FCM provided a member advisory last week that addressed the fact that federal economic stimulus spending ends on March 31, 2011. Despite many municipal concerns about the ability to complete work on projects within this timeline, the federal government says it will not change the deadline.
Initially the government said it would not pay any costs for projects not fully completed by March 31, 2011. This meant that municipalities could end up paying the full cost of construction if any part of the project was not finished on time.
However, in response to concerns brought forward by FCM, the government recently revised its position, agreeing to pay its full share of projects costs incurred before the deadline, regardless of whether the projects is complete. It appears however that municipalities will be responsible for 100% of all project costs incurred after March 31, 2011.
Just a reminder to Board of Directors members to keep their calendars open September 23-25 for the quarterly meeting.
