ML>FEDERAL INFRASTRUCTURE PROGRAM HELPS SMALLER CITIES AND THE ENVIRONMENTOTTAWA, February 12, 2004-The Honourable Andy Scott, Minister of State (Infrastructure), today announced negotiations with each province and territory on new agreements to provide Canadians with better public infrastructure. Agreements under the $1 billion federal Municipal Rural Infrastructure Fund (MRIF) will allow communities and particularly smaller ones to seeksenior level government funding for important public infrastructure improvements.In the Speech from the Throne, the Government of Canada committed to a ¿new deal for communities$ and to support rural and First Nations community development, said Minister Scott.Agreements with the provinces and territories will mean modern infrastructure for communities of all sizes. The Fund will also support other federal objectives for sustainable development, the environment and climate change, added Minister Scott. To this end, we have raised to 60 percent the minimum of MRIF funding that targets green infrastructure. This includes water, wastewater, solid waste, municipal energy improvements, and public transit.Negotiations will be concluded as rapidly as possible, and the first projects should be announced four to six months following the signing of an agreement with each province or territory. Each jurisdiction will have a set amount of money to fund selected projects. This will also apply to First Nations communities. In most cases, each level of government would contribute one-third of the project costs. The MRIF provides a balanced response to locally-defined infrastructure needs, especially in rural Canada. It provides predictable long-term funding,said Minister Scott. It will also ensure that all Canadians, whether they live in large, small or remote communities can share in the benefits of infrastructure investments. It will build on past successes in partnership infrastructure funding of almost 20,000 projects that are providingCanadians with real benefits through sustainable development.In addition to green infrastructures, the MRIF will support projects that will help improve local roads; cultural, recreational and tourism infrastructure; and broadband connectivity. The selection of any project will be guided by federal objectives on climate change, water quality, urban life, and innovation, so that Canadians obtain maximum results from infrastructurefunding. The Fund has been designed, in consultation with provinces, territories, and municipalassociations, to be flexible and capable of addressing a broad range of municipal priorities. To further respond to municipal concerns, it is proposed that municipal associations have a rolein assessing project proposals. To ensure public engagement, projects will need to be supported bya resolution of city council before applications are submitted. With a component targeted to First Nations' infrastructure needs, the Government of Canada further demonstrates its commitmentto fostering economic development opportunities and improving quality of life of Aboriginal people who live on reserves. The Fund will do this by stressing investments that improve water quality, stated as a priority in the Speech from the Throne, wastewater treatment and local roads. The First Nations component of the MRIF will be delivered by the Department of Indian and Northern Affairs.The Government of Canada acknowledges that long-term infrastructure commitments are key to ensuring that communities, large and small, are competitive and healthy centres for economic growth, innovation and the well-being of all Canadians. Since 1994, it has contributed $12 billion in infrastructure funding to Canadian communities, which have helped leverage over $30 billion from all partners. For more information on the Government of Canada¿s infrastructure programs, please visit our Website at www.infrastructure.gc.ca.