• Background
• Objectives
• Eligible Recipients and Amount of Contribution
• Funding Approach
• Eligible Projects
• Project Selection Criteria
• Current Projects

Background

The eligibility criteria for the $500 million Highway Construction Component requires that projects be major capital improvements on east-west or north-south trade routes of Canada's National Highway System.

The Surface Programs Branch, Programs and Divestiture directorate at Transport Canada manages the Highway Construction component of the Strategic Highway Infrastructure Program (SHIP).

Objectives

Transport Canada is committed to the best possible surface transportation system for Canada and Canadians. Projects submitted for funding under the highway construction component of the Strategic Highway Infrastructure Program will assist Transport Canada with this vision as they will be designed to support one or more of the following long term objectives:

• support trade, tourism and investment in Canada;
   
• strengthen national unity by sustaining strategic infrastructure investments in all regions of the country to respond to local needs;
   
• make the Canadian surface transportation system more reliable, efficient, competitive, integrated and sustainable; and
   
• improve the quality of life of Canadians by promoting safer and more environmentally sustainable transportation.

Eligible Recipients and Amount of Contribution

The recipients of the funding under this component are the provinces and territorial governments.

Funding Approach

The funding amounts were determined based on a minimum allocation of $4 million for each jurisdiction, with the remaining amount distributed based on population.

Eligible Projects

To be eligible for federal funding all projects must meet the following mandatory requirements:

• be on the National Highway System (as defined by the Council of Ministers Responsible for Transportation and Highway Safety) or, at the Minister's discretion, projects could be the construction or improvements made to links between segments of the NHS;
   
• represent major capital projects involving rehabilitation or the addition of new capacity;
   
• form part of major east-west or north-south highway trade routes;
   
• be supported with a detailed justification;
   
• meet all federal and provincial/territorial environmental requirements;
   
• adhere, at a minimum, to the Transportation Association of Canada (TAC) engineering guidelines; and
   
• adhere to the Strategic Framework Governing Public-Private Partnerships and Tolling Schemes under the Strategic Highway Infrastructure Program.

Note: The above terms and conditions do not apply to Nunavut. Given its lack of highways, investments in the Territory of Nunavut will be directed at priority transportation infrastructure identified in the Nunavut Transportation Vision. The cost sharing ratio will be negotiated to reflect Nunavut's fiscal situation.

Project Selection Criteria

Projects will be selected on the basis of how they support one or more of the following criteria:

• productivity (initiatives leading to productivity gains that reduce transportation costs for all economic sectors);
   
• economic efficiency (initiatives that improve the reliability and overall operating performance of the transportation system);
   
• safety improvements (projects that improve safety by reducing transportation accidents);
   
• environmental impacts (projects that have minimum environmental impacts);
   
• national interests (cross-country Canada projects aimed at sustaining transportation infrastructure or systems that are key components to the efficient east-west and north-south traffic flow); and
   
• federal visibility (increase recognition of federal contributions).