Budget Review 2021–22 Index
James Haughton and Sally McNicol
These Indigenous Affairs budget briefs summarise Indigenous-specific
measures across portfolios, and provide some assessment of the likely effects
of relevant general measures on Aboriginal and Torres Strait Islander people. For
consistency with previous
budget briefs and with reporting frameworks such as the Overcoming
Indigenous Disadvantage reports, measures are grouped into the (former) Council
of Australian Governments (COAG) ‘Building
Blocks’. This brief covers measures related to education, employment, and
community safety (which fall chiefly within the National Indigenous Australians
Agency (NIAA) portfolio), while another Indigenous affairs brief covers
measures relating to health, governance and culture (including land) and
housing. All page references are to Budget
Measures: Budget Paper No. 2 2021–22 unless otherwise specified.
Overview
The NIAA describes its key
priorities (p. 213) as (in summary):
- protecting Indigenous communities from the impact of COVID-19
- mental health and youth suicide, community safety, education and
employment, particularly in remote areas
- the Indigenous Voice, constitutional recognition and the new
Closing the Gap Agreement and
- regional and local governance and Indigenous economic development.
In these priority
areas, measures related to COVID-19 and mental health are chiefly funded
through the health portfolio, so are covered in the other Indigenous Affairs budget
brief. There are no specific Budget measures related to the Indigenous Voice or
the new Closing the Gap framework. Minister Wyatt has flagged
that more measures will be announced mid-year when the Commonwealth completes
its Implementation Plan for the new National Agreement
on Closing the Gap, due by July 2021 (12 months after signing the National
Agreement). Thus the majority of NIAA portfolio measures in this Budget relate
to community safety, education, employment and economic development.
Within these areas, some new
Indigenous-specific measures with new funding (pp. 218–219) were announced,
but with the exception of the new $111.0 million Remote Jobs program, the majority
of Indigenous
Affairs portfolio announcements consist of reprogramming and
reprioritisation of existing NIAA funds. As the NIAA’s Evaluation
Framework is now in operation, such reprioritisations still have the
potential for substantial impact if they direct funding from less effective to
more effective programs.
The Opposition
and some
Indigenous peak bodies have criticised the government for not announcing Closing
the Gap measures in the Budget. Other Indigenous peak bodies have welcomed
the announced funding and said they need to see the details of future
Closing the Gap measures.
There is no additional ongoing non-health funding currently
incorporated in overall forward estimates, with ‘Assistance to Indigenous
Australians nec [not elsewhere covered]’ rising from $2,431 million in 2020–21
to $2,522 million in 2021–22 then falling to $2,347 million in 2022–23 (Budget
Strategy and Outlook: Budget Paper No. 1 2021–22, p. 199), partly as a
result of the longstanding National
Partnership on Northern Territory Remote Aboriginal Investment (formerly ‘Stronger
Futures in the Northern Territory’) expiring after this year. However, such
estimates are subject to change, and the Budget includes $3,815.5 million in spending
‘decisions taken but not yet announced’ across all portfolios, creating
potential fiscal scope for future announcements (p. 50).
Education and Early Childhood
Ensuring that Indigenous children have access to and attend high-quality
preschool education has long been seen as a key
component of closing the education gap, and is the subject of target
3 of the new Closing the Gap agreement. The new Guaranteeing Universal
Access to Preschool measure (p. 91) may assist this if funding is directed to culturally
appropriate (p. 78) services. Given lower attendance
rates in remote areas, tying of funding to attendance from 2024 may be a
concern. For more details see the Library’s budget brief titled Universal
access to pre-school.
The new National Early Childhood Program for Children with
Disability or Developmental Concerns measure (p. 178) may particularly benefit
Indigenous children if delivered in culturally
appropriate ways. In 2012, Aboriginal and Torres Strait Islander children
aged 0–14 years were more than
twice as likely as non-Indigenous children to have a disability (15.2%
compared with 6.6%).
The cross-portfolio measure Schools and Youth – supporting
students, teachers and young Australians (pp. 78–79) includes $16.6 million
managed by the NIAA to assist boarding school providers to Indigenous students
to remain financially sustainable under the impact of COVID-19.
The Indigenous Jobs and Skills Advancement measure (p. 173)
includes $63.5 million over four years from 2020–21 to support an additional 2,700
places in Indigenous girls’ academies, providing culturally appropriate support
to achieve year 12 and go on to further study or employment. However, this is
not accompanied by new money, so will most likely come out of existing NIAA
programs. The Government has previously been criticised (Recommendation 9, pp. 55–60) for prioritising
Indigenous boys’ academies and sports programs over programs for girls and
women. According to the Women’s
Budget Statement (p. 48) this measure will ‘ensure gender equity in the
provision of support for Indigenous students’.
Employment and Economic
Participation
Funding of $111.0 million over five years in new money has
been allocated towards piloting and rolling out the new Remote Jobs Program (RJP)
(p. 176), which is to replace the existing Community
Development Program (CDP). The CDP has been strongly criticised for the high
rates of suspensions and penalties levied on participants and is currently
the subject of a
class action alleging it is racially discriminatory, which is noted in Budget
Paper No. 1 (p. 284) as an unquantified contingent liability. An
independent evaluation
of the CDP found that
the program was only marginally effective at boosting employment rates, and
that community members on average thought the CDP made communities worse off.
During the
response to COVID-19 all CDP participation requirements were removed and
penalties suspended or waived for participants. The NIAA has
now stated that while the new RJP is being piloted, CDP mutual obligation
activities will be voluntary rather than compulsory, although looking-for-work
requirements still apply. The announcement that the new RJP will be co-designed
with Indigenous people will be welcomed by many Indigenous stakeholder
organisations, who have long advocated for a more
community-directed employment program.
Not Indigenous-specific, but likely to complement this
measure, is the Provision of Remote Services – continuation measure (p. 184)
which provides $99.3 million to Services Australia to deliver government
payments and services in remote locations. Indigenous people receiving ABSTUDY
Living Allowance and other social security payments will also benefit from the
$50 per fortnight increase in the base rate of working age payments (p. 181).
For more on these changes to Social Security payments, see the Library budget
brief titled Social
Security.
The Indigenous Jobs and Skills Advancement measure (p. 173) involves
a $243.6 million reprioritisation of existing funds, with no new money
attached. It includes:
- $128.4 million over three years for a new
Indigenous Skills and Employment Program to replace a number of existing
programs, commencing 1 July 2022 and complementing changes to the CDP
- $63.5 million over four years from 2020–21 for Indigenous girls’
academies, mentioned above
- $36.7 million over four years from 2020–21 to supplement funding
for the Prescribed Body Corporate (PBC) Capacity Building program, to support
recent amendments made by the Native Title
Legislation Amendment Act 2021 to the Native Title Act 1993. The
limited capacity of many PBCs to implement the reforms required by these
amendments was repeatedly raised in stakeholder submissions to the Senate Legal
and Constitutional Affairs Committee Inquiry
into the amendments (pp. 37–38).
- $10 million over two years from 2021–22 for Indigenous
enterprises and community organisations to improve their access to off-grid
solar power systems, stockyards, greenhouses and water security equipment. This
may build upon the JobMaker Plan (investment in new energy technologies
measure) that was included
in last year’s Budget, and
- $5 million in 2021–22 for grants to improve the food security of
remote Indigenous communities. This is possibly in response to the House of
Representatives Standing Committee on Indigenous Affairs’ recent Inquiry
into food pricing and food security in remote Indigenous communities.
Cuts that might be made
to other programs to accommodate these measures have not been identified.
The Women’s Economic Security Package measure (p. 81)
includes ‘$13.9 million over four years from 2021–22 to establish an Early Stage
Social Enterprise Foundation focused on providing capacity building and
financial support for early stage social enterprises that improve the safety
and economic security of Indigenous women’. According to the Women’s
Budget Statement (p. 46) ‘the Foundation will provide flexible loans and
grants to approximately 30 Australian social enterprises each year to support
Indigenous women entrepreneurs to innovate and solve social issues facing their
communities’, particularly women who have experienced domestic violence. This
is possibly a response to the Prime Minister’s Social
Impact Investing Taskforce, whose final report has not yet been released. An
Early Stage Social Enterprise support program was previously trialled by Indigenous
Business Australia (IBA) from 2013 to 2015, with mixed results.
Measures relating to the Indigenous arts industry are
discussed in the other Indigenous Affairs Library budget brief.
Community Safety
The Women’s Safety cross-portfolio measure (pp. 83–85)
includes two items specific to Aboriginal and Torres Strait Islander women and
children:
- $26.0 million over four years to better support Aboriginal and
Torres Strait Islander women and children who have experienced or are
experiencing family violence and
- $31.6 million over five years from 2021–22 for a dedicated
Aboriginal and Torres Strait Islander survey on safety and violence.
Aboriginal and Torres Strait Islander women experience
significantly higher rates
of family and domestic violence, and higher hospitalisation
rates due to family and domestic violence, than the general population average.
Reported victimisation rates differ between sources, so the new survey may
assist in clarifying the extent of victimisation and appropriately targeting
prevention and assistance measures. For general information on this measure see
the Library budget brief titled Women’s
safety and economic security.
The National Strategy to Prevent and Respond to Child Sexual
Abuse measure (pp. 174–175) includes a component ‘developing trauma-informed
and culturally appropriate approaches for Aboriginal and Torres Strait Islander
people’. It is not clear how much of the measure’s overall budget is devoted to
this component, but the NIAA will receive $10.9 million over four years as part
of the measure. Rates
of substantiated child sexual abuse of Aboriginal and Torres Strait
Islander children were approximately three times the rate of substantiated
sexual abuse of non-Indigenous children in 2017–18, although the many issues
affecting reporting of child abuse mean that such statistics should be used
with caution.
The Budget also includes a not-for-publication amount (p. 173)
for the Commonwealth’s settlement costs relating to compensating the Aboriginal
survivors of sexual and other abuse at the Garden Point Mission on Melville
Island in the Northern Territory (NT). A current
class action against the Commonwealth lodged in the New South Wales Supreme
Court by Stolen Generations survivors from the NT is listed in Budget
Paper No. 1 (p. 284) as an unquantifiable liability.
The Budget provides an unpublished amount to continue the
Cashless Debit Card (CDC) and Income Management programs (p. 179). Although
these programs are not Indigenous-specific, the majority of those
subject to income management in the Northern Territory (81%) and Western
Australia (67%), and the CDC locations of East Kimberley (83%) and Ceduna (76%),
are Indigenous. In all locations Indigenous participation in these programs is
disproportionate relative to their percentage of the Australian population (3.3%).
More detail, including recent evaluations and commentary, is provided in the
Library budget brief titled Cashless
Debit Card and Income Management.