Driving Naari Programme launched in Chandigarh
OTTAWA — A group of Canadian economists says the federal government should get out of the business of funding small infrastructure projects and give more money directly to cities.
The study, led by noted economist Jack Mintz, says funding projects smaller than $1 million carry too many extra administrative costs that would be better directed to larger endeavours that may take more time to break ground.
The group also argues that cities overseeing the majority of infrastructure in the country should be allowed to borrow more money to pay for projects and charge user fees to pay for their upkeep.
The recommendations are laid out in a series of three research papers released today by the University of Calgary’s school of public policy that question the depth of Canada’s infrastructure deficit.
The Liberals have vowed to boost infrastructure spending by almost $17 billion over the next four years, financing the effort through three years of deficits totalling nearly $10 billion.
The promise was a cornerstone of the Liberal campaign that won the party a majority government in last month’s federal election.
