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CRD puts bridge financing on hold

Directors want more information on city's request for gas-tax funds
Times Colonist
Directors want more information on city's request for gas-tax funds
Times Colonist

Directors on the Capital Regional District have put off until February any decision on whether to endorse Victoria's application for federal gas-tax funds to help pay for the $63-million Johnson Street Bridge replacement.

CRD staff have recommended CRD directors endorse the $8-million pedestrian trail component of the project for funding with federal-provincial gas-tax dollars. But CRD directors yesterday tabled the recommendation and asked for more information.

Last month, Victoria secured $21 million for the bridge project through the federal Building Canada fund. That funding came after Victoria was turned down for federal-provincial infrastructure stimulus funding, which would have paid for two-thirds of the cost.

Saanich Mayor Frank Leonard wondered if Victoria is even eligible for further federal funding for the bridge.

Leonard, who was involved in negotiating how gas-tax funds are

distributed in B.C., said

the federal government doesn't allow "stacking" of federal funds.

"Once you have achieved the one-third funding from this fund, you can't go around and stack other federal grants on top of it to achieve more than one-third federal contribution," Leonard said.

If the CRD endorsed Victoria's application for gas-tax funds and it was approved, that could actually displace some of the $21 million in funding already in place, Leonard said.

Victoria Mayor Dean Fortin said staff would be asked to look into the issue. Other CRD directors were uncomfortable endorsing the project before the borrowing has gone through the public-approval process.

The city plans to approve the borrowing bylaw for the project today -- setting in motion a counter-petition process.

Under a counter petition, a referendum would be required if 10 per cent of Victoria's 63,400 eligible voters sign a petition within 30 days.

Because of the upcoming Christmas holidays, the city plans to extend that period to 45 days, Fortin said.

Current plans are for the counter-petition process to begin Nov. 21 and conclude Jan. 4.

 

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