BUSY: The Nelson Bay Road funding is part of $40 million pledged during the 2011 election campaign.
PORT Stephens has come out of this year's tough state budget somewhat victorious after more than $30 million was allocated for infrastructure work and a push was made to encourage new housing developments.
The big winner in the Port was Nelson Bay Road which received $10 million to continue planning and start construction of a dual carriage way from Bobs Farm to Anna Bay.
It is a vast improvement from the $3 million allocated last year and takes Port MP Craig Baumann a little closer to his $40 million election pledge.
Mr Baumann said the funds would see tenders for Nelson Bay Road called for by the end of the year with the $10 million worth of work completed by the next budget.
Other infrastructure winners were $11.4 million allocated to the already-pledged HealthOne Clinic in Raymond Terrace, $2.85 million for Lemon Tree Passage Road and $1.21 million for upgrades to social housing's commission homes.
Meanwhile $147,000 has also been allocated for design work on a new fire station at Salamander Bay to replace the dilapidated Nelson Bay station which Mr Baumann said could be located next to the new Salamander Bay ambulance station to create a emergency services hub.
Port Stephens MP Craig Baumann said he was "tickled pink" with the budget announcement given the tough economic climate.
"Under the current economic constraints its a very good and very fair budget [for Port Stephens]," he said.
A push for future residential development and the purchasing of newly built homes was also part of the budget, shining further light on the Port's proposed Kings Hill site - a development Mr Baumann said he was "very conscious" of.
Mr Baumann said one of the main pushes to encourage development was the changes to the First Home Owners Grant which will will jump from $7000 to $15,000 from October before decreasing back to $10,000 from January 1, 2014, for buyers of newly-constructed homes worth up to $650,000.
While cash has been handed out for infrastructure those working within the public sector in Port Stephens could suffer after it was announced that 10,000 jobs would be cut state-wide, in addition to the 5000 announced last year.
But Mr Baumann said it was unlikely that there would be mass sackings and believed the reductions would come as a part of "natural attrition" where existing staff would be trained to take the place of retiring or other staff members who were leaving.
"We have to live within our budget... that's a fact of life," Mr Baumann said.