Ottawa offers to pay $200 million to protect the Maritimes’ key land link: Minister
FREDERICTON – The federal government is willing to pay up to $200 million to protect a vital land corridor connecting Nova Scotia and New Brunswick from flooding related to climate change, a federal minister has confirmed.
The approximate figure is in a letter dated June 23, obtained by The Canadian Press, sent by Federal Infrastructure Secretary Dominic LeBlanc to New Brunswick Premier Blaine Higgs and Nova Scotia Premier Tim Houston. The amount represents about 50 percent of the projected cost of the Chignecto Isthmus project, which Houston estimated this month would cost $400 million or more.
“I continue to encourage you to seek funding,” LeBlanc wrote. “You can claim up to 50 percent of the total eligible project cost from the federal government, about $200 million in my estimation based on your state officials’ current estimates.”
LeBlanc’s letter urges prime ministers to request the funding before July 19, when the federal disaster mitigation program and adaptation fund closes.
He said the program is the only thing available to tackle the isthmus, reiterating that the federal government is not responsible for paying the full cost of the project. Houston has said Ottawa has a constitutional obligation to pay for everything.
Speaking to reporters in Fredericton on Wednesday, LeBlanc said the federal government will not and cannot pay 100 percent of the costs.
“So the number of times they (prime ministers) repeat that in public is not very sincere in my opinion,” he told reporters. “They know there is an offer on the table to look at a proposal that they will submit, that they will design, for up to 50 percent as a federal contribution. There is now no program in the Government of Canada that will pay 100 percent.
Higgs said he saw LeBlanc’s letter of the $200 million offer and is “cautiously optimistic” that a solution can be found.
“I think we have a bridge there,” Higgs said. “I look forward to continuing to talk with Secretary LeBlanc about the prospects here and in working with my colleagues, of course in Nova Scotia.”
There is precedent where the federal government has paid for inter-county connections, such as the bridge connecting Prince Edward Island to New Brunswick, he noted.
“We’ve talked about $300 million as a full price tag, but we don’t have a full estimate at this point,” Higgs said. “I think it is important that we understand what we are talking about for the final design and costs.”
This report from The Canadian Press was first published on June 28, 2023.
— With files from Keith Doucette in Halifax.
