Debates of May 9, 2007 (day 3)
Question 44-15(6): Deh Cho Bridge Project
Thank you, Mr. Speaker. My questions this afternoon are for the real Minister of Transportation and they involve some more questioning, Mr. Speaker, on the status of the Deh Cho Bridge. Mr. Speaker, in his sessional statement a little while ago, the Premier did say that the federal government must step up to the plate and provide its share of the funding necessary for this important piece of the national highway system. Mr. Speaker, we have already filed with the federal government, I think about four years ago, a great plan, a very good plan, called Corridors for Canada, which outlined this bridge. We talked to Finance Canada, to Transportation, to Northern Affairs, to the Prime Minister. Mr. Speaker, we now know through the most recent federal budget that there is some $33 billion committed to Canada under the Canadian infrastructure initiative and $25 million for the next seven years to each province and territory in transportation money. My question is, Mr. Speaker, what course of action are we taking this time to get Ottawa’s buy-in for the Deh Cho Bridge project, Mr. Speaker?
Thank you, Mr. Braden. Honourable Minister of Transportation, Mr. Menicoche.
Return To Question 44-15(6): Deh Cho Bridge Project
Thank you, Mr. Speaker. With respect to the Deh Cho Bridge Corporation, my first job as Minister was to go down to Ottawa and pound on the doors and meet federal Minister Cannon and advise him that this was one of our priority projects. The Deh Cho Bridge is a top priority, in fact. So over the course of Christmas and spring, our deputy minister had gone to Ottawa as well and talked with them. Of course, the federal budget unfolded, Mr. Speaker, and they did announce all kinds of money, and bureaucratically, even though they announced it, Mr. Speaker, they still had to work out the details. So that is where we are at right now. However, most significantly in this fiscal year, they did announce $80 million for P3 projects. I have been advised, Mr. Speaker, that the Deh Cho Bridge project has been short-listed. In fact, it is one of the P3 projects that the federal government has been looking at provincially and across Canada. So we are very high on their agenda in terms of the P3 funding, Mr. Speaker. Mahsi.
Thank you, Mr. Menicoche. Supplementary, Mr. Braden.
Supplementary To Question 44-15(6): Deh Cho Bridge Project
Thank you, Mr. Speaker. I appreciate the answer. Also in this sessional statement, the Premier made further reference to this project very optimistically and enthusiastically when he said the schedule is to complete all necessary documentation soon. This construction is anticipated in summer. Now I won’t read a commitment into that, Mr. Speaker, but, as I say, it’s very enthusiastic and optimistic. I am kind of curious now with the information that Mr. Menicoche has provided, just how advanced is this proposal, Mr. Speaker. Summer is not that far off. If we are going to get construction started this quickly, I am reading that things really are well advanced, especially in the federal government. I would like to know the Minister’s confirmation of that. Thank you.
Thank you, Mr. Braden. Mr. Menicoche.
Further Return To Question 44-15(6): Deh Cho Bridge Project
Thank you very much, Mr. Speaker. What we had done as our government…because the devil is in the details and federal funding, as well we are looking at ever-increasing costs of putting off the bridge project, that it’s something we are looking at and as much federal government commitment as possible. Mr. Speaker, it’s kind of like we don’t want to put the cart before the horse in this case, but we are proceeding very often, like Mr. Braden indicated, Mr. Speaker, and that’s how we are proceeding. Mahsi.
Thank you, Mr. Menicoche. Supplementary, Mr. Braden.
Supplementary To Question 44-15(6): Deh Cho Bridge Project
Mr. Speaker, is a start to this project, as the Premier has suggested, is it contingent on the P3 approval that we are anticipating from Ottawa? Yes or no?
Thank you, Mr. Braden. Mr. Menicoche.
Further Return To Question 44-15(6): Deh Cho Bridge Project
Thank you very much, Mr. Speaker. That’s a very good question.
---Laughter
I will do my best to answer it there, Mr. Speaker. Yes, we are looking at advancing the bridge project up to and including construction this fiscal year. It’s good economics right now. Prices have stabilized and so we are looking at advancing with the Deh Cho Bridge Corporation up to construction this year, Mr. Speaker.
Thank you, Mr. Menicoche. Supplementary, Mr. Braden.
Supplementary To Question 44-15(6): Deh Cho Bridge Project
Okay. Mr. Speaker, as my colleague has pointed out very, very well, Mr. Ramsay asked about the criteria and the conditions for our own approval here. I know that when this project was advanced three or four years ago, that two significant criteria were a $6 a ton charge for consumer and industrial goods crossing the bridge and for the GNWT’s 35-year commitment to make a contribution equivalent to what we are spending now to build the ice bridge and run the ferry; two very significant parts of the fiscal threshold for us. Are those considerations still intact or have they been subject to change or are they going to be changed substantively in this deal, Mr. Speaker?
Thank you, Mr. Braden. Mr. Menicoche.
Further Return To Question 44-15(6): Deh Cho Bridge Project
Thank you very much, Mr. Speaker. There is a revised financial forecast and absolutely your colleague had indicated that the lack of government participating with committee, but we did have a briefing in early January or February and divulged as much information as we had at that time. We did indicate at that time as well, Mr. Speaker, that the financial forecast did include increases in traffic volumes and that helps our business case. However, the tonnage was going to remain around $6 at that time. However, based on our concession agreement and inflation, those rates are flexible and can increase, Mr. Speaker.
Just with respect to the business case, the business case is that the project is not self-financing. That’s where government has to step in. We’ve pleaded our case to the federal government that we are going to need your assistance and we kind of had to make a decision to act now while the prices of steel and everything stabilized over the last year. We know that the federal government has the financing available. It’s just a matter of getting the details from the federal government. They do stand behind us and do want to see the National Highway Strategy include the Deh Cho Bridge. Mahsi cho.
Thank you, Mr. Menicoche. Written questions. Returns to written questions. The honourable Member for Sahtu, Mr. Yakeleya.
Mr. Speaker, I seek unanimous consent to go back to item 5 on the orders of the day.