Senator Ravalia: With pleasure.

[Translation]

Senator Ravalia: Thank you for the question. In my discussion with the President of Municipalities Newfoundland and Labrador, this is an ongoing question. The issue within my province is that many small communities have struggled with the concept of regionalization. They are so independent and wish to maintain their local identity, and the thought of sharing services, et cetera, with other communities is quite foreign to them.

There have, obviously, been discussions between the municipalities, the provincial government and federal advisers as to how a process like this can move forward, but, in my province, it remains very much at a relatively early phase. However, we are hoping that examples from other provinces may give us ideas that would allow us to form a robust regionalization program that will enhance our communities. Thank you.

(On motion of Senator Cormier, debate adjourned.)

On the Order:

Resuming debate on the inquiry of the Honourable Senator Coyle, calling the attention of the Senate to the importance of finding solutions to transition Canada’s society, economy and resource use in pursuit of a fair, prosperous, sustainable and peaceful net-zero emissions future for our country and the planet.

Hon. Mohamed-Iqbal Ravalia: Honourable senators, it is my pleasure to rise to speak to Senator Simons’ inquiry that calls on our chamber to explore the challenges and opportunities that municipalities face, and the importance of understanding and redefining the relationship between Canada’s municipalities and our federal government.

Echoing the sentiments of our honourable colleagues Senators Simons, Cotter, Forest and Sorensen, I would like to emphasize that our constitutional architecture was created in 1867 at a time when 80% of people did not live in municipalities. Now it’s the reverse where most people do.

Our municipalities are the frontline of governance and have the most impact on people’s daily needs, including things such as garbage collection, public transportation, health care services and affordable housing among other services. This drastic shift leaves us with the questions and issues on scales that were never contemplated at the time of Confederation.

From a constitutional perspective, municipalities are creatures of statutes. They only have the powers that are devolved from the province. They have no independent constitutional status meaning the province can take away these powers at will. As our colleagues have outlined, recent Supreme Court of Canada decisions have indicated those municipal powers should be interpreted broadly.

This leads us to the question that Senator Simons has raised: What role does the federal government play in helping support municipalities carry out their essential functions while recognizing the constitutional constraints?

Representing the province of Newfoundland and Labrador at this level, I would like to take this as an opportunity to share what my provincial government has been exploring to further enable our municipalities to respond to the ever-evolving issues raised by residents.

I would like to thank City of St. John’s councillor for Ward 4, Ian Froude, as well as the CEO of Municipalities Newfoundland and Labrador, Craig Pollet, for all the work they do for our municipal governments, and for sharing with me their experience and expertise in addressing these critical issues.

First, I would like to start by providing a bit of historical context for the municipal sector in Newfoundland and Labrador, which is relatively young. The first municipal incorporation was in St. John’s in 1888, followed by Windsor Station in 1938, almost fifty years later, which was later renamed Windsor. Windsor eventually amalgamated with the town of Grand Falls.

Most of the municipalities today were incorporated in the 1960s and 1970s. At one point, there were well over 300 municipalities and over 1,000 communities. This accelerated pace of development, after 50 years of dormancy, was driven primarily by the financial supports that appeared in the initial decade or so after Newfoundland and Labrador’s confederation with Canada in 1949.

Funding was available to support much-needed infrastructure work, but few communities had the organizational capacity to receive or manage this financial support. Hence, municipal councils became the primary means of receiving funds, and incorporation was encouraged across the province.

Today, most municipal governments play a much more complex and embedded role in the lives of the residents they serve. In addition, the legislative and regulatory environments in which municipal governments operate have become much more complex and demanding.

Many simply do not have the administrative, financial or technical capacity to comply with the legislative requirements, such as financial reporting, bylaw enforcement, federal waste water effluent regulations, workplace health and safety regulations and drinking water and waste water system requirements.

Currently, Newfoundland and Labrador has a population of approximately 530,000 people and there are 275 municipalities scattered across my province, wherein 78% of our municipalities have a population of fewer than 1,000 residents. The sheer number of communities and the duplication of services have created a huge administrative and financial strain. Towns are facing significant challenges, such as aging populations, out‑migration, uncontested elections, the ability to form committees and councils and a lack of economic opportunities.

Some municipalities are struggling to deliver services to remain viable. Many towns are becoming unsustainable, and are unable to engage in economic development or attract new residents, businesses and professionals such as health care providers. It is clear that we need to take steps to help support the governing structure that municipalities operate within.

Building on public consultations and extensive research, a joint working group on regionalization was established in 2020 to make recommendations to the Minister of Municipal and Provincial Affairs on a plan for regionalization. It was compromised of representatives of Municipalities Newfoundland and Labrador, the professional municipal administrators and representatives from the Department of Municipal and Provincial Affairs.

A thorough review and analysis of the recommendations are currently being conducted by my government in Newfoundland and Labrador, with the goal of finalizing a comprehensive plan for regionalization for the province. Regionalization would allow for well-integrated planning, more transparent and accountable municipal governments, improved administration and operational capacities, fair and equitable taxation and the ability to attract and welcome new residents, professionals and tourists.

Municipalities are experiencing great examples of community-sharing services, and they are already seeing these benefits. These examples include access to regional economic development opportunities, fire protection services, land-use planning and infrastructure planning including water systems. Building upon existing collaborations and service sharing will help position communities for economic growth and the ability to be sustainable. By pooling resources, regional governments enhance capacity of what municipalities are able to offer to their residents.

Honourable senators, healthy and sustainable communities are the building blocks of a prosperous province and a prosperous country. Woven together, they comprise the social fabric of a dynamic, robust nation. I hope that we can continue to investigate within and beyond this chamber how all levels of government can collaborate to help support our vibrant communities within Newfoundland and Labrador and across all provinces and territories from coast to coast to coast.

Thank you, wela’lioq.