The Federal Gas Tax Fund (now called the Canada Community-Building Fund) provides dedicated federal infrastructure funding to municipalities across Canada. Established in 2005, this program allocates funding based primarily on population, flowing through provinces that in turn distribute to municipalities. The fund provides predictable, stable funding that municipalities can use for local infrastructure priorities including roads, bridges, transit, water and wastewater systems, solid waste, community energy, and capacity building. Unlike project-specific grants requiring applications, Gas Tax Fund allocations are formula-based and can be pooled over multiple years for larger projects. The program represents significant ongoing federal support for municipal infrastructure—billions of dollars annually across Canada. Municipalities value the flexibility and predictability, though some argue allocations should better account for infrastructure deficits and needs beyond simple population counts.
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Federal Gas Tax Fund