Canada's Economic Action Plan

Canada's Economic Action Plan

September 26, 2014 12:30 ET

Minister James Moore Highlights Government of Canada's Support for Infrastructure at the Annual Convention of Union of British Columbia Municipalities

WHISTLER, BRITISH COLUMBIA--(Marketwired - Sept. 26, 2014) - The Honourable James Moore, Minister of Industry, spoke today at the Union of British Columbia Municipalities (UBCM) 2014 Convention in Whistler regarding the New Building Canada Plan, the renewed federal Gas Tax Fund Agreement with British Columbia and what they mean for municipalities across the province.

The New Building Canada Plan is the largest and longest federal infrastructure plan in Canada's history. This unprecedented commitment will provide $53 billion over the next decade to support provincial, territorial and municipal infrastructure that enhances economic growth, job creation and productivity.

As part of the New Building Canada Plan, the renewed federal Gas Tax Fund (GTF) provides predictable, long-term, stable funding for Canadian municipalities to help them build and revitalize their local public infrastructure while creating jobs and long term prosperity.

Since 2006, significant improvements have been made to the GTF. It has been extended, doubled, indexed and made permanent, and the eligible categories have been expanded, providing municipalities with more flexibility than ever before to support local infrastructure. By enshrining these commitments in legislation, municipalities are assured of an ongoing funding stream to address their infrastructure needs and priorities.

Quick Facts

  • The $53 billion New Building Canada Plan provides stable funding for a 10-year period, and includes:

    • The Community Improvement Fund, consisting of the Gas Tax Fund and the incremental Goods and Services Tax Rebate for Municipalities, which will provide over $32 billion to municipalities for projects such as roads, public transit and recreational facilities, and other community infrastructure.

    • The $14-billion New Building Canada Fund, which consists of:

      • The $4-billion National Infrastructure Component, which will support projects of national significance; and

      • The $10-billion Provincial-Territorial Infrastructure Component, which will support projects of national, regional and local significance. Of this amount, $1 billion is reserved for projects in communities with fewer than 100,000 residents through the Small Communities Fund.

    • An additional $1.25 billion in funding for the Public-Private Partnerships (P3) Canada Fund administered by PPP Canada;$6 billion in funding that continues to flow across the country this year and beyond under existing infrastructure programs.

  • For British Columbia, the New Building Canada Plan represents approximately $3.9 billion in dedicated federal funding, including almost $1.1 billion under the New Building Canada Fund, with $109 million dedicated to the Small Communities Fund, and an estimated $2.76 billion under the federal Gas Tax Fund.*

  • In addition to these amounts, British Columbia may also benefit from the $4 billion National Infrastructure Component, as well as the P3 Fund.

*NOTE: GTF funding by jurisdiction for the first five years (2014-2019) is based on 2011 Census data. GTF funding for 2019-2024 will be based on 2016 Census data. For illustrative purposes, Census 2011 data has been used for all 10 years. Due to the indexation of the GTF, funding for 2019-2024 is expected to be at least equal to GTF funding for the first five years.

Quotes

"Through the New Building Canada Plan, the Government of Canada is proud to provide municipalities with flexible infrastructure funding that allows them to support projects that address their local needs. Our government has made a promise to support infrastructure that encourages job creation, economic growth and contributes to the quality of life of all British Columbians, and with the New Building Canada Plan we are delivering on that promise."

- The Honourable James Moore, Minister of Industry

"The Federal Gas Tax Fund will deliver an estimated $2.7 billion to BC communities for the renewal and expansion of infrastructure. This is a major commitment by the Government of Canada that is appreciated by all local governments in BC. We are also pleased to hear that details related Building Canada Communities program will be released in the next month - small communities across BC will be very interested in this program."

- Rhona Martin, President, Union of BC Municipalities

Additional information

The New Building Canada Plan

Federal Gas Tax Fund

Renewed GTF Agreement with British Columbia

Contact Information

  • Vincent Rabault - Press Secretary
    Office of the Minister of Infrastructure, Communities and
    Intergovernmental Affairs, Minister of the Economic
    Development Agency of Canada for the Regions of Quebec
    613-943-1838

    Jake Enwright
    Press Secretary
    Office of the Minister of Industry
    613-995-9001

    Paul Taylor
    Director of Communications
    UBCM
    250-356-2938

    Infrastructure Canada
    613-960-9251
    Toll free: 1-877-250-7154