Notes for an Address by the Honourable Lawrence Cannon Minister of Transport, Infrastructure and Communities to the 2nd Mayors’ Summit

June 13, 2008
Ottawa, Ontario

Check Against Delivery

Dear friends,

From the outset, I’d like to congratulate Mayor O’Brien for taking the initiative to organize this 2nd Summit.

As some of you may know, I’m a former municipal councillor myself in two different cities.

As Minister of Transport, Infrastructure and Communities, I realize even more that we have to work together — in the spirit of open federalism, to reach our goals.

GC infrastructure investments

We are certainly doing our share, with a commitment to invest $33 billion in Canada’s infrastructure – the largest commitment ever of this kind by a federal Government.

Altogether, with investments from our partners, Building Canada is expected to generate more than $60 billion to modernize infrastructure.

This will result in major projects that are essential to maintaining our prosperity as a country.

And a major part of our commitment — $17.6 billion — will flow directly to communities like the ones you represent.

But Building Canada is about more than a record amount of money.

It’s about a long term commitment.

In Budget 2008, we announced that the Gas Tax Fund will become permanent at $2 billion per year.

That’s a major long-term commitment.

The Fund is supporting all types of projects, from the roads and public transit that make our communities cleaner, safer and more efficient; to the water, wastewater and green energy projects that make our communities more environmentally friendly.

Building Canada

The $2 billion a year that will go to municipalities through the Gas Tax Fund —along with up to $5.8 billion over seven years from the Goods and Services Tax Rebate —complement our investment in the Building Canada Fund.

This fund totals $8.8 billion and has two components.

First, the Major Infrastructure Component, which supports larger, strategic projects of national and regional significance, including public transit.

Second, the Communities Component is specifically for communities with populations of fewer than 100,000.

The Federation of Canadian Municipalities has repeatedly asked for this, and we delivered.

Our Government offers long-term predictable funding.

Our Government has delivered long-term, predictable – permanent funding with the Building Canada Plan.

Whatever the economic context, that funding is secured.

That’s what allows you, the Mayors, to engage and deliver the infrastructure projects so needed in your communities.

Building Canada is progressing well. We now have framework agreements in place in nine provinces and territories.

We are looking forward to signing or announcing agreements with Ontario and Quebec in the near future, as well as Alberta and Manitoba.

And projects have already been identified as priorities for these funds, such as a new Congress Centre here in Ottawa to be funded up to $50 million.

Earlier this month, I announced that through the Canada-Quebec Gas Tax Fund Agreement, $62 million will be provided to municipalities in the Outaouais Region, of which $43 million comes directly from the Government of Canada.

And to date, Ottawa has received $50 million from the federal Gas Tax Fund.

In 2008, the city will receive $25 million, and by 2010, they will have received approximately $126 million.

In February of this year, the Government of Canada announced it was flowing Ontario’s share of the $200 million top up for the Municipal Rural Infrastructure Fund (MRIF).

We proceeded to allocate $64 million and we have already announced multiple projects from that funding in Ontario.

Those include better water treatment infrastructure in Brant, upgrades to water pollution control in Glengarry Prescott-Russel, improvement to sewer systems in Perth-Wellington and replacement of watermains in St. Catharines.

Since its launch, the Gas Tax Fund has delivered more than $1.1 billion across Canada.

The money is flowing. The projects are happening.

Transit

Public transit is a major reason you are here today.

It is a priority for you, it was a priority for me when I was President of the Société de transport de l’Outaouais, and it is a priority for the Government of Canada.

I commend those of you here today who have been exploring ways to bring more transportation options to the people who live in your communities.

Our host, the city of Ottawa, is in the final stages of developing a new, long-term transit plan.

Obviously, this is a major undertaking that will have an enormous impact on the entire National Capital Region, and will involve government at all levels.

My colleague responsible for the Ottawa region – Minister John Baird and I have always been supportive of transit solutions in Ottawa, and we look forward to hearing about your proposals.

I know the National Capital Commission – which falls under my responsibilities as Minister, will be engaged, and its new CEO Marie Lemay will share that with you in the context of this Summit.

I am certain you will be able to count on their involvement and expertise as the details of the plan are put together.

The Government of Canada has already reserved $200 million for transit projects in Ottawa.

Last fall, we announced that the construction of the Strandherd Bridge and upgrades to the roads leading up the bridge would be a priority for up to $35 million of those funds.

Building Canada will provide more funding for transit than ever before.

And, in Budget 2008, the federal Government committed an additional $500 million in funding specifically for public transit.

And from that $500 million, more than $194 million has been allocated to Ontario.

The results will be to cut on commute times, clean the air we breathe and reduce congestion, but also, enhance our collective quality of life.

Federal investment in public transit is now at unprecedented levels — from next-to-nothing - to our current investment of over $1 billion per year.

And these amounts do not include our support for your efforts in other key areas — research and development.

As well, the studies we launched with the Ontario and Québec Governments on the Windsor-Quebec City rail corridor would also benefit our region.

Vélib

There are many ways to encourage alternative modes of transportation in our cities.

For example, when I was in Paris last week, I visited the operations of Vélib, a free short-term bicycle lending system.

There are 21,000 specially designed bicycles located at 1,451 stations throughout greater Paris.

This service reduces congestion, reduces pollution and it reduces the waistline.

Similar schemes are also in effect in other French cities, as well as Austria, Belgium, Denmark, Finland, Germany, Spain and Sweden. Montréal will launch its own project in 2009.

It is quite impressive to see people – residents and tourists, using bikes throughout Paris.

I plan to meet with the Mayor of Ottawa Larry O’Brian and with the Mayor of Gatineau, Marc Bureau to see if this initiative could be adapted to our regions’ particular circumstances.

Transport Canada supports environmentally friendly project such as Vélo-Route TransQuébec, designed to encourage workers to ride their bicycles to work. And Vélo-Route is getting more and more popular every year.

Conclusion

In closing, I want to say our government is proud to be your partner in building communities that are safer, cleaner, stronger, and more competitive.

Merci.