Municipal governments to receive early delivery of Gas Tax Funding to put towards infrastructure

Some more financial help is on the way for Canada's municipal governments, with Prime Minister Justin Trudeau announcing that the Federal government will be taking immediate action to support small towns and large cities restart their economies and create employment.

Speaking at his Daily Morning COVID briefing, Mr. Trudeau announced that the funding will be delivered their the Federal Gas Tax Fund, with the government to deliver the full funding of 2.2 Billion dollars for 2020-21 in one lump sum in early June.

The Prime Minister noted that communities have increased flexibility to make use of the additional money, noting such projects as high speed broadband access, improvements to roads and water systems or other local infrastructure programs.

“From coast to coast to coast, Canadians are feeling the economic impacts of COVID-19, while they do what they can to protect the health and safety of their families and communities. That is why we are taking action to restart the economy, get Canadians back to work, and come out of this stronger. This funding will help communities address their immediate needs, while also planning the infrastructure they need for the future.”

In previous years, the Federal Gas Tax has come in two instalments one just as summer starts and the other in the fall, this year will see all the available funding provided this month to help kick start local economic development.

At the May 25th City Council session, Chief Financial Officer Corinne Bomben presented the Audited Financial statements for 2019.

That documentation indicated that Prince Rupert received $750,000 from the UBCM Community Work Gas Tax fund last year.

The Prime Ministers announcement can be reviewed here.

Skeena Bulkley Valley MP Taylor Bachrach was quick to comment on today's news from Ottawa, with the MP observing that while welcome, the funding levels are insufficient to address the financial crisis facing municipal governments.

While Mr. Bachrach speaks to layoffs at the municipal level, last week City Manager Robert Long noted that Prince Rupert had so far been able to avoid the lay off process as it deals with the challenges of COVID.

As for today's announcement,  So far there has been no comment from the City of Prince Rupert, or Mayor Lee Brain towards what level of funding Prince Rupert will receive, or how the City may put it to use.

For more notes on Federal themes see our House of Commons archive page here.

A look at areas of Civic Infrastructure can be found here, while a wider overview of City Council discussion topics can be reviewed here.