Car parks and pickleball courts: $7b of Coalition handouts in crosshairs

A series of federal government programs worth billions of dollars that funnelled money into Coalition-held seats ahead of the past three elections will be the focus of a parliamentary investigation that could back new regulations to prevent future pork-barrelling.

The parliament’s joint House and Senate audit committee on Sunday revealed it would look at six separate funds as part of an inquiry that will drag into next year, causing political headaches for Coalition MPs who oversaw some of the contentious programs.

Then prime minister Scott Morrison approved a spate of projects under the Modern Manufacturing initiative ahead of polling day.Credit:Getty

The Commuter Car Park fund, the Building Better Regions Fund, the Safer Communities program, the Urban Congestion Fund, the Regional Growth Fund and the Modern Manufacturing Initiative will all come under the focus of the audit committee.

Labor MP Julian Hill, the committee chairman, said the inquiry wanted to ensure future grant programs were consistent with federal grant rules and in line with community expectations.

“The government inherited a budget riddled with waste and rorts. Dodgy grants have further inflated nearly $1 trillion of debt,” he said.

“As a good government, we will uncover what’s happened and learn the lessons of the past so every taxpayer dollar spent is properly approved and delivers real value for the community.”

The programs, worth a combined $7.2 billion, have come under scrutiny through a series of auditor-general reports or special investigations.

The Sydney Morning Herald and The Age revealed last year that grant programs were being used to funnel money into Coalition-held seats or those it hoped to win from Labor. That included large disparities in total grants between neighbouring seats where one electorate was held by the Coalition and the other by Labor.

The Building Better Regions fund was the focus of a scathing audit in July that showed almost two-thirds of the $1.15 billion scheme went to projects that did not have the most merit.

That audit found the program, which allocated grants to pickleball courts, a speedway track and beach boardwalk, disproportionately sent money to Liberal and National party seats. Nationals’ seats received $100 million more than if the cash was handed out fairly.

The Commuter Car Park fund has been the focus of audits and investigations since it emerged ahead of the 2019 election.

A promised upgrade to the car park at Surrey Hills railway station in then treasurer Josh Frydenberg’s Melbourne seat of Kooyong was one of four abandoned due to cost and planning issues.Credit:Andrew De La Rue

Originally a $500 million program, there was as of the March federal budget about $674 million set aside for car parks. Just $50.9 million have been completed with another $192 million worth under way.

Four car parks promised by then treasurer Josh Frydenberg for his own Melbourne seat of Kooyong at the 2019 election have been abandoned.

The car park fund is part of the larger $5 billion Urban Congestion fund that the auditor-general is considering for its own separate audit.

The Safer Communities fund was the source of a separate auditor-general’s report that found the $184 million program funnelled money into marginal and Coalition-held seats at the 2016 and 2019 election.

The $828 million Modern Manufacturing Initiative has come under scrutiny after The Sydney Morning Herald and The Age revealed it was used to target voters at the May election in key seats. Then prime minister Scott Morrison approved a spate of projects under the initiative ahead of polling day.

Hill said the committee would “amplify” the work of the auditor-general’s office, arguing he hoped it would improve the administration of future grants programs. He said the committee could recommend changes to grant processes and guidelines.

Public submissions will be open to the end of the month with a series of public hearings likely to be held this year and into 2023.

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