Our industry waited nervously for the 2012-2013 April 17, 2012 budget speech with good reason.
On March 2, 21012 Manitoba Infrastructure & Transportation (MIT) reduced the 2012-2013 program by deleting 10 projects whose construction value we estimated to hover in the vicinity of $50 million – a huge blow to our industry and the people we employ.
In addition, it had delayed the tender advertisement dates of an additional 15 projects to the back half of the season. We wrote to government on March 8, 2012 expressing concern and asking for clarification – none has yet been received.
Finance Minister Struthers in his April 17, 2012 budget speech made a number of announcements affecting infrastructure investment, namely:
- Drivers will pay an extra 2.5 cents per litre to fill their vehicles’ fuel tanks as of May 1, 2012. (1 cent=$22 million; 2.5 cents = $55 million).
- Vehicle registration fees will increase by $35.00 – an estimated $15-17 million of new revenues.
- The new revenues raised in items one and two above – between $70-72 million – will be spent on roads and other infrastructure. The Gas Tax Accountability Act obliges the provincial government to spend collected fuel taxes on highways construction programs. Minister Struthers stated in his budget speech that “every cent raised in these ways will be invested in roads, bridges and other infrastructure – guaranteed.”
Given the above, we assume that the government will now reinstate the deleted projects and advance those whose tender ad dates were delayed and have asked Minister Ashton for confirmation and for a meeting.
Failure to do so suggests a shell game and ignoring the economic enabling characteristics of a well funded transportation system to a trade dependent provincial economy.
On the municipal front? You be the judge.
Streets, bridges, sewer, water, regional trade carriers are pathetic in municipalities right across the province. Winnipeg’s streets are frankly embarrassingly atrocious.
Like it or not, the fact is that municipalities do NOT have the required revenue streams dedicated to address Manitoba’s crumbling municipal infrastructure. And the government’s response?
Bupkis, nada, nothing.
The silence is deafening by its unbelievable roar.
Nothing is said other than lip service to the anticipated revenue increases in PST from $249 to $262 million per year to be allocated to municipalities for infrastructure, an $18 million increase over 2011 levels, spread across the entire province for 198 municipalities to address a projected $13 billion, 10 year municipal infrastructure deficit.
The deficit and challenges are staggering and the government says nothing – not even a statement indicating that it wishes to work with municipalities, or that it would establish a task force to review in new partnership funding strategies with the municipalities – nothing!!!
The public should restrain itself in calling the above … ‘disappointing.’