FAO Reports on State of Municipal Infrastructure
The Financial Accountability Office (FAO) published a report on the state of repair of infrastructure assets owned by Ontario’s 444 municipalities on August 17, 2021. The report estimates the current replacement value (CRV) of municipal assets in 2020 to be $484 billion, more than the Ontario infrastructure assets of the province and the federal government combined. The report states the following,
“The FAO estimates that the current municipal infrastructure backlog is about $52 billion. This would be the cost to bring municipal assets that require capital spending into a state of good repair in 2020.
However, there is uncertainty on the precise condition of many municipal assets. The FAO estimates that the backlog could range from $45 billion to $59 billion.
On a sector level, municipal roads represent the largest share of the infrastructure backlog at $21.1 billion, followed by ‘other’ buildings and facilities ($9.5 billion), wastewater ($7.3 billion), potable water ($5.3 billion), bridges and culverts ($4.3 billion), stormwater ($3.8 billion) and transit ($1.0 billion).
In addition, there is $47 billion of municipal assets whose condition is unknown. These assets are not included in the FAO’s infrastructure backlog estimates. If these assets were incorporated the size of the backlog would be larger.”