Canada-Nunavut Partnership to Create Jobs, Stimulate Regional Economy

July 07, 2009

Iqaluit, Nunavut – The Honourable Leona Aglukkaq, Canada's Minister of Health, and Member of Parliament for Nunavut and the Honourable Eva Aariak, Premier of Nunavut, today announced that communities in Nunavut will benefit from more than $7.2 million in joint government investments for two key infrastructure projects through the new federal Infrastructure Stimulus Fund.

The Governments of Canada and Nunavut and the City of Iqaluit will each contribute up to $748,740 for the structural repair of the rink in the Arctic Winter Games Arena. The construction of a new hamlet office in Taloyoak will benefit from up to $2.5 million from federal stimulus funding and a matching contribution from the Government of Nunavut. 
“Under the strong leadership of Prime Minister Stephen Harper, our Government is taking action to put shovels in the ground and flow money faster to stimulate the economy and create jobs for Nunavut,” said Minister Aglukkaq. “Thanks to the close partnership between our governments, we can work together to help Nunavut communities and our regional economy thrive now and in the future.”

“We are pleased to work in partnership with our federal counterparts to stimulate the economy and improve our infrastructure,” stated Premier Aariak. “The City of Iqaluit and Hamlet of Taloyoak are just part of the overall plan to develop our infrastructure.”

“Our Government's investment in Nunavut infrastructure will create jobs, improve the quality of life of Nunavut residents, and help boost the regional economy,” said John Baird, Canada's Transport and Infrastructure Minister.

“I am very pleased to see these projects moving ahead with the help of our municipal and federal partners,” said the Honourable Lorne Kusugak, Nunavut Minister of Community and Government Services. “There are a number of infrastructure projects in the works and we look forward to more positive news to assist communities in the future.”

Canada and Nunavut are working together to create jobs and boost the economy, while making significant investments that help communities improve their infrastructure. Both governments have agreed to work together to ensure that these funds are delivered quickly and efficiently to municipalities in Nunavut.
The Government of Canada's 2009 Economic Action Plan is accelerating and expanding the existing federal investment of $33 billion in infrastructure across Canada with almost $12 billion in new infrastructure stimulus funding over the next two years.

A backgrounder with information on the projects and details about the Infrastructure Stimulus Fund is attached.

For further information on infrastructure projects in Nunavut, visit www.creatingjobs.gc.ca.
To learn more about Canada's Economic Action Plan, visit www.actionplan.gc.ca.


Backgrounder


INFRASTRUCTURE STIMULUS FUND IN NUNAVUT

The Infrastructure Stimulus Fund (ISF) is already at work in Nunavut. Two projects have been approved for over $7.2 million in joint government investments.

About the Arctic Winter Games Arena
On July 7, 2009, the Governments of Canada and Nunavut, along with the City of Iqaluit, agreed to fund structural repairs to the rink in the Arctic Winter Games Arena.
The main goal of this project is to render the arena operational again. Although the ice surface is not currently in use, the arena is still being used for a youth centre and large community gatherings. A fully operational arena would provide new opportunities for recreation and physical activity in the community and facilitate the growth of many recreational programs, such as figure skating, hockey and broomball. A repaired rink would also provide a source of revenue for the city, and enable the facility to, once-again, host major sporting events.

The total cost of this project is estimated at $2,246,220. The federal and provincial governments will each contribute up to $748,740, one-third each of eligible project costs, with the municipal government contributing the remainder.

About the Taloyoak Hamlet Office
On July 7, 2009, the Governments of Canada and Nunavut agreed to a joint investment to design and construct a new hamlet office in Taloyoak in a location selected by the hamlet council.

Upon completion of the new $5-million project, Taloyoak will benefit from the lower operational costs of running a new, energy-efficient building. A large council chamber will also be included in the design plans of the new hamlet office, which will enable the council to host meetings with the public.

The federal and territorial governments will each invest up to $2.5 million to cover eligible project costs.

About the Infrastructure Stimulus Fund
Through Canada's Economic Action Plan, the federal government has established a new $4-billion Infrastructure Stimulus Fund that provides funding to provincial, territorial and municipal construction-ready infrastructure rehabilitation projects. Funding is available for two years for projects that will be built during the 2009 and 2010 construction seasons.
The Infrastructure Stimulus Fund complements existing federal infrastructure funding by focusing on short-term objectives for economic stimulus. To further this goal of rapid economic stimulus, the Infrastructure Stimulus Fund will focus on construction–readiness as important project selection criteria. The full $4 billion will be distributed in fiscal years 2009-2010 and 2010-2011. Projects will focus largely on the rehabilitation of existing assets such as water, wastewater, public transit, highways, roads, culture, parks, and trails.
For territorial assets, the federal and territorial governments will each contribute up to fifty per cent of eligible project costs. For municipal projects, the federal and territorial governments will typically contribute up to two-thirds of eligible costs, while municipalities are expected to contribute the remainder.