Canada's Economic Action Plan

Canada's Economic Action Plan

October 05, 2014 09:00 ET

Minister Rob Moore Highlights Government of Canada's Support for Infrastructure to the Union of Municipalities of New Brunswick

ST. ANDREWS, NEW BRUNSWICK--(Marketwired - Oct. 5, 2014) - The Honourable Rob Moore, Regional Minister for New Brunswick and Minister of State (Atlantic Canada Opportunities Agency), spoke today at the Union of Municipalities of New Brunswick (UMBM) regional conference regarding the New Building Canada Plan, the renewed federal Gas Tax Fund Agreement with New Brunswick 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 municipal 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; and,
    • $6 billion in funding that continues to flow across the country this year and beyond under existing infrastructure programs.
  • For New Brunswick, the New Building Canada Plan represents approximately $866 million in dedicated federal funding, including almost $394 million under the New Building Canada Fund, with approximately $39 million dedicated to the Small Communities Fund, and an estimated $472 million under the federal Gas Tax Fund.*
  • In addition to these amounts, New Brunswick may also benefit from the $4-billion National Infrastructure Component, as well as the P3 Canada 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, our Government is pleased to provide municipalities with flexible infrastructure funding that allows them to support projects that address their local needs. Our Government is committed to supporting infrastructure projects that encourage job creation, economic growth and contribute to the quality of life of all New Brunswickers."

  • The Honourable Rob Moore, Regional Minister for New Brunswick and Minister of State (Atlantic Canada Opportunities Agency)

"The federal Gas Tax Fund has become a crucial element in our annual municipal infrastructure plans. Together with the Goods and Services Tax Rebate for municipalities and the Small Communities Fund component of the New Building Canada Fund, each New Brunswick community is now in a position to identify its own priorities and to develop a long-term plan to fund the improvements necessary to upgrade its municipal infrastructure. The impact of these projects on our local economy cannot be overstated."

  • Arthur Slipp, President, Union of Municipalities of New Brunswick

Additional information:

The New Building Canada Plan

Federal Gas Tax Fund

Renewed GTF Agreement with New Brunswick

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

    Kelsie Corey
    Director of Communications
    Office of the Honourable Rob Moore
    Atlantic Canada Opportunities Agency
    613-941-7241

    Raymond Murphy
    Executive Director
    Union of Municipalities of New Brunswick
    (506) 523-7991
    umnb@nb.aibn.com

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