It is being alarmed by the Canadian Construction Association to the contractors that the federal stimulus cash should be used with great caution. This is being said as according to the association, they may have to face the situation of paying for the incomplete infrastructure projects because of the March 31, 2011 deadline that has been forced on them.
The warning follows the data released by the Parliamentary Budget Officer that indicates that a chunk of stimulus work is predicted to pour in, in the coming months. This can bring along a problem that if the federal cash stops flowing, what will be the status of the unfinished and unfunded work.
It has been informed by Ottawa to the municipalities that federal funding will cease on March 31, 2011. This is due to the projects that are under Infrastructure Stimulus Fund and the Knowledge Infrastructure Program.
In an online note posted by the association last month, it has been highlighted that due to this, some cities are trying their best to affirm the contractors on paying for any unfinished construction, that isn't finished by the deadline.
It is therefore being recommended that contractors should not sign any contract before they fully investigate about the project and find out whether or not the project is subjected to March 2011 deadline.












