Build Communities Strong Fund Frequently asked questions

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• Who is eligible for funding under the Build Communities Strong Fund?

  Provinces, territories, municipalities, Indigenous communities, public sector organizations, and non-profit and private sector entities are eligible for funding under the different streams of the Build Communities Strong Fund.

  The federal government is working in collaboration with these partners to deliver important infrastructure projects across the country.

• How can I submit a project application to the Build Communities Strong Fund?

  Under the Provincial and Territorial stream of the Fund, applicants should contact the relevant province or territory directly, as the application process is managed at the provincial or territorial level.

  Under the Direct Delivery stream, projects will be identified by the federal government through various channels, including those named in Budget 2025, pipelines of projects within existing programs, consultations, and future open project intakes. Eligible project proponents can find more information on how to send their initial expression of interest for shovel-ready projects on the Build Communities Strong Fund webpage.

• How will the Build Communities Strong Fund improve infrastructure?

  Communities and regions across Canada are facing high costs to improve and expand important infrastructure. Upgrades are needed to support growing populations and replace aging systems. The Build Communities Strong Fund is making generational investments to support, build, and improve public infrastructure projects that ensure communities have access to clean water, reliable public transit, and modern community infrastructure.

• What is the Government of Canada asking when it comes to development charges as part of the Build Communities Strong Fund?

  The Government of Canada is committed to making the housing market work better. This includes reducing barriers to homebuilding and the burden of development charges on homebuilders. By ensuring homebuilders can get more shovels in the ground and increase housing supply, municipalities are able to build the infrastructure needed to support this growth.

  To access funding under the Provincial and Territorial stream, provinces and territories will need to demonstrate how they are bringing down the cost of construction, including through the reduction of municipal development charges as appropriate, and not levy other taxes that hinder housing supply. These requirements will not apply to the health infrastructure funding as part of the Provincial and Territorial stream, due to the critical need to strengthen health infrastructure across the country.

  Federal action to lower the cost of construction, such as by reducing development charges, is one of the ways in which the federal government will increase housing supply and affordability, alongside other measures such as Build Canada Homes and the elimination of the GST for some first-time homebuyers.

• What are the Buy Canadian Policy requirements for the Build Communities Strong Fund?

  The Buy Canadian Policy will help ensure that more of every public dollar goes right into the Canadian economy – creating Canadian careers, using Canadian resources, and benefiting Canadian communities.

  The Buy Canadian Policy requirements will be an important part of the Build Communities Strong Fund. All projects under the Provincial and Territorial stream and Direct Delivery stream will be encouraged to use Canadian goods and services whenever possible, and projects larger than a total cost threshold will be required to meaningfully prioritize Canadian materials, suppliers, and content. Details of these requirements will be shared with funding applicants once available.

  The Government of Canada also recognizes that some provinces and territories have similar policies in place and will work with them to avoid duplication and ensure flexibility when they are comparable to the federal Buy Canadian Policy.

• Will Indigenous projects be funded under the Build Communities Strong Fund?

  Under the Provincial and Territorial stream, a minimum of 20% of the overall funding allocations will go towards projects in rural, northern, and Indigenous communities. Under the Direct Delivery stream, at least 10% of the funding will go towards investments in Indigenous communities.  

• How is the Government of Canada working with provinces and territories as part of the Provincial and Territorial stream?

  The Provincial and Territorial stream will be delivered through bilateral agreements between the federal government and the provinces and territories, who in turn can provide funding to municipalities and other eligible recipients. Once agreements are signed, provinces and territories will submit priority projects to the federal government. Eligible projects under this stream will be geared towards housing-related (e.g., water, wastewater, public transit, roads), post-secondary education, and health-related infrastructure, in line with provincial and territorial priorities. It will fund new infrastructure projects, expansion and rehabilitation projects, and planning projects for public use and benefit.

  To access funds related to housing and post-secondary education infrastructure, provinces and territories will need to demonstrate how they are bringing down the cost of construction, including through the reduction of municipal development charges as appropriate, and not levy other taxes that hinder housing supply. Provinces will also be required to cost-match federal funding.

  The federal government has already started engaging with provinces and territories on key program features and how investments can support joint priorities. 

• How will projects be selected under the Direct Delivery stream?

  Projects under the Direct Delivery stream will be identified by the federal government through various channels, including those named in Budget 2025, pipelines of projects within existing programs, consultations, and future project open intakes.

  Eligible project proponents can find more information on how to send their initial expression of interest for shovel-ready projects on the Build Communities Strong Fund webpage.

• What is the impact on the Canada Community-Building Fund as it becomes the Community stream under the Build Communities Strong Fund?

  The Canada Community-Building Fund (CCBF) has been rebranded as the Community stream of the Build Communities Strong Fund. This change will not affect the current agreements that are in effect from April 1, 2024, to March 31, 2034. These agreements remain in force and the provisions in the agreements still apply. Going forward, the Community stream will be a key and ongoing element of the Build Communities Strong Fund with branding that is consistent with this larger Fund.