Mr. Flaherty talked about the increasing pressure of growth on municipalities when it comes to infrastructure.
"To keep pace with this growth in our municipalities, we need long-term, predictable streams of funding," he said, adding that municipalities can now plan long-term uses for the funding.
Mr. Flaherty said, so far, municipalities have used gas tax money for a variety of projects including roads, bridges and transit. The finance minister explained the Gas Tax Fund is part of the federal government's $33-billion infrastructure plan.
"Gas tax funding has allowed Durham municipalities to begin to address urgent infrastructure needs facing our communities," said Durham Region Chairman and former AMO president Roger Anderson.
The Region of Durham and its eight municipalities will see $49.4 million from the fund between 2008 and 2010. Of that, the Region will receive $8.2 million in 2008-09 and $16.5 million in 2009-10.
In previous years, Durham put its gas tax money towards its new Regional recycling facility in Whitby.
"These investments support services and facilities that citizens use on a daily or weekly basis, whether it's clean water, improved transit, a new bridge on the road to town or an improved plant to recycle blue box materials," said Mr. Anderson.
And the regional chairman suggests putting the new funding into waste as well, by spending it on the energy-from-waste (EFW) facility proposed for Courtice.
"Hopefully, if all goes well, we'll put it into the EFW facility, if it proceeds," he said following Mr. Flaherty's announcement. He added that if the project doesn't go through, the money could be used for roads or transit.
Pickering Mayor Dave Ryan sees some merit in that idea.
"I don't want to pre-suppose it's going to proceed, but if it does proceed, it is a logical use for infrastructure funds," he said.
Clarington Mayor Jim Abernethy said it will be up to Regional council to decide whether it's going to fund the incinerator and how that would be done.
"If the project proceeds, the money has to come from somewhere. Whether it's the funds we already have in the bank or the impact of a levy, it comes from the same place, the pocket of the taxpayer," he said.
Mayor Ryan and Mayor Abernethy were among the five local mayors on hand for Mr. Flaherty's announcement.
In the northern part of the Region, Brock Township Mayor Larry O'Connor said the gas tax funds will likely go towards roads because his municipality has $65 million-worth of road work needs.
But not everyone was happy with the announcement. Pickering Scarborough East MP Dan McTeague said the funds aren't enough for a municipality growing as fast as Durham.
"Our Region is among the fastest growing in Ontario and we have been continuously let down by the Conservatives and Mr. Flaherty who has gone from bashing Ontario to banishing a fair share for Durham region," said Mr. McTeague.
