Show me the money: Barr asks Albanese for 50-50 partnership on stadium

In a significant stadium development, it can be revealed Chief Minister Andrew Barr has for the first time sent a letter to Mr Albanese and federal government powerbrokers seeking a 50-50 spending partnership.

It is hoped the letter - sent to Mr Albanese, Finance Minister Katy Gallagher, Treasurer Jim Chalmers and Infrastructure Minister Catherine King on March 5 - will be a pivotal moment in a 15-year stadium saga.

Mr Barr wants to build a 30,000-seat stadium at Bruce by 2033 and integrate it with the North Canberra Hospital, CIT and the Australian Institute of Sport.

But his plan hinges on a major financial contribution from the federal government after ditching his Civic stadium vision to nominate the old Raiders headquarters on Battye Street as his new preferred location.

An excerpt of the letter sent to Mr Albanese highlights the need for a new stadium as a key priority and the potential to "jointly develop" unused land at the AIS. It's unclear exactly how much Mr Barr asked for, but a stadium is expected to cost at least $500 million.

"The Chief Minister has written to the Prime Minister under the National Capital Investment Framework requesting a 50-50 funding split on the progression of the sports, health and education precinct (including a new stadium) in Bruce," a government spokeswoman said.

"Discussions are ongoing. We anticipate further details on the Commonwealth's plans for AIS precinct renewal will be announced this year."

The federal government has been tight-lipped about what funding will be allocated to the AIS in the budget next month after rejecting a $1 billion proposal to move the campus to South-East Queensland. It will instead upgrade existing facilities at the 64 hectare site in Bruce, which will cost at least $200 million.

The Australian Sports Commission - a federal government agency - owns the AIS and Canberra Stadium. The ACT government pays $350,000 per year to lease the stadium for sports and events.

Mr Barr first floated a plan to knockdown and rebuild Canberra Stadium when he was sports minister in 2009. There have been many variations of the plan over the past 15 years - including relocating to Civic, Exhibition Park, a staged rebuild of the existing venue and options with and without roofs.

But Mr Barr has faced increasing pressure more recently after saying Commonwealth investment would be easier to secure with a Labor federal government led by Mr Albanese.

With time running out before a federal election next year, Mr Barr has finally taken the plunge to make a formal approach after being buoyed by Mr Albanese's $240 million pledge last year to contribute to the costs of building a stadium in Hobart for the AFL.

The AIS forms a key part of Mr Barr's vision to transform the land surrounding the stadium and the hospital after signing a memorandum of understanding with sports commission boss Kieren Perkins.

Mr Barr's letter to the federal government flagged the need for a "sports, medicine and education precinct (including a new stadium)".

"This proposal would replace an end-of-life stadium with a new precinct that includes stadium, sporting, housing, commercial and community facilities," the letter said.

"The ACT government would welcome further discussion on opportunities to jointly develop any land that may be divested as a result of decisions relating to the Australian Institute of Sport campus."

The future plans for - and in particular the cost - of a new stadium is expected to become a hot topic in ACT politics in the lead up the election later this year.

The government is awaiting a site analysis report it commissioned this year, but says it will not announce a formal stadium election plan until the campaign begins.

Canberra Liberals leader Elizabeth Lee has criticised Mr Barr for ongoing delays and said her party would put a Civic stadium back on the agenda if it was to win government.

"Under the Labor-Greens government the stadium saga has become a national embarrassment and Andrew Barr should hang his head in shame," Ms Lee said.

"The Canberra Liberals have long advocated for, and still standby our position, that any new stadium should be built in the city because of the broader economic and social benefits that it would bring to Canberra.

"In the lead up to the election in October the Canberra Liberals will have more to say when it comes to major infrastructure projects that will be about what offers the most economic, social and cultural benefit to the ACT."

ACT Greens leader Shane Rattenbury has given a strong indication his party will drop the need for a stadium down the priority list to focus on other areas. Asked if the party had settled on its stadium plan, a spokesperson said: "We're still working through this question, consulting with the community and our membership on what commitments we'll take to the coming election."