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Infrastructure Stimulus Fund
Through Canada's Economic Action Plan, the federal government established a $4-billion Infrastructure Stimulus Fund that provides funding to provincial, territorial, municipal and community construction-ready infrastructure projects. The Infrastructure Stimulus Fund complements existing federal infrastructure funding by focusing on short-term objectives for economic stimulus.
About the Program
The Infrastructure Stimulus Fund is providing $4 billion for the construction of infrastructure projects to be built from 2009-10 to 2010-11. To provide short-term stimulus to the economy, construction readiness was a key project selection criteria; for example, the rehabilitation and retrofit of existing assets to improve safety or extend their useful life. Eligible projects include water, wastewater, transit, roads, culture, parks, trails and community services infrastructure (see Program Guide for eligibility).
How it Works
The program provides up to 50 percent of funding for provincial and territorial assets and not-for-profit private sector assets, 33 percent for municipal assets, and 25 percent of eligible costs for for-profit sector assets.
Where possible, the Government of Canada partners with provinces and territories for the management and delivery of the Infrastructure Stimulus Fund. Funding for projects will flow through a streamlined agreement with provinces and territories where they are funding projects.
To ensure that the program provides economic stimulus quickly, and to ensure partnership with the provinces and territories, the Infrastructure Stimulus Fund is being delivered in a flexible manner. Proposals from municipal and non-governmental organizations were considered through different selection processes depending on each province and territory, to build on existing programs where possible and avoid duplicative application processes. For example, projects may have been identified through applications to the Building Canada Communities Component, by partnering through new or existing programs that can be enhanced to undertake incremental projects, or through specific calls for proposals for stimulus projects using a short form and accelerated process.
Once projects were announced under the Infrastructure Stimulus Fund, unless proponents were notified otherwise, all federal approvals and environmental assessments are complete and project work can begin as soon as the province or territory has signed off. Only projects that can be built by March 31, 2011 are eligible. The federal government will pay its share of costs incurred up to March 31, 2011. It will not provide any funding beyond this date.
