Reconstruction and rehabilitation work underway on additional local streets thanks to new dedicated property tax funding

Released: July 4, 2013 at 2:36 p.m.
Seventeen more local streets and four back lanes to benefit this year from the Local Street Renewal Reserve

Winnipeg, MB - Reconstruction and rehabilitation is underway on more than a dozen additional local streets, thanks to an historic plan adopted in the 2013 Capital Budget to create a new reserve dedicated to fixing Winnipeg's streets.

As part of the budget process, City Council adopted a one per cent property tax increase to be 100 per cent dedicated to improving streets, back lanes and sidewalks, called the Local Street Renewal Reserve.

“We know Winnipeggers want to see improvements in city streets,” said Mayor Sam Katz. “In 2013, the City of Winnipeg adopted an innovative approach to tackle our crumbling local streets, back lanes and sidewalks. Additional street reconstruction and rehabilitation is now taking place due to the Local Street Renewal Reserve.”

This reserve will increase the 2013 local street repair budget by 66 per cent, or $14 million. As a result, an additional 17 local streets and four back lanes will be reconstructed this year. The City of Winnipeg’s long-term plan will help the City make headway on the 20 per cent of local streets, and 16 per cent of back lanes that are in poor condition and require major rehabilitation or reconstruction.

"Through the Local Street Renewal Reserve, we are rebuilding our city streets, one block at a time," said Deputy Mayor Russ Wyatt, Chair of the Standing Policy Committee on Finance. "The City of Winnipeg is improving our residential streets, back lanes and sidewalks as part of a long-term strategic plan. Construction is now taking place at sites throughout the city, thanks to the Local Street Renewal Reserve."

In the event the City does not receive significant new growth revenue from other levels of government, City Council will annually consider whether or not to approve an additional one per cent property tax increase dedicated to the Local Street Renewal Reserve, in order to make real progress on our crumbling infrastructure.

“The Local Street Renewal Reserve is allowing the City to rehabilitate several streets this year that otherwise would have had to wait,” said Councillor Dan Vandal, Chair of the Standing Policy Committee on Infrastructure Renewal and Public Works. “We are planning for the future. If Council chooses to adopt this plan on an annual basis, we will begin to see real progress and a noticeable improvement in our city’s local streets and back lanes.”

The plan calls for a small portion of this reserve to be used to finance $25 million of borrowing over the first three years ($10 million the first year, $10 million the second and $5 million the third). Fully implemented over 20 years, with a mix of property tax increases and frontage levy increases, the overall plan would achieve a sustainable funding level for the renewal of local streets.

In addition to the enhanced program, more than $15 million has been approved to repair 27 roadways this year under the City’s existing Local Street Renewal, Alley Renewal and Granular Roadway Improvements programs.

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