Kinew Joins FCM's Call for National Dialogue on Municipal Infrastructure Funding

Since the spring of 2024, the Federation of Canadian Municipalities (FCM) has been urging a national dialogue on funding for municipal infrastructure. The organization has called for a trilateral meeting involving the federal government, provinces, and municipalities to establish a new fiscal framework.

This call gained momentum with the release of FCM's recommendations, urging federal, provincial, and territorial governments to modernize funding mechanisms. In a discussion paper released in May, the FCM warned that municipalities are "struggling to fund, maintain and improve" critical services due to an "outdated revenue framework that is creaking under Canada's record population growth."

Key elements of the proposed framework include increasing direct annual federal transfers to municipalities by $2.6 billion (bringing the total to $5 billion), indexing federal transfers to gross domestic product (GDP), and broadening the range of eligible expenses to include operating costs and infrastructure.

At the Association of Manitoba Municipalities (AMM) Convention in Winnipeg in November, Manitoba Premier Wab Kinew expressed support for a national conversation. "If there's that national conversation, we're happy to be a part of it," Kinew said, noting Manitoba has positive contributions to share. His remarks align with Saskatchewan Premier Scott Moe's readiness to engage in discussions on infrastructure funding with the federal government and municipalities.

Kinew emphasized Manitoba's leadership in addressing infrastructure funding challenges, citing his government's recent $62 million investment over five years as an example of cooperative progress. "We're working together for Manitobans who want to see roads fixed and local services maintained," he said, adding that his government is listening to municipal leaders' calls for additional resources.

During the AMM Convention's Ministerial Bear Pit Session, Councillor Joe Masi of Portage la Prairie directly questioned Kinew about the FCM’s push for a new fiscal framework. Kinew affirmed Manitoba's readiness to participate. "We’re happy to show up with the other provinces and the federal government to ensure they contribute their fair share," he said.

While acknowledging the financial challenges municipalities face, Kinew admitted, "I would love to wave the magic wand and make everyone’s fiscal problems disappear, starting with our own." He expressed empathy for the struggles of balancing municipal budgets amid growing demands.

The FCM Board of Directors is meeting with federal parties in Ottawa this week to advocate for these reforms, underscoring the urgent need for a fiscal framework that ensures municipalities can keep pace with Canada's growth.