Carbonear will receive $150,000 for road realignment and Harbour Grace will receive $230,000 for water and sewer work through the 2008-09 Municipal Capital Works (MCW) program. The Municipal Capital Works program fosters the development of cost-shared projects in a wide range of municipal infrastructure, including water and waste-water treatment, roads, recreational facilities and fire equipment.

Through the 2008-09 MCW program, $61.2 million will be spent on many infrastructure improvement projects province-wide. Under the program, the Provincial Government will contribute $32.4 million; the Federal Government will contribute $12 million and the municipalities will contribute $14.1 million. Towns will also utilize the Federal GST rebate as part of the capital cost.

"I am pleased that through this funding, area residents will benefit from improved roads and sewer system," said the Honourable Dave Denine, Minister of Municipal Affairs. "Our goal remains to strengthen municipal infrastructure so municipalities may improve and develop services that in turn improve the quality of life for their residents."

The MCW program has been significantly improved by recently announced revised cost-share ratios for municipalities. These new changes state that towns with populations under 3,000 now have to contribute only 10 per cent toward the cost of capital infrastructure. Towns with populations between 3,000 and 7,000 contribute 20 per cent and the largest cities and towns with populations over 7,000 contribute 30 per cent.

"I am extremely pleased with this new funding through Municipal Capital Works, which will greatly benefit residents of Carbonear and Harbour Grace," said the Honourable Jerome Kennedy, MHA for the District of Carbonear - Harbour Grace. "Carbonear is a growing area and increased vehicle traffic has necessitated the realignment of the intersection of Columbus Drive and Goff Avenue to support the addition of a new traffic light. Funding for water and sewer upgrades in Harbour Grace will extend the service for residents of Harvey Street and Riverhead."

Media contact:

Jennifer Collingwood
Director of Communications
Department of Municipal Affairs
709-729-1983, 690-2498
jennifercollingwood@gov.nl.ca

2008 07 18                                                         10:35 a.m.