Victoria's budget maintains a surplus, albeit contracted due to the property downturn, and delivers on the state Labor government's election promises.
There's a $1 billion surplus for 2019/20 followed by a cumulative $10.3 billion in surpluses through to 2022/23.
In a budget dubbed "Delivering for all Victorians" Premier Daniel Andrews' government has set about doing just that with the new announcements few and far between in a fiscal plan dedicated to turning election promises into reality.
"In this year's budget we're delivering on our positive plan we took to the election," Treasurer Tim Pallas told reporters on Monday.
After spending four years overhauling Victoria's transport network, the government will continue with $27.4 billion towards suburban infrastructure.
The government will fully fund the North East Link to the tune of $15.8 billion and has allocated $6.6 billion to remove 25 more level crossings - a trademark project of its first term in power.
A new announcement in rail is $2.1 billion for a Sunbury line upgrade to cope with the Metro Tunnel when it opens.
Headline health promises - two new hospitals in Footscray and Frankston - are also funded.
Mr Pallas delayed the budget by a month because of the federal election and told reporters on Monday there was a $2.6 billion difference in his plans because of the coalition's win in Canberra. This was attributed mainly to federal Labor's promised $2 billion for the Metro Tunnel which now isn't on the table.
Total taxation revenue is forecast to grow by $24.3 billion in 2019/20, but there has been a $5.2 billion hole blown across the forward estimates because a larger-than-predicted property downturn.
The budget papers reveal there was a 13.6 per cent drop in land transfer duties in 2018/19 and the fall will continue in the coming financial year.
Mr Pallas said the property market was showing signs of recovery. But he would not plan on a worst-case scenario because "I'm not leading the market or the economy down" and he expected the government's investment in infrastructure "will have profound" impacts on market sentiment.
Victoria is increasing its debt from $39 billion in 2019/20 to $54.9 billion in 2022/23 or 10 per cent of gross state product. Debt is predicted to rise to 12 per cent of GSP in the years after to fund the North East Link, Melbourne Airport rail and removal of an additional 25 level crossings by 2025.
To rake in a little more cash the government is targeting the top end of town, with tax hikes for foreign investors, luxury car owners and gold miners.
Mr Pallas defended the changes, saying tax increases had to be done in a way that did not cause a substantial burden to the broader community.
"But if you can buy a $200,000 Maserati I don't think you're going to be particularly phased by a small increase in the motor vehicle duty," Mr Pallas said.
The government is again changing payroll tax, dropping the regional rate and increasing the business tax-free threshold to $700,000.
