LRT in trouble?
Surprise provincial announcement looms amid rising project budget concerns
Politicians are hearing budget woes for the $1 billion light rail line are the reason for an announcement by Transportation Minister Caroline Mulroney this afternoon.
10:26 AM by Matthew Van Dongen The Hamilton Spectator
Ontario's transportation minister will make an unanticipated announcement in Hamilton today amid rising concerns the city's star-crossed LRT project is overbudget.
No provincial officials would publicly confirm ahead of time what Minister Caroline Mulroney's 2 p.m. announcement will be about.
But senior officials in the provincial government, speaking on condition of anonymity in order to discuss matters not yet being made public, said the Hamilton LRT project is being threatened due to the previous Liberal government's spending estimates.
"The financials the Libs were projecting were billions off and they knew it," a high-ranking Progressive Conservative insider said Monday morning.
Some city councillors also said they were privately being warned Monday morning that "major budget issues" were threatening the current plan for the 14-kilometre light rail transit line that is designed, built and run by a private consortium.
The Spectator obtained political briefing notes as far back as January that warned project costs had spiked and would exceed the $1-billion provincial commitment, in part as a result of the late decision to extend the line to Eastgate Square.
Speaking to CHML radio host Bill Kelly Monday morning, Mayor Fred Eisenberger said he hopes to meet with Transportation Minister Caroline Mulroney before the afternoon announcement.
"It sounds like the die has been cast unfortunately," he said.
Eisenberger questions how the province could come to a final financial determination without going through the full RFP process, which is currently in the works.
"It makes no sense to me," Eisenberger said, before adding: "This government has had a habit of making announcements that don't make sense."
More to come.
with files from Robert Benzie, Toronto Star.
https://www.thespec.com/news-story/97768...oms-amid-rising-project-budget-concerns/