THE HILL TIMES POLICY BRIEFING INFRASTRUCTURE MONDAY, MARCH 23, 2015 Conservatives play Canada helping to ‘shell game’ strengthen public with infrastructure funds infrastructure by Rachel Aiello by Denis Lebel PAGE 33 PAGE 26 P3s are finding a place Opposition parties planning at national level to prioritize infrastructure by Denis Calnan platform planks PAGE 34 by Rachel Aiello PAGE 30 ‘We’ve had this lost generation of infrastructure’ Braid talks about by Denis Calnan climate change impacts PAGE 34 by Rachel Aiello PAGE 22 Questions remain on pension fund investments Wynne calls for renewed in infrastructure vision on infrastructure PAGE 32 PAGE 27 Liberals want to invest pension funds into Time to invest in infrastructure projects, infrastructure, says critics say it won’t work Liberal MP David McGuinty PAGE 29 PAGE 29 22 THE HILL TIMES, MONDAY, MARCH 23, 2015 INFRASTRUCTURE POLICY BRIEFING Q&A PETER BRAID is coming from. There are very spe- cifi c amounts as well that were part Important to invest in infrastructure of that announcement: $500-million for the repair and construction of on-reserve schools, and $452-mil- lion to repair and upgrade Cana- to ensure climate change impacts dian Armed Forces facilities. As I mentioned, it’s part of a previous commitment and announcement, with respect to the importance of mitigated, says Braid investing in infrastructure because it promotes economic growth, it creates jobs, and increases produc- Peter Braid, Parlia- tivity. And while we’re, through the New Building Canada Plan, assist- mentary secretary ing and supporting provinces and municipalities, it’s also important to for Infrastructure invest in federally-owned infra- and Communities, structure as well.” talks about the The Federation of Canadian Mu- nicipalities estimates that Canada’s government’s new municipal infrastructure defi cit is $123-billion and growing by $2-bil- Building Canada lion every year, how is the federal Plan, the provinces government addressing this? “We’re addressing it by making and municipalities’ record investments in infrastruc- ture. The New Building Canada infrastructure defi cit, Plan is the longest and the largest P3 initiatives, and investment in infrastructure in Canada’s history. We’re also assist- where the money for ing and supporting municipalities in provinces as a partner, so that the government’s they can invest in the infrastruc- $5.8-billion federal ture that they own. It’s important to highlight that since we took offi ce infrastructure prom- in 2006, as a government, Canada has consistently ranked at the top ises is coming from. of the list of G7 countries with re- spect to investments in infrastruc- BY RACHEL AIELLO ture as a percentage of GDP. And our, as a government, our average he federal government has annual investments in infrastruc- Tmade the connection between ture are three-times greater than the effects of climate change and Conservative MP Peter Braid, Parliamentary Secretary to Minister of Infrastructure Minister Denis Lebel, says ‘the New the previous Liberal government.” infrastructure damage through a Building Canada Plan is the longest and the largest investment in infrastructure in Canada’s history.’ The Hill Times portion of its “New Building Canada photograph by Steve Gerecke Provinces are investing a much Plan.” Operational for just under a larger share in maintaining and year, the initiative includes a disas- is represented by the New Build- “The lists of project priorities Again, provinces and municipalities improving public infrastructure, ter mitigation category that munic- ing Canada Plan. Under the New are being submitted as we speak own 95 per cent of the infrastructure but the federal government does ipalities and provinces can pitch to Building Canada Plan, we respect and we’re working closely with in Canada, the federal government benefi t from stable infrastructure in the federal government for more the jurisdiction of our partners, our partners to ensure that projects owns fi ve per cent. Canada. Ontario Premier Kathleen money to update or reinforce public the municipalities and provinces. are reviewed and announced as “It’s important that we take a Wynne has approached the federal infrastructure in order to prevent or And under most components of the quickly as possible, in fact the New leadership role, with respect to government about increasing the reduce the damages resulting from plan, it’s the role and responsibility Building Canada Plan has been renewing federally-owned infra- percentage of GDP the province natural hazards, including “events of the province to identify their open for business now for a year, structure as well. That money is gets for infrastructure, and I under- related to climate change.” infrastructure project priorities, so almost a year, and we have already coming from general revenues, it stand the government isn’t willing Including disaster mitigation as in many respects, under the pro- approved numerous projects across is booked and will be committed to accept that amount, but I’m won- a component of the New Building vincial components of the plan the the country, representing a total and will help to renew infrastruc- dering if the infrastructure partner- Canada Plan was “very purposely priorities will be driven by those estimated value of about $5-billion. ture at national historic sites, ship proposal would be something designed” to give “municipalities projects identifi ed by the provinces. They include, for example, the national parks, Canadian armed the government would consider if and provinces the opportunity to “There’s also a national infra- LRT extension in Edmonton, the forces facilities, border infrastruc- the percentage the province would submit projects which will miti- structure component, and those Scarborough subway extension in ture, federal buildings, research get was a lesser amount? gate the effects of climate change,” projects are determined on a Toronto, and the Brandon airport centres, federal heritage and mu- “Again, today we’re making said Conservative MP Peter Braid merit basis, and they will be more expansion in Manitoba. seum sites, Canadian coast guard record investments in infrastruc- (Kitchener-Waterloo, Ont.), Parlia- signifi cant projects on a national “It’s also important to remem- facilities, just to name a few.” ture. The New Building Canada mentary secretary to the Infra- scale. Outside the scope of the ber that provinces and munici- Plan is the largest and the longest structure Minister Denis Lebel, told New Building Canada Plan, as you palities own 95 per cent of the If this $5.8-billion is coming from in Canadian history, and it follows The Hill Times in an interview. know, we’re also in the process of infrastructure in Canada.” general revenue, doesn’t that the original Building Canada Plan, The Insurance Bureau of building a new Champlain Bridge have to be voted on? Wouldn’t which was established in 2007, Canada has said the cost of severe in Montreal, and a new Detroit In November, Prime Minister this amount of money have to be that was a seven-year, $33-billion weather damage in Canada is at river crossing as well.” Stephen Harper promised $5.8-bil- approved through a budget? plan. We consulted closely with an all-time high. The total damage lion over three years to spend on “The commitment is there for municipalities and provinces as we for 2013 was $3.2-billion and the What are you hearing from the aboriginal reserves, museums, federal infrastructure, and we will designed the new Building Can- Alberta fl oods caused more than provinces then? Is there one area research centres, parks, and ensure that we follow through on ada Plan. And the New Building $1.74-billion of that. These costs are of infrastructure needing atten- other federally-owned infrastruc- that commitment and spend in Canada Plan represents a longer set to rise, with estimates around tion that they’d like to see this ture. The government has said that these areas of federally-owned investment in terms of timeframe, $5-billion annually by 2020. money go towards? most of that $5.8-billion was new infrastructure.” now a decade long, more stable and This Q&A has been edited for “This speaks to one of the money that hadn’t previously been predictable funding, particularly clarity and style. important features of the New announced. It’s such a large chunk, Were these fi nancial commitments through the gas-tax fund, which Building Canada Plan because where did those funds come from? approved in a past budget? I’m our government has doubled, made What is the federal government’s the priorities of one province may “This announcement by the just curious about how it was permanent and is indexing moving top infrastructure priority this year? be different than another. In On- Prime Minister of the $5.8-billion that, if the government is going to forward. The Gas Tax fund provides “Well, it’s important to reinforce tario, for example, we understand in funding specifi cally for federal be committing this much money, a loan, provides $2-billion a year, that, as the federal government, we from the Province of Ontario that infrastructure, this will be part of our you’d think there would have to directly, to municipalities to help are making record investments in public transit is one of their pri- now $75-billion infrastructure invest- be some consensus or talk with them meet their own needs. So the infrastructure. We are in the early orities. That may not be a priority ments over the next decade. And the the rest of Parliamentarians about New Building Canada Plan is a phases of the most signifi cant in Prince Edward Island, so the $5.8-billion again, is over and above such a large chunk of money going longer-term commitment, is more investments in infrastructure in Ca- plan provides that fl exibility for the New Building Canada Plan of towards something? funding and provides more stability nadian history, $75-billion over the individual provinces to determine $53-billion.