No. H098/02
For release September 9, 2002

GOVERNMENT OF CANADA AND PROVINCE OF
BRITISH COLUMBIA CONTRIBUTE $17 MILLION
TO HIGHWAY IMPROVEMENT PROJECTS IN B.C.

OTTAWA - Natural Resources Minister and MP (Vancouver South-Burnaby) Herb Dhaliwal, on behalf of Transport Minister David Collenette, together with British Columbia Transportation Minister Judith Reid today announced that the Government of Canada and the Province of British Columbia will contribute joint funding of approximately $17 million for two highway construction projects in the province. The funding falls under the Canada/B.C. Strategic Highway Infrastructure Program (SHIP).

The funding will be used for projects on Highway 97, which is the province’s principal north-south route, near Quesnel, and at the Trans-Canada Highway/Vedder Road interchange, at Chilliwack.

Under the SHIP agreement, the Government of Canada and the Province of British Columbia will provide joint funding of $122.4 million until March 2006 for highway improvement projects in the province. The Canada/B.C. SHIP agreement, signed March 5, 2002, is part of the national $600 million SHIP program announced by Mr. Collenette in April 2001.

“Federal and provincial investment in highways is beneficial from both a safety and economic perspective,” said Mr. Dhaliwal. “British Columbians will benefit, and it will be good for our businesses and visitors as well.”

“More than $8.5 million of federal funds from the Strategic Highway Infrastructure Program is being used for these highway improvement projects,” said Mr. Collenette. “Residents of these areas, visitors to the province, and trade in British Columbia will all benefit from these projects.”

“These two projects will improve public safety and support the flow of goods and services that are fundamental to the economic growth of Chilliwack and Quesnel. Our government is committed to working in partnership with other levels of government to deliver much-needed transportation improvements throughout the province,” said Ms Reid.

One project involves realigning and replacing the Cottonwood River Bridge, and upgrading a 1.4 kilometre section of Highway 97 that will serve the new bridge. The project is expected to begin by summer 2003 and be completed by 2004.

The second project involves reconstructing the ramps and associated intersections that serve the interchange, improving and lengthening the acceleration/deceleration lanes at the interchange, widening northbound and southbound portions of Vedder Road, and removing local accesses on Vedder Road that interfere with the operation of the interchange. The project, which will also receive funding of $4.1 million from the City of Chilliwack, is expected to begin by spring 2003 and be completed in 2004.

“We look forward to seeing improved safety and reduced peak-hour congestion at Chilliwack's busiest freeway interchange and overpass,” said Chilliwack Mayor Clint Hames. “We greatly appreciate the willingness of the federal and provincial governments to join us as partners in this key transportation project.”

Funding for this project was provided for in the December 2001 federal budget and is therefore built into the existing financial framework.

A backgrounder with further information on SHIP is attached.

-30-

Contact:

Anthony Polci
Director of Communications
Office of the Minister of Transport
Ottawa, Ontario
(613) 991-0700

Shawn Robins
Communications
British Columbia Transportation
Victoria, B.C.
(250) 387-7787

Transport Canada is online at www.tc.gc.ca.
Subscribe to news releases and speeches at  apps.tc.gc.ca/listserv/ and keep up-to-date on the latest from Transport Canada.

This news release may be made available in alternative formats for persons with visual disabilities.

In the February 2000 Budget Speech, the Government of Canada committed to improve the economy and the quality of life for Canadians by investing up to $600 million over five years in highway infrastructure across Canada. In April 2001, Transport Minister David Collenette announced the Strategic Highway Infrastructure Program (SHIP). The program has two components: a $500 million highway construction component and a $100 million national system integration component.

Under the program, $500 million, including $15 million for administrative costs, will be available to address the needs of Canada’s highways until March 2006. The program formally begins in fiscal year 2002-2003. The Government of Canada is working with the provinces and territories to identify those parts of the national highway system that - because of growing traffic and increasing trade - need immediate attention. This will result in a safer and more efficient highway system for all Canadians.

An allocation formula has been developed to distribute the $485 million available to the provinces and territories for road construction under SHIP. The formula consists of a minimum of $4 million per jurisdiction plus a share based on population and a 50-50 cost-sharing ratio. Under this formula, the total federal allocation for the Province of British Columbia is $61.2 million. Under previous joint highway funding agreements since 1987, Transport Canada contributed $48 million to British Columbia. This brings the total funding from Transport Canada to $109.2 million.

An environmental assessment that meets the requirements of the Canadian Environmental Assessment Act will be undertaken before these projects begin. Funding for the projects is conditional on the results of this assessment.

SHIP will also provide $100 million nationally to fund initiatives which better integrate the transportation system. These include the deployment of Intelligent Transportation Systems across Canada, improvements to border crossings and better transportation planning. Intelligent Transportation Systems include applications such as advanced systems for traveller information, traffic management, public transport, commercial vehicle operations, emergency response management and vehicle safety.

September 2002