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Fed Govt slammed over moves to bolster ACT La -

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ELEANOR HALL: Now to that intervention by Federal Senator Kate Lundy in the ACT election.

Ms Lundy promised $5 million in funding for Canberra Hospital, if Labor is re-elected in the Australian Capital Territory. It's provoked a heated response from Federal and ACT Liberals, as Lexi Metherell reports.

LEXI METHERELL: Labor has ruled since 2001 in the ACT but it's one of only three remaining state Labor governments. And as it heads to the polls this weekend, Federal Labor is pitching in.

The ACT Senator Kate Lundy has announced $5 million towards paediatric care in the Canberra Hospital Emergency Department.

KATE LUNDY: Serving children's needs in the Emergency Department is something that I think is very important to Canberrans.

LEXI METHERELL: But she says it's conditional on ACT Labor's re-election.

KATE LUNDY: It's a partnership. Obviously it comes with commitments that we've got from the ACT Government about what they'll contribute to the project. We haven't seen anything from the local Liberal Opposition about their health plan, I don't think anyone else has either, so we're certainly not in a position to be able to follow this through with any government other than a newly formed Labor government.

JEREMY HANSON: Kate Lundy should immediately clarify her comments, make it clear that this money, this $5 million should be provided regardless of whether it’s a Liberal government or Labor that's elected on Saturday.

LEXI METHERELL: The ACT Opposition's health spokesman Jeremy Hanson says a Liberal ACT government would agree to the same terms Labor has to secure the federal funding.

JEREMY HANSON: Well of course we would, but for Kate Lundy on the eve of an election to essentially infer that it's only a re-elected Labor government that will receive this funding from the Federal Government to secure essentially funding from her Labor mates is despicable, and I think it will be seen for that, and the suggestion that she is putting her mate's re-election in front of sick children I think is despicable.

LEXI METHERELL: But the project isn't a done deal.

The Federal Health Minister's office says it hasn't been signed off on. It says it's subject to agreement on detailed proposal being put forward by the ACT Government.

Even then the funding would only come out of the 2014/15 budget, which is after the next federal election.

And it appears an ACT Liberal government wouldn't be locked out of a deal.

The Health Minister's office says if there is a change in government this weekend, any future arrangement would be the subject of talks with that government.

The Federal Opposition health spokesman, Peter Dutton.

PETER DUTTON: To say that somehow a policy is tied to a particular election outcome in the way in which the Senator has, I think is designed solely to try and trick and mislead the people of Canberra and I think most people could condemn Senator Lundy's comments.

LEXI METHERELL: Will you commit to providing this $5 million for this project at the Canberra Hospital regardless of the outcome this weekend in the ACT if the Federal Coalition wins office?

PETER DUTTON: We'll provide the support to whoever wins the next election in the ACT on the weekend but we know that Katy Gallagher doesn't have a good record when it comes to health and I think most people realise now that this really has been a major gaffe by Labor on the eve of what's a very, very important election.

LEXI METHERELL: Will you commit a Coalition government to this particular project though, a Federal Coalition government?

PETER DUTTON: Well, as I said yes.

ELEANOR HALL: That is the Federal Coalition's health spokesman, Peter Dutton, ending that report by Lexi Metherell.