United in counter-terrorism, but Federation divided on just about everything else

Australia's premiers have agreed to strengthen counter-terrorism laws, but at today's COAG meeting, that was about all that was agreed upon.

Intelligence agencies briefed leaders on the terror threat, achieving agreement for state terror laws to complement federal arrangements.

Prime Minister Tony Abbott said: "These are difficult and uncertain times".

"We're all in this together, keeping Australians safe."

The states have also been given $13 million to help engage and build closer ties with the Muslim communities.

Victorian premier Denis Napthine said he thought this was the "best way" to make our community safer.

South Australia's Jay Weatherill said Muslims were "valued citizens" of Australia.

While the state and federal governments were united against terror, there's friction in other areas of the Federation.

Western Australia's Colin Barnett said the distribution model for GST was "broken".

New South Wales premier Mike Baird said cuts to health and education funding was "not sustainable".

But there was some good news for childless couples - agreement on a streamlined approach to overseas adoptions.