News Release

FREDERICTON (GNB) – Municipalities, rural communities and local service districts will receive more than $74 million in community funding and equalization grants from the provincial government in 2016, a $1.4 million increase over last year.

Environment and Local Government Minister Brian Kenny made the announcement today. He also released information showing the 2016 total assessment base for municipalities, rural communities and local service districts increased by $1.6 billion, or 2.6 per cent, over 2015.

“Our government understands this funding is integral for municipalities, rural communities and local service districts to deliver good-quality public services and maintain the conditions for economic growth and job creation,” said Kenny.

Municipalities and rural communities will have a core funding component of $12.4 million and an equalization component of about $53.3 million.

Local service districts will receive core funding of $2.6 million and a police equalization component of $4.4 million.

The community funding and equalization grant formula also includes a calculation for policing costs for communities serviced by the RCMP under the Provincial Police Service Agreement. The RCMP has completed a workload resourcing analysis to ensure the appropriate resources required to provide adequate policing services in each particular region are in place while still managing costs. This year, the distribution of policing costs to communities will reflect the actual cost of the policing service currently provided in those areas.

In addition, as part of government’s Strategic Program Review, the Municipal Fine Revenue Sharing Program underwent a review to assess potential improvements and cost savings. Since the program’s establishment in 1985, many changes to the delivery of policing services and court security have occurred which have made this program inequitable. It will be discontinued effective April 1, 2016.

However, the Municipal Police Assistance Fund, which pays for special policing projects across the province, will continue to be funded through the Department of Public Safety. In addition, court security costs will continue to be funded by the provincial government.

The list of Community Funding and Equalization Grants for municipalities and rural communities, and the list of municipal tax bases are available online.