FOR RELEASE     #05-008
January 17, 2005

WHITEHORSE (Yukon), January 17, 2005 - The Governments of Canada and Yukon will jointly invest $32 million in local infrastructure projects over the next four years. All Yukon communities, including First Nations, are eligible to apply for support under the Canada-Yukon Municipal Rural Infrastructure Fund agreement signed today in Whitehorse.

"This agreement is another step forward for our New Deal for Cities and Communities," John Godfrey, the Minister of State (Infrastructure and Communities) said. "We are providing more stable, long-term support for local priority projects, which many community leaders tell us is their most pressing need. This is consistent with the Government of Canada's recently announced 'Northern Strategy'."

"Signing this agreement is one more step in this government's strategy of targeted spending in communities around the territory," Community Services Minister Glenn Hart said. "Upgrading and improving infrastructure will enhance the quality of life for all Yukoners, while providing more fuel for the current revival of the territorial economy."

The federal and Yukon governments will each contribute $16 million to the fund, which will support repairs and improvements to water, sewer, recreational and other basic community infrastructure, including support for tourism and cultural projects. Together with an equal share from participating communities, this could mean that up to $48 million will be invested to help improve Yukon’s public community infrastructure.

"Building the foundations for economic development, protecting the environment, and improving the quality of life for Northerners are at the heart of our consultations with Northern people and their leaders," Yukon MP and Parliamentary Secretary to the Minister of Natural Resources Larry Bagnell said. “As such, this program will be a perfect compliment to our ongoing role in the North."

"The Yukon government is focused on ensuring that as many Yukon communities as possible benefit from infrastructure investments and development," Teslin MLA Dean Hassard said. "This program continues that commitment."

At least 40 per cent of the funds have been targeted at "green" projects that will reduce emissions, protect water supplies, and improve energy efficiency. 

The federal and territorial governments recognize the knowledge and experience of the Association of Yukon Communities. As such, the Association will be invited to sit as an observer on the federal-territorial Management Committee that will administer the program and will be invited to comment on the Committee’s proceedings.  

The funds will be available April 1 and an on-line application package is now in place at http://www.infrastructure.gov.yk.ca/ for applicants wishing to apply for funding.  The management committee will be gearing up its process to have approvals in place to enable construction this year.

The Department of Indian and Northern Affairs and the Yukon Department of Community Services will administer the program on behalf of the Governments of Canada and Yukon.

The federal contribution from the Municipal Rural Infrastructure Fund is one of a series of investments the Government of Canada is making across the country. Since November 2004, similar agreements have also been signed in Ontario, Manitoba, New Brunswick and Saskatchewan.  It operates alongside programs such as the Canada Strategic Infrastructure Fund, another matching fund, which will see as much as $40 million invested by all partners in the Yukon for larger infrastructure projects.

For more information about the Government of Canada and Yukon’s infrastructure programs, visit http://www.infrastructure.gc.ca/ or http://www.gov.yk.ca/

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Attachment:  Backgrounder on Municipal Rural Infrastructure Fund in the Yukon
Municipalities and First Nation Governments seeking more information should call:
Canada-Yukon Infrastructure Secretariat at (867) 667-8954, or go on-line at http://www.infrastructure.gov.yk.ca/

Backgrounder

Municipal Rural Infrastructure Fund in the Yukon

Up to $48 million for Yukon projects

The Governments of Canada and Yukon will jointly invest $32 million in local infrastructure projects over the next four years. All Yukon communities and First Nations are eligible for support under the Canada-Yukon Municipal Rural Infrastructure Fund.  In most cases, applicants to the Fund will be required to provide 1/3 of the total project funding required.  With matching investments by communities, there could be up to $48 million in infrastructure investments.

The Governments of Canada and Yukon agreed to provide up to half the cost of a given project for unincorporated communities who would not be financially able to fund their share of a project.

A clear need

Infrastructure is the base upon which a community builds its future. Good roads and bridges, safe water and wastewater treatment systems, active cultural and recreational facilities – all are essential to making Canadian communities vibrant and productive places to live and work and raise families.
Many municipal leaders see infrastructure as their most pressing need. Existing facilities, put in place decades ago, need repairs and upgrades. Growing communities need new infrastructure to help shape their futures. These challenges need to be balanced against the need to provide the programs and services communities used daily.

The Municipal Rural Infrastructure Fund (MRIF) enables Yukon municipalities, unincorporated communities and First Nations alike to plan, finance and deliver on their infrastructure priorities.

Supporting local and national priorities.

Local decision-makers -- municipal and First Nations governments -- can propose a wide variety of projects that will support repairs and improvements to water, sewer, recreational and other basic community infrastructure, including support for tourism and cultural projects.

These proposals will need to meet a number of federal objectives on the environment, sustainable development, climate change, water quality, urban life, and innovation. Each project must also comply with all applicable environmental legislation and regulations.
The federal and Yukon governments have reserved 40 per cent of the fund for projects with environmental benefits, including environmental energy upgrades to municipal buildings.

The MRIF is also in step with the principles of the Northern Strategy that is being developed by the federal government jointly with all three territories. Government leaders agreed in December, 2004 to pursue goals such as establishing foundations for Northern economic development, protecting the environment and building communities that are healthy and safe.

How to apply

All Yukon municipalities and First Nations are eligible to apply for MRIF funding. Dependent on the nature of the Applicant, the project application must be duly authorized or endorsed by a resolution of its Council, Board of Directors, or Chief in Council. 
The federal and Yukon governments will approve projects through a joint committee. A representative of the Association of Yukon Communities sits on the committee as an observer and will be invited to comment.
Applicants will be invited to submit an application at http://www.infrastructure.gov.yk.ca/ as of Jan. 17.  Applicants will also be able to get the application on an interactive CD-ROMs. Paper applications will be available upon request by calling at (867) 667-8954. Applicants can also get information on-line at http://www.infrastructure.gov.yk.ca/
Projects will be selected in a competitive, merit-based manner and in accordance with the mandatory screening and ranking criteria of the project category.  These criteria are available at http://www.infrastructure.gov.yk.ca/.
The first projects are expected to be approved in time to get underway during the upcoming construction season.

Program Delivery

The Canada-Yukon Joint Secretariat will continue to review and evaluate applications, and provide a single-window access point for municipal partners.  Indian and Northern Affairs Canada and the Yukon Department of Community Services will be responsible for the day-to-day delivery of the Canada-Yukon Municipal Rural Infrastructure Fund on behalf of the Governments of Canada and Yukon.

Listening to municipalities

The Governments of Canada and the Yukon recognize the knowledge and experience of the Association of Yukon Communities. As such, the Association will be invited to sit as an observer on the Management Committee that will oversee project approval and will be invited to comment on the Committee’s proceedings. 

Up to 1 per cent of the fund will be available to help municipalities improve and increase their capacity to manage their infrastructure assets.  This funding could be used, for example, to help communities enhance knowledge of their existing infrastructure assets, better evaluate life-cycle costs associated with the infrastructure they own and operate, better assess the capacity of current infrastructure and identify future needs, better plan and make infrastructure funding decisions, and train municipal staff in long-term infrastructure management.

MRIF: Building on success

The federal government created the $1-billion Municipal Rural Infrastructure Fund in 2003 to ensure that all Canadians benefit from investments in improving the quality of life. The MRIF provides support for smaller communities, operating alongside other programs such as the Canada Strategic Infrastructure Fund (CSIF), a $4-billion program that mostly supports bigger projects in larger cities.
As part of its New Deal for Cities and Communities, the government converted MRIF’s lifespan from ten years to five, effectively doubling the support available to municipalities between now and 2009.