1.       FEDERAL GAS TAX REVENUES - AMENDING AGREEMENT

 

RECETTES TIRÉES DE LA TAXE FÉDÉRALE SUR L’ESSENCE -
ENTENTE DE MODIFICATION


 

 

Committee RecommendationS

 

That Council:

 

1.         Approve the signing of the Amending Agreement between The Association of Municipalities of Ontario and the City of Ottawa related to the transfer of Federal Gas Tax Revenues Under the New Deal for Cities and Communities dated June 17, 2005; and

 

2.         Approve the by-law authorizing the signing of the Agreement between The Association of Municipalities of Ontario and the City of Ottawa related to the transfer of Federal Gas Tax Revenues Under the New Deal for Cities and Communities Agreement dated June 17, 2005.

 

 

RecommandationS du comité

 

Que le Conseil :

 

1.         approuve la signature de l’entente de modification entre l’Association des municipalités de l’Ontario et la Ville d’Ottawa relativement au transfert des recettes tirées de la taxe fédérale sur l’essence conformément au Nouveau pacte pour les villes et les collectivités, intervenu le 17 juin 2005;

 

2.         approuve le règlement autorisant la signature de l’entente entre l’Association des municipalités de l’Ontario et la Ville d’Ottawa relativement au transfert des recettes tirées de la taxe fédérale sur l’essence conformément au Nouveau pacte pour les villes et les collectivités, intervenu le 17 juin 2005.

 

 

 

 

 

Documentation

 

1.   City Treasurer’s report dated 26 July 2007 (ACS2007-CMR-FIN-0022).

 

 

 


Report to/Rapport au :

 

Corporate Services and Economic Development Committee

Comité des services organisationnels et du développement économique

 

and Council / et au Conseil

 

26 July 2007 / le 26 juillet 2007

 

Submitted by/Soumis par : Marian Simulik, City Treasurer/trésorière municipale

 

Contact Person/Personne ressource : Wayne Martin, Manager, Accounting and Reporting/

Gestionnaire, Comptabilité et Rapports, Financial Services/Services financiers

(613) 580-242 ext/poste 25183, Wayne.Martin@ottawa.ca

 

City Wide / À l’échelle de la ville

Ref N°:  ACS2007-CMR-FIN-0022

 

 

SUBJECT:

FEDERAL GAS TAX REVENUES - AMENDING AGREEMENT

 

 

OBJET :

RECETTES TIRÉES DE LA TAXE FÉDÉRALE SUR L’ESSENCE - ENTENTE DE MODIFICATION

 

 

REPORT RECOMMENDATIONS

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.         Approve the signing of the Amending Agreement between The Association of Municipalities of Ontario and the City of Ottawa related to the transfer of Federal Gas Tax Revenues Under the New Deal for Cities and Communities dated June 17, 2005; and

 

2.         Approve the by-law authorizing the signing of the Agreement between The Association of Municipalities of Ontario and the City of Ottawa related to the transfer of Federal Gas Tax Revenues Under the New Deal for Cities and Communities Agreement dated June 17, 2005.

 

 

RECOMMANDATIONS DU RAPPORT

 

Que le Comité des services organisationnels et du développement économique recommande au Conseil :

 

1.         Que soit approuvée la signature de l’entente de modification entre l’Association des municipalités de l’Ontario et la Ville d’Ottawa relativement au transfert des recettes tirées de la taxe fédérale sur l’essence conformément au Nouveau pacte pour les villes et les collectivités, intervenu le 17 juin 2005;

 

2.         Que soit approuvé le règlement autorisant la signature de l’entente entre l’Association des municipalités de l’Ontario et la Ville d’Ottawa relativement au transfert des recettes tirées de la taxe fédérale sur l’essence conformément au Nouveau pacte pour les villes et les collectivités, intervenu le 17 juin 2005.

 

 

BACKGROUND

 

The City has received approximately $30.7 million of Federal Gas Tax Revenues under the New Deal for Cities and Communities agreement.  This funding is currently being applied as a funding source for the City’s Transit Capital Program.

 

An amendment to the Agreement for the Transfer of Federal Gas Tax Revenues Under the New Deal for Cities and Communities was recently announced giving municipalities with a population of 500,000 or more, the option of investing the federal gas tax fund in local roads and bridge projects if they so choose while continuing to respect the program’s key desired outcomes of cleaner air, water and reduced greenhouse gas emission. Eligible costs are retroactive to April 1, 2005.

 

In advance of spending funds on road or bridge projects, there is a requirement to complete and submit appropriate documentation identifying the impact of the investment on sustainability outcomes. The Association of Municipalities of Ontario (AMO) is developing guidelines to help municipalities meet this requirement of the municipal funding agreement.

 

 

CONSULTATION

 

The purpose of the report is administrative in nature and therefore no public consultation is required.

 

 

FINANCIAL IMPLICATIONS

 

Upon submission of the signed Amending Agreement, the authorizing by-law and documentation identifying the impact of the investment on sustainability outcomes, the city will be able to apply federal gas tax funding to local roads and bridges projects.    

 

 

STRATEGIC DIRECTION

 

The expanded use of the Federal Gas Tax supports the strategic directions relating to Transportation, Infrastructure Renewal and Sustainable Finances.  Although it does not increase funding, the expanded use will provide more flexibility in the allocation of these funds.

 

 


SUPPORTING DOCUMENTATION

 

Appendix A – Amending Agreement Between The Association of Municipalities of Ontario and the City of Ottawa.

 

Appendix B – Authorizing By-Law

  

 

DISPOSITION

 

Upon approval, the Financial Services Branch will submit the signed amending agreement and authorizing by-law to The Association of Municipalities of Ontario.   The Planning, Transit and the Environment department will develop and submit appropriate documentation identifying the impact of investment on sustainable outcomes.

 


Appendix A

THIS AMENDING AGREEMENT made in duplicate this _____day of _____________, 2007.

 

BETWEEN:

 

THE ASSOCIATION OF MUNICIPALITIES OF ONTARIO

(refered to herein as “AMO”)

 

-and-

 

THE CITY OF OTTAWA

(referred to herein as the “Recipient”)

 

WHEREAS Canada, Ontario and Ontario municipalities, as represented by AMO and Toronto entered into an Agreement for the Transfer of Federal Gas Tax Revenues Under the New Deal for Cities and Communities dated June 17, 2005 (the “Canada-Ontario-AMO-Toronto Agreement”), whereby AMO agreed to administer funds on behalf of Ontario municipalities made available pursuant to the Canada-Ontario-AMO-Toronto Agreement on behalf of Canada;

 

AND WHEREAS the Canada-Ontario-AMO-Toronto Agreement outlines a framework for the transfer of funds to Ontario municipalities, represented by AMO and Toronto with stable, reliable and predictable funding for environmentally sustainable infrastructure purposes;

 

AND WHEREAS Canada, Ontario and Ontario municipalities, represented by AMO and Toronto have agreed to amend the Agreement in order to expand the list of Eligible Projects for Large Municipalities to include roads and bridges;

 

NOW THEREFORE this Amending Agreement witnesseth that:

 

1.                  The preamble forms an integral part of this Amending Agreement.

 

2.                  Terms not defined in this Amending Agreement have the meanings assigned in the Municipal Funding Agreement For the Transfer of Federal Gas Tax Revenues Under The New Deal for Cities and Communities.

 

3.                  Section 4.2 is deleted and replaced as follows:

For Large Municipalities, the list of eligible categories will consist of no more than two (2) of the categories in Section 4.1 a. to f..

 

4.                  Notwithstanding the date of execution of this Amendment Agreement, the provisions of this Amending Agreement are in effect as of November 30, 2005 and continue in effect for the duration of the term of the Municipal Funding Agreement For the Transfer of Federal Gas Tax Revenues Under The New Deal for Cities and Communities.

 

5.                  Except as amended herein, the provisions of the Municipal Funding Agreement For the Transfer of Federal Gas Tax Revenues Under The New Deal for Cities and Communities remain in full force and effect.

 

IN WITNESS WHEREOF this Agreement has been executed by the duly authorized officers of the parties hereto as of the date first above written.

 

RECIPIENT’S NAME:        THE CITY OF OTTAWA

 

By:

Affix Corporate Seal

 
 


______________________                                   _________________

Name:                                                                         Date

Title:

                                                                                                           

______________________                                   _________________

Name:                                                                         Date

Title:

                                               

 

THE ASSOCIATION OF MUNICIPALITIES OF ONTARIO

By:

Affix Corporate Seal

 
 

 


______________________                       _________________

Title:  Executive Director                              Date

                                                                                                                                   

                                                                                                           

 

In the presence of:

 

 

______________________                       _________________

Witness

Name:                                                             Date

Title:     

 



APPENDIX B

 

 

BY-LAW NO. 2007-

 

                        A by-law of the City of Ottawa to authorize the entering into an amending agreement with the Association of Municipalities of Ontario (AMO) relating to the transfer of federal gas tax revenue under the New Deal for cities and communities.

 

                        WHEREAS Canada, Ontario and Ontario municipalities, as represented by AMO and Toronto entered into an Agreement for the Transfer of Federal Gas Tax Revenues Under the New Deal for Cities and Communities dated June 17, 2005 (the “Canada-Ontario-AMO-Toronto Agreement”), whereby AMO agreed to administer funds on behalf of Ontario municipalities made available pursuant to the Canada-Ontario-AMO-Toronto Agreement on behalf of Canada;

 

                        AND WHEREAS the Canada-Ontario-AMO-Toronto Agreement outlines a framework for the transfer of funds to Ontario municipalities, represented by AMO and Toronto with stable, reliable and predictable funding for environmentally sustainable infrastructure purposes;

 

                        AND WHEREAS Canada, Ontario and Ontario municipalities, represented by AMO and Toronto have agreed to amend the Agreement in order to expand the list of Eligible Projects for Large Municipalities to include roads and bridges;

 

 

                        The Council of the City of Ottawa therefore enacts as follows:

 

1.                     The Mayor and the City Clerk are hereby authorized to execute the Amending Agreement with AMO.

 

 

                        ENACTED AND PASSED this   day of         , 2007.

 

 

 

 

                                    CITY CLERK                         MAYOR

 


BY-LAW NO.  2007 -   

 

-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-

A by-law of the City of Ottawa to authorize the

entering into of an amending agreement with

The Association of Municipalities of Ontario

relating to the transfer of federal gas tax

revenue under the New Deal for Cities and

Communities.

 

-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-

 

Enacted by City Council at its meeting of

 

-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-o-

 

 

LEGAL SERVICES

 

COUNCIL AUTHORITY:

City Council