Thank you, Mr. Chair.
I have with me Daniel Rubinstein, director of policy and research.
Thank you for inviting us to appear before you today to present our vision for building Canada by strengthening our cities and communities.
The FCM and its 2,000 members represent more than 90% of Canada's population from coast to coast to coast.
In budget 2018 we see an opportunity to boost Canada's productivity and quality of life by strengthening cities and communities nationwide.
You've heard FCM call last year's budget a “game-changer”. Why did we use that terminology? Because it confirmed new investments to spark growth in rural and northern communities nationwide. It outlined a plan to launch the next era of public transit to ease congestion and boost national productivity. It responded to FCM's call to fix the housing crisis and to support the families and workers Canada needs to thrive. In short, budget 2017 flowed from unprecedented engagement with local governments and recognized that community building is nation building.
Turning historic investments into historic outcomes now hinges on design decisions that have yet to be made. These decisions need to recognize that municipalities form the order of government closest to Canadians' lives. We manage 60% of the public infrastructure that supports Canada's productivity and quality of life. We know what needs to be done locally and what works. That's why we, FCM and our members, expect to be engaged throughout the integrated bilateral agreement negotiations with provinces and territories. These negotiations will shape the outcome of the 12-year federal infrastructure plan. I'll outline four key priorities municipalities bring to the table.
First, to move projects forward, FCM is recommending a 40-40-20 cost-sharing arrangement through the integrated bilateral agreements. Now that Ottawa has committed to a 40% share, federal leadership means making a strong case with the provinces. Achieving 40-40-20 nationwide could mark the difference between getting major projects off the ground and seeing them halted in their tracks by local fiscal limits.
Second, municipalities need more clarity and access when it comes to the green infrastructure fund. There is great uncertainty about how this fund will support municipal priorities from waste water to climate action. Municipalities influence half of Canada's GHG emissions, and many are already modelling green innovation that could be scaled up nationwide. This is an opportunity to start unlocking more than 50 megatonnes of potential GHG reductions while we build more climate-resilient communities. Scaling up local climate mitigation and adaption efforts will generate substantial growth and productivity gains as well.
Third, Canada needs to recognize the unique needs of remote, rural, and northern communities. This includes optimizing federal infrastructure investments for smaller communities with fund stacking and streamlined approvals.
Fourth, we go beyond the integrated bilateral agreements to talk about transforming housing, which needs to start now. Mayors in our biggest cities have been clear that we can't build tomorrow's Canada on top of a housing crisis. The government has responded by promising a national housing strategy, and getting this right now is critical. Without urgent funding for social housing repairs, thousands of families could see their homes shuttered, and this will require at least $615 million annually, according to our numbers. Simultaneously we need to grow Canada's affordable housing supply with new non-profit housing construction that leverages local innovation.
In short, FCM's priority is to ensure that new investments are designed to unlock local expertise to achieve transformational national outcomes. To achieve these transformational national outcomes, the federal government must continue deepening its partnership with local governments in the design of investing in Canada programs and the national housing strategy. In fact, to achieve transformative national outcomes, the federal government must continue to deepen its partnership with local governments wherever local expertise is vital, from the opioid crisis to expanding trade to safely legalizing cannabis.
FCM is looking to budget 2018 with a fresh lens. How can its commitments deepen the federal-municipal partnership to better serve Canadians? We all have a remarkable opportunity to shape Canada's future now.
Thank you, Mr. Chair.