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Federal government invests in transit planning and service expansion for rural Albertan communities

Department of Housing, Infrastructure and Communities
Friday at 5:05pm ADT · September 19, 2025 5 min read

LEDUC COUNTY, AB, Sept. 19, 2025 /CNW/ – Rural Albertan communities will assess local transit needs and purchase public transit vehicles and supporting infrastructure following an investment of more than $8 million from the federal government.

In Leduc County, funding will support Leduc Transit, an intermunicipal transit partnership between Leduc County and the City of Leduc. Funds will be used to purchase seven local buses and one commuter bus to replace the existing fleet and expand services offered.

Accessible, mini, and standard-sized diesel buses will also be purchased for fixed route service between Red Deer County and the Hamlet of Gasoline Alley. With the support of federal funding, the Town of Whitecourt will purchase additional buses and supporting infrastructure to improve their transit service.

Bow Valley Regional Transit Services Commission, the County of St. Paul, Drumheller, Stoney-Nakoda First Nation, Town of Olds, and Westlock County will use funding to complete transit and feasibility studies and exploratory research assessing demand and existing routes and services. Once completed, studies will help determine how best to meet the public transportation needs of rural communities and facilitate long-term transit planning.

Quotes

 “Working with our partners and investing in tailored transit solutions is paramount for our government to ensuring that communities across Alberta and Canada are well-connected. The projects announced today will help purchase more vehicles for service and facilitate research and planning to better understand local transit needs, ultimately improving public transportation for rural Albertan communities.”

The Honourable Eleanor Olszewski, Minister of Emergency Management and Community Resilience, Minister responsible for Prairies Economic Development Canada

“Providing our citizens with flexible transit options that meet the region’s needs is a priority for us. As our region grows, so do our transit needs, and we are grateful for this federal funding support that will help us meet current demand and expand for the future.”

Her Worship Tanni Doblanko, Mayor of Leduc County

“This funding represents a significant milestone in supporting rural transit by establishing a fixed route service in Red Deer County, it will unlock new opportunities for community growth by connecting residents, strengthening local economies, and fostering a more inclusive future for our region.”

His Worship Jim Wood, Mayor of Red Deer County

“Accessible public transit increases mobility within Whitecourt, and helps to build a stronger community by providing people of all ages affordable and reliable access to jobs, essential services, school, and social activities. With the support of the Rural Transit Solutions Fund, we can ensure our infrastructure remains modern and continues to meet our growing community needs.”

His Worship Tom Pickard, Mayor of the Town of Whitecourt

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Quick Facts

  • The federal government is investing $8,054,584 in these projects through the Rural Transit Solutions Fund (RTSF), and municipal and other partners are contributing $2,246,146 towards their respective projects.
  • The RTSF, under the Canada Public Transit Fund (CPTF), supports the improvement and expansion of locally driven transit solutions by helping residents of rural, remote, Indigenous and Northern Communities conduct their day-to-day activities, like access services, go to work, school, medical appointments, and visit loved ones.
  • A minimum of 10% of RTSF’s funding is allocated to projects that benefit Indigenous populations and communities.
  • One in five Canadians live in rural communities. Rural communities in Canada account for nearly 30% of the nation’s gross domestic product.
  • The RTSF complements Canada’s strengthened climate plan: A Healthy Environment and a Healthy Economy. Through the plan the federal government has committed to providing federal funding for public transit in support of making clean and affordable transportation available in every community.
  • The CPTF will provide an average of $3 billion a year of permanent funding to respond to local transit needs by enhancing integrated planning, improving access to public transit and active transportation, and supporting the development of more affordable, sustainable, and inclusive communities.
  • On December 18, 2023, the federal government launched the Framework to Build a Green Prairie Economy, which highlights the need for a collaborative, region-specific approach to sustainability, focusing on strengthening the coordination of federal programs, and initiatives with significant investments. This Framework is a first step in a journey that will bring together multiple stakeholders. PrairiesCan, the federal department that diversifies the economy across the Canadian prairies, has dedicated $100 million over three years to support projects aligned with priority areas identified by Prairie stakeholders to build a stronger, more sustainable, and inclusive economy for the Prairie provinces and Canada.
  • Housing, Infrastructure and Communities Canada is supporting the Framework to Build a Green Prairie Economy to encourage greater collaboration on investment opportunities, leverage additional funding, and attract new investments across the Prairies that better meet their needs. 

Associated Links

Rural Transit Solutions Fund

https://housing-infrastructure.canada.ca/rural-trans-rural/index-eng.html 

Strengthened Climate Plan

https://www.canada.ca/en/services/environment/weather/climatechange/climate-plan/climate-plan-overview.html 

Housing and Infrastructure Project Map

https://housing-infrastructure.canada.ca/gmap-gcarte/index-eng.html 

Building a Green Prairie Economy Act

https://laws.justice.gc.ca/eng/acts/B-9.88/page-1.html

Building a Green Prairie Economy

https://www.canada.ca/en/prairies-economic-development/programs/green-prairie-economy.html

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Web: Housing, Infrastructure and Communities Canada

SOURCE Department of Housing, Infrastructure and Communities

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