Ontario budget gets nod from industry
There wasn’t a lot of new to report as far as infrastructure spending was concerned in the November 5 provincial budget, but stakeholders have nonetheless reacted positively to the government’s spending plans.
The budget projects more than $187 billion in spending in the next year. That figure includes $30 billion in COVID-19 related spending, $13.6 billion for infrastructure, and $680 million over the next four years for projects to expand the province’s broadband network. That’s the good news.
The bad news is that the province is projecting its largest-ever deficit at $38.5 billion.
Among those facts and figures, several stakeholders from across the construction industry have responded positively to the budget.
The Residential and Civil Construction Alliance of Ontario (RCCAO), for example, said it is pleased to see the province working closely with the federal government throughout the pandemic to speed up approvals for infrastructure projects.
“Municipalities are putting off numerous infrastructure maintenance and repair projects that were scheduled to go ahead this fall because COVID-19 has strained local finances,” said RCCAO executive director Andy Manahan. “Local governments of all sizes need a strong signal that funding will be in place soon so investments in transportation systems, bridges and other capital works can proceed.”
RCCAO has been vocal during the post-lockdown months about its desire to see governments deliver funding to municipalities as soon as possible to ensure budgets balance and state-of-good-repair construction projects tendered and started as soon as possible. The council published a series of studies over the summer confirming the impact of swift funding.
“Investments in state-of-good-repair projects create much-needed jobs and will help kick-start the economic recovery of Ontario,” said Manahan. “Tens of thousands of construction workers in the Greater Toronto and Hamilton areas could lose their jobs between now and spring if funding does not flow to the municipalities.”
Meanwhile, the Residential Construction Council of Ontario (RESCON) has praised the government for the budget’s focus on a skilled trades strategy and digital innovation.
Through the government’s Skilled Trades Strategy, the budget also focuses on key themes that are crucial to enabling the trades to be considered a viable employment option for the next generation, such as simplifying the apprenticeship system and related career pathways as well as encouraging greater employer participation.
“We are heartened to see the government commit such extensive resources to the skilled trades in Ontario,” said RESCON president Richard Lyall. “This is a reflection of the province’s understanding of the importance of construction and the need for sufficient skilled trades supply over the next decade to facilitate the economic recovery and success of Ontario.”