Residential landlords will be offered financial incentives to significantly reduce rents for struggling tenants as part of a $214 million package to support Canberrans through the coronavirus crisis.
Chief Minister Andrew Barr has unveiled the second phase of the ACT government's economic "survival" plan, which follows a $137 million package announced last month.
The package includes $126 million worth of health spending initiatives to support the frontline response to the pandemic, including $23 million to establish a pop-up emergency department dedicated to treating coronavirus patients.
The cost of the 50-bed facility, to be delivered in partnership with medical research firm Aspen Medical, will be shared between the territory and federal governments.
The second tranche includes a number of measures to ease hip-pocket pressure on households and businesses hit hardest by the pandemic, which has triggered an economic collapse and forced thousands of people out of work.
Mr Barr said businesses which had seen a drop in revenue of 30 per cent or more would be the focus of the new incentives, although he said there would be some flexibility with the 30 per cent cut off.
In an initiative set to cost $39 million, the government will hand land tax and residential rate rebates to landlords who reduce rents for their tenants by at least 25 per cent.
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The rebate will be equal to half the amount of the rent reduction, up to a maximum of about $100 per week for the next six months.
Mr Barr said short-term tenancies between tenants and landlords who would use the new scheme may be used.
Compliance checks would also be carried out to ensure there was protection for tenants.
"We won't go down every burrow to find people doing the wrong thing, but we will randomly audit," Mr Barr said.
"The penalties for doing the wrong thing will be significant."
The Chief Minister said landlords would still have to bear some of the financial pain of the coming months.
The government will allow commercial landlords to apply for rate bill waivers, so they can provide rent relief to their tenants. The amount of relief will depend on how significantly a business has been affected by the crisis.
"The government cannot offer this support alone and commercial landlords will need to play their part," Mr Barr said.
"Most will not be making money through this period, and cost-sharing or the deferrals of losses will have to occur between government, landlords, tenants and financial institutions."
The ACT government will support Calvary Public Hospital in Bruce to establish dedicated coronavirus wards and expand the capacity of its intensive care unit.
New respiratory clinics, extra personal protection equipment for doctors and nurses, a 24/7 radiography service and resources for more testing and contract tracing will also be funded through the $126 million commitment.
Households experiencing "significant hardship" amid the crisis will be able to apply for a 12-month deferral of their residential rates bills. The government will also delay sending out the next quarterly rates bills by four weeks.
The second package includes $20 million for the ACT public service to hire staff on short-term contracts for cleaning, repairs and maintenance work. The fund will be targeted at casual workers who are not eligible for the federal government's $1500 per fortnight JobKeeper payment.
Small off-licence small businesses will also receive a 12-month waiver of liquor licencing fees from April.
Taxi drivers who lease plates from private owners will receive a one-off payment of $5000.
- For information on COVID-19, please go to the ACT Health website or the federal Health Department's website.
- You can also call the Coronavirus Health Information Line on 1800 020 080
- If you have serious symptoms, such as difficulty breathing, call Triple Zero (000)
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