suggests that Indigenous people’s willingness to self-identify varies across Australia. Similarly anecdotal evidence suggests that some of the differences in utilisation of health services reflect different needs. For example, some capital cities have significant Indigenous populations that have only relatively recently moved into the city from dispersed areas, and have generally lower health status. Experimental Australian Bureau of Statistics Socioeconomic Indexes for Areas (SEIFA) data for Indigenous populations also suggests significant differences across States (Table 11.3). Table 11.3: Experimental SEIFA indexes for ATSIC regions containing capital cities (based on the 1996 Census) City Index Sydney 895.2 Wangaratta (includes part of Melbourne) 882.8 Ballarat (includes part of Melbourne) 897.7 Brisbane 897.9 Perth 911.6 Adelaide 908.2 Hobart 874.6 Queanbeyan (includes Canberra) 898.5 Darwin 915.0 Source: CGC 2001b It is anomalous that the CGC has not examined these issues. FINAL REPORT [165]
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Review of Commonwealth-State Fundin
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Review of Commonwealth-State Fundin
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TABLE OF CONTENTS CHAPTER 9: Equity
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THE REVIEW COMMITTEE FINAL REPORT [
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EXECUTIVE SUMMARY Overall assessmen
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EXECUTIVE SUMMARY Each State would
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CHAPTER 1: Overview and Summary of
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CHAPTER 2: How the System Grew: A H
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CHAPTER 3: The Current System TABLE
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CHAPTER 3: The Current System 3.3 G
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CHAPTER 3: The Current System Natio
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CHAPTER 3: The Current System FINAL
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CHAPTER 4: Allocation of General Pu
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Chapter 5: Specific Purpose Payment
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CHAPTER 6: Comparative Fiscal Posit
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CHAPTER 7: Other Federations 7.2 Ve
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CHAPTER 7: Other Federations Sales
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CHAPTER 7: Other Federations The Un
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CHAPTER 7: Other Federations Popula
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CHAPTER 7: Other Federations 7.4 Co
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CHAPTER 7: Other Federations In 200
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CHAPTER 7: Other Federations In 200
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CHAPTER 7: Other Federations In add
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CHAPTER 7: Other Federations Compar
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CHAPTER 7: Other Federations FINAL
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CHAPTER 8: Federal Policy Effects o
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CHAPTER 8: Federal Policy Effects o
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APPENDIX B: National Education and
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APPENDIX C: National Indigenous Com
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APPENDIX C: National Indigenous Com
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APPENDIX D: Minimum Cost of Governm
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APPENDIX E: Consultation • Local
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APPENDIX E: Consultation • VICRoa
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GLOSSARY Efficiency: allocative eff
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GLOSSARY merit goods (health, educa
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FINAL REPORT [234] GLOSSARY
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BIBLIOGRAPHY Buchanan, JM 2001, Fis
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BIBLIOGRAPHY Government of Victoria
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BIBLIOGRAPHY Watts, RL 1999, Compar
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INDEX E economic activity / growth
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INDEX O other Federations Canada ·
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Garnaut Fitzgerald Review of Commonwealth-State Funding

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