Ottawa, September 25, 2006
Archived - Canada's New Government Is Getting Things Done by Providing Additional Funding for Transit, Housing and Education
Archived information is provided for reference, research or recordkeeping purposes. It is not subject to the Government of Canada Web Standards and has not been altered or updated since it was archived. Please contact us to request a format other than those available.
The Honourable Jim Flaherty, Minister of Finance, announced today that Canada's New Government is providing the provinces and territories with an additional one-time federal funding of $3.3 billion to invest in post-secondary education, public transit and affordable housing. The Government is also providing $320 million in support for international initiatives.
"This funding will provide the provinces and territories with significant new resources to invest in key priority areas that will benefit families and taxpayers throughout the country" said Minister Flaherty. "Our government made a commitment to provide this funding, and as we have demonstrated time and time again, we keep our commitments."
Canada's New Government is authorized to make payments to the provinces and territories not exceeding $4.5 billion from surpluses in excess of $2 billion in the two fiscal years 2005-06 and 2006-07. Now that the federal Annual Financial Report of the Government of Canada has been released, the money will begin to flow.
The provinces and territories were provided with general operating principles, encouraging investments in capital and increased capacity. Areas of investment include:
- Public transit-rapid transit capital assets and rolling stock, Intelligent Transportation Systems or High Occupancy Vehicle lanes.
- Post-secondary education-modernizing classrooms, laboratories and research facilities, updating training equipment, developing interactive library technologies and facilities, or enhancing distance-learning technologies.
- Affordable housing-building new affordable rental units or increasing the supply of transitional and supportive housing.
- Northern housing-increasing the supply of rental housing, as well as transitional and supportive housing, in the North.
- Off-reserve Aboriginal housing-support housing for Aboriginal Canadians living off-reserve through increased supply of rental housing, enhanced opportunities for home ownership, or increased supply of transitional and supportive housing.
"We have a tremendous opportunity to invest in much-needed infrastructure that will improve our communities and our quality of life" added Minister Flaherty. "I encourage everyone to contact their provincial or territorial representative to let them know how they want to see this money spent."
The provinces and territories have the flexibility to use this money to fund any transit, post-secondary education or affordable housing project they identify as a need.
Details on the distribution of this funding can be found in the attached backgrounder.
Office of the Minister of Finance
Department of Finance
If you would like to receive automatic e-mail notification of all news releases, please visit the Department of Finance website at http://www.fin.gc.ca/scripts/register-eng.asp.