Federal Gas Tax Fund supports infrastructure in Vaughan

JulianFantino.ca
April 15, 2015

The Honourable Julian Fantino, Associate Minister of National Defence, and Member of Parliament for Vaughan, on behalf of the Honourable Denis Lebel, Minister of Infrastructure, Communities, and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec, announced today over $8 million dollars in funding through the federal Gas Tax Fund for 2015/2016, to support local infrastructure priorities in Vaughan.

Since 2006, the Harper Government has made significant improvements to the Gas Tax Fund:

• In 2007 it was extended,
• In 2009 it was doubled from $1 billion to $2 billion annually,
• In 2011 it was legislated as a permanent source of funding, and,
• In 2013 it was indexed at 2 percent per year, meaning that it will grow by $1.8 billion over the next decade.

Quick Facts

The federal Gas Tax Fund transfer has provided $14 billion to Canadian communities to date. Over the 10-year life of the New Building Canada Plan from 2014 to 2024, the Gas Tax Fund will provide close to $22 billion in funding for municipalities.

Federal Gas Tax funding is provided up front, twice a year to Ontario, the Association of Municipalities of Ontario and Toronto administer the program in the province. Projects are chosen by local governments and support the local infrastructure priorities of each community.

Thanks to new, expanded eligible investment categories, funding can now be spent in the following areas: drinking water; wastewater; solid waste; public transit; local roads and bridges; community energy systems; capacity building; disaster mitigation; broadband connectivity; highways; short-line rail; short-sea shipping; brownfield redevelopment; regional and local airports; and projects supporting culture, tourism, sport and recreation.

The federal Gas Tax Fund is the largest component of the New Building Canada Plan, which provides $53 billion in funding to communities across the country over the next decade.

By enshrining these commitments in legislation, provinces, territories and municipalities are assured of an ongoing funding stream to address their municipal infrastructure needs and priorities.

Federal GTF payments flow twice a year, generally in July and November, to provincial and territorial governments. Provinces and territories and, in some cases, municipal associations, in turn, distribute the municipal allocations in accordance with the terms and conditions set out in their respective funding agreements with municipalities. The actual timing of the second payment varies, depending on the administrative requirements in respective agreements with each province or territory.

Quotes

“Our Government knows the importance of providing stable, predictable funding so that communities like Vaughan can address their local infrastructure priorities. I am very pleased to make this important announcement which will create jobs, promote growth, and sustain our strong economy right here in Vaughan.”

The Honourable Julian Fantino, Associate Minister of National Defence and Member of Parliament for Vaughan, on behalf of the Honourable Denis Lebel, Minister of Infrastructure, Communities, and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec.