THE FUTURE TOGETHER

INDIGENOUS‑SPECIFIC MEASURES 
IN THE 2000‑01 BUDGET

STATEMENT BY
SENATOR THE HONOURABLE JOHN HERRON
MINISTER FOR ABORIGINAL
AND TORRES STRAIT ISLANDER AFFAIRS
9 MAY 2000

 Commonwealth of Australia 2000
ISBN 
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THE FUTURE TOGETHER
INDIGENOUS‑SPECIFIC MEASURES 
IN THE 2000‑01 BUDGET

Contents
Overview	1
Beyond Welfare	3
Housing and Infrastructure	5
Health and Aged Care	6
Education	7
Rebuilding Families and Strengthening Communities	9
The Importance of Land and Cultural Heritage	10
Law and Justice	11
Having a Greater Say	12
Reconciliation	12
Funding Where It Is Most Needed	14
Appendix	15

Overview
This statement outlines the Government’s priorities for indigenous‑specific funding across all Commonwealth Government programmes and services in the 2000‑01 Budget. 
In 2000‑01 a record amount of $2.3 billion will be allocated to targeted indigenous‑specific programmes.
As part of its commitment to practical reconciliation between indigenous and non‑indigenous Australians, the Commonwealth Government is determined to ensure improved access for indigenous Australians to key Government programmes and services. 
Through targeted expenditure in health, housing, education and employment, this Government is working with Aboriginal and Torres Strait Islander people to build the foundations of a better future together where all indigenous Australians can share equally with the rest of the community in the nation’s prosperity. Almost three‑quarters of the estimated $2.3 billion spending for indigenous‑specific services in 2000‑01 will be directed towards improving outcomes in these four target areas. Funding is going to the most needed services, which are also being delivered more effectively. 
The Government’s indigenous‑specific activities are complemented by the Government’s overall agenda of getting the fundamentals right. This will result in better job opportunities and improved government services for indigenous Australians. 
Under the Coalition Government’s policies, Australia has enjoyed a sustained period of economic prosperity. We have seen economic growth running at annual rates above 4 per cent for eleven consecutive quarters – the longest sustained period of such strong performance in 30 years. Inflation and interest rates are around their lowest levels in three decades.
Strong economic strength has supported large gains in employment. Total employment has grown by more than 600,000 under the Coalition Government. The unemployment rate has fallen significantly to around its lowest level in almost a decade.
Furthermore, tax reform will deliver Australia the tax system it needs to compete, to move forward, to prosper and to realise our nation’s potential. Tax reform will reduce the overall tax burden for individuals and businesses, offer more incentives to save, work and invest and provide a more sustainable base to fund essential government services.
The New Tax System will provide a more sustainable basis for the future provision of important government services, such as schools, public hospitals, police and roads. All Goods and Services Tax (GST) revenue goes to the States and Territories, which are responsible for these services. This will particularly assist indigenous Australians. 
The changes will cut personal income tax, reduce business costs and increase pensions, benefits and family assistance. Rural and regional indigenous communities will benefit through significant reductions in transport costs. The Diesel and Alternative Fuels Grants Scheme will greatly reduce the cost of transport in non‑metropolitan areas. Additional grants to service station operators will mean that petrol prices need not rise in regional and remote areas as a result of the introduction of the GST.
Chart 1:  Identifiable Commonwealth Expenditure on Aboriginal and Torres Strait Islander Affairs 1980 to 2000 (in 2000‑01 Dollars)

Source:	Figures from 1980‑81 to 1994‑95 ‑ Department of the Parliamentary Library, Current Issues Brief No.18 of 1997‑98, Dr John Gardiner‑Garden
Figures from 1995‑96 to cash Budget 1998‑99 ‑ Addressing Priorities in Indigenous Affairs, Statement by the Minister for Aboriginal and Torres Strait Islander Affairs, 12 May 1998

Note:	(a)  Cash based estimated outcome for 1997‑98
(b)  Cash based Budget figure for 1998‑98
(c)  Accrual based revised estimate figures
(d)  Accrual based Budget figure

Chart 2:  Functional Dissection of 2000‑01 Budget (total $2.3 billion)

Almost three‑quarters of the total funding allocated by the Government to indigenous‑specific activities will be spent in the four priority areas of health, housing, education and employment. The majority of indigenous‑specific funding is shared amongst the portfolios of Aboriginal and Torres Strait Islander Affairs; Health and Aged Care; Education, Training and Youth Affairs; Employment, Workplace Relations and Small Business, Family and Community Services and the Attorney‑General. Budget funding for 2000‑01 in the Aboriginal and Torres Strait Islander Affairs portfolio is 55 per cent of total indigenous‑specific funding and continues to be quarantined from savings under the terms of the 1997‑98 funding guarantee.

Beyond Welfare
This Government has been advocating a shift from reliance on government income support to a greater focus on economic independence and self‑empowerment. The issue of welfare dependency (and its consequences of lowering self‑esteem and reduced community cohesion and associated problems such as alcohol abuse and family violence) is becoming openly acknowledged in indigenous circles. 
Long term solutions lie in improving education, training and employment outcomes, and there is clear evidence that improvements are being made over time. About one‑quarter of indigenous Australians in the labour force are now involved in Community Development Employment Projects (CDEP), acquiring skills and experience for future employment. The proportion of indigenous Australians participating in vocational training courses has increased sixfold in the past decade, and the proportion of indigenous Australians employed in professional occupations has also increased by one‑third in that period. 
In this Budget, the Government has expanded the successful Community Development and Employment Projects (CDEP) programme to provide 1,500 new places particularly in regional and remote areas of Australia. These places are over and above the annual natural growth of 580 places already provided for existing CDEP communities. These additional places will improve prospects in areas where employment opportunities are scarce and contribute to the aim of economic independence and self‑reliance.
The Indigenous Employment Policy (IEP) began on 1 July 1999 and is proving to be an outstanding success. The centrepiece of the policy, the Indigenous Employment Programme, provides a package of measures which has created several thousand employment and training opportunities for indigenous Australians, especially in regional and remote areas. In its first nine months, over 1,000 unemployed indigenous people were placed into jobs through the programme’s Wage Assistance element. Structured Training and Employment Projects are providing employment opportunities with accredited training for indigenous people, particularly through new apprenticeships. Projects approved in the first nine months will provide employment and training for over 2,000 indigenous job seekers. The Chief Executives for Indigenous Employment Project, in the same period, had identified over 700 job opportunities with major Australian corporations. Funding of $55 million is included in the 2000‑01 Budget to build on the programme’s success. The Job Network is also a significant component of the IEP, with more than 7,000 job placements found for indigenous people in the nine months since 1 July 1999.
Successful overseas programmes such as Aboriginal Business Canada have inspired initiatives such as Indigenous Business Australia. The Commercial Development Corporation continues to forge partnerships between indigenous people and corporate Australia by developing commercially viable joint ventures which not only enable indigenous Australians to acquire equity in a number of large businesses but also provide indigenous Australians with opportunities for employment and training. Aboriginal and Torres Strait Islander Commission (ATSIC) provides finance and support to indigenous businesses through its Business Development Programme and CDEP Business Preparation Scheme. Under the IEP, ATSIC and the Department of Employment, Workplace Relations and Small Business (DEWRSB) have cooperated to establish the Indigenous Small Business Fund to assist with the establishment and expansion of indigenous businesses through financial support, skill development and marketing assistance.

Housing and Infrastructure
The Commonwealth continues to respond to indigenous disadvantage in the area of housing and infrastructure, which remains one of the largest areas of indigenous‑specific expenditure. 
Although much remains to be done, it is possible to discern significant progress over time. For example, where in the early 1970’s up to 20 per cent of indigenous families lived in improvised dwellings, today that proportion has dropped to less than 3 per cent. Overcrowding has been a major problem, but the average number of people per indigenous household has been reduced from 4.4 persons to 3.7 in the past 15 years, and the proportion of indigenous families who own their own home has increased from 24 per cent in the early 1970’s to 33 per cent today. One of the key aspects of securing greater housing supply to indigenous communities is the level of maintenance of existing housing stock. The Australian Bureau of Statistics recently released report, Housing and Infrastructure in Aboriginal and Torres Strait Islander Communities, Australia, indicates that where 39 per cent of indigenous community dwellings were in need of major repairs or replacement in 1992, this had been reduced to 29 per cent by 1999. 
In 2000‑01, ATSIC has allocated $304.9 million to address indigenous housing needs through the expansion and maintenance of indigenous housing stock and essential community infrastructure, and to provide home loans to support the home ownership aspirations of indigenous people. Housing and infrastructure services are delivered through Aboriginal and Torres Strait Islander community councils, community organisations, private sector companies and relevant State and Territory governments. 
Following the initial success of the ATSIC/Army Community Assistance Programme (AACAP), the Commonwealth has committed in excess of $30 million to this programme over the next three years (2000‑01 to 2002‑03). New housing, upgrades of water supplies and reticulation systems, waste management systems, and transport and infrastructure upgrades will be provided under AACAP to some of the most needy indigenous communities in rural and remote Australia. Further, a key objective of this programme is to train local indigenous communities in the management and maintenance of such infrastructure and services.
More than $3 billion will be provided to State and Territory governments in the next three years under the Commonwealth‑State Housing Agreements. Some 9 per cent of this funding, $91 million per annum, will be allocated to the Aboriginal Rental Housing Programme and will be used by state housing authorities to deliver indigenous‑specific housing. 
The total of all funding for indigenous‑specific housing programmes in 2000‑01 will account for some 20 per cent of the estimated total Commonwealth expenditure on public and community housing. 
In a coordinated effort with ATSIC and other relevant agencies, the Government will continue to examine more effective administrative arrangements for the delivery of housing to Australia’s indigenous peoples. The Government’s focus will be on improving access by indigenous people to mainstream housing, and ensuring resources are targeted to areas of greatest need, particularly rural and remote communities.

Health and Aged Care
Aboriginal and Torres Strait Islander people experience the lowest health status of any group in the Australian community. Life expectancy for both men and women is 15‑20 years below other Australians. Circulatory system diseases, respiratory illness and cancer continue to be leading causes of death amongst indigenous Australians, especially adults.
The Government recognises a long term strategy, based on partnerships with ATSIC, the States and Territories and Aboriginal and Torres Strait Islander people, is required to achieve sustainable gains in health outcomes. This strategy involves a significant investment in health care services, infrastructure and resources; in tackling specific health issues and risk factors; and in improved data collection.
Over the past two decades, there has been a substantial improvement in the overall situation. Indigenous infant mortality was previously up to 20 times the non‑indigenous rate, and although still too high, is now between 3 and 5 times the non‑indigenous rate; the prevalence of trachoma (eye disease) has reduced overall, and male death rates from cardiovascular disease, lung cancer, injury and homicide have been declining since the mid 1980s.
The Government has made a significant commitment in successive budgets to increase resources for health service delivery and development to indigenous Australians through the Office for Aboriginal and Torres Strait Islander Health. Since 1996, funding has been increased by more than 50 per cent in real terms to $214 million in the 2000‑01 Budget. A further $33 million is being provided through specific initiatives in mainstream programmes, including $6.4 million for improved access to medicines available under the Pharmaceutical Benefits Scheme for remote Aboriginal and Torres Strait Islander Communities and $10.3 million for flexible residential care initiatives. This Budget confirms the Government's commitment to Aboriginal and Torres Strait health and well being by providing indigenous‑specific funding of $247 million in 2000‑01 in the Health and Aged Care Portfolio.
The 1999‑2000 Budget included $78.8 million over four years to improve access to health care services through a coordinated expansion of services. This initiative is part of a long‑term strategy to increase Commonwealth per capita funding for health in areas where needs have been identified through regional planning processes or coordinated care trials and where there is a demonstrated capacity to utilise funds effectively. Initial implementation of the strategy has commenced in Queensland, South Australia and Central Australia where regional planning has been completed. The Government will consider a comprehensive review of progress under this initiative and additional health care needs in the 2001‑02 Budget context.
The Government has also moved to ensure mainstream programmes are more responsive to the needs of all Australians, including initiatives to improve access to health services in regional, rural and remote areas. Aboriginal and Torres Strait Islanders are now better able to access Australia’s universal health system. Access to Medicare has been improved by streamlining enrolment and billing arrangements in rural and remote communities. Doctors working in Aboriginal Medical Services are also able to direct‑bill Medicare for consultations. The Government has also improved access to medicines in remote areas and has involved indigenous healthcare providers in a ‘better use of medicines initiative’, which aims to improve prescribing practice and patients’ pharmaceuticals use.
The Government, with States and Territories, is developing a National Alcohol Action Plan which brings structure to addressing the problem of alcohol abuse in communities. While alcohol abuse is not a problem exclusive to indigenous people, particular attention will be given to Aboriginal and Torres Strait Islander people to reduce the significantly higher rates of alcohol‑related deaths and hospitalisation.
Indigenous Australians are one of the key target groups for treatment programmes under the National Illicit Drug Strategy. This strategy of law enforcement, education, treatment and research initiatives encompasses a balanced package focused on reducing the supply of and demand for illicit drugs. Funding for 18 projects under the strategy’s Non‑Government Treatment Grants element is focused on a variety of treatment services for indigenous Australians. In addition, information resources and training packages are being developed specifically to assist indigenous communities and indigenous health workers to respond to the needs of those affected by illicit drug use. It also assists in planning community action to prevent illicit drug use and related harm.
In 2000‑01 the Government has committed $9 million over the next four years to collect and store umbilical cord blood. This will significantly increase the opportunity for treatment of life threatening diseases such as leukaemia. As part of this mainstream programme, the collection of 2000 units of cord blood from Aboriginal and Torres Strait Islanders will address difficulties in finding compatible bone marrow for indigenous people.

Education
This Government is committed to improving education and training outcomes for indigenous Australians. 
Although much remains to be done, there have to date been major improvements in indigenous education outcomes. The proportion of indigenous adults who have never attended school has fallen from 14 per cent in the mid 1970s to 3 per cent today; the proportion of indigenous children who complete secondary schooling has increased fourfold since the mid 1970’s, from 8.6 per cent to 33 per cent; the proportion of indigenous Australians with post secondary school qualifications has doubled in the last decade, and indigenous higher education enrolments have tripled over the same period.
We have in place the programmes, performance framework, funding levels and strategies which together create the environment for real change and lasting benefits. All States and Territories have agreed to identify annual performance improvement targets for reporting in the 2001 to 2004 period. This will facilitate the development of national reports in key areas such as attendance rates, literacy and numeracy levels, retention rates, and indigenous employment.
Over four years, funding for the implementation of the National Indigenous English Literacy and Numeracy Strategy will come from both the Commonwealth's programmes of recurrent assistance for schools and from specific supplementary arrangements to support improved outcomes for indigenous students, including a specific amount of $27 million to support particular new initiatives under the Strategy. The strategy is an example of practical reconciliation among all Australians as it addresses the real disadvantages indigenous Australians continue to face.
Important support programmes are being maintained in the higher education and vocational education and training sectors. Tutorial support arrangements continue to assist indigenous students succeed in their studies. Funding for parent committees is also maintained to maximize opportunities for the parents to involve themselves in decisions about their children’s education.
During 1998 and 1999 the Government funded a range of Strategic Results Projects (SRP) to lift indigenous educational achievement in the short term. These projects focused on student retention, literacy and numeracy, vocational education and training. The Commonwealth has produced two publications detailing the project outcomes:
•	‘What Works ? Explorations in Improving Outcomes for Indigenous students’; and
•	‘Education and Training for Indigenous Students ‑ What has worked (and will again) - The IESIP Strategic Results Projects’. 
The implementation of the National Indigenous English Literacy and Numeracy Strategy will extend the good practices identified through the SRP's. 
ABSTUDY changes, which took effect on 1 January 2000, aligned the programme more closely to mainstream schemes. ABSTUDY continues to provide a range of supplementary benefits to address specific disadvantages faced by indigenous students. It also gives them access to additional mainstream‑related benefits to ensure they have income support to continue their education.
There was an increase in ABSTUDY take‑up rates during 1999‑2000 and preliminary data from this year indicates a further increase (from this time last year) in the number of ABSTUDY recipients.
The recent introduction of national education benchmarks will drive higher standards in literacy in Australia and extend equity in education for all Australian school children. The Howard Government’s educational benchmarking process is at the forefront of educational policy. It is establishing national education standards in this country in a way which has not happened for decades.

Rebuilding Families and Strengthening Communities
The Government recognises the fundamental importance of cohesive families and strong communities for all Australians.
The Government has a strong commitment to building social infrastructure at the grass roots level. Under the Government’s integrated Stronger Families and Communities Strategy, $240 million will be provided over the next four years to assist families and communities at risk and enhance community capacity, including in regional and remote areas. It includes the development of local solutions in response to declining rates of social and economic participation. Indigenous Australians will benefit from the strategy’s projects and initiatives. For example, under the Stronger Families Fund Initiative, a number of projects will be developed with indigenous communities and will utilise opportunities for linkages with other initiatives including the National Indigenous English Literacy, Numeracy and Attendance Strategy. As well as participation in such initiatives, indigenous communities and individuals will also benefit by the Government’s commitments in the 2000‑01 Budget to improving health and community infrastructure in regional and rural Australia.
This Government is strongly committed to efforts to address the high incidence of family violence in indigenous communities. As Minister for Aboriginal and Torres Strait Islander Affairs, I convened a Round Table of people from indigenous communities and workers in the family violence field to discuss present problems and possible solutions. The outcomes from that 5 July 1999 meeting formed an integral part of a national strategy developed jointly by ATSIC and the Commonwealth and endorsed by the Ministerial Council for Aboriginal and Torres Strait Islander Affairs (MCATSIA) on 10 September 1999. The strategy focuses on a range of areas including alcohol misuse and the better targeting of existing resources to support community driven initiatives. A MCATSIA working group of Commonwealth, State and Territory officials, ATSIC and Torres Strait Regional Authority (TSRA) representatives and the Round Table participants has been established to implement the strategy and will continue to work through the coming months. It will identify regions where a whole‑of‑government community driven approach can be trialed. 
The Government has also committed $6 million to 2002‑03 for an Indigenous Family Violence Grants Programme under the Partnerships Against Domestic Violence initiative. These grants will provide practical and flexible support for grassroots projects to reduce family violence in Aboriginal and Torres Strait Islander communities by:
•	Supporting community based organisations to develop innovative ways of reducing and preventing family violence in Aboriginal and Torres Strait Islander communities; and
•	Supporting projects with a holistic approach, which address the social, emotional and cultural wellbeing of the whole community and increase the long‑term capacity of communities to respond to family violence.
The Government’s response to the Human Rights and Equal Opportunity Commission’s Bringing Them Home report on past family separation practices, included a comprehensive package of initiatives. The four year $63 million package will facilitate family reunion and assist indigenous people with the trauma of family separation. The Government’s aim of developing a national network of Link‑Up family reunion services is progressing well. In December 1999 South Australians were able to access their own Link‑Up service for the first time. New information technology equipment is being distributed to Link‑Up providers where required and new systems are being finalised to promote greater coordination between Link‑Up services and related agencies nationally. A toll‑free Link‑Up telephone number (1800‑624‑332) currently operating in several States has received hundreds of calls already and is expected to be progressively extended to other Link‑Up services.
As part of the Government’s Bringing Them Home package, a number of innovative family and parenting support projects are being undertaken. Examples include a home visiting programme to support indigenous mothers in Western Australia, the development of an adolescent parenting programme in North Queensland and the distribution of parenting pamphlets in South Australian community‑controlled health centres.

The Importance of Land and Cultural Heritage
This Budget demonstrates the Government’s commitment to providing indigenous people with opportunities to use and own culturally or economically important land. It is estimated that $191.9 million will be spent on land and native title in 2000‑01, excluding potential native title payments to the States and Territories.  
Already 15 per cent of the Australian continent is Aboriginal owned or controlled, largely as a result of land provision policies and legislation pre‑dating the recognition of native title.
In 1998 the Government substantially amended the Native Title Act 1993 to make it workable in the interests of all stakeholders. The new scheme for native title representative bodies is scheduled to come into effect in July 2000. The Government is continuing to provide significant funding to native title representative bodies, to the National Native Title Tribunal and to the Federal Court for its native title responsibility.  
Since 1996, the Government has returned ten parcels of land under the Aboriginal Land Rights (Northern Territory) Act 1976 to Aboriginal traditional owners in the Northern Territory. This includes six so far in 1999‑2000. The Government is considering reforming the Act following extensive public consultation and two years of review by Mr John Reeves QC and the House of Representatives Standing Committee on Aboriginal and Torres Strait Islander Affairs.
The Aboriginal and Torres Strait Islander Heritage Protection Bill 1998 is proposed to replace the Aboriginal and Torres Strait Islander Heritage Protection Act 1984. This will provide an improved Commonwealth regime for dealing with applications for heritage protection and a system of accreditation of State and Territory indigenous cultural heritage protection regimes which meet certain standards. The Bill is the culmination of more than four years review including substantial public consultation and extensive parliamentary scrutiny of Government proposals. Several States are actively reviewing their indigenous cultural heritage protection regimes with a view to meeting the proposed Commonwealth standards for accreditation.

Law and Justice
The Government is committed to helping reduce the level of indigenous contact with the criminal justice system. It is significantly increasing its commitment to preventative and diversionary projects, as well as providing funding for Aboriginal interpreter services to address the specific needs of indigenous young people in the Northern Territory. 
Another Government objective is to ensure Aboriginal Legal Services provide high quality, accessible legal assistance to indigenous people. Funding for these services has doubled in real terms since the 1990 Royal Commission. The Government is also continuing a range of best practice reforms, including the development of national minimum service standards in the provision of legal services. A major focus of these reforms is to ensure that indigenous women and victims of crime have access to appropriate services.
The legal service reforms link with the Government’s continued efforts through innovative and effective preventative initiatives including the establishment of family violence prevention units to address the high incidence of violence in many indigenous communities. 

Having a Greater Say
The 1999 ATSIC elections mark another milestone in the Commission’s 10-year history. The Government’s support of ATSIC’s February 1998 recommendations and subsequent legislative amendment to the Aboriginal and Torres Strait Islander Commission Act 1989, means the Commission has its first fully elected board of Commissioners. The Government also implemented reforms to other electoral processes leading to fairer representation on regional councils. The Government is committed to giving Aboriginal and Torres Strait Islander people a greater say. It is pleasing to see there has been a significant increase in the number of women elected to regional councils since the 1996 elections.
A major ATSIC restructure of its administrative arm will result in many of its functions moving to regional areas. The aim is to improve the responsiveness of ATSIC’s administrative arm.
The Government recognises that Torres Strait Islanders have a distinct identity and culture. We have acknowledged calls for greater autonomy by separating the budgets of ATSIC and the TSRA. The Government is also preparing legislation to separate TSRA administration from ATSIC and responding, in cooperation with the Queensland Government, to recommendations made by the House of Representatives Standing Committee’s report on furthering autonomy in the region. As an important first step, the Queensland and Commonwealth governments have given priority to considering an amalgamation of the Torres Strait Regional Authority (TSRA) and the Island Coordinating Council (ICC) into a new body.

Reconciliation
On 26 August 1999, both Houses of Federal Parliament endorsed the Government’s historic Motion of Reconciliation. Through the Motion, the Parliament:
 (a)	reaffirms its wholehearted commitment to the cause of reconciliation between indigenous and non‑indigenous Australians as an important national priority for Australians; 
(b)	recognising the achievements of the Australian nation, commits to work together to strengthen the bonds that unite us, to respect and appreciate our differences and to build a fair and prosperous future in which we can all share; 
(c)	reaffirms the central importance of practical measures leading to practical results that address the profound economic and social disadvantage which continues to be experienced by many indigenous Australians; 
(d)	recognises the importance of understanding the shared history of indigenous and non‑indigenous Australians and the need to acknowledge openly the wrongs and injustices of Australia's past; 
(e)	acknowledges that the mistreatment of many indigenous Australians over a significant period represents the most blemished chapter in our international history; 
(f)	expresses its deep and sincere regret that indigenous Australians suffered injustices under the practices of past generations, and for the hurt and trauma that many indigenous people continue to feel as a consequence of those practices; and
(g)	believes that we, having achieved so much as a nation, can now move forward together for the benefit of all Australians. 
The year 2001 marks this nation’s Centenary of Federation and should be a time to focus on those things that unite us as Australians rather than those things that divide us. 
In 1991 the Council for Aboriginal Reconciliation was established by a unanimous vote of the Parliament for a nine‑year term to the end of the year 2000. During this time, reconciliation has truly become a ‘peoples’ movement’ with practical support for the process coming from individuals, community groups, peak organisations, business, industry and governments. The Government continues to support the three general aims of the Council for Aboriginal Reconciliation:
•	acknowledging and respecting indigenous Australians through a national document of reconciliation;
•	encouraging partnerships between governments, business, peak organisations and community organisations to achieve social and economic equality for indigenous people; and
•	making reconciliation the aim of all Australians in their communities, workplaces and organisations.
On 27 May 2000, the Council will release its document of reconciliation proposals, at the Sydney Opera House in an event called Corroboree 2000. The document will provide directions for the nation to consider as we look forward to continuing our national journey on the path towards reconciliation.

Funding Where It Is Most Needed
A particular focus of this Government has been targeting funding to where it is most needed and ensuring that appropriate accountability mechanisms are in place to ensure funding actually reaches those in need.
In line with our 1999 commitment, the Commonwealth Grants Commission (CGC) was asked to develop measures of relative disadvantage which could be used to target resources more effectively to indigenous groups with the greatest need. The 1999‑2000 Budget set aside $5.7 million over two years to enable the CGC to conduct a detailed and wide‑ranging inquiry. The required changes to the CGC legislation were passed by Parliament on 2 September 1999. The project is well on track with the CGC having developed a comprehensive plan including a schedule of consultations with indigenous communities. In February 2000, the Commission released a discussion paper on the inquiry and called for submissions. The Inquiry is expected to be completed in March 2001.
The Government’s 1997‑98 Aboriginal and Torres Strait Islander Portfolio four‑year funding guarantee is expected to be reviewed during 2000‑01 including a pricing review of many portfolio outputs. The pricing review will evaluate the efficiency of current service delivery. This efficiency assurance process ensures that the best use is made of indigenous‑specific funding. The Government has given a new positive direction to achieving results with resources targeted for indigenous Australians.

Appendix
The following table provides a summary of expenditure on indigenous‑specific outputs by each portfolio on an accrual basis1. The 2000‑01 column details Budget estimates for this year. The 1999‑2000 revised estimates column provides an update of the figures provided in last year’s statement, A Better Future for Indigenous Australians. 

Notes to Table
1.	For comparability, the 1998‑99, 1999‑2000 and 2000‑01 estimates have all been presented on an accrual basis. However, it should be noted that there might be variations in the methodology used from agency to agency. 
2.	As some agencies were unable to provide actual 1998‑99 information in a consistent basis with estimates for 1999‑2000 and 2000‑01, the 1998‑99 column reproduces the revised estimates published in last year’s statement, A Better Future for Indigenous Australians. If items have been reported for the first time in this year’s table, both the 1998‑99 actual and the 1999‑2000 revised estimates have been provided, where relevant, for comparison purposes.
3.	Expenditure is dependent on States and Territories signing agreements with the Commonwealth and on each of the jurisdictions incurring relevant costs. Whilst a provision of $7 million had been made in the revised estimates for 1998‑99, no expenditure was incurred in that year. No expenditure is now anticipated for 1999‑2000.
4.	This five‑year strategy ended in 1999‑2000.
5.	One‑off funding for grants, forums or other special projects.
6.	The 1998‑99 funding for Aboriginal and Torres Strait Islander Heritage Protection Act 1984 is included in ATSIC.
7.	Project work in the Torres Strait ended in 1998‑99.
8.	The significant variation between 1999‑2000 and 2000‑01 is due to retrospective payments for CDEP participants, and the maintenance of current income test arrangements for CDEP sole parent participants, both of which flow from legislative amendments in 1999‑2000. The effects of the amendments are almost completely limited to 1999‑2000.
9.	The 1998‑99 revised estimates could not be presented in the same structure as the two following financial years.
10.	The continuation of Indigenous Coordinated Care services have been included in the Aboriginal and Torres Strait Islander Primary Health Care Access programme. The remaining 2000‑01 funding relates to the finalisation of contractual obligations under the former Indigenous Coordinated Care Trials.
11.	The variation in the Reconciliation estimates are due to some 2000‑01 funding brought forward to 1999‑2000 to accommodate the costs of Corroboree 2000 and also due to the fact that the Council for Aboriginal Reconciliation ceases operation in January 2001.
12.	The 2000‑01 Budget estimate for Local Government Financial Assistance Grants is based on the amount allocated to indigenous councils in 1999‑2000, increased by the estimated escalation factor for 2000‑01 Financial Assistance Grants. This figure is subject to change as State Grant Commissions are responsible for determining the distribution of the grants to councils in their respective jurisdictions and final allocations for 2000‑01 will not be known until August 2000.
13.	To avoid double‑counting, the Australian Bureau of Statistics figures do not include user‑funded surveys which are covered under user agencies’ estimates (For example, ATSIC).