Municipalities to have no difficulty spending infrastructure cash

It was something of a surprise for local municipal politicians to be suddenly handed a large amount of cash – but they say there will be no difficulty spending it.

Munici­palities in Welling­ton will receive $8.13-million in new infrastructure funding for roads and bridges, expand­ed public transit, and other projects. The announcements came during the week when the Association of Municipalities of Ontario was meeting in Ottawa.

Perth-Wellington MPP John Wilkinson made the an­nounce­ments for municipali­ties in his riding: Mapleton, Minto, and Welling­ton North.

Wellington-Halton Hills MPP Ted Arnott made the announcement for the remain­der of Wellington munici­pali­ties, which are in his riding.

The grants are:

– $622,448 for the Town of Erin;

– $1,454,444 for the Town­ship of Centre Wellington;

– $673,704 for the Township of Guelph-Eramosa;

– $373,480 for the Township of Puslinch;

– $623,955 for Wellington North Township;

– $550,030 for Mapleton Township;            

– $474,820 for Minto; and         

– $3,360,585 for Wellington County.

Wilkinson’s announcement stated the increase in infra­struc­ture funding comes as a result of the Investing in On­tario Act passed this year. Be­cause of that act, the gov-ernment’s sur­plus above $800-million for the 2007-08 fis­cal year was sent to muni­cipalities to fund local infra­structure projects.

The announcement was trig­­gered by the release of the 2007-08 public accounts, which show a $1.7-billion sur­plus for the past fiscal year.

Mayors and Chief Admin­is­trative Officers of all the muni­cipalities had one con­sistent statement to make about the sudden cash – they will not have any difficulty spending it.

Municipal politicians have been preparing for months to ensure they have con­struction-ready projects so they can spend any extra cash grants that come their way.

Wellington North Mayor Mike Broomhead said his council has “not had a chance to discuss it yet, but I’m sure that we’re not going to have a problem finding a spot.”

He noted at least two members of his council are away on holidays and it is not scheduled to meet until Monday, but in the meantime he has asked staff to consider possible projects for the money.

“We knew there was something coming,” he said. “We’re just happy it was as much as it is.”

Mapleton Township Chief Administrative Officer Patty Sinnamon said there are not plans in place for the township’s share.

“We don’t – just yet – but I’m sure it’s not going to take us long to get something together.” She concluded, “It’s wel­come.”

Minto Mayor David An­derson said his council can find about “20 different ways” to spend the grant. He added the money will likely be spent on roads or sewer and water infrastructure, but council will have to make the final call on that. He said the town will have to get at the work as soon as possible.

“We appreciate it. It’s a help; it’s an asset,” Anderson said. He said of the province, “They’re hearing our cries and demands for infrastructure – and everybody gets it.”

In some government pro­grams, the municipalities have had to compete against each other for the most worthy projects, and in the past, Minto has missed some grant op­portunities where the cash went elsewhere.

In Guelph-Eramosa Town­ship, Mayor Chris White said, “We’re going to see where it fits into our five-year plan.”

He said his township has been fortunate because it has received over the past year a total of $4.2-million in infra­structure grants.

Currently, the township is replacing four bridges and repaving 8km of road.

But, White said, he wants to see the guidelines that go with this grant, such as the deadline for spending. He noted that it might be tough to do proper work with an early winter, particularly if the deadline for spending the money is the end of March, because there is no point trying to build roads in winter.

White also noted that the township has several roads under consideration and it will be a matter of sitting down with the road superintendent and council to determine what is the best way to spend the money.

He said that he particularly wanted to be sure it is spent properly for two reasons. Build­ing permits are down a little in his municipality due to the economic conditions, and that could cut into assessment growth of the next few years.

Plus, he said, Premier Dal­ton McGuinty warned local politicians that this money will not likely be available next year.

“I was in the audience, and I heard him say, ‘This is it,’ ” White said.

Even though the decision will be carefully thought out to be “the most fiscally re­sponsible,” White added, “I can guarantee it. It will be spent.”

For Erin Mayor Rod Finnie, the process to determine where to spend the grant was starting at Erin’s Sept. 2 council meeting.

But, Finnie said, he is hoping to give the public a say on the matter because this is found money.

He said his council has done a “pretty good job of setting priorities,” and there is a plan for paving Sideroad 5 from the 7th Line to Winston Churchill Boulevard. There is also a need for a new first station in Hillsburgh, not to mention a number of older roads that can use some work.

But Finnie said he hopes council will also hear com­ments from the public about where to spend the money. He said citizens might have ideas that council has not considered. He would like to hear those, even though council will have the final say.

“It’s worthwhile to get some input.” he said.

In Puslinch Township, Clerk Brenda Law said that the bridges there are in good condition, so the grant will be spent on roads.

However, she noted, that will be a decision of council – likely sometime this month.

In Centre Wellington Township, Treasurer Wes Snarr said council would determine sometime this fall what to do with the cash, but he thinks that best part of the construction season is over and starting new construction is unlikely this year.

He added, though, the township will have no difficulty finding a place to put the money. It recently went through an exercise on capital infrastructure projects with another township grant and chose to repave South River Road.

Council heard staff con­sid­ered nearly 30 projects before making that decision.

Snarr did say he had heard from provincial officials and the money will be coming sometime in early fall, and he expects the regulations for spending it will accompany the cheque.

Partisan arguments

But while Wilkinson was pleased about the grants to his riding, Arnott offered a different perspective.

“There’s no question that muni­cipalities need the mon-ey,” said Arnott.  “It’s a good start, but we still can’t count on the province for sta­ble, predic­table funding from gas tax revenues – and that’s what is miss­ing from the an­nounce­ment.”

Although the Liberals pro­vide predictable gasoline tax revenue transfers to munici­palities operating mass transit systems, rural and small-town municipalities remain left out in the cold. The federal gov­ernment, however, distributes gas tax revenues fairly to all municipalities.

“A billion dollars for infra­structure is a lot of money, but the need is much, much great­er,” observed Arnott.  “It needs to be put in perspective.”

He cited a report from the Institute for Research on Public Policy, which found that Cana­dian municipalities require a $200-billion to fix crumbling infrastructure and improve Ca­nada’s productivity and econo­mic competitiveness.

In June, Arnott initiated a petition calling on the province to distribute all gasoline tax revenues fairly to all muni­cipalities.  He is urging people to sign the petition, which is available on his website, at www.tedarnottmpp.com.

“Municipalities need stable, pre­dic­table funding for infra­structure so that they can plan for the future,” he said.

 

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