Government of Canada delivers more than $7.8 million to Nunavut for community infrastructure projects First of two annual installments under federal Gas Tax Fund

News release 

Government of Canada delivers more than $7.8 million to Nunavut for community infrastructure projects 

First of two annual installments under federal Gas Tax Fund 

August 31, 2016 Iqaluit, Nunavut Infrastructure Canada 

Investing in infrastructure is vital to creating good jobs today and sustained economic growth for years to come. Modern, efficient community infrastructure contributes to a high quality of life by helping connect people to jobs, improve water systems, and support new business opportunities. 

The Government of Canada has now provided Nunavut with $7.875 million for community infrastructure through the federal Gas Tax Fund (GTF), representing the first of two installments for 2016−17. In total, Nunavut will receive more than $15.7 million this year through the federal GTF. 

GTF funding will support water, wastewater and solid waste projects that will increase the health and well-being of Nunavummiut, and protect the sensitive Northern environment. From a $10.3 million project in the Hamlet of Igloolik to upgrade its water reservoir and improve its water treatment system, to a planning study in Cape Dorset to determine the scope of wastewater system upgrades, no other federal funding program provides Nunavut with as much flexibility and decision-making power. 

The two GTF installments for this year are in addition to funds going to Nunavut under other existing programs and the new Clean Water and Wastewater Fund, which is part of Phase 1 of the Government of Canada’s 10-year, $120-billion Investing in Canada plan. A bilateral agreement for this new fund will be signed in the next weeks. 

Quick facts 

• The GTF has provided over $135 million to Nunavut communities since its introduction in 2005. 
• $2 billion is made available nationally each year through two installments. 
• The GTF provides Canadian municipalities with a permanent, predictable and indexed source of long-term funding. 
• It offers the flexibility to make strategic investments across 18 different project categories, including roads and bridges, drinking water and wastewater infrastructure. 
• In Nunavut, the categories of funding are water, wastewater, solid waste and capacity building. The funds can be used immediately for priority projects, banked for later use, pooled with other communities for shared infrastructure projects or used to finance major infrastructure expenditures. 
• Phase 1 of Investing in Canada provides $11.9 billion in investments to support public transit systems, green infrastructure projects, and social infrastructure projects. Details on Phase 2 of Investing in Canada will be announced over the next months. 

Quotes 

“The federal Gas Tax Fund allows communities to direct federal dollars to their particular infrastructure priorities across a wide range of project categories. Whether a community needs to expand their recreational centre, enhance a wastewater treatment system or make energy-saving upgrades to municipal buildings, this funding offers predictable, reliable and flexible support that reflects the federal government’s commitment to investing in infrastructure that supports the middle-class and makes a real difference in people’s lives at the local level.” 

The Honourable Amarjeet Sohi, 

Minister of Infrastructure and Communities 

“The federal Gas Tax Fund helps the Government of Nunavut to realize our long-term plans. The flexibility of the fund allows us to respond to needs as they arise in our communities, which is a much needed benefit when accommodating unique challenges in our territory. We continue to work with Canada to see that investments are made to benefit Nunavummiut.” 

The Honourable Joe Savikataaq, 
Minister of Community and Government Services 
Nunavut Chair, Hudson Bay Roundtable 
Minister of Environment 
Minister of Energy 

Related products 

Federal Gas Tax allocations for Nunavut communities in 2016-17:  http://news.gc.ca/web/article-en.do?nid=1118809

Associated links 

The federal Gas Tax Fund 

Federal infrastructure investments in Nunavut 

Have your say on infrastructure 

Investing in Canada, the Government of Canada’s new $120 billion infrastructure plan 

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Contacts 

Brook Simpson 
Press Secretary 
Office of the Minister of Infrastructure and Communities 
613-219-0149 
@email 

Kris Mullaly 
Policy Analyst/Communication Officer 
Government of Nunavut 
867- 975-5342 
@email 

Infrastructure Canada 
613-960-9251 
Toll free: 1-877-250-7154 
@email 
Twitter: @INFC_eng 
Web: Infrastructure Canada

Backgrounder 

The Government of Canada delivered the first of two federal Gas Tax Fund installments for 2016-17 to all provinces and territories. 

The following table indicates this year’s federal Gas Tax Fund allocation for Nunavut’s communities.

*The City of Iqaluit is an ultimate recipient under the administrative agreement between Nunavut and Canada for the federal Gas Tax Fund, which receives 15 per cent of the total Nunavut allocation funds annually. 

For more information on the federal Gas Tax Fund, please visit: http://www.infrastructure.gc.ca/plan/gtf-fte-eng.html 

For more information on Administrative Agreement on the federal Gas Tax Fund: http://www.infrastructure.gc.ca/prog/agreements-ententes/gtf-fte/2014-nu-eng.html 

For more information on community infrastructure in Nunavut, please visit: http://www.buildingnunavut.com