The state budget, handed down by Treasurer Matt Kean on Tuesday, allocates $54.3m to the Goulburn based facility in 2022/23.

The previously announced money will fund new technology and training upgrades, a $750,000 gym and recreation centre, building refurbishments and $1m in driver training facility improvements, among other aspects.

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There is also an additional $3m for critical incident response training facilities.

Goulburn MP Wendy Tuckerman, a former AFP detective, welcomed the expenditure.

It complements a $95.3m allocation to bring in another 550 police officers in 2022/23. The government has promised to recruit 1500 officers in four years.

The Academy has also been chosen as the site for a new $25 million police station. In 2022/23, a total $13.29m is set aside for the project, due for completion in 2024. The infrastructure will leave the current Sloane Street buildings vacant.

Ms Tuckerman lauded the budget as "transformational" which gave "steadfast support" for families and businesses in the Goulburn electorate.

It includes an expected $103.7bn in revenue and expenditure of $120.3bn.

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Mr Kean forecast a budget deficit of $16.6 billion for 2021/22, improving to $11.3bn in 2022/23.

"I am particularly pleased to see up to $5bn over 10 years will be invested to establish the Affordable and Accessible Childcare and Economic Participation Fund, which is part of a package of early childhood education and care reforms, including universal pre-kindergarten and affordable preschool," Ms Tuckerman said in a statement.

"This Budget also provides comprehensive measures to boost family budgets, and more investment to drive women's opportunity as well as reducing the tax burden of buying a first home."

Ms Tuckerman also pointed to $2.4 billion over 10 years to attract doctors and nurses to rural and regional hospitals.

In addition, the budget allocates $15m for key health worker accommodation across the Southern NSW Local Health District.

Goulburn Hospital's $165m redevelopment will continue, thanks to a $26m allocation in 2022/23, and $283,000 is set aside for upgrades to Yass Hospital.

Statewide, the document includes $408m to fast track elective surgery delayed as a result of COVID-19.

"Pleasingly, this investment will...provide additional workforce to support our health workers," Mrs Tuckerman said.

"Despite the challenges of the past few years, we expect elective surgery to be operating at up to 125 per cent of pre-pandemic capacity very soon thanks to our incredible frontline health workers."

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The MP also welcomed a $149.5m expansion of the Isolated Patients Travel and Accommodation Assistance Scheme (IPTAAS).

The subsidy for people requiring accommodation will be almost doubled. The government will nearly double the private vehicle subsidy rate from 22 cents to 40 cents per kilometre for patients who have to travel more than 100 kilometres for care.

Other specific funding for the Goulburn electorate includes:

The budget also allocates $139m for renewal of TAFE assets but it's not clear at this stage whether Goulburn's campus will be included.

More broadly, there is $835.6m to upgrade the regional rail fleet, replacing the aged XPTs, Xplorer and Endeavour trains. This money was previously announced.

While more focus has been placed on fast-rail planning from Sydney to Newcastle and the Central Coast, Ms Tuckerman said a slice of $39.8 billion for public transport and roads would include similar planning for the Sydney to Canberra corridor.

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The electorate is also expected to benefit from a $1.3bn expansion of the Regional Growth Fund and an extra $250m for the Stronger Communities Fund.

Ms Tuckerman said the $2.8bn housing package, including tax reform, would help new homebuyers enter the market and provide new and upgraded social homes in regional areas for frontline workers and for First Nations people.

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