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Lethbridge Mayor Chris Spearman. (Lethbridge News Now)
unclear how much Lethbridge will get

Spearman encouraged to learn federal gas tax will double nationally this year

Apr 9, 2021 | 5:00 PM

LETHBRIDGE, AB – The federal government is set to massively increase funding to municipalities through the Gas Tax Fund.

Jim Carr, Special Representative for the Prairies, says the Government of Canada last year delivered $244-million to 347 communities in Alberta. Their commitment would double Ottawa’s contribution for 2021-2022.

Nationally, that investment is proposed to increase to $2.2 billion and will go out to 3,600 communities.

“Building our country back starts with key investments in our communities, and our health care system, to support important municipal priorities that will improve the daily lives of Canadians. As Special Representative for the Prairies, I’m pleased to connect with mayors from across the region and to highlight this important step forward.”

Carr spoke with Lethbridge Mayor Chris Spearman about the importance of this funding in the city, saying, “municipalities have been particularly hard-hit during the pandemic, and our local governments need support to keep planned capital projects on track.”

At this time, there are no specifics on how much money Lethbridge will receive or for which projects.

Money from the Gas Tax Fund can be used for things like public transit, wastewater infrastructure, local roads and bridges, broadband and connectivity, and disaster mitigation.

Municipalities can also pool, bank and borrow against this funding, providing significant financial flexibility.

Either way, Spearman said he was thrilled to learn that Lethbridge will likely see additional resources in the months ahead.

“On behalf of Lethbridge City Council, I want to thank the Federal government and Minister Jim Carr, Special Representative for the Prairies, for continuing to fund key infrastructure projects for our city. These types of projects are important as they add to the value already in Lethbridge and become catalysts for further development. We are excited at the possibilities and look forward to continued partnership opportunities with the Federal government.”

In 2020-21, the City of Lethbridge received just over $5.8 million from the Gas Tax Fund.

A representative from the city told LNN that the new federal budget is expected to be announced on April 19, so more details should be made available then.