Building stronger communities across Alberta with the federal Gas Tax Fund
Doubling of the federal Gas Tax Fund delivers a boost in Alberta for 350 communities
August 26, 2019 - Edmonton, Alberta - Infrastructure Canada
Modern public infrastructure is key to promoting economic growth, strengthening the middle class and developing healthy, sustainable communities. That is why the Government of Canada is renewing its commitment to municipalities and First Nations communities through the federal Gas Tax Fund and delivering much needed support for their local priorities.
Alberta has received the first of two $122 million annual installments of the federal Gas Tax Fund (GTF), along with a top-up of $229.5 million, made available through Budget 2019. This top-up doubles the amount of money for Alberta communities, based on their allocations for 2018-19 GTF, enabling them to carry out infrastructure projects that support the well-being of their residents.
The federal GTF is a long-term, indexed source of funding that supports a diverse range of local infrastructure projects across the province each year. For example, in Red Deer County, road users are benefitting from a safer and smoother ride along 22 kilometres of Range Road 10 thanks to upgrades funded through the federal GTF. In Wood Buffalo, visitors to the national park are enjoying new and improved playground equipment around Pine Lake at the campground, day-use area and Kettle Point Group Camp site, purchased with local GTF funding and in partnership with Parks Canada. And in the Town of Nobleford, a more reliable and consistent supply of clean drinking water is flowing to residents thanks to the replacement of water pumping equipment within the town’s water system.
This predictable funding, enhanced by a doubling of the 2018-19 GTF allocations, as announced in Budget 2019, is allowing municipalities and First Nations communities to plan for current and future infrastructure priorities, so they can build the resilient infrastructure of the 21st century that residents deserve, and help ensure that Alberta remains among the best places in the world to live.
“The Government of Canada is proud to deliver this stable, predictable long-term funding that communities rely on to develop their public infrastructure. By working with other orders of government, we are making significant progress and delivering concrete results for all Canadians. From improving roads, water services and energy efficiency, to enhancing recreation and tourism centres, the federal Gas Tax Fund is helping keep families safe, promote economic development and improve people’s quality of life across the country.”
The Honourable François-Philippe Champagne, Minister of Infrastructure and Communities
The federal Gas Tax Fund delivers over $2 billion every year to over 3,600 communities across the country. In recent years the funding has supported approximately 4,000 projects each year.
To help address the short-term infrastructure priorities of municipalities and Indigenous communities, Budget 2019 includes a top-up of $2.2 billion to the federal Gas Tax Fund.
The federal Gas Tax Fund is flexible in allowing communities to apply funding to their most pressing local needs. Communities can invest across 18 different project categories, including recreation, water systems and roads. They can also use the funds immediately for priority projects, bank them for later use, pool the dollars with other communities for shared infrastructure projects, or use them to finance major infrastructure expenditures.
Through its Investing in Canada plan, the Government of Canada is investing more than $180 billion over 12 years in public transit projects, green infrastructure, social infrastructure, trade and transportation routes, and Canada’s rural and northern communities.
The plan includes more than $92 billion for funding such as the Gas Tax Fund and more than $95 billion in new funding for infrastructure programs.
To date, more than 48,000 projects have been approved under the plan and the majority of these projects are either underway, or already completed.
Office of the Minister of Infrastructure and Communities
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