Feds fast track Gas Tax money to municipalities

Marco Green
June 1, 2020

Normally, payments are made in two instalments to over 3,600 communities, first in the summer and then later in the year, but Trudeau says the money is being sent in one shot now.

The federal government is accelerating the delivery of infrastructure cash to help struggling municipalities taking a financial hit from COVID-19.

The Federation of Canadian Municipalities has estimated the hole in operating budgets across all cities at between $10 billion and $15 billion over the next six months, depending on the severity and duration of the pandemic-related shutdown.

Trudeau said Ottawa will continue to work with the provinces to offer additional support to municipalities.

"For far too many Canadians, the images and stories coming out of the USA are far too familiar", he said.

Trudeau said anti-black racism and systemic discrimination are real and occur in Canada. "That's why we are working with the provinces on figuring out ways that municipalities can be helped", Trudeau told reporters.

"This is a start", he said.

"It's good to hear the government finally acknowledge it has a responsibility to support municipalities through this crisis but today's announcement has been slow to arrive. too slow for the thousands of municipal workers already laid off", he said in an email.

"To keep Canadians safe, to give businesses the confidence to reopen their doors, and people the confidence to walk through those doors, we need to co-operate", Trudeau said, restating the need for more testing and tracing as key.

In Toronto's case, the city is estimating a $1.5 billion loss in revenue by the end of the year due to the novel coronavirus.

'We need to do more and we will do more.

Other reports by Click Lancashire

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