Councils pleased to hear they will get regular federal funding on gas tax

Centre Well­ing­ton Township councillors re­ceived some good News on March 15 at their committee of the whole meeting when they learned the federal gas tax funding will be ex­tended an­other five years.

Council was asked in a report by Treasurer Wes Snarr to pass a bylaw to enter into an agreement with the Canadian government for the transfer of the federal gas tax revenues un­der the New Deal for Cities and Communities.

The deal is be­tween the Association of Municipalities of Ontario and the township.

The gas tax rebate started in 2005 after municipal governments lobbied for years to receive that break from the Canadian government. The township re­ceived $236,527. Since then the rebates have been:

- 2006, $236,527;

- 2007, $315,335;

- 2008, $394,142; and

- 2009, $788,284.

Snarr said the latest deal will last until 2014. He added that the Association of Muni­cipalities of Ontario is working on having the gas tax funding put in place permanently. The payment each year for the next five years is estimated to be $799,053.

The township uses that mon­ey mainly for the recon­struction of rural roads.

Councillor Fred Morris said, “This is the kind of fund­ing municipalities want from the federal and provincial governments. It’s predictable and sustainable – not a lottery system” where municipalities had to compete for various grants.