08/25/2008

Toronto, Ontario, January 26, 2009 – The AMO today welcomed the announcement of substantial new federal infrastructure funding by Federal Transport and Infrastructure Minister John Baird.
The announcement was made at the 2008 AMO Conference in Ottawa.

“The province has recognized that investing in municipalities is investing in Ontario,” said Doug Reycraft, President of the Association of Municipalities of Ontario. “The new Investing in Ontario funding will help municipalities invest in much needed infrastructure repairs and capital projects, and create jobs in communities large and small.”

With today’s announcement, all municipalities will receive the largest portion of the 2007-08 provincial budget surplus, of $1.7 billion.  Under the Investing in Ontario Act, the first $600 million of the 2007-08 provincial operating surplus is used to pay down provincial debt and the remainder, $1.1 billion, is distributed to all municipalities in Ontario on a per capita basis.  The finding can be used for any municipal capital expenditure.  

“This new revenue sharing of $1.1 billion benefit communities in every part of Ontario,” said Peter Hume, AMO’s incoming President.  “Sound municipal infrastructure underpins the economic competitiveness of municipalities, the province and the nation.”   

AMO has been working closely with the Government of Ontario to better understand Ontario’s municipal infrastructure deficit as part if the Provincial Municipal Fiscal and Service Delivery announced at the 2006 AMO Conference in Ottawa.  Additional provincial investment in municipal infrastructure is an important outcome of that work.  The Review is ongoing and is expected to conclude with a consensus report this Fall.  At the 2007 AMO conference, Premier McGuinty announced that the province would fully upload Ontario Drug Benefit and Ontario Disability Support Program costs from municipalities by 2011.

AMO is a non-profit organization representing almost all of Ontario’s 445 municipal governments.  AMO supports strong and effective municipal government in Ontario and promotes the value of municipal government as a vital and essential component of Ontario and Canada’s political system.  

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