Infrastructure Canada

Infrastructure Canada
Governement of Alberta

July 09, 2009 12:07 ET

Infrastructure Partnership Provides $550 Million to Stimulate the Alberta Economy and Create Jobs

LEDUC, ALBERTA--(Marketwire - July 9, 2009) - Alberta's communities will benefit from another federal-provincial partnership to support infrastructure work across the province that will help stimulate the economy and create jobs. Rob Merrifield, Minister of State (Transport), along with Luke Ouellette, Minister of Alberta Transportation announced funding for 156 infrastructure projects valued at over half a billion dollars through the Infrastructure Stimulus Fund, under Canada's Economic Action Plan.

"Today, the Government of Canada announced investments in key infrastructure projects that will boost our economy and create jobs for Albertans," said Minister Merrifield. "The strong partnership between our two governments allows us to work together to ensure that Alberta's economy remains strong and productive during these challenging economic times."

"This co-investment in municipal infrastructure will address much-needed projects in our communities," said Minister Ouellette. "It will also help keep Albertans working - one of the province's priorities in these economic times."

The governments of Canada and Alberta announced funding of more than
$443 million for 156 community and provincial infrastructure projects across Alberta. Together with municipal and other contributions, the total investment in local infrastructure improvements in Alberta for the Infrastructure Stimulus Fund exceeds $550 million. Projects being funded will improve road safety and extend the life of highways and local roads, as well as improve wastewater treatment and drinking water quality. Today's announcement includes a joint funding contribution of close to $174 million for 95 municipal projects in communities of fewer than 100,000 residents.

The new federal $4-billion Infrastructure Stimulus Fund provides funding to provincial, territorial and municipal construction-ready infrastructure rehabilitation projects that will be built during this year's and next year's construction seasons. The Government of Canada's Economic Action Plan is accelerating and expanding the existing federal investment of $33 billion in infrastructure with almost $12 billion in new infrastructure stimulus funding over two years.

Central to Alberta's Budget 2009 is Alberta's Capital Plan, which supports $7.2 billion in 2009-10 and a record $23.2 billion over three years to build roads, health care facilities, schools and other public infrastructure. This year's investment alone will support over 80,000 jobs across the economy directly benefitting Albertans and Alberta communities. This capital investment complements the government's four-point plan for economic recovery, which calls for keeping an eye on spending, using savings to protect programs and services for Albertans while keeping taxes low, continuing to invest in infrastructure, and promoting the province on the world stage.

Canada and Alberta are working together to create jobs and boost the economy, while making significant investments that help communities improve their infrastructure. Both governments have agreed to work together to ensure that these funds are delivered quickly and efficiently to municipalities in Alberta.

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Through Canada's Economic Action Plan, the federal government has established a new $4-billion Infrastructure Stimulus Fund that provides funding to provincial, territorial and municipal construction-ready infrastructure rehabilitation projects. Funding is available for two years for projects that will be built during the 2009 and 2010 construction seasons. The stimulus projects announced on July 9 have been approved and construction will begin soon.

About the Program

The Infrastructure Stimulus Fund complements existing federal infrastructure funding by focusing on short-term objectives for economic stimulus. To further this goal of rapid economic stimulus, the Infrastructure Stimulus Fund will focus on construction-readiness as important project selection criteria. The full $4 billion will be distributed in fiscal years 2009-2010 and 2010-2011. Projects will focus largely on the rehabilitation of existing assets such as water, wastewater, public transit, highways, roads, culture, parks, and trails. Each municipality will sign an agreement with the province of Alberta, which will then provide the funds for the projects.

For provincial assets, the federal and provincial governments will each contribute up to fifty per cent of eligible costs. For municipal projects, the federal government will contribute up to one-third of eligible costs, with municipal and provincial governments expected to contribute the remaining two-thirds.

Infrastructure Stimulus Fund at Work in Alberta

Following discussions with the Government of Alberta, the Infrastructure Stimulus Fund is already at work in Alberta. On July 9, Canada and Alberta announced a joint investment of more than $443 million for up to 156 provincial and community infrastructure projects that will create jobs and help build stronger communities. This includes close to $174 million in joint federal and provincial funding for 95 projects which will benefit communities of fewer than 100,000 residents. Together with municipal and other contributions, the total investment in local infrastructure improvements in Alberta for the Infrastructure Stimulus Fund exceeds $550 million.

To date, 55 projects have been announced under the Communities Component in Alberta. These projects represent a federal investment of $85.5 million. Another 40 projects were announced under the Communities Component "top up," announced in Budget 2009 representing a federal investment of $52 million. Projects funded under the Communities Component include water and wastewater initiatives, such as water plant upgrades in the Village of Berwyn, water and wastewater eastside servicing in the Town of Sundre, as well as local road rehabilitation, such as the 50th Street Rehabilitation in the Town of Ponoka.

On May 21, 2009, the Government of Canada and the Government of Alberta announced they were each setting aside $80 million under the Economic Action Plan's Infrastructure Stimulus Fund for eligible projects that were submitted under the 'Communities Component.' Today's announcement fulfills this commitment with 84 projects being funded as a result.


Contact Information

  • Office of the Minister of Transport
    Rob Merrifield, Ottawa
    Chris Hilton
    Infrastructure Canada
    Alberta Transportation
    Tammy Forbes