Phew … deadline is extended

Consulting engineers, construction companies and municipalities breathed a sigh of relief last week when the federal government confirmed that it would extend the deadline for stimulus projects for another construction season.

On December 2, the Harper Government said that it had granted a “one-time extension” for infrastructure projects to receive money under its Economic Action Plan, with a new deadline of October 31, 2011.

To be eligible for this extension, “work must have begun on the project and it must have incurred eligible costs before March 31, 2011.”

As well, “claims for all expenses incurred up to this date must be submitted by April 30, 2011.”

Then came a warning: “While virtually all projects are expected to be completed by October 31, 2011, the Government of Canada will no share in any costs after this date, and proponents will be required to complete projects at their own expense.

The funding is being provided under four funds: the Infrastructure Stimulus Fund, the Building Canada Fund Comunities Component Top-Up, the Recreational Infrastructure Canada Program and the Knowledge Infrastructure Program.

Almost 90% of the projects funded are expected to be completed by the original deadline, which is March 31, 2011.

The Association of Consulting Engineering Companies (ACEC) and the Federation of Canadian Municipalities both applauded the government’s decision.

Since the Economic Action Plan was launched to stimulate the economy in February 2009, it has helped to fund approximately 23,000 projects across the country and helped 420,000 Canadians get back to work.

Together with the provincial, territorial and municipal governments’ investments, the program has injected $62 billion into the economy.

To read the release, click here.