No. H035/03
For release April 25, 2003

GOVERNMENT OF CANADA AND PROVINCE
OF BRITISH COLUMBIA CONTRIBUTE
CLOSE TO $7 MILLION TO TRANS-CANADA
HIGHWAY IMPROVEMENT PROJECT IN B.C.

CHILLIWACK - Natural Resources Minister and MP (Vancouver South-Burnaby) Herb Dhaliwal, on behalf of Transport Minister David Collenette, together with Solicitor General Rich Coleman on behalf of British Columbia Transportation Minister Judith Reid, and Barry Penner, MLA for Chilliwack-Kent, today announced that the Government of Canada and the Province of British Columbia will contribute joint funding of close to $7 million for a highway improvement project in British Columbia. The project involves realigning a 3.4 km section of the Trans-Canada Highway near Chilliwack. The funding falls under the Canada/B.C. Strategic Highway Infrastructure Program (SHIP).

“The Trans-Canada highway is essential to trade and tourism in this province,” said Mr. Dhaliwal. “The improvements made on this highway will enhance public safety for the benefit of B.C. residents and visitors.”

“I am pleased that federal funds from the Strategic Highway Infrastructure Program are being used to upgrade the Trans Canada Highway,” said Mr. Collenette. “These improvements to the National Highway System are vital to the economy and enhance not only safety but the capacity to move goods quickly and efficiently.”

“Investments in transportation are an integral part of the government’s strategy to revitalize the B.C. economy and open up new opportunities in our communities,” said Mr. Coleman. “Partnering with the federal government to share the cost of transportation improvements allows us to proceed with priority projects like this one sooner, improving safety and supporting growth in the Chilliwack area.”

The realignment of the Trans-Canada Highway between Annis Road and Highway 9 interchange will improve safety by flattening sharp curves and increasing median distance and shoulder width. This is in keeping with the province’s goal to lower the accident rate on this stretch of road to the provincial average and to allow a standard 100 km/hour speed limit.

“Local councils in Harrison Hot Springs and the District of Kent have worked with me to get approval for this important project,” said Mr. Penner. “Straightening some of the curves on this stretch of the Trans-Canada Highway has been talked about for years by local residents, and I'm pleased our government is making this project a reality”.

Under the SHIP agreement, the Government of Canada and the Province of British Columbia are providing 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 funding for this project is built into the existing financial framework.

A backgrounder with further information on SHIP is attached.

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BACKGROUNDER

STRATEGIC HIGHWAY INFRASTRUCTURE PROGRAM
BRITISH COLUMBIA

In the February 2000 budget, 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 SHIP, $500 million, including $15 million in administrative costs, is available to address the needs of Canada’s highways until March 2006. The program formally began 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. British Columbia has also been allocated over $14 million under SHIP to improve border crossings. 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 $123.2 million.

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

SHIP will also provide $100 million nationally to fund initiatives that 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.

SHIP continues the Government of Canada’s long tradition of highway funding that started more than 80 years ago. In fact, Transport Canada will have invested more than $1.7 billion between 1993 and 2003 to improve highways across Canada. The federal government also invests in transportation-related infrastructure through other programs such as the Canada Strategic Infrastructure Fund and the Border Infrastructure Fund.

For more information on the Strategic Highway Infrastructure Program, please visit www.tc.gc.ca/SHIP/menu.htm.

For more information on the Canada Strategic Infrastructure Fund and the Border Infrastructure Fund, please visit www.infrastructurecanada.gc.ca.

April 2003