Announcement of infrastructure projects

I rise in the house today to advise members of the projects that have been approved under the Municipal Capital Works Program and provide a status report on projects that have been proposed for funding under the Canada-Newfoundland Infrastructure Program pending sanction under the Canadian Environmental Assessment Act.

On May 7, 2001, $51.5 million was announced to be spent this year on 172 infrastructure projects. This includes 100 projects to be funded through the Canada-Newfoundland Infrastructure Agreement at a total cost of $34 million and about 72 projects under the Municipal Capital Works Program at an additional cost of $17 million.

This year, the province is providing $27 million of the $51.5 million total for municipal infrastructure, $16 million under the Canada-Newfoundland Infrastructure Agreement and a further $11 million under Municipal Capital Works. This is an increase of $7 million over last year and clearly demonstrates our commitment to strengthening rural communities. The municipal share of project costs in some rural communities will be less than 10 per cent. As a result, municipalities which could not undertake projects at traditional 50/50 cost-sharing ratios, can now afford to complete important water and sewer system improvements.

I spoke last week of the $2.1 million which will be spent this year to install or upgrade municipal water disinfection systems. Municipalities are being provided 100 per cent funding, up to a maximum of $100,000 to help those currently on boil water advisories. This is part of government�s $11 million multi-year commitment to water disinfection. I also spoke about the additional $15.6 million we will spend on other water quality issues, including seven water treatment systems. We fully expect to improve the supply and quality of water for 98 communities with a population of 147,000.

This year�s $17.7 million commitment to water quality is part of a total investment toward water and sewer projects of $32 million. This represents over 62 per cent of the $51.5 million expenditure on municipal infrastructure.

The federal, provincial and municipal governments are all placing a high priority on water quality and sewage treatment. In recognition of the fact that in previous years, smaller communities often could not afford to participate in infrastructure programs, we have introduced new variable cost-sharing guidelines which will see the province pay a larger share of the costs for water and sewer projects. The new guidelines take into consideration such factors as community size, tax base and ability to raise revenue, thus making it more affordable for rural municipalities.

Other significant infrastructure investments include $6.5 million for road reconstruction and paving, and $5.5 million for municipal buildings, fire trucks and recreation.

The infrastructure agreement also provides $3.5 million for waste management. This funding will be used to promote regional waste management and a reduction in the number of waste disposal sites in the province.

Over the next day or so, I will be releasing details on most of the 72 projects to be funded this year under the Municipal Capital Works Program at a total cost of approximately $17 million. This program should be fully rolled out by months end. Details of the 100 projects to be funded under the Canada-Newfoundland Infrastructure Program will be announced in accordance with the agreement over the next two to three weeks.

I am very encouraged by the cooperative direction that the three levels of government have taken toward achieving our infrastructure goals this year. With governments increased commitment of $7 million over last year�s expenditures, we are progressive in developing the infrastructure needs of Newfoundland and Labrador.

2001 05 14                                       1:50 p.m.