January 15, 2009

Federation of Canadian Municipalities

Canadian municipalities unveil extensive list of ‘shovel ready’ infrastructure projects

Vince Versace

staff writer

Complete list of municipal infrastructure projects by province

ALBERTA | BRITISH COLUMBIA | SASKATCHEWAN
MANITOBA | ONTARIO | QUEBEC | NEW BRUNSWICK
NOVA SCOTIA | P.E.I. | NEWFOUNDLAND AND LABRADOR | NORTHWEST TERRITORIES | YUKON

Canadian municipalities could create over 156,000 jobs and deliver $13.7 billion worth of infrastructure work this year, if accelerated and new federal funds are made available to them in the 2009 budget.

“There is no time to delay,” Jean Perrault, president of the Federation of Canadian Municipalities (FCM) and mayor of Sherbrooke, Que., said in an interview.“The current economic crisis requires a fast-acting plan with the accountability taxpayers need.”

FCM has unveiled an extensive list of projects that are ready to go from coast to coast. These projects are strictly “shovel ready,“ which means they do not appear in a municipality’s 2009 funded capital budget but could be started this year with additional funding.

“This is just the tip of the iceberg,” states FCM in the report. “Municipalities in every region are stepping up with project proposals that will create new jobs.”

The projects range from small to large-sized projects and are focused on the rehabilitation of existing infrastructure. The projects fit into existing footprints, will not trigger environmental assessments and have “relatively simple” and quick engineering requirements, according to FCM.

“Timing of the investment is crucial. Getting these projects underway this spring is crucial in fighting this economic slowdown,” stresses Perrault.

There are 144 public transit projects valued at $7.5 billion ready to go across Canada that would generate over 86,300 jobs, FCM’s report notes.

Water and wastewater projects that are shovel ready total 386 and are valued $2.7 billion, potentially creating nearly 31,000 jobs. Roads and bridges projects are next, with $2 billion in value spread across 362 projects, with the potential to create over 23,000 jobs.

FCM recommends to the federal government that it make job creation a central policy objective of any new short-term infrastructure program and that government focus on shovel-ready projects, including repair and rehabilitation needs.

Perrault also says the government has at its disposal the perfect model to begin flowing funds quickly to municipalities.

“The best way to do this is by adopting the Gas Tax Fund model,” he says.

“This model will quickly get funds to municipal projects while ensuring accountability for taxpayer dollars. This Gas Tax Fund is already set to deliver $2 billion to municipalities this year alone.”

Municipalities must invest GTF funds in line with clear eligibility criteria, guided by federally-approved capital investment plans. End-of-year reports are required annually to demonstrate compliance with program rules. These types of requirements should also apply to any new funds in the 2009 budget, believes FCM.

“Every community with these projects will benefit from new jobs and new infrastructure,” adds Perrault. “A significant number of new infrastructure projects must get underway during the 2009 construction season to help counter the recession.”

FCM also recommends that red tape be cut to accelerate major projects and “soon-to-expire” capital funding for public transit and affordable housing be expanded

Protection and acceleration of funding for smaller urban, rural and northern communities should also be a priority, according to FCM.

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