11-15-2021, 09:30 PM
(11-14-2021, 03:03 AM)taylortbb Wrote:(11-13-2021, 11:56 PM)nms Wrote: Just to be clear, the province did not scale back their commitment. Their commitment was for a fixed amount of money. The cost of the project grew over time so eventually a larger percentage commitment became a smaller percentage commitment.
Eh, really depends how you parse the words of what was announced. Yes, the original 2/3 promise from the province was for a much cheaper version of the project. But a local MPP definitely put out a press release saying "2/3 of the rapid transit project cost" .
When the LRT was finally fully costed, and the number was much higher than originally suggested, the federal government kept to 1/3 and adjusted up their commitment to the new total. The province however didn't stick to 2/3, and although $300M was more money, it certainly felt a little "promise broken".
Everyone, including the province, knows preliminary costs are just that, and that the final total will be higher. Putting out a press release saying 2/3 of the RT project, when you know it'll go higher, certainly creates an expectation of being in for 2/3 of the final price.
The provincial government was also throwing around 2/3 funding promises for other cities at the time. The Liberals knew they came up short in KW, and that was a huge part of why they committed $50M to the transit hub project. Also a part of why they picked up 50% of the overrun, through Metrolinx culpability for late vehicles was a factor too.
Even in 2007 $300M wasn't two-thirds of the cost of a potential LRT system. That would have made a total system only $450M (~$520M by 2014 with inflation), certainly not for an LRT. Doubly not in 2007 before the final scope and mode had been decided and and accurate assessment of cost couldn't have been made.
Even back then the the cost of what we have now would have been $700+M, and the abbreviated proposal to just Ottawa St would still have been ~$600M making two-thirds significantly more than $300M.