PENHOLD – The town is looking to move infrastructure projects forward, now that the province has announced what it will be allocating to municipalities through the Municipal Sustainability Initiative (MSI) for 2019/2020.
Penhold CAO Rick Binnendyk said town officials learned about two weeks ago what Penhold's portion of the province’s $597 million MSI fund would be for 2019-2020 for infrastructure improvements.
This year, Penhold will be receiving a total amount of $526, 415. That’s down from $565,011 last year and $715,531 in 2017.
“There was a question in the air about the funding because all of a sudden everything was put on hold. Even though we budgeted for it last fall and we didn’t take it off our books,” said Binnendyk. “However, we did tell all staff not to move forward until we had confirmation on everything.”
That confirmation came via a letter to municipalities in mid-August.
“The 2019 allocation is the amount that we actually budgeted for. It’s not new money, it’s just money that was committed to the municipality from the province,” explained Binnendyk, noting they were told they would not receive the funds until after the UCP government’s fall budget.
In addition, the town will also receive more money from the Federal Gas Tax Fund program for infrastructure improvements, in the amount of $179, 616. That brings the total of this year's Federal Gas Tax funding to just over $370,000. That surplus amount, noted Binnendyk, will also go towards needed road work next year.
Officials from several Alberta communities began asking the province about this year's MSI funding, said Binnendyk. Municipalities typically know their annual allocations when the province passes it's budget in the spring. This year though because of the the spring election, the province's budget isn't expected to be passed until October.
“I think it’s good news that the government is actually listening to the municipalities,” said Binnendyk. “Some of the (infrastructure) projects will move forward and others will be pushed into 2020.”
Binnendyk highlighted how the funds will impact Penhold.
"The MSI funding will be used for some road work we’re doing, it’ll be used for a water line we’re putting in the ground and we’re actually looking at a large piece of equipment purchase (a grader) as well," he said.
Penhold mayor Mike Yargeau said receiving the MSI funding earlier than expected was a welcomed measure.
“I’m happy that they recognize that municipalities need this money to carry on,” said Yargeau. “I understand they’re a new government and they’re taking their time with the budget.
“I talked personally to our MLA (Devin Dreeshen) and let him know that this was something that as a town, we are counting on. It’s good to see that they’re paying attention to that,” Yargeau concluded.
