Accelerating Provincial/Territorial Base Funding For Infrastructure

Through Canada’s Economic Action Plan, the Government of Canada is prepared to accelerate the remaining provincial/territorial base funding for infrastructure. Canada’s Economic Action Plan includes up to $1 billion in accelerated payments under Building Canada’s Provincial-Territorial Base Fund to expedite “ready-to-go” infrastructure projects.

About the Program

The $2.275 billion Provincial-Territorial Base Fund was established to provide each province and territory with predictable funding of $25 million per year, over seven years, for a total of $175 million per jurisdiction by 2014. When matched by the provinces and territories, the Provincial-Territorial Base Fund will invest at least $4.5 billion in core infrastructure.

Instead of providing provinces with $25 million per year, the Government of Canada is prepared to provide to each province and territory any remaining funding up to the full $175 million from 2009 to 2011, subject to matching contributions. To address pressing infrastructure needs, the Government of Canada will also make this funding more flexible, to allow provinces and territories to repair bridges, local roads and secondary provincial highways.

How it Works

Provinces and territories submit an Annual Capital Plan with a list of initiatives for federal cost sharing. The Plan includes a brief description of each initiative, the eligible category of investment and the total eligible cost. The federal government contributes 50% of the Plan’s eligible costs.

Who is Eligible?

Provinces and territories that have signed Provincial-Territorial Base Fund Agreements with the Government of Canada and submitted an Annual Capital Plan are eligible.