TORONTO, Nov. 12, 2014 /CNW/ - The Association of Municipalities of Ontario (AMO) has completed its second transfer in 2014 of federal Gas Tax funds to Ontario municipalities.
The federal Gas Tax Fund is one of the only long term, permanent and stable forms of funding for municipal infrastructure. It can be invested into many different types of infrastructure that meet local needs. While the federal Gas Tax Fund is a national program, the way it is administered in Ontario is unique due to a direct federal-municipal partnership where AMO administers funds directly to municipalities, twice a year, on a per capita basis.
"In Ontario, it's up to municipalities to identify local needs and priorities and decide exactly where the federal Gas Tax Fund is to be invested," said Gary McNamara, AMO President. "I know that communities across Ontario will continue to put this critical funding to work building, repairing and improving municipal infrastructure."
Under the new 2014 Gas Tax Agreement, municipalities can invest in more than 15 project categories. In Ontario, municipalities can also choose to invest their Gas Tax funds with the One Investment Program – a pooling program developed by AMO and the Municipal Finance Officers Association. It gives municipal governments the ability to grow their funds so that there is additional money to spend on infrastructure. In 2014, the Municipality of Red Lake, Township of Hilliard, Township of the Archipelago and Carling Township have all taken advantage of this opportunity and invested in the One Investment Program.
"The One Investment Program gives municipalities like Red Lake the ability to stretch the federal Gas Tax Fund even further," said Phil Vinet, Mayor of the Municipality of Red Lake. "By investing our Gas Tax allocation now, we'll be able to invest more into future local projects later."
The federal Gas Tax Fund provides Ontario municipalities with $744 million per year. AMO delivers the Fund to all Ontario municipalities, except the City of Toronto. It is delivered twice a year, on a per capita basis. Funding is invested in infrastructure that makes our communities safer, more efficient and prosperous. You can learn more about the federal Gas Tax Fund in Ontario by visiting www.gastaxatwork.ca or @GasTaxinOntario on Twitter.
AMO is a non-profit organization representing almost all of Ontario's 444 municipal governments. AMO supports and enhances strong and effective municipal government in Ontario and promotes the value of municipal government as a vital and essential component of Ontario and Canada's political system.
SOURCE: Association of Municipalities of Ontario
For further information: Brian Lambie, AMO Media Contact, 416-729-5425, firstname.lastname@example.org; Follow AMO on Twitter: @AMOPolicy