Small Communities Cost Sharing under New Infrastructure Program

Year
2004
Number
A7
Sponsor(s)
UBCM Executive

WHEREAS small communities continue to express concern that they dont have the fiscal capacity to afford their one-third funding share required under the current Canada-BC Infrastructure Program CBCIP, yet the need for new and upgraded infrastructure is significant in these communities: THEREFORE BE IT RESOLVED that with respect to small community needs in the forthcoming Municipal Rural Infrastructure Fund, the new program should continue to set aside a portion of funding for small and rural communities; AND BE IT FURTHER RESOLVED that the new program be structured to reduce the one-third share required for local governments that have a low fiscal capability.

Provincial Response

MINISTRY OF SMALL BUSINESS ECONOMIC DEVELOPMENT MINISTRY OF COMMUNITY, ABORIGINAL WOMENS SERVICES The Province will consider both these propositions in developing its position in negotiating the proposed Municipal Rural Infrastructure Fund Agreement. The Province will propose that a minimum allocation for small and rural communities be included in the Agreement. The Province will also raise the idea of allowing small rural governments, with limited financial capacity, to be able to contribute less then the one third share usually required of local governments. This proposal would be subject to the federal government agreeing to drop the requirement that limits the overall federal and provincial contributions to one-third of overall program costs. If this requirement is not dropped, then permitting some communities to contribute less than one-third will result in other communities having to contribute more than one-third. This result may not be acceptable to the Province, the federal government or British Columbias local governments.

Convention Decision
Endorsed