SYDNEY ? The window of opportunity to act on part of the Cape Breton Regional Municipality?s capital plan this year has been missed, Mayor Cecil Clarke said Tuesday.
?We had a list of projects that were shovel-ready to move forward on this year but because we haven?t had the level of engagement (with the federal government) that otherwise we had hoped, just because of processes and timing, we only had a certain window so that will not be triggered this year,? he said.
The federal government would finance the $300-million plan over a five-year period carrying half of the costs, with the province and the municipality each picking up a quarter of the expenditures.
It?s a formula that differs from one-third cost sharing agreements that are currently the norm when it comes to government-funded projects.
Earlier this year Clarke was able to secure $10 million in funding from the province if the federal government came through with its share to spend on infrastructure projects in the CBRM.
A commitment from Ottawa didn?t materialize because of the pending political changes that were revealed in Monday?s federal cabinet shuffle, Clarke said.
?The upside is we will not be borrowing $10 million and it should strengthen our position to go forward. If there are any projects though in the short term that we can advance then that?s something we have as an ability to leverage, but I?m not anticipating it at this point because we?ve pretty much lost a construction season just by virtue of timing at this point.?
CBRM council approved a policy last year that restricted borrowing to half of the amount paid down on the debt, meaning it borrowed $6.25 million for capital projects in 2013.
Approximately $4 million in capital for this year has already been directed to the Sydney wastewater collector system, leaving only $2.25 million in the pot.
Council had previously warned residents that without provincial and federal government intervention this year, the CBRM would only have the ability to patch potholes and undertake other small projects.
The mayor expressed confidence that the new federal Department of Infrastructure, Communities and Intergovernmental Affairs will work with the provinces in determining infrastructure deficits and work out funding arrangements.
He said the provincial government?s willingness to include CBRM?s capital plan as a ?provincial priority? will be helpful next year when the new federal Build Canada fund is implemented.
The current seven-year infrastructure agreement is set to expire in March 2014.
The renewed Building Canada Plan is expected to provide $47 billion over 10 years for crumbling municipal infrastructure across the country.
It includes a $32.2-billion community improvement fund, which consists of $21.8 billion for the indexed gas tax fund, and another $10.4 billion for the incremental GST rebate for municipalities.
The CBRM receives both gas tax revenue and the GST rebate, which is routinely worked into the municipal budget each year.
In April, Infrastructure Canada said the municipality received more than $45 million from gas tax revenue since 2005.
Conservative cabinet minister Denis Lebel remains in charge of the file, while he gives up Transport responsibilities to Lisa Raitt, who is also fully aware of CBRM?s plans for port development.
Clarke said Lebel is familiar with the CBRM file and Raitt?s connections to Cape Breton should be viewed with optimism.
Even Peter MacKay?s switch to the Department of Justice from National Defence could be good news for Cape Breton, as the regional minister responsible for Nova Scotia in the federal cabinet will have a more domestic agenda and will likely be able to spend more time in Nova Scotia, Clarke said.
?It?s a plus in terms of just the physical time he?ll be able to spend within the province and the country after many years of literally, from one day to the next, not knowing which plane or country you?re moving in and out of from the defence side,? he said.
?It provides him with the ability as political minister where we can talk about the capital plan more fully. He?s always been accessible but now with a more domestic-focused portfolio, it?ll allow us to gain the ability from a strong relationship in networking with a new ministry in various forms.?
Clarke said discussion on the capital plan with the federal government would begin again in August once ministers are briefed on their new responsibilities.
cshannon@cbpost.com
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