Federal Gas Tax Funding to Double, Payment to Municipalities Accelerated

April 15, 2009

$2 Billion annual infrastructure Investment will provide jobs, boost local economy and improve quality of life for families.

Tay, Ontario April 15, 2009 – Families and workers in Tay Township will soon see faster improvements to roads and other local infrastructure thanks to the Conservative government’s doubling of Gas Tax transfers to municipalities, said Simcoe North M.P. Bruce Stanton.

“Through Canada’s Economic Action Plan, our government is doubling the annual funding that Tay Township receives as part of the Gas Tax Fund and making up to $1 billion available to municipalities almost three months early,” said Stanton. “This increased investment will total $297,000 in 2009 and will help to create jobs, boost sales for local businesses and improve the quality of life for the families of Tay during this challenging economic time in our history.”

This latest announcement builds on the Conservative government’s previous action of providing permanent Gas Tax Fund transfers to municipalities. Doubling transfers will further help municipalities ensure that their infrastructure is able to meet the future needs of local families, workers and businesses.

The federal Gas Tax transfers to the provinces and municipalities will double starting April 1, 2009, and will provide a total of $2 billion per year for municipalities to invest in projects like new roads, water treatment plants, improved buses and transit systems, as well as better sewers and bridges Accelerating the first payment of the Gas Tax Fund by almost three months, making up to $1 billion available to municipalities almost three months early. The first payment will be made in April.

Through Canada’s Economic Action Plan, the Conservative government is building on the the existing federal investment of $33 billion in infrastructure with almost $12 billion in new infrastructure stimulus funding over the next two years. “Our government is proud to be working with provinces and municipalities to deliver stable, predictable funding for infrastructure that Canadians use and depend on every day,” said Stanton.