Prime Minister Justin Trudeau speaks during a news conference outside Rideau Cottage in Ottawa, Friday May 29, 2020. THE CANADIAN PRESS/Adrian Wyld

Feds to fast-track $2.2B in funding for municipalities struggling amid pandemic

Funding would usually be doled out in two payments

The federal government is fast-tracking the entire 2020/2021 amount of federal support for municipalities, Prime Minister Justin Trudeau said during an address from Rideau Cottage on Monday (June 1).

The full $2.2 billion will come through the gas-tax fund to help cities whose budgets have been decimated amid the COVID-19 crisis. Trudeau said it was important to get the funding out now as municipalities struggle to gather revenue to provide liquidity right now.

“We need to do more and we will do more,” Trudeau promised.

Monday’s announcement falls short of the money asked for by the Federation of Canadian Municipalities.

“We are calling for a federal operating infusion of $10–15 billion over the next six months,” the organization said in a report released this spring. The report stated that property tax and utility bill deferrals, as well as a lack of transit fare revenue and a drop-off in tourism revenue have left Canada’s municipalities in a rough spot.

Trudeau said he was “very concerned” about how municipalities would handle paying for necessary services like transit, police and firefighting, but that provinces would have to work together with Ottawa. The feds have not offered help for transit in Canadian cities.

ALSO READ: Minimum wage goes up June 1 in B.C. as businesses face COVID-19 challenges

More to come.


@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

Coronavirus

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Comments are closed

Just Posted

Oak Bay officer injured while breaking up party

Party-goers yell ‘f*** the blue,’ say police

Greater Victoria nanny pleads guilty to child porn, sexual interference charges

Johnathon Lee Robichaud pleaded guilty to slew of sex crimes

Victoria police looking for information after man assaulted with weapon

VicPD called to Centennial Square after man found with potentially life-threatening injuries

Saanich parking ticket payments currently ‘voluntary,’ staff look at new enforcement process

Current system a waste of resources, missed revenue opportunity, councillor says

Sooke homeless camp to stay until a solution is found

To forbid Ed Macgregor camp would go against Canadian Charter of Rights and Freedoms

Man charged in Rideau Hall crash had rifle, shotguns, high-capacity magazine: RCMP

Hurren is accused of threatening to cause death or bodily harm to the prime minister

B.C. extends income assistance exemption for COVID-19

Provincial program to match Ottawa’s CERB, student pay

Indigenous B.C. tour operator keeps culture alive through virtual journeys in COVID-19 era

Campbell River based Homalco Tours is also setting up live cameras for bear viewing in Orford

Broadway veteran Nick Cordero dies from coronavirus complications

During Cordero’s hospitalization, Kloots sent him daily videos of her and their 1-year-old son, Elvis,

Northern communities welcome tourists as province opens to in-B.C. travellers

Officials have asked British Columbians to be careful as they travel this summer

300 Cache Creek residents on evacuation alert due to flood risk as river rises

Heavy rainfall on Canada Day has river rising steadily, threatening 175 properties

Most Read