Infrastructure Canada

Infrastructure Canada

November 10, 2014 15:23 ET

Federal Gas Tax Fund Delivers for Communities Across Canada

Second installment of annual $2 billion transfer available for municipal infrastructure

OTTAWA, ONTARIO--(Marketwired - Nov. 10, 2014) - Infrastructure Canada

The Honourable Denis Lebel, Minister of Infrastructure, Communities, and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec, announced today that the second installment of the federal Gas Tax Fund for 2014 is being made available to support municipal infrastructure.

The Government of Canada's annual $2-billion Gas Tax Fund for municipal infrastructure provides predictable, long-term funding for Canadian municipalities to help them build and revitalize their local infrastructure while creating jobs and long-term prosperity. Including the 2014 installments, the Gas Tax Fund has made $15 billion available to support municipal infrastructure to date.

Since 2006, our Government has made significant improvements to the Gas Tax Fund:

  • In 2007 it was extended,
  • In 2009 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, meaning that it will grow by $1.8 billion over the next decade.

Quick Facts

  • Federal Gas Tax funding is provided up front, twice a year to provincial/territorial governments and/or municipal associations, who administer the program across each province or territory. Projects are chosen by local governments and support the local infrastructure priorities of each community.
  • Since the categories for eligible investment have been expanded, 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 and 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 provides $53 billion in funding to communities across the country over the next decade.
  • By enshrining these commitments in legislation, provinces, territories and municipalities are assured of ongoing funding to address their municipal infrastructure needs and priorities.
  • Federal Gas Tax Fund payments flow twice a year, generally in July and November, to provincial and territorial governments. Provinces and territories and, in some cases, municipal associations, in turn, distribute the municipal allocations in accordance with the terms and conditions set out in their respective funding agreements with municipalities. The actual timing of the second payment varies, depending on the administrative requirements in respective agreements with each province or territory.

Quotes

"The Harper Government is committed to investing in public infrastructure to enhance our economic productivity and create jobs and economic growth across Canada. Through the federal Gas Tax Fund, our Government is demonstrating this ongoing commitment by providing stable, predictable funding to all municipalities, so that Canadian communities can address their local infrastructure priorities. The second payment for 2014 will support thousands of infrastructure projects across the country. "

The Honourable Denis Lebel, Minister of Infrastructure, Communities, and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec

Associated Links

To learn more about the federal Gas Tax Fund visit: http://www.infrastructure.gc.ca/plan/gtf-fte-eng.html

For additional information on the New Building Canada Plan, visit: http://www.infrastructure.gc.ca/plan/plan-eng.html

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

Backgrounder

FEDERAL GAS TAX FUND ALLOCATIONS BY PROVINCE & TERRITORY

Provincial and Territorial Gas Tax Fund Allocations (in thousands of dollars)
Jurisdiction2014-152015-162016-172017-182018-19Total
Newfoundland and Labrador$29,865$29,865$31,358$31,358$32,852$155,298
Prince Edward Island$15,000$15,000$15,750$15,750$16,500$78,000
Nova Scotia$53,226$53,226$55,887$55,887$58,549$276,776
New Brunswick$43,322$43,322$45,488$45,488$47,655$225,276
Quebec$458,219$458,219$481,130$481,130$504,041$2,382,738
Ontario$744,949$744,949$782,196$782,196$819,444$3,873,735
Manitoba$65,471$65,471$68,744$68,744$72,018$340,448
Saskatchewan$56,290$56,290$59,104$59,104$61,919$292,707
Alberta$208,651$208,651$219,083$219,083$229,516$1,084,983
British Columbia$253,277$253,277$265,941$265,941$278,605$1,317,040
Yukon$15,000$15,000$15,750$15,750$16,500$78,000
Northwest Territories$15,000$15,000$15,750$15,750$16,500$78,000
Nunavut$15,000$15,000$15,750$15,750$16,500$78,000
First Nations$26,731$26,731$28,067$28,067$29,404$138,999
Total$2,000,000$2,000,000$2,100,000$2,100,000$2,200,000$10,400,000

Allocations from 2014-15 to 2018-19 are based on census 2011 data. For 2019-2020 to 2023-2024 the allocations will be updated to reflect 2016 census data.

Contact Information

  • Vincent Rabault, Press Secretary
    Office of the Minister of Infrastructure,
    Communities and Intergovernmental Affairs,
    and Minister of the Economic Development Agency of Canada
    for the Regions of Quebec
    613-943-1848

    Infrastructure Canada
    613-960-9251
    Toll free: 1-877-250-7154
    media@infc.gc.ca
    Follow us on Twitter at @INFC_eng