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Tramway: vagueness persists over federal funding for the megaproject

For weeks, a war of numbers has been brewing between Ottawa and Quebec regarding the capital’s tramway project. Now that we know the financial framework, established at $7.6 billion, the Legault government has thrown the ball back to its federal partner and is waiting for it to decide.

• Also read: A $7.6 billion tramway in Quebec: here are 8 things to know

• Also read: The evolution of the tram project over the years

• Also read: A $7.6 billion tramway for Quebec… which will be built 3 years later than desired

An “irreversible” project?

On Monday, the Minister of Transport and Sustainable Mobility, Geneviève Guilbault, announced the updated cost of the Quebec megaproject, which now stands at $7.6 billion. But the overall federal contribution is missing. In order to make the project “irreversible” and protect it from a possible Poilievre government, which promised not to put “a penny” into the tramway, the minister insists on the importance of securing federal funds , before the elections. For his part, the federal Minister of Supply, Jean-Yves Duclos, repeats in every forum that the Conservative leader would commit “theft” if he withdrew the amounts promised for the tramway.

One awaits confirmations, the other, invoices

The Quebec government’s share is specified at $4 billion, that of Quebec City, at $675 million. Mme Guilbault called out the federal government numerous times during his speech on Monday, recalling that it is not contributing enough to the bill. In a letter addressed to Minister Sean Fraser, she requests “written confirmation” that 40% funding will be provided for the Quebec tramway. Minister Duclos insists that federal funds are available, but that he is waiting for the minister to “invoice” so that Ottawa disburses the amounts.

The numbers don’t add up

Minister Duclos says that $1.5 or $1.6 billion is available for the tramway. The Quebec government, for its part, maintains that Ottawa has committed $1.44 billion. However, the CAQ is hoping for $3.04 billion. “Our request to the federal government is clear: they must confirm the financing of 40% of the total cost of the project and disburse the sums as soon as possible, as agreed by the prime ministers in 2022,” affirms the cabinet of Geneviève Guilbault. For its part, Jean-Yves Duclos’s office responds that the adjusted cost was revealed only a few days ago. “Now that we have the financial framework, we will be able to look at this and we will have discussions with the government of Quebec,” it was said.

$92 million in federal money for preparatory work

Following questions asked by journalists on Tuesday, during Mayor Bruno Marchand’s press conference, the City of Quebec finally provided on Wednesday the sums that were disbursed by the Trudeau government for the preparatory work for the tramway. In total, “the federal government paid $91.7 million to Quebec City for 12 claims,” said city spokesperson Jean-Pascal Lavoie. This sum is only a small part of the $1.44 billion promised. The CAQ government expects Ottawa to partially reimburse “certain preparatory work, for example for the relocation of aqueduct pipes and public services. They will also reimburse certain planning costs, including professional engineering services for the design of the project.

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