Speaking Notes for the Honourable Lawrence Cannon, Minister of Transport, Infrastructure and Communities at the Federation of Canadian Municipalities’ 70th Annual Conference and Municipal Expo

Calgary (Alberta)
June 2, 2007

Check Against Delivery

Introduction

I've been scooped by the Prime Minister.

But certainly can't complain: without Stephen Harper's vision I wouldn't be here to speak about the most impressive commitment to infrastructure and communities ever made by a Canadian Government.

Thank you Gord. Thank you for joining me this morning.

Yesterday, the Prime Minister outlined many of the Government's initiatives that will help build a stronger Canada.

Today, I would like to say a few words about the Infrastructure Plan that we're developing in conjunction with provinces, territories and the municipal sector.

As many of you suggested, our Plan takes into account the critical links between infrastructure, the environment and the economy.

Our values

Your theme this year - Leading Change - is very fitting.

In fact, since February 2006, we too have been leading change.

We have changed the way we partner with provinces, territories and municipalities on several important initiatives.

We have changed the way this country is governed.

We have changed our approach to base it on fundamental values cherished by Canadians.

Promises made, promises kept

The first value is "keeping our word."

When he came into office, the Prime Minister established five priorities for the government.

And in little more than a year, we have fulfilled our commitments.

We now have cleaned up Ottawa with the Federal Accountability Act.

We've lowered taxes.

We cut the GST, which provides savings for all Canadians.

We've reduced taxes by more than $20 billion over two years.

This is more than the total tax reductions forecasted in the last four federal budgets.
We've cracked down on crime.

We gave parents a choice in terms of daycare.

And, we have dealt with fiscal balance.

This issue is particularly important for all of you, since the Infrastructure Plan is a large part of our fiscal solution.

Open federalism

Our second value is collaboration with provinces, territories and municipalities.

It's what we call open federalism.

Alone, no single level of government can address every issue. And a lack of cooperation will slow down our collective progress.

That's why partnership and collaboration are the key elements of any solution.

In the spirit of open federalism, Canada's New Government is partnering with municipalities and provincial/territorial governments on the largest infrastructure initiative in this country in over a half-century.

And we are doing so while respecting jurisdiction, in the true spirit of Confederation.

This long-overdue rehabilitation of our public infrastructure will go far in restoring Canada's economic advantage and equality of opportunity to every region of the country.

We applied this partnership approach in Montréal where we mandated the Canada Lands Company to redevelop close to 5 million square feet of federal land in Montréal's harbourfront.

We've opened a new window on the river for the benefit of Montrealers and those who love the city.

And we are doing this in partnership with the province, the city, the private sector and various community groups.

This partnership approach also underpins work to ensure the security of rail and transit passengers and systems.

Through Transit Secure, we are investing $80 million in public transit security.

This funding will help operators assess their systems' risks, as well as provide additional support to major operators for employee security training, public awareness and the installation or upgrade of security equipment.

In addition, Transport Canada is taking a leadership role in developing a national strategy or action plan for the long-term security of Canada's rail and urban transit systems.

This cannot be done in isolation and will require the support of provinces, municipalities, operators and stakeholders.

Further, the Government is using legislative frameworks - such as Bill C-11 to amend the Canada Transportation Act which we hope will be passed this Spring.

Among other things, this bill enables transit authorities to acquire abandoned urban rail corridors for public transit.

It will also give the Canadian Transportation Agency the authority it needs to resolve disputes related to railway noise and vibrations.

I want to applaud the FCM for working with the Railway Association of Canada on the various rail proximity issues that are covered by the recently renewed MOU.

Respecting the environment

The last value I want to talk about today, but not the least, is respect of the environment - particularly through our investments in transit.

In Budgets 2006 and 2007, we introduced tax measures to encourage more transit ridership.

We allocated $1.3 billion specifically to transit funding, which is now flowing to actual projects.

Also, I'm happy to note that the Gas Tax funding is being used for public transit by several cities that should reduce car use and contribute to cleaner air.

For example, the city of Lethbridge acquired eight new transit buses and the city of Hamilton acquired 12 diesel/electric hybrid buses - including seven 60-foot articulated buses - the first of their kind in Canada.

National Transit Strategy

I am announcing today that we will develop a National Urban Transit Policy.

You have asked the federal government to take leadership, we have heard your message. This was my priority when I chaired the Quebec Urban Transit Authority.

Over the coming months, we will consult with provinces and territories, the FCM and other interested partners on this new National Transit policy.

And we will develop this strategy together in true partnership and in the spirit of the New Government's commitment to the values of open federalism.

This Government recognizes that increasing the use of public transit can help reduce traffic congestion in cities, help reduce air pollution and the growth of green house gas emissions.

The proposed National Transit Strategy is not about new funding beyond what is already committed, nor is it about federal intrusion.

It is about facilitating greater coordination and collaboration between key funders and stakeholders in areas such as capacity building, best practices, performance measurement, and accountability.

It is about increasing transit ridership and to enhance quality of life.

Our Infrastructure Plan

The amounts that will be invested in the Infrastructure Plan are impressive.

Together with funding from existing programs, the total comes to $37 billion over seven years.

In fact, it's unprecedented - the largest single federal commitment to public infrastructure in Canadian history.

It is equally significant that our Plan includes long-term, predictable funding for the next seven years to allow mayors and councillors to plan and meet the infrastructure challenge.

Previously, federal infrastructure programs were for a shorter term.

We have responded to what we heard through our conversations. This Plan is predictable, long-term and flexible.

Now I know that there are many out there that would have liked an even longer commitment.

Some even want a permanent commitment.

I ask them to consider that seven years is certainly long-term in today's ever-changing economic climate where there are so many pressures on scarce taxpayer resources.

Students of federal budgets will also know that two to three years is often the typical planning horizon. You can now count on a seven-year planning framework.

Our commitment provides a funding foundation from which we can collectively build shared responses to our infrastructure needs that will help make our economy stronger.

To get there, we have been working diligently on this Plan.

We have had discussions with provinces, territories and the FCM.

And we will continue to do so.

But our main objective is to get it right the first time.

And of course, one of the challenges in developing the Infrastructure Plan is to ensure that it responds to the key infrastructure priorities we can all agree to at a national, regional, provincial, territorial and local level.

This is a challenge I can certainly relate to on a very personal level.

As many of you know, in a previous life, I was a city councillor in the Outaouais region, and chair of the Outaouais Transit Commission. I also chaired Gatineau's Strategic Choices Commission.

And I received many demands for infrastructure.

Some people wanted more transit.

Others, still, wanted street improvements or more cyclepaths.

And my job, as councillor was to assess the priorities and make my case to the city council and the mayor.

Also, my role as the MP for Pontiac keeps me plugged into the needs of smaller communities spread across my riding - a riding which is larger than all of Belgium. This serves me well - and should reassure you. The needs of communities, big and small, will be considered as we implement the Plan.

We need to ensure that the need for large-scale infrastructure projects, such as the Manitoba Floodway or the clean up of the Saint John Harbour in New Brunswick is balanced with smaller communities' needs.

Our next step is to negotiate agreements with provinces and territories.

Discussions have already started and will continue over the course of the summer.

Once these agreements are in place, we can then discuss priorities, and funding the new projects that will drive growth in Canadian cities.

And we'll do this through programming that provides cities and communities - big and small - with access to the Building Canada Fund. That's a clear budgetary commitment. This Fund is not just for provincial or territorial projects.

In fact, an innovative municipal project could get support through the Public-Private Partnerships Fund. Our Borders and Gateway Fund could improve the flow of goods and people between Canada and the rest of the world.

We expect we will be in a position to announce priorities and projects this fall.

Current funding

I would like to point out that while we finalize the Plan, we are delivering support through the Gas Tax Fund, public transit funding, and existing infrastructure programs.

For example, just a few weeks ago, I announced that this government is providing an additional $200 million to the Municipal Rural Infrastructure Fund to further help meet the pressing infrastructure needs in smaller communities.

Together with matching funds from provinces, territories and municipalities, this means some $600 million in infrastructure investments.

As well, the Gas Tax will rise from $800 million this fiscal year to $2 billion per year in 2009-2010 and continues through to 2014.

In addition, municipalities can continue to benefit from the 100 per cent GST rebate, which they can apply to infrastructure projects.

Strategic Gateways and Trade Corridors

In Budget 2007, we also announced the creation of a $2.1 billion national fund for gateways and border crossings, in addition to the $1 billion for the Asia-Pacific Gateway and Corridor Initiative.

And, we will also be announcing by fall a national policy framework for strategic gateways and trade corridors.

Discussions are already underway for the future development of an Atlantic gateway and an Ontario-Quebec gateway and trade corridor.

And in the north, we will be working with partners to do research and analysis so that decisions can be made in the future.

Conclusion

Ladies and gentlemen, together, we can plan for the next seven years, confident in the knowledge that the funding is in place to respond to infrastructure pressures, as a national government should.

We believe our Plan will generate over $50 billion in new infrastructure investments.

This will go a long way to addressing Canada's infrastructure needs.
This bold commitment coupled with our determination to continue to work in partnership with provinces, territories and municipalities while respecting jurisdiction will give us - collectively - an Infrastructure Plan that will serve communities and Canadians well.

It has been written that a great city is built twice. A first time of wood, brick and stone, and another time by an act of imagination.

The same can be said of a great country.

Today, I ask you to imagine a stronger, safer and better Canada.

Thank you.