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Northern communities to get greater access to federal infrastructure money in new Covid-19 revenue stream

Northern public infrastructure projects will get additional help from the federal government after Michael McLeod, Member of Parliament for the Northwest Territories, announced access to Covid-related funding from Infrastructure Canada in a news release Wednesday.

In 2018, the GNWT and federal government signed a bilateral agreement  that - over the following 10 years - will have Ottawa provide funding for 75 per cent of any approved infrastructure project. The GNWT, community governments, non-profit sector, or combination of these would have to find the remaining 25 per cent.

NWT MP Michael McLeod announced that there will be more federal funding for infrastructure projects related to helping people get through the Covid-19 pandemic.
NNSL file photo

The Northwest Territories also has access to 10 per cent of the entire funding of a new Investing in Canada infrastructure program revenue stream - $57,077, 683.

Wednesday's announcement didn't promise new money, but rather a new stream within the agreement called the Covid Resilience funding stream.

This revenue stream will allow Northern communities to apply for Covid-19-related infrastructure projects - of which the federal government will pick up 100 per cent of the costs.

Projects could start as soon the next calendar year for the Northwest Territories.

Wednesday's news release states that projects could be related to anything from upgrading hospitals or long-term care homes and schools to handling social distancing requirements or to improving electricity grids to supporting disaster preparation projects against floods and fires.

"These changes will help get more infrastructure projects underway faster, while continuing to support our long-term goals of building sustainable, economically vibrant, low-carbon, and inclusive communities," states the news release.

Sarah Brown, CEO of the Northwest Territories Association of Communities, said that her organization is still looking for details and wants to get feedback from NWT communities on what they need specifically as it comes to infrastructure related to Covid-19.

"Any opportunities to get dollars out the door would be good for communities obviously," she said.

"We look forward to details and that is the same with other funding pots that could be available – how much and how it might be distributed.

"What Covid-19 has really been highlighting is funding gaps that we knew already existed, whether it be in areas like telecommunications or infrastructure."

Brown said the fact that the federal government is willing to cover 100 per cent of infrastructure costs in this revenue stream is definitely a plus.

She added that the NWTAC is still working with the Federation of Canadian Municipalities to see what assistance the federal government can provide municipalities and communities directly. While northern communities aren't suffering like southern jurisdictions who have heavy costs, the North is generally underfunded.

"There is a challenge with the funding gap and less opportunity to raise money than in the south," Brown said. "We don't have the big ticket items like the major transit systems which is really hurting the major centres in the south, but our communities are suffering and they need respite when they already have significant funding gaps."

NNSL Media sent questions to the City of Yellowknife to see how the federal announcement could impact infrastructure project needs. Responses were still forthcoming on Thursday afternoon.