Strong Transit Fund

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Transit investments in Canada
Modern, livable communities rely on transit and transportation that is convenient, safe, and affordable. That is why all levels of government must work together to ensure Canadians have the transit they need to get to work, school, games, and back home. Together, governments can build greener, more inclusive, and more resilient communities.
The Strong Transit Fund supports public transit projects across Canada through partnerships with provinces and territories. This new approach streamlines how funding is delivered, allowing faster decisions and greater impact by working with provinces and territories to invest in transit priorities within their communities.
How it works
- In the coming months, Canada and interested provinces and territories will work together to determine how future projects will align with program requirements to ensure they meet the priorities of Canadians.
- Once agreements have been reached, project applications may be submitted for funding approval by Canada. Provinces and territories are expected to consult with their municipalities and communities to ensure projects brought forward for funding reflect the needs of Canadians.
Federal requirements
Projects funded through the Strong Transit Fund must meet specific requirements. This includes complying with federal environmental and impact assessment legislation, as well as Indigenous consultation obligations. Projects should also support national priorities, such as climate resilience and housing, and may be subject to requirements related to Buy Canadian, to ensure local citizens benefit from these investments. Specific federal requirements and obligations will be confirmed and detailed in the Memorandum of Understanding (MoU) negotiated with each province and territory and, where applicable, through project-level contribution agreements.
Federal requirements are designed to ensure that investments deliver lasting benefits for communities, the economy, and the environment, including:
Strengthening the Canadian economy (Buy Canadian)
Investments support the use of Canadian suppliers, materials, and services wherever possible. This helps grow domestic industries, supports good jobs, and builds more resilient supply chains across the country.
Creating local jobs and inclusive economic opportunities
Canada Public Transit Fund investments support local economic development by creating employment opportunities and helping build a skilled and inclusive workforce. Projects are encouraged to promote broad workforce participation and inclusive economic outcomes, including:
- increased participation of under-represented groups;
- stronger, more inclusive communities; and
- the development of a diverse and skilled workforce in infrastructure-related sectors.
Supporting housing and complete communities
Investments help advance complete, transit-oriented communities by encouraging increased housing supply and more efficient land use near transit. A flexible, outcomes-based approach allows provinces and territories to pursue housing actions that reflect local needs while supporting greater density, affordability, and access to housing.
Advancing climate action and resilient infrastructure
Projects will contribute to climate change mitigation and improve climate resilience. This includes demonstrating emissions benefits—such as those from bus and train fleet renewal and major infrastructure investments that support modal shift—and demonstrating improvements in embodied carbon. Some projects may be required to comply with the Buy Clean policy, which promotes the use of low-carbon construction materials to reduce embodied carbon. Projects will also incorporate climate-resilient design to help ensure infrastructure can withstand future climate risks.
Consulting Indigenous Peoples and protecting the environment
Housing, Infrastructure and Communities Canada's funding of projects is contingent upon ensuring respect for federal environmental statutory requirements. Housing Infrastructure and Communities Canada will review projects for federal environmental or impact assessment requirements under the Impact Assessment Act (IAA), modern treaties, and/or northern regulatory regimes. Projects may be subject to a federal impact assessment if they are considered designated projects under the IAA (Section 8) or subject to requirements if they are located on federal lands (Section 82).
Provinces and territories may also have environmental assessment requirements.
More information on federal environmental assessment requirements is available on Housing, Infrastructure and Communities Canada's website: Environmental Impact Assessment.
Additional resources
Contact us
For any inquiries regarding the Strong Transit Fund or the application process, please contact mtp-gpt@infc.gc.ca.
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