FOR IMMEDIATE RELEASE
Date: June 24, 2024
DIEPPE, NB – The Union of Municipalities of New Brunswick (UMNB) and the Association francophone des municipalités du Nouveau-Brunswick (AFMNB) are proud to announce the signing of a Memorandum of Understanding (MOU) on municipal fiscal reform. This agreement marks a significant step towards unified advocacy for municipal interests across New Brunswick.
The MOU outlines the shared principles and expectations of both associations, aiming to present shared objectives that municipalities want to see in a new municipal fiscal framework. The primary objective is to advocate for a new comprehensive fiscal framework so that municipalities can serve the needs of their residents effectively.
Other objectives include establishing a true partnership between the provincial government and municipalities, working closely together to present a united front on fiscal issues, and making concerted efforts to promote municipal interests.
The key principles of the MOU include:
- Diversification of Revenue Streams: Municipalities must have the financial autonomy they need for sustainable development, and access to new, predictable and flexible revenue sources to reduce dependence on residential property taxes.
- Infrastructure Investment: The provincial government must commit to predictable, cost-shared infrastructure programs to support the development and maintenance of municipal infrastructure, such as roads and water/wastewater systems.
- Stable and Equitable Equalization: Implementation of a genuine equalization formula to bridge capacity gaps between municipalities, guaranteeing that funding needs are met and indexed annually to inflation.
- Long-Term Financial Support for Regional Services: Support for Regional Service Commissions (RSC) to cover new responsibilities resulting from municipal reform.
- Modern Property Assessment and Property Tax System: Reforming the property assessment and property tax system to ensure fair and updated property valuations and a modern tax system.
“We are stronger when we work together.” said Andrew Black, President of UMNB. “This MOU is a testament to our commitment to work collaboratively and present a united voice for all municipalities and our residents. Municipal reform will remain incomplete until meaningful fiscal reform is completed. “
“This agreement underscores the importance of solidarity in our advocacy efforts,” added Yvon Godin, President of AFMNB. “By working collaboratively, we can better represent the interests of our communities and drive meaningful fiscal reform for the first time in 50 years.”
The signing ceremony took place on June 24, 2024, in Dieppe, attended by key representatives from both associations. The event highlighted the shared commitment to enhancing the fiscal health and sustainability of municipalities across the province.
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By formalizing this agreement, UMNB and AFMNB have strengthened their collective voice, ensuring that the needs of municipalities are effectively addressed through a comprehensive fiscal framework.
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About the UMNB
The Union of Municipalities of New Brunswick (UMNB) is a bilingual association of fifty-six local governments of all sizes, representing almost 80% of New Brunswick’s population. Together, our members tackle local challenges and share solutions to make life better for their citizens.
About AFMNB
The AFMNB brings together 30 francophone and bilingual municipalities in six major regions stretching from the northwest to the southeast of the province. Our member municipalities represent close to 389,000 people, or nearly half of New Brunswick’s population.
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For more information, contact:
UMNB – dan.murphy@umnb.ca
AFMNB – communications@afmnb.org
