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Trudeau meets with municipal leaders but funding commitment remains up in the air

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Local leaders from across the country asked the prime minister for more direct funding Friday in Calgary.

The Federation of Canadian Municipalities (FCM) wants the federal government to commit to a new municipal growth framework that would tie transfer cash to population and economic growth.

"Cities are growing but our revenues are not growing," Halifax mayor and Big City Mayors Caucus chair Mike Savage told CTV News.

"We need to have a new system. This property tax system was chartered before confederation and it's no longer working. It's not geared towards growth."

The federation represents 2,100 municipalities.

Savage says they all want a commitment to a new framework by autumn.

But after Friday's meeting, it appeared they might be waiting a little longer.

Trudeau somewhat dodged a question from Savage on the funding bump, instead pushing the onus to the provinces.

"We're doing an awful lot of things as we step up and a lot of what we're trying to do is make sure that the provinces step up as well, as we show up," Trudeau said.

"But we've all seen that there are certain provinces that are actually pulling back."

Trudeau claims his government has done its fair share through housing cash and transit transfers.

But at least one mayor tells CTV News those things are only the beginning of what municipalities need.

He said they feel stuck between the two higher levels of government.

And the back and forth doesn't look like it's ending any time soon.

"Part of our Bill 18 is actually intended to get more money out of the federal government for municipalities," Alberta Municipal Affairs Minister Ric McIver said Friday morning.

"We're negotiating with (Ottawa) to try to keep as much flexibility for municipalities as we can and there's a lot more work we need to do."

That is just not good enough for those at Friday's meeting.

"We are definitely the form of government that every day, if something isn't working, you can feel it," Rural Municipalities of Alberta head Paul McLauchlin said.

"I hope people do realize that it’s us holding a line."

McLauchlin suggests the lack of growth funding has put a handful of Alberta municipalities on the verge of bankruptcy.

"I have 17 bridges in Ponoka County that are about $1 (million) to $1.5 million each," he said.

"Those bridges are all aging out at about the exact same time. So in the next 10 to 15 years, the majority of those bridges need to be replaced and I'll need $18 million off a taxation system that was built in the 1800s."

"We can't run deficits," Savage added.

"So that means that at the end of the day if we have big growth and we need infrastructure, it goes on the property tax rate. And that means it hits people at home."

Trudeau will be in Calgary again on Saturday morning but won't appear publicly.

The FCM meeting runs until Sunday. 

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