The federal and provincial governments announced a program that will assist small municipalities with infrastructure projects that protect the environment, improve health and build a community – whether economically or socially.

On Tuesday, Canada’s Environment Minister John Baird told municipal officials from across Ontario about $200 million in new money for communities with less than 100,000 people.

It’s another one-third, one-third, one-third deal, with the federal and provincial governments each investing $362 million in the first phase. Unlike a provincial announcement made last Monday, the program does come with strings, and municipalities must submit project proposals.

“The communities component of Building Canada provides funding for infrastructure projects in smaller communities, helping them meet their unique challenges. This government believes in making Ontario’s economy stronger while contributing to a cleaner environment,” said Baird, the MP for Ottawa West-Nepean.

Municipal Affairs and Housing Minister Jim Watson said the cash – which comes on the heels of a $1.1-billion program announced Aug. 25 – will further stimulate the province’s economy and assist smaller municipalities, many which share some of their string-free allocation with their county or regional partner. Simcoe County, for instance, will receive $5.5 million, while some of the smaller local municipalities are receiving sums as low as $693,057.

The Building Canada Fund’s communities program will fund 17 categories – including drinking water, wastewater, transit, green energy, culture, sport, and tourism.

Details regarding submissions guidelines are expected Sept. 12.