First published in The Canberra Times

The Northern Territory government has backed federal moves to seize control of the troubled town camps of Alice Springs, saying it will "mean a better future for the entire community".

Federal Indigenous Affairs Minister Jenny Macklin on Sunday announced the Rudd government would take the first steps towards the compulsory acquisition of the camps.

It followed a decision by Tangentyere Council to reject an offer - on the table for more than a year - of $125 million to improve housing and health services. In exchange, the council would sign a 40-year lease.

Ms Macklin described the living conditions as "appalling" and said the camps were sites of "horrific crimes".

Her comments were backed by NT Chief Minister Paul Henderson, who on Monday said life in the camps was "unacceptable".

"We will now work with the Rudd government to make sure the children in these camps have a chance for a better life," he said.

"(It will) mean a better future for the entire community of Alice Springs ...

"We have been working closely with minister Macklin and the Rudd government throughout this process and fully support the moves to improve living conditions in these town camps."

The Commonwealth has made a number of threats to take control of the camps since March 2007, when former Howard government minister Mal Brough offered the council $60 million.

Tangentyere Council executive director William Tilmouth on Sunday accused the government of "shamefully implementing a discriminatory policy" created by the Liberal government.

The council rejected Ms Macklin's offer last Thursday.

But NT Indigenous Policy Minister Alison Anderson said the current situation in the town camps could not be allowed to continue.

"We need to act to improve housing, education and health and step up the fight against substance abuse, violence, child abuse and neglect," she said.

Ms Macklin has said acquisition will not take effect before July 6, and has urged Tangentyere to reconsider.