A new cultural precinct in Canberra is a step closer after funding to examine options for a site to hold the repatriated ancestral remains of Indigenous Australians was included in the federal budget.
The government will spend $4.7 million in the next financial year on a detailed business case for the establishment of the so-called Ngurra Cultural Precinct.
The precinct would include a National Resting Place for the "respectful holding of repatriated ancestral remains", the budget papers said.
With a preliminary study already completed, the business case would scope possible locations for the new precinct and assess what other features the development might include.
There is no timeframe for when the study might be completed and presented to the federal government for consideration.
Treasurer Josh Frydenberg's third federal budget contained few other surprises from a Canberra perspective, after major new spending promises were announced earlier this week.
The Morrison government has committed $167 million for transport infrastructure in the nation's capital, a sum which includes a $132 million contribution to the extension of light rail from Alinga Street to Commonwealth Park and $26.5 million to duplicate the remaining sections of William Hovell Drive.
The budget papers confirmed a significant funding injection for Canberra's cultural institutions, including $34.6 million for the National Gallery and $6 million for the National Museum. Some $11 million to support repairs at Old Parliament House has also been allocated. The federal government last week agreed to split costs with the ACT on a new fund to support victims of the deadly Mr Fluffy loose-fill asbestos.
The Commonwealth's contribution of up to $8 million toward the new fund has been allocated entirely in the 2021-22 financial year, the budget papers showed.
The new fund was announced just days before the death of mesothelioma sufferer James Wallner, whose advocacy was the driving force behind its creation.
The federal budget also confirmed a $800,000 contribution toward a new holocaust museum and education centre in Canberra.
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