Winnipeg’s Executive Policy Committee has voted to put $19.25 million into the local street repair budget this year, filling half the hole left by a $40-million shortfall in provincial funding for roads.
The money will come out of Ottawa’s top up of gas-tax revenues to municipalities this year. The Trudeau government announced in its March 19 budget it was doubling revenues to municipalities — $72 million more for Manitoba, including $44 million for Winnipeg.
The MHCA called upon City Council to restore the full $40-million hole in the local streets program this year with the gas-tax money, bringing the program budget back to the level planned prior to the funding dispute with the province.
Instead, Council will vote on April 25 to divvy the $44 million between this and next year, with most of the funds going to local roads.
The EPC motion would see the tenders issued as soon as possible. Awards, however, would be subject to the City receiving the federal cash.
“We think it would be prudent, given the short construction season we’re working with, for City Council to simply make a first call on funds it has set for the 2020 local streets program – and then restore that program with the federal dollars when they come,” MHCA President Chris Lorenc said. “That would permit the awards to be made and for construction to begin earlier.”
MHCA will be making that point when it appears before council April 25.
Winnipeg’s budget, passed March 1, gutted the local street renewal program for 2019 because the provincial government owes the city $40 million for street work completed in 2018; the province says it fulfilled its obligations under the last five-year roads deal. The MHCA has emailed city councillors calling for a restoration of the local street budget – 53 streets and 11 lanes that were scheduled for repair. Further, it has been emailing Winnipeg MLAs, asking them to press the Pallister government to make good on the $40 million, and to renew the five-year road funding agreement with the city.
The city’s budget said in the absence of a new roads agreement, $145 million will be wiped out of its planned local and regional street renewal budgets through to 2024. The province has committed only to transferring $100 million for regional roads, in a deal announced last fall that would match federal funding out of Ottawa’s legacy New Building Canada Fund.