The federal government announced the provision of 4.7 ​​billion dollars over the next five years to municipalities in Ontario  as part of the renewal of the Canadian Community Building Fund (formerly the gas tax fund).

 Federal Housing Minister Sean Fraser, Ontario Municipal Affairs Minister Paul Calandra, Toronto Mayor Olivia Chow, and the President of the Association of Municipalities of Ontario (AMO) Colin Best, announced the renewal of the deal today, Wednesday.

They stated in a joint statement that the deal "will ensure the continued construction, maintenance, and expansion of critical infrastructure that supports housing" over the next few years.

 The statement said that "renewing this agreement means that the roads, bridges, and transit systems in our communities will be able to accommodate growth."

While the fund is not specifically aimed at housing, the statement indicated that the renewed deal was drafted after both parties agreed on three points: reporting on affordable units created to meet community needs and increasing the capacity of the non-profit sector;  working across all government bodies to utilize public lands to meet housing needs;  and committing to a regional strategy for standardized and pre-fabricated housing, including working with the federal government to develop and adopt a design catalog.

 In 2021 and 2022, Toronto received $174 million through the fund, along with an additional $166.6 million in funding.  This was from a total allocation of nearly $1.6 billion for Ontario.

 It was not immediately clear how much of the new funding the city would receive over the next few years.

 This announcement comes weeks after a report from city staff that showed Toronto faces a shortfall of about $26 billion over the next decade when it comes to maintaining infrastructure at a level that would sustain current service levels.

 It also comes at a time when the government at all levels is looking to increase the supply of housing to combat housing and affordability crises.