The Alberta government has added another $400 million to its Municipal Sustainability Initiative grants, which are designed to help municipalities build infrastructure projects.
Municipal affairs minister Diana McQueen said the additional funding will boost the 2014 MSI funding to $1.6 billion.
“This funding is designed to help our partners meet their capital infrastructure commitments and position them well for the very tough budget we have ahead,” she said during a news conference.
“It is a strategic investment ahead of what plans to be some difficult budget years.”
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The provincial government promised to allocate $11.3 billion for infrastructure projects when it announced the program in 2007. Since then, slightly more than $6 billion have been allocated for 4,800 projects.
There is no word when the rest of the grants will be distributed. Local municipal officials like the program because it allows them to direct money to infrastructure projects that they feel have the highest need in their area.
McQueen said municipalities have key infrastructure project commitments that require continued MSI funding.
“Forgoing these key projects may mean they cost more later and may miss an opportunity to take advantage of lower construction costs we are starting to see,” she said.
Earl Graham, a central Alberta representative with the Alberta Association of Municipal Districts and Counties, said MSI grants are a critical component of rural municipalities’ budgets for building bridges, resource roads and water and sewer infrastructure.
“MSI, with this addition, will continue to maintain and improve our rural communities for our residents,” said Graham.
“The funding will be put to good use in rural Alberta, and rural Alberta is where it all starts.”
Contact mary.macarthur@producer.com
