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Prime Minister Stephen Harper recently detailed the government’s New Building Canada Plan, announcing the roll out of the “largest and longest federal infrastructure plan in [Canada’s] history”.
“Provinces, territories and municipalities will now have unprecedented access to predictable, sustainable federal infrastructure funds for a decade,” said Harper in a recent visit to Gormley, Ontario. “This will allow those whose job it is to make infrastructure decisions to plan those decisions with assurance over the long term.”
The plan was revealed in the following February 13th press release:
The New Building Canada Plan builds on our Government’s unprecedented investments in infrastructure. In 2007, we provided $33 billion in stable, flexible and predictable funding across the country. Economic Action Plan 2013 builds on our Government’s historic infrastructure investments, with $70 billion for public infrastructure over the next decade, including the $53 billion New Building Canada Plan for provincial, territorial and municipal infrastructure. The New Building Canada Plan is the largest and longest federal infrastructure plan in our nation’s history. It continues to focus on supporting projects that enhance economic growth, job creation and productivity.
Why is it important?
World-class infrastructure is the backbone of our country’s economic productivity. Our Government is committed to investing in Canada’s infrastructure to reduce commuting times for families, enhance economic competitiveness, encourage job creation and strengthen trade corridors.
We understand the vital importance of infrastructure to help get goods to market, to connect people and businesses with the world, and to reduce gridlock on our roads and highways. The New Building Canada Plan will continue to support infrastructure projects that foster economic growth, job creation and long-term prosperity.
How does it work?
The New Building Canada Plan is the largest long-term infrastructure plan in Canadian history, providing stable funding for a 10-year period. It includes:
• The Community Improvement Fund, consisting of the Gas Tax Fund and the incremental Goods and Services Tax Rebate for Municipalities, will provide over $32 billion to municipalities for projects such as roads, public transit and recreational facilities, and other community infrastructure.
• A $14 billion New Building Canada Fund, which consists of a $4 billion National Infrastructure Component that will support projects of national significance and a $10 billion Provincial-Territorial Infrastructure Component (PTIC) for projects of national, local or regional significance. $1 billion of PTIC is dedicated to projects in communities under 100,000 residents.
• An additional $1.25 billion in funding for the P3 (Public-Private Partnerships) Canada Fund.
• $6 billion in funding that continues to flow across the country this year and beyond under existing infrastructure programs.
• Our Government anticipates that Infrastructure Canada will require approximately $516 million to deliver new and existing infrastructure programs over the next 10 years, including audits and evaluations.
Source: Government of Canada