Ottawa, September 25, 2006
2006-048
Related document:
Backgrounder : One-Time Funding to Provinces and Territories
The Honourable Jim Flaherty, Minister of Finance, announced today that
Canada's New Government is providing the provinces and territories with an
additional one-time federal funding of $3.3 billion to invest in
post-secondary education, public transit and affordable housing. The
Government is also providing $320 million in support for international
initiatives.
"This funding will provide the provinces and territories with
significant new resources to invest in key priority areas that will benefit
families and taxpayers throughout the country," said Minister Flaherty.
"Our government made a commitment to provide this funding, and as we have
demonstrated time and time again, we keep our commitments."
Canada's New Government is authorized to make payments to the provinces
and territories not exceeding $4.5 billion from surpluses in excess of $2
billion in the two fiscal years 200506 and 200607. Now that the
federal Annual Financial Report of the Government of Canada has been
released, the money will begin to flow.
The provinces and territories were provided with general operating
principles, encouraging investments in capital and increased capacity. Areas
of investment include:
Public transitrapid transit capital assets and rolling
stock, Intelligent Transportation Systems or High Occupancy Vehicle
lanes.
Post-secondary educationmodernizing classrooms, laboratories
and research facilities, updating training equipment, developing
interactive library technologies and facilities, or enhancing
distance-learning technologies.
Affordable housingbuilding new affordable rental units or
increasing the supply of transitional and supportive housing.
Northern housingincreasing the supply of rental housing, as
well as transitional and supportive housing, in the North.
Off-reserve Aboriginal housingsupport housing for Aboriginal
Canadians living off-reserve through increased supply of rental housing,
enhanced opportunities for home ownership, or increased supply of
transitional and supportive housing.
"We have a tremendous opportunity to invest in much-needed
infrastructure that will improve our communities and our quality of life,"
added Minister Flaherty. "I encourage everyone to contact their provincial
or territorial representative to let them know how they want to see this
money spent."
The provinces and territories have the flexibility to use this money to
fund any transit, post-secondary education or affordable housing project
they identify as a need.
Details on the distribution of this funding can be found in the attached
backgrounder.
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For further information, media may contact:
Eric Richer
Press Secretary
Office of the Minister of Finance
613-996-7861
David Gamble
Media Relations
Department of Finance
613-996-8080
