Report to: General Committee Report
Date:
SUBJECT: Federal and Provincial Infrastructure Funding Programs
PREPARED BY: Joel Lustig, Director, Financial & Client Services
RECOMMENDATION:
1) That the
report dated
2) And that the
projects as outlined in Exhibit B be considered and approved for submission to
the Government of Canada and the
3) And that the Mayor submit a letter on behalf of the Town of Markham to Minister Baird (Member of Parliament) and Minister Smitherman (Member of Provincial Parliament) outlining the details of each project for consideration of the various grant opportunities;
4) And that Staff be authorized and directed to do all things necessary to give effect to this resolution.
PURPOSE:
To obtain approval to submit requests for funding to Federal and Provincial governments under the various grant programs.
BACKGROUND:
The Government of Canada created an infrastructure funding program called the Building Canada Plan (“BCP”) which includes a Building Canada Fund of $3.09B. In addition, the 2009 Federal Budget included a stimulus plan that provides additional funding for infrastructure beyond the commitments in the Building Canada Plan.
1. Building
BCP is a program offered by the Government of Canada to build a stronger economy, a cleaner environment and more prosperous communities. BCP provides funding to Canadian municipalities allowing them to plan for the longer term and address their ongoing infrastructure needs.
Exhibit A outlines the different types of funding available under BCP.
* Note: Figures displayed are
Under the Building Canada Plan, provinces, territories and municipalities will be able to access funding from the Building Canada Fund. Funding will be allocated for projects in each province and territory based on its population. The program will operate through two components: The Major Infrastructure Component and the Communities Component.
The Communities
Component focuses on projects in communities with populations of fewer than
100,000. Therefore, it is not applicable
to the Town of
The Major Infrastructure Component will target larger, strategic projects of national, regional or economic significance with populations greater than 100,000. Total project costs for projects funded under the Major Infrastructure Component will generally be greater than $30M and fully spent by March 2011. In addition, the requested funding must be incremental; meaning that the funding is currently not budgeted and the project would not have proceeded without this funding.
Under the Major Infrastructure Component, projects will be selected through federal-provincial discussions to establish priority investments, and with municipalities and the private sector, where appropriate. All projects will be subject to due diligence review to evaluate the extent to which they meet economic and environmental criteria.
On
As a general
principle,
There is currently no formal application process for this fund. However, a letter from the Mayor to Minister Baird and Minister Smitherman is required to submit information about projects that the Town requests to have considered for funding.
2. 2009
Federal Budget Stimulus Plan
The 2009 Federal Budget included additional funding beyond the commitments in the Building Canada Plan. The province has indicated a commitment to matching this new federal funding and municipal projects would generally be funding on a one-third cost share basis, with equal contributions from the federal and provincial governments.
Further details
on some of the components of the Stimulus Plan, such as the Infrastructure
Stimulus Fund, Recreational Infrastructure
2a.
Infrastructure Stimulus Fund
“Rehabilitation work is needed to maintain the safety and
prolong the economic life of assets that were built decades ago. Many important
rehabilitation projects are ready to get underway quickly in the next
two years, but lack funding.
Budget 2009 establishes a new $4-billion Infrastructure
Stimulus Fund that will provide funding to provincial, territorial and
municipal infrastructure rehabilitation projects. Funding will be available for
two years for projects that will begin construction during the 2009 and
2010 construction seasons. This initiative will be structured to flow
funding and get shovels in the ground quickly. The federal government will
approve provincial, territorial and municipal project plans, and will cover up
to 50 per cent of eligible project costs. Subject to project readiness and
merit, funding will be allocated for projects in provinces and territories
based on their population. Should agreements not be reached expeditiously with
a province or territory, funding may be used to support the rehabilitation of
federal or other infrastructure.”
2b. Recreational Infrastructure
“Budget 2009 provides $500 million over two years to
support construction of new community recreational facilities and upgrades to
existing facilities across Canada. Eligible facilities include recreational
facilities owned by municipalities, First Nations, counties, community
organizations and other not-for-profit entities. The initiative will support up
to 50 per cent of the total cost of eligible projects, with the
balance to be provided by provincial and municipal governments, community
organizations, and the private sector.
This national initiative is expected to provide local
economic stimulus, contribute to a higher quality of community recreational
facilities and promote national spirit.
The initiative will be delivered nationally through the
three regional development agencies, with transitional measures for newly
created agencies, with allocation on the basis of project merit and readiness.”
2c. Cultural Infrastructure
“As part of the overall stimulus package, Budget 2009
will provide a targeted, two-year fund of $60 million to support
infrastructure-related costs for local and community cultural and heritage
institutions such as local theatres, small museums, and libraries. Examples
include the Toronto Public Library revitalization project, Toronto's Famous
PEOPLE Players, la Maison du Festival de Jazz in Montréal and the Confederation
Centre of the Arts in Charlottetown. This support will be provided through
Canadian Heritage programming.”
2d. Southern Ontario
Development Agency
“Southern Ontario benefits from a
number of economic advantages, including high education levels, large and
prosperous urban centres, and a close proximity to the United States
marketplace. However, the weakening U.S. and global economies have resulted in
plant closures and slower economic growth that are creating hardships for
workers and families in Southern Ontario.
In response to Ontario's economic challenges, Budget 2009
provides more than $1 billion over five years for a new Southern Ontario
development agency. Its programs will support economic and community
development, innovation, and economic diversification, with contributions to
communities, businesses and non-profit organizations. It will help workers,
communities and businesses in Southern Ontario position themselves to take
advantage of opportunities, as economic growth recovers in Canada and around
the world.
Budget 2009 also provides $20 million over two years
for the Eastern Ontario Development program to support business and community
development in rural areas of Eastern Ontario. This program will be
administered by the Southern Ontario development agency.”
OPTIONS/ DISCUSSION:
Exhibit B is a listing of the proposed projects to be considered under the specific funding programs, and the details of each project will be outlined in the corresponding supporting documents.
In addition to the projects listed under Exhibit
B, the Town also supports the following two regional projects of which the
benefits from these projects will be realized by the residents at the Town of
a.
The Yonge Street Subway extension is among the top 15 priorities for early implementation within the first 15 years of Metrolinx draft Regional Transportation Plan. The project is a 6.5km extension to the Yonge Subway from Finch Terminal to the Richmond Hill Centre. The total estimated project cost is approximately $2.4B.
b.
Support for Regional Transit System
The Viva Hwy 7 and
FINANCIAL CONSIDERATIONS:
It is anticipated that all projects will be cost shared on a one-third basis between the Federal government, Provincial government and the municipality. The Town’s funding requirements will be dependant on the amount of the grant and will be included as part of the 2010 budget process.
RECOMMENDED
BY: ________________________ ________________________
Treasurer Corporate Services
ATTACHMENTS:
Appendix A:
Appendix B: National Centre for Medical Devices Development
Appendix C: Emergency Operations Centre (EOC) & Backup Generators at Strategic Locations
Appendix D: Synthetic Field Surfacing including Indoor Facility
Appendix E: Accessibility Retrofit Program
Appendix E1: Energy Retrofit and Green Energy Initiatives
Appendix F: Thornhill Community Centre and Library Expansion
Appendix G: Canadian
Sport Institute of
Appendix H:
Appendix I: Watermain Replacement - Thornhill
Appendix J: Milliken Mills Community Centre Expansion
Appendix K:
Appendix L: Civic Centre Ice Rink
Appendix M: Stiver Mill - Restoration
Appendix N: Pathways & Trails Program
Appendix O: Daniels-Fairty House – Restoration
Appendix P:
Appendix Q: Enhanced Asphalt Resurfacing Program