District Municipality of Muskoka to Replace Local Wastewater Treatment Plant

For immediate release – January 10, 2007

Canada's New Government and the Government of Ontario invest in infrastructure renewal

BRACEBRIDGE — Canada's New Government and the Government of Ontario today announced funding under Intake Three of the Canada-Ontario Municipal Rural Infrastructure Fund (COMRIF) to replace the Lagoon Lane Wastewater Treatment Plant in the District Municipality of Muskoka.

The governments of Canada and Ontario will each invest up to $7,168,603 in the local
wastewater project. The District Municipality of Muskoka will contribute the balance of the total eligible project cost of up to $21,505,810. The Government of Canada's contribution is contingent on the successful completion of an environmental assessment of the proposed project under the Canadian Environmental Assessment Act.

"Canada's New Government is committed to cleaning up the environment," said
Tony Clement, Minister of Health, federal minister responsible for COMRIF and MP for Parry Sound-Muskoka. "Through this COMRIF investment, residents in Muskoka can rest-assured knowing that wastewater will be treated properly in order to reduce any impact on the environment."

"Renewing essential infrastructure is important to Ontario's small urban and rural communities," said Leona Dombrowsky, Ontario Minister of Agriculture, Food and Rural Affairs. "By replacing the Lagoon Lane Wastewater Treatment Plant in the District Municipality of Muskoka, the McGuinty government is demonstrating its commitment to rural Ontario."

"This is tremendous news for the District Municipality of Muskoka and the Town of Bracebridge and we are pleased to have this federal and provincial support to replace the Lagoon Lane Wastewater Treatment Plant, a project that will not only increase treatment efficiency, but also protect local aquatic ecosystems and promote continued development and tourism," said Gord Adams, Chair of the District Municipality of Muskoka.

This project is part of a total federal-provincial investment announced today of $93 million in 72 communities under Intake Three of COMRIF. Together with municipal contributions, the total COMRIF Intake Three investment in local infrastructure improvements exceeds $139 million. These investments will provide small urban and rural municipalities with the support they need to renew essential infrastructure in their communities.

Under the five-year, $900-million COMRIF program, the governments of Canada and Ontario are working together with the Association of Municipalities of Ontario (AMO) and local partners to enhance and renew Ontario's public infrastructure, improve the quality of the environment, protect the health and safety of citizens, support long-term economic growth and build prosperous, sustainable communities by giving municipalities the tools they need. This also includes the recently launched Asset Management Program component, which helps eligible municipalities and Local Services Boards improve and increase their capacity to manage their infrastructure.

In Budget 2006, Canada's New Government announced an unprecedented $16.5 billion in funding for infrastructure, including $6.6 billion in new investment for infrastructure programs. The Government recognizes the importance of infrastructure in Canada's success. Consultations with a wide range of governments, including Ontario, and stakeholders, including the AMO, took place over the summer and fall of 2006. Canada's New Government is currently developing its long-term plan for infrastructure programs.

For more information on the Canada-Ontario Municipal Rural Infrastructure Fund, please visit www.comrif.ca.

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Contacts:

Gord Adams
Chair of the District Municipality of Muskoka
705-645-2231

Brent Ross
Ontario Ministry of Agriculture, Food and Rural Affairs
416-326-9342

Linda Hann
Industry Canada
416-952-0468

Chris Flavelle
Senior Communications Advisor
Office of the Honourable Leona Dombrowsky
416-326-3072

Erik Waddell
Press Secretary
Office of the Honourable Tony Clement
613-957-0200

Project Reference Number:  15092