Olivia Chow says crumbling roads and bridges cost $10B in lost productivity.
from the New Democratic Party
OTTAWA – Canada’s mounting infrastructure crisis of crumbling bridges, potholes and traffic gridlock is costing more than $10 billion in lost productivity every year. NDP Transport and Infrastructure critic Olivia Chow was in Toronto today calling on the Conservatives to take action and ensure accountable, transparent and non-partisan infrastructure funding.
“The current unpredictable, one-off funding system creates chaos and uncertainty for cities and communities and can lead to misuse of taxpayers' money,” said Chow. “Whether it’s sinkholes in Ottawa, falling concrete in Toronto and Montreal or record commute times in Vancouver, our infrastructure is in crisis.”
Chow’s comments were in support of the Federation of Canadian Municipalities’ proposal for federal dollars to be "purpose-dedicated" (transit, basic infrastructure and water systems) to ensure fair distribution, reduced red tape, and increased accountability and flexibility.
The Federation of Canadian Municipalities asks the feds to provide a regular annual increased funding allocation for transit, basic infrastructure and water systems.
“Our cash-strapped and over-burdened cities are looking to the federal government for partnership,” said Transport and Infrastructure deputy critic Robert Aubin. “But the Conservatives must put an end to favouritism and back room deals to insiders.”
“If the Conservatives fail to grasp this opportunity in the upcoming budget, Canadians will continue to face infrastructure decay and gridlock,” said Chow.
City of Edmonton supports FCM proposal for national long-term infrastructure.
November 13, 2012
The City of Edmonton is backing the Federation of Canadian Municipalities (FCM) proposal calling for a national, 20-year plan with predictable funding to maintain and develop infrastructure.
“What we still need is a sustainable, predictable, flexible and transparent source of funds so we can plan and budget for the long term.”
The Federation of Canadian Municipalities released its recommendations on the Government of Canada’s long term infrastructure plan on November 13, 2012.
“A long-term federal funding commitment that reflects infrastructure life-cycles is needed to allow municipalities to invest wisely and strategically in priority areas over decades, not just years,” said FCM president, Councillor Karen Leibovici. “It also means breaking away from budgets built on application forms and providing a predictable funding envelope for all municipalities.”
Edmonton’s South LRT line was made possible through the program that transferred a portion of federal gas tax revenues to cities. The federal government also supported the NAIT line through the Building Canada fund. The City is looking to federal funds to help build the Southeast line.
“Edmonton is a national leader in tracking the condition of our infrastructure and planning for the future. We have a clear picture of our needs in the years ahead,” said Mayor Stephen Mandel.
The FCM proposals call for an increase in annual federal investments dedicated to municipal infrastructure from $3.25 billion to $5.75 billion to bring it in line, as a percentage of GDP, with historical levels from the 1950s to the mid-1970s that allowed proper infrastructure maintenance and growth.
FCM is proposing maintaining the existing permanent gas tax transfer, but with a cost-of-living indexation to protect its buying power. It is also proposing creating a number of new federal programs designed to efficiently leverage matching investments from municipalities and provinces with a minimum of red tape and bureaucratic costs.
“Edmonton has made a significant investment in recent years in rehabilitating and extending the life of our existing infrastructure and in constructing new facilities to serve our fast-growing population,” says Mayor Mandel. “Our citizens have funded neighbourhood renewal programs through a property tax levy for the past four years. We are very willing to do our part, but cities cannot be built on property tax alone.”
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