"What we want is our communities to be great places to live," Martin said, standing before a backdrop of Saskatoon city buses which run on canola-based biodiesel.
"The only way to ensure that this is the case (is to) ensure that our cities and towns have the revenue they need to run public transit, to build needed infrastructure, to protect and maintain green spaces."
The deal springs from the February federal budget, which promised a $5 billion, five-year program to share gas taxes with municipalities across Canada.
The program limits where the money can be spent. Larger cities, for instance, are required to use the cash for environmentally friendly projects, such as improved public transit, better sewage systems or research into reducing greenhouse gas emissions.