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New GAIC Funding Round

On 22 October 2024, the Government announced a new GAIC funding round, which will make available $150 million. The funding round will focus primarily on transport, like buses, services, stations, interchanges, intersections, roads, bike paths and walking paths.

Information regarding the timing and delivery of this funding round will be made available in due course.

Growing Outer-Suburban Communities Get More Funding | Premier

2023-2024 GAIC funding round outcomes 

Applications closed on 27 October 2023 and successful applicants were announced on 24 April 2024.

37 projects will be supported as a part of the 2023-2024 Growth Areas Infrastructure Contribution Funding Round. A total investment package of $401,331,656 million has been approved and includes:

  • 10 projects from the Growth Areas Public Transport Fund totalling over $160 million, and
  • 27 projects from the Building New Communities Fund totalling over $241.3 million

The Growth Areas Infrastructure Contribution Program will help fund essential infrastructure to create resilient and liveable communities in Melbourne’s fastest growing suburbs in the seven major growth area councils of Cardinia, Casey, Hume, Melton, Mitchell, Whittlesea and Wyndham.

For queries, please contact the Growth Areas Infrastructure Contribution team within State Planning Services at gaic@transport.vic.gov.au.

Growth areas public transport fund

  • New and extended bus services to the growth area of Cardinia around officer – routes 925, 928 – $22,619,000

  • Extended bus service on Casey Bells Road in Casey – Route 831 – $23,670,000
  • Bus service extension to Clyde North via Hardys Road in Casey – Route 798 – $16,227,000

  • Sunbury Station car park and access paths upgrade – $1,867,000
  • Roxburgh Park Train Station upgrade – $331,347
  • Bus service extension – Route 543 to Craigieburn Central – $13,145,597
  • New bus service – Kalkallo to Olivine via Donnybrook Station – Route 524 – $16,406,739

  • Williams Landing Station upgrade – $4,552,596
  • A new bus connection between Harpley Estate and Cornerstone Estate communities, and Wyndham Vale Station – $21,473,000
  • Delivery of a fixed route services to residential areas currently reliant of the Tarneit North FlexiRide which is over capacity. The modified route will also provide a link between Tarneit Station and the employment area of Laverton North – $39,732,000

Building new communities fund

  • McGregor Road duplication and Henty Street signalisation – $6,000,000
  • Princes Highway/Arena Parade intersection upgrade – $2,800,000
  • Pakenham Drake Place reconfiguration – $8,400,000
  • Land acquisition and construction to extend John Street and provide access to Pakenham Community Hospital – $4,300,000
  • VICSES Officer Unit roadworks and sewer headworks – $1,307,000

  • Craig Road shared user path design and construction – $1,333,860
  • Soldiers Road shared user path development – $555,673
  • Land acquisition for new CFA Clyde Fire Station – $4,230,000

  • Expansion of the dialysis/chemotherapy floor area at the Sunbury Community Hospital – $2,920,000
  • Land acquisition and construction of a Type C VICSES facility in Kalkallo – $1,800,000
  • New pedestrian and bike bridge on Toyon Road across Merri Creek at Kalkallo – $1,206,090
  • Land acquisition and construction of a satellite VICSES facility in Sunbury – $5,941,194

  • New shared user path on Ferris Road in Melton – $4,000,000
  • Land acquisition of proposed government school site in Aintree North – $15,136,000
  • New school construction: Cobblebank Secondary School – $35,472,000
  • New shared user path between Grand boulevard and Sheahan Road and widening of Hopkins Road, Rockbank – $11,000,000
  • Active transport connections at Taylors Road in Deanside – $1,350,872
  • New active transport connections along Vineyard Road to provide greater access to Diggers Rest Train Station – $940,960

  • New multi-purpose community centre in Wallara waters – $9,600,000

  • Mernda Aquatic Precinct Transport Infrastructure Project – $10,000,000
  • Darebin Creek Trail shared use path – Greenbrook Drive to Epping Station, Epping – $800,000
  • Ferres Boulevard shared use path – Findon Road to South Morang Station, South Morang – $800,000

  • Ison Road overpass – $60,000,000
  • Acquisition of a proposed government school site in Wollahra – $29,392,000
  • Construction of a new Ambulance Victoria branch in Wyndham Vale – $7,960,920
  • Land acquisition and construction of VICSES facility in Wyndham Vale – $12,260,808
  • Land acquisition and construction of VICSES facility in Tarneit – $1,800,000

What is GAIC?

GAIC (growth areas infrastructure contribution) is a fee collected in Melbourne's expanding suburbs to fund infrastructure development.

It is paid when buying or developing a large piece of land.

The fees are collected by the State Revenue Office (SRO) and distributed equally between two special purpose accounts:

  • The growth areas public transport fund
  • The building new communities fund.

GAIC was introduced in 2010 in the Planning and Environment Act 1987 Part 9B to respond to the challenges facing residents in the growth areas of Cardinia, Casey, Hume, Melton, Mitchell, Whittlesea and Wyndham. It is managed by the Minister for Planning and the Victorian Treasurer.

How funds are used

GAIC funds can be used for the purpose of state funded infrastructure projects located within the urban growth boundary of any seven growth area councils.

GAIC funds must be spent in, or for the benefit of, any of the seven designated growth area councils. Funds are used for infrastructure projects like land acquisition, capital works and start-up operating costs for new public transport services.

GAIC funds are distributed to growth corridors broadly in proportion to the amount received over time.

The following project types are priorities for GAIC funds:

Growth Areas Public Transport Fund

  • new railway stations and associated works
  • new bus interchanges
  • future transport corridors
  • bus services for the first five years of operation
  • associated infrastructure for public transport such as car parking and access

Building New Communities Fund

  • primary and secondary government schools and other education facilities
  • state emergency services facilities including fire stations and ambulance stations
  • health, community health, wellbeing and family violence prevention facilities
  • justice facilities including courts and police stations
  • open space improvements
  • walking and cycling
  • regional level sporting and recreational facilities

View GAIC funded projects

How funds are allocated

Victorian Government departments (or agencies through the relevant department) can apply for funding to deliver important infrastructure projects that address the needs of growth communities.

Developers can seek to provide works or land for future state infrastructure in lieu of paying the contribution under a GAIC work-in-kind (WIK) agreement. This can offset all or some of a developer’s GAIC liability.

GAIC rates

The adjusted GAIC contributions are:

Land type Rate per hectare
2022-23
Rate per hectare
2023-24
Rate per hectare
2024-25
A
(section 201RC(2) of PEAct)
$103,260 $110,590 $115,530
B-1
(section 201RC(3) of PEAct)
B-2
(section 201RC(4) of PEAct)
C
(section 201RC(5) of PEAct)
$122,660 $131,360 $137,230

Information about payments, exemptions and GAIC certificates can be found on the SRO website.

WIK agreements

WIK agreements allow developers to provide land and/or capital infrastructure works in a growth area instead of a cash payment.

Two models have been prepared to assist with entering into and negotiating a WIK agreement.

Developers interested in entering into a WIK agreement should initially contact the VPA.

Two forms are available to assist in developing proposals:

WIK guidelines

WIK guidelines relate to the establishment and administration of WIK agreements. They explain why the model WIK agreements are drafted the way they are, and how they work.

The guidelines should be read in conjunction with Subdivision 2A of Part 9B of the Planning and Environment Act and the model WIK agreements.

Page last updated: 23/10/24

Status

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