Thank you, Mr. Chairman.
On behalf of the Saskatchewan Association of Rural Municipalities, I'd like to thank the committee for allowing us to appear and participate in this year's pre-budget consultation. My name is David Marit and I'm president of the organization, and with me is my good friend and colleague, Ray Orb, our vice-president.
SARM is an independent association that represents all 296 Saskatchewan rural municipalities. Our membership is strictly voluntary, and our strength comes from our membership, whose collective voice guides us in policy. We appreciate the occasion to discuss the three recommendations that we put forth in our written submission to the committee for consideration in the development of the 2012 federal budget.
You'll find the issues that are of the greatest importance to SARM members are the issues that impact the quality of life and productivity of key industries in rural communities. Industries thriving in rural areas include natural resources, manufacturing, and agriculture and agrifood. Therefore, our three recommendations centre on the access to reliable and well-designed road infrastructure that industries depend on to allow them to efficiently reach their suppliers and markets.
Legislative updates will further support development and program improvements meant to advance the competitiveness of Canadian business. Municipalities are responsible for the development, maintenance, and renewal of local infrastructure that connects rural industry to the larger primary highway system. Recognizing that 50% of Canada's exports are the natural resources, energy, agricultural products, and raw materials extracted from rural areas, municipalities need federal funding to improve local infrastructure that connects rural industries to the rest of the country.
Our first recommendation, therefore, is threefold. First, we recommend that infrastructure funding be earmarked solely for rural communities, so rural projects are not competing with cities and towns for the same funding package. Second, we recommend that federal funding also be allocated to improve north-south road corridors and ports that allow Canadian industries access to U.S. market opportunities. Third, we recommend that the federal government consult with groups like the Federation of Canadian Municipalities and SARM when designing new municipal infrastructure programming for 2014 to replace the existing and current Building Canada fund program.
We realize the depressed fiscal capacity of the federal government, but we believe that through funding more infrastructure programs, the potential exists to continue to stimulate and grow the economy, which benefits everyone. Municipalities are also facing a regulatory road block when building roads and bridges. The Navigable Waters Protection Act adds unnecessary costs to roads and bridges construction projects because of its outdated definition of a navigable waterway. Conducting a review of this legislation and enacting relevant amendments will not cost the government but will act as an economic driver in regions across Canada.
Our second recommendation, therefore, is that government conduct a review of the Navigable Waters Protection Act, with the end goal of changing the definition of a navigable waterway.
Because agriculture continues to be one of the driving forces behind the livelihood of rural communities across Canada—including Saskatchewan, where in 2008 it accounted for nearly 13% of the provincial gross domestic product—the importance of this sector must be mentioned here today. Adequate federal funding has been allocated to the agricultural sector, but it is important to ensure that the programs being designed under Growing Forward 2 work for the benefit of farmers.
Our third recommendation, therefore, is that there be an increase in funding for agriculture via Growing Forward 2 programming to ensure programs offered under the current Growing Forward are modified and improved in ways that help improve the competitiveness and success of Canada's agriculture sector.
In closing, I want to once again mention the need for the importance of transportation infrastructure and agriculture in the economy, not only for the province of Saskatchewan but for Canada as a whole.
In closing, I want to thank the committee again for having us appear here today. We will be glad to answer any questions.
Thank you.