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Federal Government delivers $15.6 million to NL for infrastructure projects

Federal Government delivers $15.6 million to NL for infrastructure projects

Investing in infrastructure is vital to creating middle class jobs today and sustained economic growth for years to come. Modern, efficient community infrastructure contributes to a high quality of life by helping connect people to jobs, improve water systems, and support new business opportunities.

The Government of Canada has now provided Newfoundland and Labrador with more than $15.6 million for community infrastructure through the federal Gas Tax Fund (GTF), representing the first of two annual allocations for 2016−17. In total, Newfoundland and Labrador will be provided with more than $31 million through the fund this year.

The funding will be used by Newfoundland and Labrador municipalities to support projects such as improvements to local roads and bridges, drinking water and wastewater infrastructure, disaster mitigation, recreational and sport infrastructure, tourism infrastructure, community capacity building, community energy systems, and cultural infrastructure.

The two GTF installments for this year are in addition to funds going to Newfoundland and Labrador under other existing programs and two new federal funding programs: the Public Transit Infrastructure Fund and the Clean Water and Wastewater Fund. The latter are part of Phase 1 of the Government of Canada's 10-year, $120-billion Investing in Canada plan.

Quick facts

  • The GTF has provided over $274 million to communities in Newfoundland and Labrador since its introduction in 2005.
  • $2 billion is made available nationally each year through two installments.
  • The GTF provides Canadian municipalities with a permanent, predictable and indexed source of long-term funding.
  • It offers local communities the flexibility to make strategic investments across 18 different project categories, including roads and bridges, public transit, drinking water and wastewater infrastructure, and recreational facilities.
  • Communities can use the funds immediately for priority projects, bank the funds for later use, pool the dollars with other communities for shared infrastructure projects or use it to finance major infrastructure expenditures.
  • Phase 1 of Investing in Canada provides $11.9 billion in investments to support public transit systems, green infrastructure projects, and social infrastructure projects. Details on Phase 2 of Investing in Canada will be announced over the next few months.

Quotes

"The federal Gas Tax Fund allows communities to direct federal dollars to their particular infrastructure priorities across a wide range of project categories. Whether a community needs to expand their recreational centre, repair roads, enhance a wastewater treatment system or make energy-saving upgrades to municipal buildings, this funding offers predictable, reliable and flexible support that reflects the federal government's commitment to investing in infrastructure that makes a real difference in people's lives at the local level."

The Honourable Amarjeet Sohi, Minister of Infrastructure and Communities

"Communities throughout this province continue to benefit from the federal Gas Tax Fund by focusing on projects that enhance the lives of residents. This fund is an important tool that our municipalities use to help deliver strong municipal services and meet community infrastructure needs."

The Honourable Eddie Joyce, Minister of Municipal Affairs, Newfoundland and Labrador

Related Products

Federal Gas Tax allocations for Newfoundland and Labrador communities in 2016-17.

Associated links

 

From Government of Canada, News Release