Province freezes municipal grants
Published Saturday November 7th, 2009
FREDERICTON - The Liberal government is freezing municipal funding for next year, meaning cities and towns will have to get by without an extra boost from the province in 2010.
Local Government Minister Bernard LeBlanc revealed Friday that just over $68,000,000 in unconditional grant funding will go towards municipalities and rural areas. That's just slightly above last year's total.
"I think it's good news," LeBlanc said Friday. "Our municipal leaders had told us many times, 'Please don't reduce it or don't eliminate, in this tough economic time we've managed to do that.'"‚"
During budget consultations this fall, mayors across the province had told the cabinet ministers they were worried about possible cuts to unconditional grants. Mayors had also asked for an earlier release of the unconditional grant numbers so that they could better plan their 2010 municipal budgets. LeBlanc said both those requests have been met with the release of the figures Friday.
The province's major cities will once again receive the largest chunk of the funding, with $19.5 million going to Saint John, $11.6 million to Moncton, and $5.8 million to Fredericton.
LeBlanc added that the provincial government also supports communities with financial investments in other ways. For example, he said, municipalities, local service districts and rural communities are eligible for funding from various government programs for infrastructure projects, official languages, economic development, highways and emergency services.
The Department of Local Government will be introducing a legislative amendment to the Municipal Assistance Act this fall to establish the unconditional grant funding for each municipality for 2010.
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