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AAP
AAP
Politics
Ethan James

Tas election grants lawful, say Libs

Tasmanian Treasurer Michael Ferguson has fronted an inquiry examining a grants funding process. (Josh Agnew/AAP PHOTOS) (AAP)

Tasmania's treasurer has defended the state Liberal government's controversial process for funding 111 election grants, saying it was used because of an enthusiasm to see money delivered quickly.

Funding for the community grants, totalling almost $2.5 million, was drawn from the treasurer's reserve via a process designed for "unforeseen spending".

State Labor and the Greens have criticised the funding process, saying it lacked transparency and avoided parliamentary scrutiny.

Treasurer Michael Ferguson on Monday fronted a parliamentary committee inquiry examining the grant funding process, defending it as "entirely lawful".

He was asked why the treasurer's reserve was used and why the funding for the 111 grants didn't go through budget bills.

"It (was) an enthusiasm by the government to see as many election commitments being honoured at the soonest possible time," Mr Ferguson said.

He wouldn't be drawn on the selection criteria for the grants, saying it was outside the inquiry's scope.

Mr Ferguson said the grants, part of the Local Community Facilities Fund, were 2021 election promises and he wouldn't share internal party deliberations about why certain projects were chosen.

Greens leader Cassy O'Connor said there were questions that still needed to be answered.

"More questions still surround whether all ... projects were publicly announced during the election campaign and how many - if any - were submitted to treasury for costing," she said in a statement.

The inquiry heard funding for Local Community Facilities Fund grants outside the 111 in question went through budget bills.

Department of Treasury and Finance secretary Tony Ferrall told the inquiry his department helped identify which grants had simple requirements.

"There was work done to work through which ones could be delivered by (the department of) communities relatively quickly, which is how the approximate 100 were identified," he said.

"I'm not aware of any particular documentation which would have ... 'this one could and this one couldn't and why'."

Labor leader Rebecca White accused Mr Ferguson of dodging accountability in relation to the criteria for the grants and their funding.

"This is taxpayers' money being used as a Liberal party slush fund. Taxpayers of Tasmania have every right to be appalled at the secrecy and cover-up surrounding it," she said.

Concerns have been raised about funding going to groups with links to the Liberal party.

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