12/16/2011

Toronto, Ontario, December 16, 2011 – AMO is pleased the passage of Bill C-13, Keeping Canada’s Economy and Jobs Growing Act, makes the federal Gas Tax Fund a permanent annual source of infrastructure funding for Canada’s municipalities.

Under the existing allocation, Ontario municipalities receive $746 million per year for investment in six categories of infrastructure or projects that contribute to long-term planning.

“With the passage of Bill C-13, communities can now rest assured that they have a permanent, reliable source of funding for municipal infrastructure,” said AMO President Gary McNamara. “Ontario municipalities are facing an infrastructure gap of $60 billion over 10 years and enshrining permanency of the federal Gas Tax Fund in legislation is one step toward addressing this gap.”

The federal government has committed to working with provinces, territories and the Federation of Canadian Municipalities (FCM), to build a long-term plan for investing in public infrastructure. AMO will work with FCM during these consultations to urge the federal government to index the Gas Tax Fund so that it can continue to meet the infrastructure needs of our municipalities.

Since 2005, the Gas Tax Fund has resulted in federal investments of over $1.6 billion in 3,100 municipal infrastructure projects worth a total of $5.4 billion. The combination of federal funding and local decision making power allows municipalities to invest in the projects that matter most to their communities. The Ontario Agreement is unique in that it creates a direct relationship between municipalities and the federal government.

AMO is a non-profit organization representing almost all of Ontario’s 444 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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