Building stronger communities across New Brunswick with the federal Gas Tax Fund
Doubling of the federal Gas Tax Fund delivers a boost in New Brunswick for 104 communities
August 13, 2019 Moncton, New Brunswick 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 communities through the federal Gas Tax Fund and delivering much needed support for their local priorities.
Today, the Honourable Francois-Philippe Champagne, Minister of Infrastructure and Communities, was joined by Her Worship Dawn Arnold, Mayor of Moncton, to announce that the first of two $22.5 million annual installments of the federal Gas Tax Fund (GTF) has been delivered to New Brunswick, along with a top-up of $47.6 million, made available through Budget 2019. This top-up doubles the amount of money for New Brunswick communities, based on their allocations for the 2018-19 GTF transfer, 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, the Town of Rothesay used federal GTF funding to construct sidewalks and walking trails, improving the pedestrian network and providing better infrastructure for active transportation. Meanwhile, residents in the Village of Tide Head are benefitting from a sustainable blue bin recycling program which is contributing to a healthier environment. And in Moncton, residents will soon benefit from better storm sewers and retention ponds throughout the community, which will help prevent flooding during extreme weather events.
This year, the City of Moncton will receive a total of $4.9 million for their annual allocation, and an additional $5.1 million through the top-up.
This predictable funding, enhanced by a doubling of the 2018-19 GTF allocations, as announced in Budget 2019, is allowing 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 New Brunswick 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
“Now that New Brunswick is in receipt of the funds, local governments who have met the requirements of the agreement are starting to see payments flow. We are continuing the important task of working with these areas to ensure their infrastructure needs are addressed and that asset management plans are in place to better prepare for the future.”
The Honourable Jeff Carr, New Brunswick Minister of Environment and Local Government
“Support and investment such as this allow us to complete a higher number of infrastructure improvement projects. As a growing city, there is an increased demand on our street networks and transportation systems and these funds help us maintain our assets in a sustainable way.”
Her Worship Dawn Arnold, City of Moncton
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, local governments 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
Department of Environment and Local Government
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