Edmonton, Alberta, August 29, 2008 - Albertans and their communities will receive a significant boost for their priority public infrastructure initiatives, thanks to a framework agreement between the federal Government and the Government of Alberta through Building Canada, the federal Government's long-term infrastructure plan.
The Honourable Jim Prentice, Minister of Industry, on behalf of the Honourable Lawrence Cannon, Minister of Transport, Infrastructure and Communities, along with Alberta Premier, Ed Stelmach, announced the signing of a Building Canada Framework Agreement between the two governments. The agreement provides approximately $1.8 billion through Building Canada.
This funding is in addition to the amounts from the Gas Tax Fund and the Municipal Rural Infrastructure Fund already being provided to Alberta. In total, the Government of Canada will provide more than $2.1 billion in guaranteed funding, between 2007 and 2014, for infrastructure initiatives in Alberta under the Building Canada plan.
"The signing of a framework agreement between our Government and the Government of Alberta will result in significant infrastructure initiatives that will strengthen Alberta's economy and communities, and enhance the quality of the environment," said Minister Prentice. "Canadians look to their governments to collaborate and provide safe, modern and efficient infrastructure. Initiatives funded under Building Canada will provide these results."
"This partnership will add to the province's significant investment in infrastructure and assist in meeting the commitments of our strategic capital plan," said Premier Stelmach. "With economic and population growth expected to continue, every investment now will benefit Albertans and help ensure a secure and prosperous future."
The framework agreement sets the stage for a collaborative investment in the infrastructure of Alberta. Under this agreement, the Government of Canada will provide more than $840 million through the Building Canada Fund, a centrepiece of the overall plan, toward infrastructure initiatives in Alberta. Of this amount, approximately $88 million will be allocated to smaller-scale projects in communities of less than 100,000 residents. This amount will be matched by Alberta, for a total of $176 million.
Under the infrastructure framework agreement, the Government of Canada will also provide $25 million annually to the province in base funding, for a total of $175 million through to 2014 for infrastructure priorities in Alberta. A further $798 million will flow to Alberta municipalities through the extension of the Gas Tax Fund agreement from 2010 to 2014.
The Canada-Alberta Framework Agreement outlines how the Building Canada Plan will operate in the province. An agreement in principle has also been reached on the Base Funding Agreement. It establishes a governance framework through which the two governments will work together to identify and address infrastructure priorities, such as roads and highways, bridges, public transit, water and sewer systems, green energy and community initiatives.
Alberta infrastructure initiatives in eligible categories will also have the opportunity to benefit from the Public-Private Partnership Fund (P3) and the Gateways and Border Crossings Fund (GBCF). In addition, Alberta communities receive a full rebate on the GST they pay, for local infrastructure priorities.
Through its unprecedented $33-billion Building Canada infrastructure plan, the Government of Canada will provide long-term, stable and predictable funding to help meet infrastructure needs across Canada. Building Canada will support a stronger, safer and better country.
Read the Framework Agreement >>
For further information contact:
Jean-Maurice Duplessis
Press Secretary
Office of the Minister of Transport, Infrastructure and Communities
613-991-0700
Gerald Kastendieck
Communications
Alberta Treasury Board
780-427-6699
Infrastructure Canada
613-948-1148
On August 29, 2008, the governments of Canada and Alberta signed the Canada-Alberta Framework Agreement worth $1.8 billion in new federal infrastructure funding under the Building Canada plan.
Accounting for previous programs not yet depleted, total guaranteed federal infrastructure spending in Alberta will be more than $2.1 billion by 2014.
Allocation Table (2007-2014)
In addition, the Province will have the opportunity to benefit from two national funds: the P3 Fund ($1.25B); and the Gateways and Border Crossings Fund ($2.1B).
Finally, every Alberta municipality will receive the full GST rebate, which is in addition to the above-noted funding.
