FBCL 2003-2004 ANNUAL REPORT | 1 | Ottawa, June 30, 2004 Dear Minister, The Honourable In accordance with the provisions of Section 150 Tony Valeri, P.C., M.P. of the Financial Administration Act, I am pleased Minister of Transport to submit the Annual Report of The Federal Bridge 29th floor Corporation Limited for the fiscal year ending 330 Sparks Street March 31, 2004. Tower C, Place de Ville Ottawa, Ontario This Report also contains the financial statements K1A 0N5 of the Corporation, which have been audited by the Auditor General of Canada. In the interests of economy, this Report also incorporates the Annual Reports of our subsidiary organizations, The Seaway International Bridge Corporation, Ltd., The Jacques Cartier and Champlain Bridges Incorporated, and the St. Mary’s River Bridge Company. Yours truly, Michel Fournier President and Chief Executive Officer FBCL 2003-2004 ANNUAL REPORT | 2 | MESSAGE FROM THE PRESIDENT The Federal Bridge Corporation Limited (FBCL) Security considerations continue to guide many The Canada Border Services Agency (CBSA) has and its subsidiary companies are together of the activities of the Corporation and its primary responsibility for border initiatives, many responsible for the management and subsidiaries. During the fiscal year 2003 -2004, the of which may affect FBCL infrastructures, traffic maintenance of three international bridge Corporation’s Risk Management Committee as flow, and staffing requirements. crossings in Ontario and five domestic well as the Risk Management Committee of infrastructures in the Greater Montréal area. The Jacques Cartier and Champlain Bridges The two-year deck replacement project of the Our 2003-2004 activities involved major and Incorporated and The Seaway International Bridge Jacques Cartier Bridge, which was completed in ongoing maintenance activities, management Corporation Ltd. undertook a comprehensive risk 2002, received one international and several other improvement initiatives, and forward planning. assessment evaluation of their operations. The industry awards. Last summer, the Chicago based Over 141.7 (*) million vehicle transits are recorded purposes of these evaluations were to examine Precast/Prestressed Concrete Institute awarded the annually in the Montréal region, at the Seaway the known risks, identify new risks, the probability International PCI Design Award in the Best International Bridge, at Sault Ste-Marie and at the of occurrence, the individual consequences, the Rehabilitated Bridge category to this project, Thousand Islands Bridge. measures to control each risk, the state of in recognition of the innovative and effective preparation and the vulnerability of the construction methods used to complete Our bridges play an essential role in the Corporation. By continuing the established Risk the project. movement of people and goods between Management practices and building on them for Canada and the U.S. The role and contribution of the future, the Corporation and its subsidiaries are In its recent National Cooperative Highway our infrastructure to the North American continuing to focus on risks that affect the users of Research Program report, the Transportation economy and on commercial and commuter our infrastructures while ensuring security, safety Research Board of the National Academies,an transportation is significant. and reliability. organization which evaluates and determines international best practices for “Prefabricated Over the last year, traffic volumes decreased National security imperatives continue to affect Bridge Elements and Systems to Limit Traffic slightly at the international crossings at Sault Ste- traffic processing due to increased inspections, Disruption During Construction”, highlighted the Marie and the Thousand Islands Bridge. At the especially during peak-periods, at international Jacques Cartier Bridge Deck Replacement Project Seaway International Bridge, traffic volume border crossings. Because of concerns of both in the United States as an example for other increased while in the Montréal area, volumes Canadian and U.S. governments over the impact similar projects. continue to increase; The Champlain Bridge of this situation on trade, tourism, and other alone has experienced a doubling of truck commercial activities, special initiatives have been traffic between 1993 and 2002 — an announced to smooth the flow of traffic,including increase of about 11% per year(*). the application of advanced technology for detection and clearance. * See table and sources on page 5. FBCL 2003-2004 ANNUAL REPORT | 3 | Michel Fournier The Jacques Cartier Bridge, which has become Following several months of research, discussions With this decision, the Corporation gives the an icon of the City of Montréal will mark its and studies, the feasibility study to install anti- benefit of the doubt to the committee and 75th anniversary in 2005. Several initiatives are jump barriers on the Jacques Cartier Bridge was specialized psychologists who state that a more being considered to mark the anniversary, completed in October 2003. The study did not secure barrier will not only save lives, but will also including the installation of architectural lighting provide an option that met all three reference prevent migrations to other bridges or use of on the structure. criteria (efficiency, visual aesthetics and other methods. reasonable cost) originally established by the The closed-circuit television system used is Corporation. Over the last two years,six additional FBCL continued its involvement and contribution monitored by representatives from the Québec cameras have been installed, the Camera towards feasibility studies examining a light-rail Ministry of Transportation (MTQ) and the Sûreté Surveillance Control Centre was modified and transit solution on the Estacade of the Champlain du Québec (SQ), to assist in traffic management maximized to improve monitoring operations by Bridge in Montreal, and participated in discussions and security respectively. Increased video camera SQ officers. Cycling patrols (SQ and privately concerning the completion of Autoroute 30. Both surveillance and police bicycle patrols have operated) were put in place last summer and will projects will have an important impact on the use helped increase overall security on the Jacques be active again this year. New barrier options of FBCL infrastructures. FBCL has the specialized Cartier and Champlain bridges. involving the raising of the existing pedestrian expertise to assist all partners involved in these safety barriers were tested to dissuade suicides. projects. Our vision is to implement a solution which will maximize safety with minimum inconvenience for all bridge users. Modeling for a project under study to install architectural lighting to mark the 75th Anniversary of the Jacques Cartier Bridge. FBCL 2003-2004 ANNUAL REPORT | 4 | MESSAGE FROM THE PRESIDENT Number of employees (as of March 31,2003) FBCL JCCBI SIBC TIBA SMRBC The Financial Administration Act (FAA) requires In April 2004, as President of the Corporation, FBCL to undergo a special examination every five I attended many special consultation meetings Full-time 13 44 18 32 32 years. The report following such examination at with Heads from all federal institutions to Seasonal (1) n/a 0 20 25 18 FBCL was released in April 2003. In the report, the re-examine federal governance as it is being Assistant Auditor General stated that with respect implemented today,to develop recommendations FTE (contracts) (2) 1 245 12 2 (4) — to the criteria established for the examination: for improving governance and management “there is reasonable assurance that there are no practices of federal Institutions. A similar initiative (3) (3) FTE (special projects) n/a 2,018 n/a 4.5 n/a significant deficiencies in the systems and is underway, involving our Vice-President of practices examined.” The Corporation and its Communications and representatives of all 1 Includes part-time and students subsidiaries have also adopted a series of federal Crown Corporations to discuss practices in 2 Full-time equivalents for contracts to private sector performance indicators to improve management the disclosure of information and other issues of 3 Major rehabilitation work on Jacques Cartier Bridge 2001-2002 (source: Retombées économiques des travaux de and operations. mutual interest. remplacement du tablier du pont Jacques Cartier,Groupe DBSF,February 2001) Over the year 2003-2004, the leadership and Scenarios for financial self-sufficiency are being 4 Part-time stewardship shown by our Board of Directors and examined for the Seaway International Bridge and its various committees largely focused on the Sault Ste. Marie International Bridge as part of consolidation and renewal, bridging past FBCL’s financial management activities. The initiatives and future directions. Corporate implementation of currency exchange equity for Governance Practices have been a key tolls has been carried out at our three preoccupation of the Corporation. international bridges: the Sault Ste Marie International Bridge, the Thousand Islands Bridge A Corporate Governance Committee was and the Seaway International Bridge. established and is responsible for making recommendations to the Board on matters The FBCL in cooperation with Transport Canada relating to our corporate governance regime, initiated a review of the intergovernmental including the development and implementation agreement negotiated with the Michigan of methods to ensure an