What Can Doubling of The Federal Gas Tax Do For My Municipality? It’s Up To You.

June 04, 2019

The federal government will be providing a one-time doubling of federal Gas Tax funds this year. That means over $800 million more for Ontario municipalities to spend on infrastructure.

How will this funding affect your community? Perhaps a bridge repair slated for next year happens earlier than anticipated, or an energy project expands and cost savings are realized sooner.

It’s up to local councils to decide how this additional funding will be allocated, and ultimately, how it will benefit the community. The federal Gas Tax Fund is permanent, set in legislation, and predictable, municipalities know exactly what they will receive years in advance. This funding model for local infrastructure allows municipal governments to meet local needs and plan for change over time.

The Fund provides flexibility to local government to set their own priorities. Municipalities can invest funds in the construction, enhancement, or renewal of local infrastructure; improve long-term plans and asset management systems; or bank funds to support future projects in one of the 17 eligible categories.

LAS has a range of programs designed to help municipalities out, and this one-time extra funding may be the opportunity to take advantage. If banking funds is something your municipality is considering, the ONE Investment Fund provides investment and savings options tailored to the municipal sector. A Road and Sidewalk Assessment helps with prioritizing repairs on expensive infrastructure, and the Facility Lighting Service improves energy efficiency by upgrading to LED lighting. 

It's no secret that Ontario’s infrastructure is under pressure. The doubling of Funds this year goes a long way in helping municipalities maintain infrastructure in a state of good repair, meet demands of a growing population, or address challenges that come with an aging population and shrinking tax base. The results from recently completed projects in Ontario are clear:

Gas Tax stats

Explore over 6,000 federal Gas Tax projects by community and type on www.gastaxatwork.ca

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