Green Municipal Fund (GMF)

Strategic Outcome

2 – Natural Resource Sectors and Consumers are Environmentally Responsible

Link to department’s Program Alignment Architecture

2.1 – Energy–efficient Practices and Lower-carbon Energy Sources > 2.1.4 – Energy Efficiency

Name of recipient

Green Municipal Fund (GMF)

Federation of Canadian Municipalities’ (FCM) Green Municipal Fund (GMF) formerly known as the Green Municipal Enabling Fund (GMEF) and the Green Municipal Investment Fund (GMIF)

Start date

March 31, 2000

End date

In perpetuity

Description

The Government of Canada endowed the Federation of Canadian Municipalities (FCM), a non-profit organization, with $550 million* to establish the Green Municipal Fund (GMF) to provide long-term, sustainable financing for municipal governments and their partners.  The GMF invests in plans, studies and projects that provide the best examples of municipal leadership in sustainable development and that can be replicated in other Canadian communities.

The intent of the GMF is to encourage investment in environmental municipal infrastructure.  Specifically, the priorities of the fund are to have a positive impact on the health and the quality of life of Canadians by reducing greenhouse gas emissions, improving local air, water and soil quality and promoting renewable energy by supporting environmental studies and projects within the municipal sector. Additional considerations include the potential for economic and/or social benefits.

The amount of GMF financing available to municipalities is directly related to the environmental, economic and social benefits of the projects undertaken. Grants of up to 50% to a maximum of $175,000 are available for plans, studies and field tests. GMF can provide below-market financing for capital projects up to 80% of costs to a maximum of $10 million in loans combined with up to $1 million in grants (up to a maximum of 20% of the loan amount) per project. Brownfield projects are eligible for below-market loans only, with no funding limit.

Under the GMF agreement, the Government of Canada (represented by Natural Resources Canada (NRCan) and Environment Canada) participates in the governance of this revolving fund, along with representatives from the public and private sectors, including municipal officials and technical experts, through a Peer Review Committee and an Advisory Council. The FCM Board of Directors approves projects based on the Council’s recommendations.

Total funding approved

275,000,000

Total funding received

275,000,000

Planned funding in 2015−16

0

Planned funding in 2016−17

0

Planned funding in 2017−18

0

Summary of annual plans of recipient

More details can be found in the Green Municipal Fund website at http://www.fcm.ca/home/programs/green-municipal-fund/about-the-program.htm