Labor dreaming of election 'fresh start' for NSW

The man hoping to snatch the NSW premiership away from Dominic Perrottet says pork barrelling has found its way into the marrow of the government and the state needs a "fresh start".

Cheered on by a crowd of party faithful gathered in the battleground western Sydney seat of Penrith for Labor's unofficial campaign launch on Sunday, leader Chris Minns declared the coalition government's best days were behind it.

In a lengthy speech to about 300 party members including former premiers Bob Carr and Barrie Unsworth, Mr Minns said NSW was in the midst of a health crisis and its education system was in decline.

He said Mr Perrottet was presiding over a government that had become complacent after 12 years in power.

"We need a fresh start and Labor has a plan to deliver it," he said.

"What concerns me most, is that a lack of investment in schools is part of a much greater problem - a dramatic decline in the ability of the state government to deliver public education.

"Just one in five teachers now believe that they will be in the profession at the end of their working life."

Labor has committed to converting 10,000 temporary teaching roles to permanent jobs.

The pledge follows a difficult few days for the government on its economic credentials, including the release of a scathing auditor-general's report criticising its handling of bushfire recovery grants.

The scheme saw former deputy premier John Barilaro's office interfering to effectively exclude Labor-held electorates from receiving relief funds, the auditor-general found.

Pork barrelling had gotten into the "marrow" of the government, Mr Minns said.

Invoking former prime minister Tony Abbott, he said it was the "unwritten creed" of the NSW Rural Fire Service to muck in, work hard and save lives.

Mr Abbott, a volunteer with the Sydney Davidson brigade, was deployed to fight fires on the state's north coast near Tenterfield during the 2020 Black Summer crisis.

"The last thing a firefighter would think about while battling the flames whipping the gutters of a house is, I wonder who this person votes for," Mr Minns said.

Emergency funds should not be handed out with people's political preferences in mind, he said.

"I would have thought common decency would have stepped in long ago and no government would manipulate a process to see a community recover," he said.

"Unfortunately, that's what happens when a group of people have been in power for 12 years."

Mr Perrottet said this week he would consider possible improvements in light of the auditor-general's findings but denied the funding arrangements were pork barrelling.

The government later referred the report to the state's corruption watchdog, the Independent Commission Against Corruption.

Mr Perrottet defended his record on Sunday, telling reporters he ordered a review of the state's grants system shortly after becoming premier.

The review of the $4 billion-a-year grants program made 19 recommendations, all supported in principle by the government.

"I say to every community, whether it's been impacted by bushfires, floods or any natural disaster - we have provided significant support to get our communities back on their feet.

"I am completely committed in my capacity as premier to make sure every single person gets back on their feet."

The opposition said on Sunday if it won the March election it would introduce new laws to deal with government grant integrity, including ensuring grant programs have a designated decision maker and programs have transparent guidelines.

The party will also ensure any minister or decision maker who departs from guidelines when awarding grants justifies their decision in writing.

Penrith is currently held by Liberal MP Stuart Ayres on a margin of 1.3 per cent.

Labor will hold a formal campaign launch two weeks out from polling day.