New Infrastructure Funding for Local Communities Through a Municipal Top-Up

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On Tuesday, March 19, 2019, an announcement was made through the Federal Government budget that will have a significant impact on municipalities throughout the country. There will be a one-time transfer of 2.2 billion through the Gas Tax Fund that will now be used for municipality infrastructure – including recreation facility infrastructure. At Recreation Newfoundland and Labrador, we feel this will be of substantial benefit to our members.

Below is an excerpt from the Federal Government Budget stating what this one-time transfer involves:

New Infrastructure Funding for Local Communities Through a Municipal Top-Up

In 2015, the Government made a commitment to ensure that promised infrastructure investments in communities would be kept. Prior to that time, too often, money that had been budgeted for investment in communities was left unspent and unallocated—shortchanging cities and towns that needed those funds for important projects such as road maintenance, water infrastructure, public transit and recreational infrastructure.

Since 2015, the federal government has worked in partnership with provinces and territories to protect these infrastructure dollars, to ensure that they do not lapse and are available to flow to communities when projects are ready. The Government transferred remaining uncommitted funds from older federal infrastructure programs to municipalities through the federal Gas Tax Fund, and has ensured that the $81.2 billion in long-term infrastructure funding announced in Budget 2017 is available for jurisdictions when it is needed.

Because many municipalities across Canada continue to face serious infrastructure deficits, Budget 2019 proposes a one-time transfer of $2.2 billion through the federal Gas Tax Fund to address short-term priorities in municipalities and First Nation communities. This will double the Government’s commitment to municipalities in 2018–19 and will provide much needed infrastructure funds for communities of all sizes, all across the country.

More information can be found here.