up to $5 million grants available FOR transit in rural and indigenous communities across Canada!
The Rural Transit Solutions Fund seeks to help Canadians living in rural and remote areas get around their communities more easily for their day-to-day activities, and connect with other communities nearby.
People living in rural, remote, Northern, and Indigenous communities often depend on private vehicles for transportation and often lack access to transit options. Additionally, people without access to private vehicles or who are unable to drive are isolated from essential services or are unable to travel with ease within their own community or to visit nearby communities.
The Rural Transit Solutions Fund is the first federal fund to target the development of transit solutions in rural and remote communities. Launched in 2021, the Fund provides $250 million in federal funding over 5 years to support the development of locally-driven transit solutions that will help people living in rural communities get to work, school, appointments, and to visit loved ones.
Funding Overview
|
Eligible organization |
Maximum Program contribution (% of capital expenses) |
Maximum Federal Contribution from all sources (% of capital expenses) |
Total Canadian (i.e., federal provincial, territorial, and municipal) Government stacking (% of capital expenses) |
|---|---|---|---|
|
Applicant is located in a province or is a not-for-profit organization |
80% |
80% |
100% |
|
Applicant is located in a territory and/or an Indigenous recipient |
100% |
100% |
100% |
|
Provincial government |
40% |
40% |
100% |
|
Territorial government |
75% |
75% |
100% |
There is no limit to the cost of a capital project, however, the maximum contribution from the Rural Transit Solutions Fund is limited to $3 million for conventional solutions, or up to $5 million if the project incorporates zero-emission solutions. A contribution agreement will establish the federal contribution for each project as well as the conditions under which federal contribution installment payments will be made. Infrastructure Canada will not provide additional payment for costs overruns.
Eligible Applicants
The following groups are eligible to apply:
- Municipalities, local and regional governments established under provincial or territorial statute, including local service districts;
- Provinces and territories;
- Public sector bodies that are established by or under provincial or territorial statute, or by regulation, or are wholly-owned by a province, territory, municipal or regional government;
- Indigenous governing bodies;
- Federally or provincially incorporated not-for-profit organizations whose mandate is to improve Indigenous outcomes, organizations serving Indigenous communities living in urban centers and First Nations living off-reserve;
- Indigenous development corporations; and,
- Federally or provincially incorporated not-for-profit organizations.
Eligible Activities
Capital Projects can cover a broad range of activities related to the delivery of rural transit solutions. Proposed solutions could include a range of modes of eligible transport, including traditional solutions such as fixed-route buses and non-traditional solutions such as ride-share or on-demand services requiring the purchase of minivans, small craft, zero-emission fleets, shared fleets, the construction of intermodal hubs, the installation of charging stations or the purchase of software.
Through this stream, eligible applicants will be able to submit applications for up to $3 million to help cover the capital costs of a new or expanded transit solution (e.g., purchase of a vehicle or digital platforms), and up to $5 million to support zero-emission transit solutions (e.g., for the purchase of a zero-emission vehicle(s)).
Eligible Costs
- Procurement of vehicles, including but not limited to those that are zero-emission, buses, minivans, or small craft;
- Procurement of fixed assets, such as charging stations;
- Construction of bus stops, signage or the installation of charging stations;
- Engineering and consultation fees, including those associated with maintaining, building, renovating or improving fixed capital assets (e.g., garage, bus station, etc.) during the period of the project;
- Active transportation components, such as pathways and trails, that help facilitate mobility and are integrated within a rural transit system;
- Costs incurred for consultation or engagement with Indigenous peoples on the project and expenditures incurred for accommodation of adverse impacts on Aboriginal and Treaty rights;
- Costs associated with data collection, project evaluation, the exchange of information and dissemination of project results; and
- Other costs that are considered to be direct and necessary for the successful implementation of the project and are approved in advance by Infrastructure Canada.
