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Archived - Building Infrastructure to Create Jobs

Highlights

Building Infrastructure

• Since the release of Canada's Economic Action Plan, the Government has committed more than $9 billion in federal funding towards over 6,700 provincial, territorial and municipal infrastructure projects worth over $25.8 billion.
  
  This includes commitments of:
  
  
  • Over $3.6 billion through the $4-billion Infrastructure Stimulus Fund. To date, approximately 3,200 projects across Canada have been announced under the Fund.
  • More than $2.8 billion from the Major Infrastructure Component of the Building Canada Fund to 96 priority projects, worth approximately $9.6 billion.
  • $170 million in 2009–10, under the Recreational Infrastructure Canada program, to over 1,500 projects.
    
    
• 46 projects have begun to improve schools, water and wastewater systems, health facilities and policing infrastructure for First Nations.
• VIA Rail has signed contracts for over $330 million of stimulus work. Construction, including work on track, signalling and bridges, started in early fall 2009.
• The main contract for the repairs planned for 2009–10 for the 10-year repair program to the Champlain Bridge in Montréal was awarded in March and work started in April. Three additional contracts have been awarded since then. Work is underway on the Blue Water Bridge in Sarnia and the Peace Bridge in Fort Erie.
• The Government is investing $200 million over two years for over 260 projects to improve small craft harbours throughout Canada.
• 1,150 repairs and renovation projects for federal buildings have been identified and 119 of these have been completed.
• Work to twin eight kilometres of the Trans-Canada Highway in Banff National Park between Lake Louise and the British Columbia border began last April, creating an estimated 1,600 jobs.

Stimulating Housing Construction

• The tax relief available through the temporary Home Renovation Tax Credit of up to $1,350 is providing an immediate incentive for homeowners to invest in their homes and is supporting jobs in the housing industry.
• Tax relief of up to $750 through the First-Time Home Buyers' Tax Credit and higher Home Buyers' Plan withdrawal limits will encourage home ownership and further support the housing industry.
• More than 945 projects have begun as a result of agreements with all provinces and territories to deliver $650 million in federal investment in 2009–10 for the construction, renovation and retrofits of social housing across Canada.
• $1 billion in low-cost loans is available for municipalities in 2009–10 to undertake housing-related infrastructure projects. 64 loans have already been approved.
• The federally administered renovation and retrofit initiative is also investing $75 million in 2009–10 to improve existing social housing units. 420 projects have already begun.
• Projects have begun to build and renovate on-reserve social housing in almost 300 First Nations communities. In addition, federal investments are creating jobs and supporting communities in the North, with 106 projects already started.
• Due to unprecedented demand under the ecoENERGY Retrofit – Homes program, the Government is proposing to allocate $205 million under the Clean Energy Fund to finance up to 120,000 additional retrofits for Canadian homeowners.

Introduction

Canada's Economic Action Plan provides approximately $16 billion over two years to modernize a broad range of infrastructure including our roads, bridges, public transit, parks and water treatment facilities, and to support home ownership, help stimulate the housing sector and improve housing across Canada. These investments will help create and maintain jobs across Canada for the benefit of all Canadians, and will ensure the country emerges from the economic downturn with a more modern and greener infrastructure.

Table 2.7
Building Infrastructure to Create Jobs

	2008–09	2009–10	2010-11	Total
	(millions of dollars)
Building Infrastructure
Investments in provincial, territorial and municipal infrastructure		1,897	4,045	5,941
Investments in First Nations Infrastructure		233	282	515
Investments in federal infrastructure projects		475	254	729
Subtotal—Building Infrastructure		2,604	4,580	7,185
Stimulating Housing Construction
Support for home ownership and the housing sector	530	2,840	345	3,715
Investments in social housing for Canadians		1,025	1,050	2,075
Subtotal—Stimulating Housing Construction	530	3,865	1,395	5,790
Total—Building Infrastructure to Create Jobs	530	6,469	5,975	12,975
Total stimulus value		8,504	7,498	16,002
With provincial contributions		11,233	12,478	23,712
Notes: Totals may not add due to rounding. This table represents the fiscal cost of measures taken in the Economic Action Plan. For some measures, a fiscal cost accrues in 2008–09. The stimulus value reflects projected cash expenditures. The budgetary impact may be somewhat smaller because some of these expenditures relate to construction and renovation costs of federal assets (for which only depreciation is recorded on a budgetary basis) and loans to third parties (where there is a budgetary impact only in the event that there is a risk of loss).

Building Infrastructure

Investments in Provincial, Territorial, and Municipal Infrastructure 

As part of Canada's Economic Action Plan, the Government of Canada has partnered with provincial, territorial and municipal governments in a concerted national effort to stimulate economic activity and create jobs.

The Government's contribution to this effort has been both considerable and comprehensive. In particular, $6.4 billion in new funding over two years was made available for provincial, territorial and municipal infrastructure. Most of this new funding was used to launch new funds such as the Infrastructure Stimulus Fund, the Green Infrastructure Fund and Recreational Infrastructure Canada, which together are supporting thousands of projects across Canada. In addition, new funding has also been provided through top-ups or advances to existing Building Canada initiatives.

As well, by cutting red tape and streamlining approvals, the Government has fast-tracked billions of dollars in existing funding under the seven-year (2007–2014) Building Canada plan.

This funding is also being invested in record time. In the 250 days since the launch of Canada's Economic Action Plan, the Government has committed more than $9 billion towards over 6,700 provincial, territorial and municipal infrastructure projects. When combined with contributions from other orders of government and other funding partners, this results in a total commitment of more than $25.8 billion for projects across Canada. Indeed, virtually every community in Canada has enjoyed a direct or indirect benefit from these projects.

As a result of actions by provinces, territories and municipalities, work has already begun or been completed on approximately 3,500 projects, or more than half of the projects announced to date. These projects have a total value in excess of $8.3 billion. They are creating and maintaining jobs in every province and territory, and virtually no part of Canada has been untouched by this effort. These totals will grow further in the coming months, as we enter the second full construction season for these initiatives.

Budget 2009 Priority Identified Projects

Canada's Economic Action Plan identified priority projects in each province and territory that could receive federal support through the Building Canada plan and be expedited over the next two construction seasons. Since the release of the Economic Action Plan, all of these priority projects have received funding commitments from the Government.

Work on a number of these priority projects is now well underway, including on improvements to the Trans-Canada Highway in Newfoundland and Labrador, the Summerside Wind Energy Project in Prince Edward Island, the Fundy Trail Parkway in New Brunswick, road upgrades in the Québec City metropolitan area, upgrades to water and sewer systems across the province of Quebec, Telus World of Science in Calgary, Alberta, the Yellowknife bypass in the Northwest Territories, and the Piqqusilirivvik cultural facility in Nunavut.

Accelerating Existing Provincial, Territorial and Municipal Infrastructure Initiatives Under Building Canada

In 2007, the Government of Canada established the seven-year, $33-billion Building Canada plan, which consists of a comprehensive range of initiatives that help provinces, territories and municipalities meet their pressing public infrastructure needs. These other orders of government are ultimately responsible for managing these projects, including the issuance of tenders, the awarding of contracts, and the timely progression to physical construction.

To provide further economic stimulus, Canada's Economic Action Plan accelerated and topped up a number of Building Canada initiatives. Since the release of the Economic Action Plan in January, the Government has:

• Streamlined federal approval processes for infrastructure projects so that provinces, territories and municipalities can start construction sooner.
• Announced funding for 96 major projects that are worth close to $9.6 billion. These strategic projects, which can be found in every province, will receive more than $2.8 billion in federal funding from the Major Infrastructure Component of the Building Canada Fund.
• Announced funding towards 1,255 smaller-scale projects in communities with populations of less than 100,000. These projects, which are worth more than $4.2 billion, will receive close to $1.4 billion in federal funding from the Communities Component of the Building Canada Fund. The Economic Action Plan accelerated and provided a further $500 million to this initiative. The original funding allocation has been approved and announced in all 10 provinces, and the $500-million top-up has been committed in 9 of 10 provinces.
• Transferred $558 million to provinces and territories through the Provincial/Territorial Base Funding Initiative. A portion of the transferred amount took the form of accelerated payments, as most provinces and territories are taking advantage of the offer made in Canada's Economic Action Plan to accelerate some or all of the seven-year funding available under this initiative.

These results are a testament to the high degree of cooperation that has been shown in the implementation of Canada's Economic Action Plan by the Government of Canada, provinces, territories and municipalities across Canada.

New Provincial, Territorial and Municipal Infrastructure Initiatives

To complement the acceleration of existing Building Canada initiatives, Canada's Economic Action Plan also included new funding initiatives that seek to further stimulate investment in provincial, territorial and municipal infrastructure and thus create more jobs.

Infrastructure Stimulus Fund: The Economic Action Plan made $4 billion available over two years for a new Infrastructure Stimulus Fund. This Fund specifically targets provincial, territorial, municipal and community infrastructure projects that are construction-ready and would not have otherwise been built in the next two years without funding from the federal government. By providing funding on a cost-shared basis, the Infrastructure Stimulus Fund levers additional contributions from other partners and is thus able to generate a much greater overall stimulative effect to the Canadian economy through infrastructure spending.

The Government has worked closely with its partners to rapidly green-light projects for approval so that they can get underway. To date, over $3.6 billion out of the $4 billion in federal funding available under the Infrastructure Stimulus Fund has been committed. However, provinces and territories have committed funding at different rates. The Government has set a deadline of January 29, 2010, by which time provinces and territories must commit all remaining funds. This will ensure that uncommitted stimulus funding can be put to work quickly for the benefit of all Canadians.

Under the Infrastructure Stimulus Fund, all available funding in 2009–10 and 2010–11 must be committed to projects by January 29, 2010. To date, more than 90 per cent of the $4 billion available under the Fund has been committed to projects across the country.

Across Canada, approximately 3,200 Infrastructure Stimulus Fund projects with a total value of more than $8.3 billion (taking into account contributions from provinces, territories, municipalities and other partners) have been announced. Based on reports provided by provinces and territories to date, work has begun on close to 1,400 of these projects, worth approximately $3.8 billion, including:

In British Columbia:

• The resurfacing of Highway 4 in the Tofino area. This $1.8-million project is benefiting from a federal contribution of $0.9 million and has already been substantially completed.
• The extension of Lansdowne Road in Richmond, a $2-million project. $0.7 million from the Infrastructure Stimulus Fund is being provided to this project, which is approximately 75 per cent complete.
• The replacement of the Cedar Creek 1 and 2 bridges on Highway 3 in Manning Provincial Park between Hope and Princeton. The Government of Canada is contributing $5 million towards this project, which is expected to cost $10 million.

In Alberta:

• Various improvements to Edmonton's transit system, including signal system upgrades and platform extensions. These projects are expected to cost a total of $74.8 million and are receiving $24.9 million from the Infrastructure Stimulus Fund.
• A new water intake for Red Deer's water treatment plant. This $21-million project is benefiting from $2.3 million in federal funding.

In Saskatchewan:

• The rehabilitation of almost 7.8 kilometres of metallic water mains in Saskatoon that are in need of repair. The Government of Canada is providing approximately $3 million to this $9.1-million project.
• The upgrade and expansion of the Gravelbourg Water Treatment Plant to address water quality issues. This $4.5-million project is receiving $1.5 million in federal funding.

In Manitoba:

• The refurbishment of the Manitoba Centennial Centre in Winnipeg. Some $2.5 million from the Infrastructure Stimulus Fund is being provided to this $5-million project.
• The repaving and widening of the Pine Ridge Bicycle Trail in Birds Hill Provincial Park, a $700,000 project. The federal contribution to this project totals $350,000.

In Ontario:

• The restoration of the Automotive Building at Exhibition Place in Toronto. This $3.3-million project is receiving $1.1 million from the Infrastructure Stimulus Fund.
• The paving of the shoulders of the Riverflow Cycling Trail in the United Counties of Prescott and Russell. The Government is contributing approximately $1.5 million towards this $4.4-million project.
• The renovation of the River Run Performing Arts Centre in Guelph. This $2.2-million project is receiving $0.76 million in federal funding.
• The Highway 17 Gateway Rehabilitation Project, which consists of the reconstruction and rehabilitation of the main provincial highway into the City of Kenora. This $7-million project is receiving $2.3 million in federal funding.

In Quebec:

• The construction of the Centre des arts et de la culture Alcoa, which consists of the expansion of the Baie-Comeau Theatre to integrate the Music School, the Dance Academy and the Symphony Orchestra into the existing building. This $9.1-million project is receiving $3 million from the Infrastructure Stimulus Fund.
• The construction of a multi-purpose centre in Larouche that will include a fitness centre, a conference room, a banquet room with food services, an indoor pool and a local community service centre or physician's office. This $3.5-million project is receiving $1.2 million in federal funding.

In New Brunswick:

• The rehabilitation of Route 101 and Route 102 in the Fredericton Area, and Route 109 in Perth-Andover. The cost of these projects totals $4.2 million, of which $2.1 million is coming from the Infrastructure Stimulus Fund.
• The Scoudouc Industrial Park Interchange project on Route 15 in the Moncton region. $4 million in federal funding is being provided to this $8-million project.

In Nova Scotia:

• The retrofitting of Bluenose II, a 1920s fishing schooner. This $14.4-million project is moving ahead thanks to $7.2 million from the Infrastructure Stimulus Fund.
• Improvements to Trunk 7 (a major collector highway), including repaving, through the Village of Sherbrooke. The Government of Canada is providing $1.9 million to this $3.8-million project.

In Prince Edward Island:

• The restoration of the Vanier Centre in Wellington, which houses the community offices, Evangeline Cablevision Co-op and a Community Hall for community/social events. Some $250,000 from the Infrastructure Stimulus Fund is being provided to this $750,000 project.
• The renovation of 43/45 Queen Street, a recognized designated heritage site in the heart of historical downtown Charlottetown. This $1.5-million project is receiving $0.5 million in federal funding.

In Newfoundland and Labrador:

• Water and storm sewer upgrades in Deer Lake, a $1.7-million project. Approximately $0.6 million from the Infrastructure Stimulus Fund has been allocated to this project.
• Renovations to the St. John's Municipal Depot include upgrading of the building envelope, insulation and heating and air handling systems, and installation of energy management control systems. The work will also include a back-up server system to support emergency response operations. This $7.6-million project is receiving $2.5 million in federal funding.

In Yukon:

• The reconstruction of the Kusawa Lake Road is now complete, with $21,000 from the Infrastructure Stimulus Fund being provided to this project.

 

Green Infrastructure Fund: Announced in Canada's Economic Action Plan, the Green Infrastructure Fund targets infrastructure projects that improve the quality of the environment and help Canada transition to a more sustainable economy. Project priorities include green energy generation and transmission infrastructure, new and upgraded wastewater treatment systems, and better solid waste management.

Using the Green Infrastructure Fund, the Government has announced a number of key investments in green infrastructure. This includes $71 million in funding to help upgrade the Mayo B hydro generation facility and complete the Carmacks-Stewart transmission line in the Yukon, as well as $130 million for the construction of the Northwest Transmission Line in northern British Columbia.

On November 6, 2009, the Government of Canada announced a total of $118 million from the Green Infrastructure Fund for six major improvements to wastewater facilities in Ontario.

The Government is working to ensure that funding under the Green Infrastructure Fund is spent effectively. The Government expects that the bulk of the first two years of funding under the program would be spent in 2010–11.

National Recreational Trails: The Economic Action Plan also provides $25 million in funding to the National Trails Coalition to help build and renew recreational trails for walking, running, cross-country skiing and biking, as well as snowmobile and all-terrain vehicle trails. Approximately 500 projects have been selected for funding and work will be completed by March 2010.

Recreational Infrastructure Canada: Hockey arenas, soccer fields, tennis courts and swimming pools provide Canadians and their families with the benefits of physical activity and community-based experience. Many of these facilities were built in 1967 to mark Canada's Centennial year and are in need of renewal. Upgrading existing community recreational facilities and constructing new ones will provide much-needed economic stimulus, while providing Canadians in all regions with better facilities in which to play, relax and build community life. This is why the Economic Action Plan provides $500 million over two years to create the Recreational Infrastructure Canada (RInC) program, supporting the construction of new facilities and upgrades to existing ones across the country.

In 2009–10, $250 million was made available in 2009–10 for RInC. To date, approximately $170 million under this program has been committed to 1,540 projects across the country. Of these, work has started on over 800 projects. Approximately $39 million in 2009–10 funding for the RInC program will be transferred to 2010–11 to ensure that the best eligible projects will receive support. The Government is working diligently to ensure that the full two-year funding available under Recreational Infrastructure Canada is put to effective use. All projects must be completed by March 31, 2011. To ensure a quick take-up of uncommitted funding, the Government has set the deadline of January 29, 2010, by which time all funds must be committed.

Public-Private Partnerships (P3s): PPP Canada's first call for project proposals closed on October 30, 2009 and potential P3 projects were received from provincial, territorial, municipal and First Nations proponents from across the country. PPP Canada is currently engaged in ongoing dialogue with proponents while expeditiously reviewing and evaluating all of the proposals with a view to providing timely investment decisions in due course. Additional information can be found at www.p3canada.ca.

First Nations Infrastructure 

To further build the infrastructure necessary for healthy First Nations communities, the Economic Action Plan provides $515 million over two years, including $260 million in 2009–10, to support construction and renovation of schools, water and wastewater projects and critical community infrastructure, such as health and police facilities in First Nations communities. These infrastructure projects mean needed education facilities such as new classrooms, upgraded libraries and resource centres, science and computer rooms, auditoriums, soccer fields, tracks, landscaping and play facilities, as well as improved access to safe drinking water and quality health care facilities for First Nations communities. These investments are sparking job creation on reserve and in remote and rural communities.

Time-intensive pre-construction requirements related to tendering and design, as well as the short construction season in remote and northern communities, have delayed some projects. As a result, $27 million of the $260 million in funding provided for First Nations infrastructure this year will be spent in 2010–11. The full amount of funding should be spent in 2010–11, as the pre-construction phase of the majority of projects should be completed early in 2010, allowing them to benefit from a full construction season.

Of the funding for infrastructure in First Nations, projects have begun in the following priority areas:

First Nations Schools: Funding has been committed for 12 school projects in First Nations communities. Since September, construction has begun on 2 new school projects, bringing to 6 the overall number of projects under construction. Three additional projects have gone to tender. Two are expected to go to tender by early 2010 and the final project by mid-year. A total of 10 projects should be under construction by March 2010.

Safe Water Systems: 18 water and wastewater projects in First Nations communities have been announced. Work on 2 new projects has begun since September, for a total of 9 projects that have begun construction work. An additional 2 projects have gone to tender and 5 are expected to go to tender by early 2010, with a total of 14 projects expected to be under construction by March 2010.

First Nations Health Services Infrastructure: Since September, work has begun on 12 new projects to build health facilities and nurses' residences in First Nations. This brings the total number of projects underway to 19. An additional 7 projects to build health facilities and nurses' residences have gone to tender, and additional projects are expected to go to tender and begin construction by March 2010. Numerous renovation projects are also advancing to improve existing First Nations health infrastructure.

First Nations Policing Infrastructure: Since September, an additional 4 projects to remediate critical policing infrastructure in First Nations communities have been negotiated with provinces and First Nations, with a total of 12 projects that have begun. Discussions with provinces and First Nations continue to identify additional projects.

 

 

Funding to Upgrade and Modernize Federal Infrastructure 

Canada's Economic Action Plan is also supporting jobs by making investments in federal infrastructure that will provide tangible benefits to Canadians through faster and more reliable passenger rail services, safer bridges and highways, refurbished harbours for small crafts and more efficient border crossings.

Federal infrastructure spending is now 92 per cent committed, creating jobs across the country. The investments in federal infrastructure include:

VIA Rail: The Economic Action Plan provides funding for a wide range of projects designed to modernize rail passenger services, such as sections of new track, new sidings, upgraded train control signals, upgraded highway crossing protection, repairs to bridges, and upgraded infrastructure at key points along the Quebec-Windsor Corridor, such as between Montréal and Toronto, Coteau and Ottawa, and Chatham and Windsor. This work will permit VIA to operate additional trains, on faster schedules and with better on-time reliability.

Funding has also been provided to overhaul the equipment assigned to the western transcontinental train operating between Toronto and Vancouver; to rebuild the Light, Rapid, Comfortable passenger cars used in the Quebec-Windsor Corridor; and to complete safety and accessibility modifications to the Renaissance passenger cars used in the Quebec-Windsor Corridor and on the eastern transcontinental service between Montréal and Halifax. Passengers will be riding in rail cars with new interiors and completely overhauled mechanical systems. The first overhauled car for the western transcontinental train was completed in October 2009.

As well, funds are being invested in necessary repairs to stations and platforms across Canada. Projects have already been completed at such points as Bathurst, Ottawa and Vancouver. VIA is also upgrading its information systems and other miscellaneous projects. Up to the end of October, VIA had signed contracts for over $330 million of stimulus work.

The funded work on the Chatham-Windsor and Coteau-Ottawa infrastructure will be completed this year. Environmental reviews have been completed and permits for various worksites between Montréal and Toronto are being received from Fisheries and Oceans Canada and Transport Canada. Construction, including work on track, signalling and bridges, started in early fall 2009.

Federal Bridges: Canada's Economic Action Plan includes projects at the following bridges:

• The Champlain Bridge in Montréal: The Action Plan provides funding for a comprehensive 10-year repair program for the Champlain Bridge in Montréal to ensure that the bridge remains safe. The work continues on the bridge and a Crown corporation (The Jacques Cartier and Champlain Bridges Incorporated) is ensuring that the repair work planned for 2009 is completed on schedule. It is estimated that the project will create 2,600 person-years of employment over its 10-year timeframe.
• The Blue Water Bridge in Sarnia: The planned investments will help improve the safety and efficiency of Canada's second busiest commercial crossing. The necessary financial agreements were finalized on July 23, 2009, and construction began in late August 2009. All jobs created will be private sector jobs in the construction, engineering and manufacturing sectors.
• The Peace Bridge in Fort Erie: This strategic investment will help facilitate the flow of commercial goods across one of Canada's top three border crossings. Engineering and planning work on the Peace Bridge project began in July 2009 and the commencement of construction activities is scheduled for January 2010. Federal funds for the project have begun flowing to the bridge authority. It is anticipated that by the time the project work is completed in the summer of 2010, it will have generated approximately 50 direct and indirect full-time jobs.
• National Capital Region Interprovincial Bridges: The cities of Ottawa and Gatineau are linked by two historic bridges: the Alexandra and Chaudière bridges. As these two bridges are major transportation corridors supporting the local economy, the rehabilitation of the bridges is essential to maintain the efficient flow of people and goods. A major rehabilitation of the Alexandra Bridge started in April 2009, creating approximately 50 jobs. Contracts for rehabilitation work on the Chaudière Bridge were awarded in October 2009.
• Kingston and Burlington Bridges: The LaSalle Causeway in Kingston and the Burlington Lift Bridge provide passage for essential commercial traffic both on land and water. The Burlington Lift Bridge provides passage for around 1,000 cargo-carrying vessels each year. Rehabilitation work on the LaSalle Causeway began in November 2009 and work on the Burlington Lift Bridge is expected to start in January 2010 to ensure continued safe operation of the bridge.

Federal Buildings: The Economic Action Plan committed significant funds to repair and renovate the federal government's building portfolio. Of the 2009–10 funding, 93 per cent has already been committed. 1,150 repair and renovation projects have been identified and 119 of them have been completed. Projects address a range of needed repairs to these assets including:

• Exterior repairs and renovations such as window replacements and new roofing.
• Interior upgrades to mechanical, electrical and fire alarm systems.

In addition, funding was provided to enhance the accessibility of Crown-owned buildings for persons with disabilities. For 2009-10, $18.7 million of the $20-million budget has been allocated, with 159 accessibility projects underway. Priority continues to be given to Service Canada facilities. Projects include:

• Improvements for the visually impaired.
• Power door openers.
• Voice identification in elevators.
• Interior and exterior ramps and primary access doors.

These projects are contracted through Public Works and Government Services Canada's private sector building management service provider. To date, the service provider has contracted with close to 600 vendors for the Economic Action Plan investments alone, who in turn contract with a large number of sub-contractors from coast to coast to deliver this program.

The Economic Action Plan also provided $2 million over the next two years for the development of a comprehensive plan to secure the future of the historic Manège Militaire in Québec City. The results of public consultations were released in October and a real property consultant has been selected to conduct a feasibility and profitability study. The recommendations from this study are expected to be received by December 31, 2009.

Twinning of the Trans-Canada Highway in Banff National Park: Forecast job creation is over 1,600 person-years over the life of this project. The project involves two separate design/build tenders, one for the Icefields Interchange and a second for the twinning of eight kilometres of the Trans-Canada Highway between the Interchange and the Alberta-British Columbia border. The contract for the design/build of the Icefields Interchange was awarded in September. Construction started in October, with completion expected by the fall of 2010. Site preparation for the highway began in March and will be completed by December 2009. Construction on the highway is expected to begin in the spring of 2010.

Small Craft Harbours: The Economic Action Plan provides $200 million over two years under the Small Craft Harbours Accelerated Infrastructure Program to accelerate repair work and maintenance of Canada's core commercial fishing harbours and an additional $17 million to accelerate the construction of a small craft harbour in Pangnirtung, Nunavut. These investments will help ensure that the commercial fishing industry has access over the long term to safe and functional harbours while creating jobs now. These investments will involve over 260 individual projects at over 200 different locations throughout Canada.

Significant progress has been made over the past months with implementation of some projects moving more quickly than originally planned. As a result, funding totalling $20 million for projects in 2010–11 has been advanced to 2009–10. In 2009–10, $102 million will be spent on contracts for repair, maintenance and dredging work at existing harbours, and approximately $4.5 million will be spent on the construction of the Pangnirtung harbour, Nunavut's first small craft harbour.

Aviation Security: Canada's Economic Action Plan provides funding for the deployment of new, advanced, internationally compatible screening equipment and other technology, and the provision of training for the screening workforce to increase levels of security and efficiency at airports across Canada. Funding also includes a top-up for existing programs.

The Canadian Air Transport Security Authority (CATSA) has made significant progress in enhancing aviation security, including the planning of new screening lanes at major airports. As well, the contracts for the acquisition of new, advanced, internationally compatible screening equipment have been finalized. All screening equipment for the general aviation service providers at airports was delivered on time. CATSA is on track to deliver all mobile buses that contain security screening equipment by December 15th. Olympic sites have been confirmed, and the acquisition of portable trailers that contain security screening equipment is almost 80 per cent complete. System oversight at airports has already been enhanced through the deployment of additional oversight personnel.

Federal Contaminated Sites: The Government is accelerating work to assess and remediate federal contaminated sites, with nearly all of the $96 million in 2009–10 funding committed. This work will create jobs and economic activity in communities across Canada over the next two years, while contributing new green spaces and cleaner bodies of water and soils, and enabling long-term development. Departments have selected 149 projects for accelerated remediation and will conduct 1,318 site assessments this year.

For example, the Department of National Defence's former petroleum handling and storage area on McNabs Island in Halifax Harbour, home of the Fort McNab National Historic Site, has received $1 million in remediation funding.

Stimulating Housing Construction 

In recent years, Canada's housing industry has become a key contributor to economic growth by fuelling demand for tradespeople, building materials and other goods and services.

To stimulate our construction industry and protect and create jobs, the Government is providing significant support for home ownership and renovations. It is also making investments to renew Canada's social housing and improve municipal housing-related infrastructure.

Supporting Home Ownership and Jobs in Housing Construction

The housing industry is an important source of economic activity and job creation in Canada, as it promotes demand for building materials and other goods and services. For many Canadians, their homes are the most important investment of their lives.

To provide needed stimulus in these challenging economic times, Canada's Economic Action Plan delivers powerful incentives for Canadians to invest in their homes, thereby supporting employment in the construction industry.

Canadians undertaking eligible renovations to their homes before February 2010 will receive up to $1,350 in tax relief from the temporary Home Renovation Tax Credit. About 4.6 million families in Canada are expected to take advantage of the credit, and, by doing so, are supporting jobs in the housing industry.

Canada's Economic Action Plan also provides tax support to encourage home ownership. First-time home buyers will benefit from greater access to their Registered Retirement Savings Plan savings to purchase or build a home as well as up to $750 in tax relief from the First-Time Home Buyers' Tax Credit.

Canadians have indicated that the availability of the Home Renovation Tax Credit is an important factor in their decision to renovate their homes, and high-profile advertising campaigns undertaken by major building material suppliers and retailers have also helped increase the response to the Home Renovation Tax Credit.

An Angus Reid Strategies survey conducted over the summer found that 54 per cent of homeowners had already started or planned to start renovation projects before the end of 2009. Of the respondents undertaking renovations, 64 per cent cited the availability of the tax credit as influencing their decision. Consistent with this result, a separate recent Ipsos Reid survey commissioned by the Royal Bank of Canada reported that 47 per cent of renovating households have done more renovations because of the tax credit.

The considerable interest in the Home Renovation Tax Credit, and the tax relief it provides, is indicative of its positive impact on renovation activity, which promotes job creation in construction and trades. The Canada Revenue Agency has received about 3.5 million enquiries about the credit through its website and by telephone since the credit was announced, which represents 1.3 million additional enquiries since the Third Report to Canadians approximately two months ago—or about 20,000 enquiries daily.

Given the interest in the Home Renovation Tax Credit, it is not surprising that the volume of home renovation investment has increased markedly since March.

Homeowners can also benefit from the enhanced ecoENERGY Retrofit – Homes program if they choose to make energy-efficiency improvements to their homes. The additional $300 million provided through the Economic Action Plan was expected to support an estimated 200,000 home retrofits. The program has experienced unprecedented demand since the Economic Action Plan was announced and has met its targets. In response, the Government is proposing to allocate $205 million from the Clean Energy Fund to finance up to an additional 120,000 retrofits for Canadian homeowners. The enhanced ecoENERGY Retrofit – Homes program is encouraging the development and installation of next generation energy products, as well as fostering improved techniques in home construction and renovation.

Together, the Home Renovation Tax Credit and the enhanced ecoENERGY Retrofit – Homes program provide a strong incentive to undertake home renovation projects this year. This timely stimulus promotes demand for labour, building materials and other goods and services, helping to create more jobs.

Investments in Social Housing

Canada's Economic Action Plan is continuing to create jobs by making investments in social housing construction and renovation, and helping low-income and vulnerable Canadians find suitable and affordable housing. These investments are enhancing the energy efficiency and quality of up to 200,000 social housing units across the country, thereby improving the lives of those most in need and reducing our environmental impact.

The Economic Action Plan has fully committed $425 million to provinces and territories for renovation and retrofits, $200 million to support housing for low-income seniors, and $25 million to meet the housing needs of persons with disabilities, for a total of $650 million in 2009–10. For these projects, the Government of Canada's support is being matched by provincial and territorial governments, which are responsible for program design and delivery. In addition, the Government of Canada has fully committed $75 million for renovation and retrofits of federally administered social housing, $200 million for First Nations housing, and $100 million to support the specific housing needs of northern residents in 2009–10. Across the country, over 1,700 projects have begun.

Renovation and Retrofit of Social Housing: In 2009–10, provinces and territories are delivering $850 million (a $425-million federal investment plus $425 million matched by the provinces and territories) for the renovation and retrofit of existing social housing, which is helping some of the most vulnerable in our communities including seniors, single parent families, recent immigrants and Aboriginal households. 922 projects have already begun.

Housing for Low-Income Seniors and Persons With Disabilities: In 2009–10, Canada's Economic Action Plan provides $200 million to support housing for low-income seniors and $25 million for housing for persons with disabilities, with funding matched by the provinces and territories. 23 projects have begun.

Federally Administered Renovation and Retrofit of Social Housing: Canada Mortgage and Housing Corporation is directly delivering $75 million in 2009–10 to be invested in the renovation and energy retrofit needs of existing federally administered social housing. 420 projects have already begun.

Northern Housing: Canada's Economic Action Plan provides $100 million in 2009–10 for the renovation and construction of housing in northern communities. 106 projects have begun.

First Nations Housing: To improve housing conditions on reserve and stimulate the economy, the Economic Action Plan provides $200 million for 2009–10. The funds are dedicated to new social housing projects, the remediation of existing social housing and complementary housing activities. These funds are now fully committed and projects have already begun in almost 300 First Nations communities.

Helping Municipalities Build Stronger Communities: In addition to direct funding for social housing, up to $1 billion is available in 2009–10 in low-cost loans for municipalities to undertake housing-related infrastructure projects. Canada Mortgage and Housing Corporation has already approved 64 loans. Examples include:

• In the town of Petrolia, 100-year-old residential street sewers will be replaced and road work will be completed through two low-cost infrastructure loans totalling $1.2 million as part of Canada's Economic Action Plan. The town had received contributions from Infrastructure Canada and from the Province of Ontario, and the municipal infrastructure loan provided the remaining third of the funding.
• A $3-million low-cost loan approved for the Regional Municipality of Hanover in Manitoba ensured that construction of a new wastewater treatment facility for the community of Mitchell got underway. The project will allow for future residential development, as it has been designed to accommodate population growth from 1,700 to 4,000.

Table 2.8
Building Infrastructure to Create Jobs

	2009–10 Stimulus Value	Authorities in Place	Stimulus Committed
	(millions of dollars)		(millions of dollars)
Building Infrastructure
Investments in Provincial, Territorial   and Municipal Infrastructure
Accelerating payments under the Provincial/  Territorial Base Funding Initiative	255	Yes	162
Infrastructure Stimulus Fund (two-year value)1	4,000	Yes	3,606
Bonus for Community Projects	231	Yes	135
Green Infrastructure Fund (five-year program)	7	Yes	7
National recreation trails	25	Yes	25
Recreational Infrastructure Canada	211	Yes2	170
Investment in First Nations Infrastructure
School construction	75	Yes	75
Water and wastewater projects	76	Yes	76
Critical community services (health facilities)	68	Yes	68
Critical community services (police facilities)	15	Yes	10
Investments in Federal   Infrastructure Projects
An improved rail system	141	Yes	131
Trans-Canada Highway	20	Yes	13
Federal bridges and Champlain Bridge	43	Yes	35
Alaska Highway	13	Yes	13
Small craft harbours	109	Yes	107
Repair and restoration of federal buildings	175	Yes	162
Enhancing accessibility of federal buildings	20	Yes	19
Manège Militaire in Québec City	2	Yes	–
Accelerating action on federal contaminated sites	96	Yes	90
Border facilities	7	Yes	2
Aviation security	383	Yes	361
Stimulating Housing Construction
Support for Home Ownership   and the Housing Industry
Home Renovation Tax Credit	3,000	Bill C-513	3,000
Increasing withdrawal limits under   the Home Buyers' Plan	15	Yes	15
First-Time Home Buyers' Tax Credit	175	Bill C-513	175
Enhancing the energy efficiency of our homes4	150	Yes	150
Investments in Social Housing for Canadians
Renovation and retrofit  of social housing (provincial/territorial)	425	Yes	425
Renovation and retrofit  of social housing (federal)	75	Yes	75
First Nations housing	200	Yes	200
Northern housing	100	Yes	100
Housing for low-income seniors	200	Yes	200
Housing for persons with disabilities	25	Yes	25
Loans to municipalities	1,000	Yes	1,000
Total	8,504		8,192
1 The amount for the Infrastructure Stimulus Fund is presented on a two-year basis as funds will flow to provinces, territories and municipalities as construction progresses and components of the work are completed. However, in order to provide a consistent comparison between Table 1.2 and this table, the $1,168 million committed under the Infrastructure Stimulus Fund for 2009-10 is counted in the total infrastructure amount. 2 $32.1 million in 2009–10 Recreational Infrastructure Canada funding remains to be allocated among departments and regional development agencies. 3 Bill C-51 was adopted by the House of Commons on November 17, 2009 and is proceeding through the Senate. 4 It is proposed that $205 million in 2009–10 and 2010–11 funding (referred to in Budget 2009 under "Transformation to a Green Energy Economy") be used from to the ecoENERGY Retrofit – Homes program to support an additional 120,000 home energy retrofits.

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