Next week's NSW budget will include $4.4 million for a transport interchange at the busy gateway to Birubi beach and the Stockton sand dunes.
Port Stephens mayor Ryan Palmer has described the project as a "game changer" for residents and the thousands of tourists, beachgoers, fishers and four-wheel-drive enthusiasts who visit the area every year.
Anna Bay residents have been crying out for work to start on the interchange, which they hope will relieve parking and traffic chaos in busy periods.
The interchange will have parking for more than 50 cars, coach drop-off areas, four-wheel-drive access to the dunes and space for tourism operators how based in the lower car park at Birubi beach.
Treasurer Dominic Perrottet said on Sunday that the budget would include $4.4 million for the project.
The budget will also include $4.8 million of the $6.279 million promised last year for an Aboriginal museum and cultural hub at Lovedale, in the Hunter Valley vineyards.
Wonnarua Nation Aboriginal Corporation plans to build the Madoo Museum on land owned by Sydney entrepreneur Jerry Schwartz.
The museum will house the Morrison Collection of Hunter Aboriginal artefacts now at the Australian Museum in Sydney.
A spokesperson for the Department of Regional NSW said the $4.8 million had been allocated for the coming financial year and the government remained committed to the remaining $1.479 million.
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