MP Erin O’Toole: Federal Gas Tax Fund Supports Infrastructure in Durham
First Installment of annual $2 billion transfer now available for municipal infrastructure
PORT PERRY – Member of Parliament Erin O’Toole (Durham), on behalf of the Honourable Denis Lebel, Minister of Infrastructure, Communities and Intergovernmental Affairs, announced today that the first installment of the federal Gas Tax Fund for 2013 is being made available to support local infrastructure priorities. With this installment, $3,669,809 is being made available to Durham.
In Ontario, this has meant access to close to $4.8 billion to date for community projects. Starting this year, the renewed federal Gas Tax Fund is being indexed at two percent per year, which means that it will grow by $1.8 billion over the next decade. In addition, the number of eligible investment categories has doubled, allowing communities to apply their Gas Tax funding to a wider variety of projects to meet their particular infrastructure priorities.
MP O’Toole also met with municipal leaders on the Build Canada Plan and its specific program, the Small Communities Fund,dedicated for infrastructure needs of smaller communities. Joining MP O’Toole was MP Peter Braid, the Parliamentary Secretary to the Minister of Infrastructure who briefed leaders on how best to advance their local priorities under the Building Canada program. Scugog Mayor Mercier also showcased the Nonquon River Water Pollution Control Plan which is a priority infrastructure project for the Township of Scugog.
- The federal Gas Tax Fund transfer has provided $13 billion to Canadian communities to date. Over the 10-year life of the New Building Canada Plan from 2014 to 2024, the Gas Tax Fund will provide close to $22 billion in funding for municipalities.
- Federal Gas Tax funding is provided up front, twice a year and is administered across the province. Projects are chosen by local governments and support the local infrastructure priorities of each community.
- Thanks to new, expanded eligible investment categories, funding can now be spent in the following areas: drinking water; wastewater; solid waste; public transit; local roads and bridges; community energy systems; capacity building; disaster mitigation; broadband connectivity; highways; short-line rail; short-sea shipping; brownfield redevelopment; regional and local airports; and projects supporting culture, tourism, sport and recreation.
- The federal Gas Tax Fund is the largest component of the New Building Canada Plan, which will provide $53 billion in funding to communities across the country over the next decade.
- Since 2006, significant improvements have been made to the Gas Tax Fund:
- In 2007 it was extended through its original program end date to 2014,
- In 2008 it was doubled from $1 billion to $2 billion annually,
- In 2011 it was legislated as a permanent source of funding, and,
- In 2013 it was indexed at 2 percent per year.
- By enshrining these commitments in legislation, provinces, territories and municipalities are assured of an ongoing funding stream to address their municipal infrastructure needs and priorities.
“Through the federal Gas Tax Fund, our Government is providing stable, predictable funding so that communities, like Durham, can address their local infrastructure priorities. Our Government is proud to invest in important local infrastructure projects as they are critical to economic growth and job creation.”
To learn more about the Government of Canada’s focus on jobs and the economy consult Canada’s Economic Action Plan: http://www.eap.gc.ca
For additional information on the New Building Canada Plan, visit: http://www.infrastructure.gc.ca/plan/plan-eng.html
To learn more about the federal Gas Tax Fund visit: http://www.infrastructure.gc.ca/plan/gtf-fte-eng.html
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