Federal Gas Tax Fund Supports Infrastructure in Dufferin

July 25, 2014

First installment of annual $2 billion transfer now available for municipal infrastructure

David Tilson, Member of Parliament for Dufferin-Caledon, 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 that the first installment of the federal Gas Tax Fund for 2014 is being made available to support local infrastructure priorities. With this instalment, $1,647,013 is being made available to the County of Dufferin, $114,750 to the Township of Amaranth, $75,139 to the Township of East Garafraxa, $78,932 to the Town of Grand Valley, $82,204 to the Township of Melancthon, $218,498 to the Town of Mono, $98,188 to the Township of Mulmur, $810,028 to the Town of Orangeville and $169,273 to the Town of Shelburne.

Starting this year, the renewed federal Gas Tax Fund is being indexed at two percent per year, which means that it will grow by $1.8 billion over the next decade. In addition, the number of eligible investment categories has doubled, allowing communities to apply their Gas Tax funding to a wider variety of projects to meet their particular infrastructure priorities.

Quick Facts

  • The federal Gas Tax Fund transfer has provided $13 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 and the local Government administers the program across 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 will provide $53 billion in funding to communities across the country over the next decade. 

Since 2006, significant improvements have been made to the Gas Tax Fund:

  • In 2007 it was extended through its original program end date to 2014, 
  • In 2008 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.
  • 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.

Quotes

“Through the federal Gas Tax Fund, our Government is providing stable, predictable funding so that Canadian communities can address their local infrastructure priorities. Our Government is proud to invest in important infrastructure projects as we focus on creating jobs, promoting growth, and building strong, prosperous communities across Canada.”

David Tilson, Member of Parliament for Dufferin-Caledon 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