Across the province of New Brunswick, local infrastructure improvements are being made possible through the federal Gas Tax Fund.
The federal Gas Tax Fund (GTF) is a permanent source of funding provided to local governments biannually per the formula in the Canada-New Brunswick agreement. This funding program is for the construction, renewal or material enhancement of infrastructure in our communities. Municipalities can pool, bank and borrow against this funding, providing significant financial flexibility. Funding is also provided for projects in unincorporated areas.
This infrastructure funding program started in 2005-06 with the signing of the Canada-New Brunswick Agreement on the Transfer of Federal Gas Tax Revenues under the New Deal for Cities and Communities 2005-2015. In 2011, the federal government announced that the GTF would become a permanent annual investment of $2 billion beyond 2014, across Canada. On May 20, 2014 the Administrative Agreement on the Federal Gas Tax Fund (2014-2024) was signed between Canada and New Brunswick.
In New Brunswick, GTF funding outcomes are being measured through a performance management framework which ties quantitative performance indicators to each project category. This data is then aggregated and made available to inform the public of the results obtained on completed projects through a provincial outcomes report. You will find links to these reports under each of the GTF agreements listed below.
Canada-New Brunswick Agreement on the Transfer of Federal Gas Tax Revenues under the New Deal for Cities and Communities 2005-2015
During the initial federal-provincial agreement, over $324 million was invested towards projects in New Brunswick over a nine-year period for environmentally sustainable infrastructure in municipal and unincorporated areas of the province. These investments have resulted in environmental benefits such as cleaner air, cleaner water and reduced greenhouse gas emissions.
Phase I (2005-2009)
The Government of Canada provided $116 million to communities in New Brunswick over a five-year period, and the Province provided $30 million in top-up funding.
Phase II (2010-2013)
The Government of Canada provided $178.5 million to communities in New Brunswick over a four-year period.
Administrative Agreement on the Federal Gas Tax Fund (2014-2024)
In addition to the seven project categories under the first agreement, 11 new categories were added in 2014.
All investments are to support progress toward achieving the following program benefits:
- Beneficial impacts on communities of completed eligible projects;
- Enhanced impact of GTF as a predictable source of funding including incrementality; and
- Progress made on improving local government planning and asset management.
Phase III (2014-2018)
The Government of Canada is providing $225.2 million to communities in New Brunswick over a five-year period.
Phase IV (2019-2023)
The allocation for the last five-year period of the current Agreement will be posted once New Brunswick receives confirmation of the budget for this period from Infrastructure Canada.