Funding hike for roads on shaky ground

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This article was published 23/11/2017 (2872 days ago), so information in it may no longer be current.

Mayor Brian Bowman’s heralded record-spending road program for 2018 may have hit a roadblock.

While the City of Winnipeg maintains the province will contribute $40 million toward the total $116 million for regional and local streets, the province says its commitment for 2018 is under negotiation.

A comparison between road spending in Winnipeg’s 2017 budget, and what is planned in the 2018 budget, reveals city hall has also increased the province’s share toward the roads program without any firm commitment that it will do so.

Municipal Relations Minister Jeff Wharton told reporters Thursday the province hasn’t agreed to any funding commitment to the city for the years 2018 through to 2023 for its roads program.

“There’s a lot of due diligence to do,” Wharton said. “Once we do ours, we also need to more forward with the federal government as well.”

Bowman tabled the 2018 budget Wednesday, and boasted about the $116 million that will be spent on regional and local roads, knowing the province hasn’t committed to its share of those funds.

In the 2017 budget, the city planned to spend $106 million on local and regional streets in 2018, with the province’s share only $28 million. Even though the province is in austerity mode, and city officials have acknowledged they expect provincial funding transfers for 2018 to be frozen at 2016 levels, Bowman and members of his executive policy committee pumped up the province’s contribution for road spending to $40 million in 2018, an increase of 43 per cent.

Reporters were questioning Wharton over Bowman’s comments earlier in the day that the province was dragging its feet in requesting federal dollars toward the city’s regional and local street program.

Ottawa set up the national Building Canada Fund, with $527.5 million set aside for Manitoba. Bowman said Winnipeg has only been allocated seven per cent of those funds to date, but it deserves a far greater amount, as two-thirds of the province’s population lives within the city.

Bowman said if the province agreed to request $182 million on the city’s behalf — to upgrade 20 regional streets over a six-year period — it would bring the city’s share to 34 per cent. Winnipeg’s mayor said he is concerned with the province’s foot-dragging, as the province isn’t required to contribute any additional dollars than it has already. He said he is concerned the province wants to spend the city’s share of the federal funds on rural municipalities.

However, Wharton said the province hadn’t made any commitment for any dollar amount — for this year or any years going forward. He said the province’s contributions for the six-year period — 2018 to 2023 — is being negotiated with the city, and he expects a decision by Ottawa’s March 18 deadline.

Wharton also disputed Bowman’s claim city hall has been promised $182 million from Ottawa, if only the province would ask for that money. The minister said the total funding request is $170 million, and it remains subject to the amounts the province and the city will contribute to roads.

“It’s quite clear that the funding model is a third, a third, a third,” Wharton said.

Wharton denied the province is considering allocating any part of Winnipeg’s requested $170 million to any other community.

Bowman and senior city councillors Scott Gillingham (finance chairman) and Marty Morantz (public works chairman) did not respond to repeated requests to explain why the 2018 budget presents the province’s contribution for roads at $40 million when it hasn’t agreed to that.

Jonathan Hildebrand, Bowman’s communications director, said the city’s 2018 preliminary budget contains “projections” on the province’s contribution for road spending, and confirmed the amount for next year and beyond are still being negotiated.

“All budgets include forecasting and projections. That’s the nature of budgeting,” Hildebrand said.

aldo.santin@freepress.mb.ca