The Canadian federal government’s best-laid plans for boosting the economy through infrastructure spending are running into obstacles and already behind schedule.
A Feb. 2 report from the Office of the Parliamentary Budget Officer (PBO) called “Following the money” attempts to get a handle on the $11.3 billion that will be allocated over two years via 31 departments and agencies.
PBO Jean-Denis Fréchette told the Standing Senate Committee on National Finance (SSCNF) on Feb. 7 that spending tends to be back-end-loaded and that delays occur at the provincial and municipal levels after the Treasury Board approves the expenditure.
For fiscal year 2016–17 (ending March 31, 2017), roughly $3 billion of the $4 billion is expected to be spent. Some catching up is expected for 2017–18 with $10.4 billion of the $11.3 billion of “Phase 1” of Canada’s new infrastructure plan being spent.
