No. H029/04 For release May 7, 2004 SAULT STE. MARIE - The Governments of Canada and Ontario are planning to build an international truck route in Sault Ste. Marie. Member of Parliament for Sault Ste. Marie, Carmen Provenzano, on behalf of Transport Minister Tony Valeri, together with Sault Ste. Marie MPP David Orazietti, on behalf of Ontario Minister of Transportation Harinder Takhar, today announced that their governments, together with the City of Sault Ste. Marie, will jointly contribute $15.1 million for the construction of an international truck route. "This new international truck route will smooth the flow of people and goods across our borders and make a significant contribution to the health of Canada's economy," said Mr. Valeri. "This project demonstrates the Government of Canada's commitment to improving trade efficiency while enhancing safety and security at Canadian border crossings." "The border crossing at Sault Ste. Marie is a vital transportation link to highways in the United States," said Mr. Provenzano. "This project enhances that link and will not only benefit our city, but will also effect necessary improvements to the movement of goods in our region." "Today's announcement is great news for Sault Ste. Marie," said Mr. Takhar. "Partnerships are essential to building strong and safe communities that offer Ontarians a higher quality of life." "Sault Ste. Marie is an important gateway for northern Ontario and as a border city, our government's infrastructure funding is essential in promoting economic development and tourism opportunities," said Mr. Orazietti. "This project will greatly benefit our community by providing a higher level of safety and efficiency for Sault residents and visitors." The new international truck route, which will also be open to cars, will connect with Highway 17 (Trans-Canada Highway), via the existing Second Line Road, and provide a more direct connection with the International Bridge and Interstate 75 in Michigan. Federal funding for this $15.1 million project comes from the $65 million Border Crossing Transportation Initiatives component of the Strategic Highway Infrastructure Program (SHIP), announced in 2001. A total of $11.2 million was jointly contributed on a 50-50 basis by the Government of Canada and the Government of Ontario for this project. The City of Sault Ste. Marie will contribute about $3.9 million to this initiative. "This project establishes Sault Ste. Marie as one of the most efficient border locations, connecting us to the United States," said Sault Ste. Marie Mayor John Rowswell. "Having a direct truck route from the international bridge to Second Line solves the 40-year old problem of trucks moving through the downtown core of our city." To date, the Governments of Canada and Ontario have jointly announced more than $950 million to improve Ontario border crossings and highway infrastructure. Federal funding for this project was provided for in the December 2001 budget and is therefore built into the existing fiscal framework. Final approval of the project is subject to the signing of a formal agreement and the results of an environmental assessment. A backgrounder with additional details on SHIP and the project are attached. -30- Contact: Alan Toulin Office of the Minister of Transport, Ottawa (613) 991-0700 Carmine Biasucci Office of MPP David Orazietti (705) 949-6959 Bob Nichols Ontario Ministry of Transportation (416) 327-1158 Transport Canada is online at www.tc.gc.ca. Subscribe to news releases and speeches at apps.tc.gc.ca/listserv/ and keep up-to-date on the latest from Transport Canada. This news release may be made available in alternative formats for persons with visual disabilities. BACKGROUNDER STRATEGIC HIGHWAY INFRASTRUCTURE PROGRAM - ONTARIO The Sault Ste. Marie truck route project involves developing a three-kilometre section of two-lane and four-lane road between the Sault Ste. Marie International Bridge and Highway 17 (via Second Line Road). The truck route alignment will mostly follow the existing Hudson Street and will close intersections with a number of local streets. The route will have only one intersection with traffic lights over its entire length. The existing truck route between Highway 17 and the International Bridge is via city streets where users, especially trucks, encounter delays and unsafe conditions. This new route will improve safety and reduce travel time by an estimated four to five minutes. The truck route project costs are estimated at $15.1 million. Transport Canada and the Ontario Ministry of Transportation will each provide $5.6 million for construction costs, with the City of Sault Ste. Marie providing the remaining funds to complete the project. The route is expected to be opened to traffic in the fall of 2005. An environmental assessment that meets the requirements of the Canadian Environmental Assessment Act will be undertaken before the project can begin. Funding for the project is conditional on the results of this assessment. In the February 2000 Budget Speech, the Government of Canada committed to improve the economy and the quality of life for Canadians by investing up to $600 million over five years in highway infrastructure across Canada. In April 2001, the government announced the Strategic Highway Infrastructure Program (SHIP). The program has two components: a $500 million highway construction component and a $100 million national system integration component, of which $65 million is dedicated to Border Crossing Transportation Initiatives. Under SHIP, $500 million, including $15 million for administrative costs, will be available to address the needs of Canada's highways until March 2006. The Ontario SHIP has been extended to March 2009. The program formally began in fiscal year 2002-2003. The Government of Canada is working with the provinces and territories to identify those parts of the national highway system that - because of growing traffic and increasing trade - need immediate attention. This will result in a safer and more efficient highway system for all Canadians. Ontario's SHIP package focuses on improvements to Highway 17 (Sault Ste. Marie and Thunder Bay) as well as improvements to Highway 69 (Parry Sound, Muskoka, and Sudbury), Highway 401 from Windsor to Tilbury and Highway 401 in Eastern Ontario. The final agreement for this program was signed on November 21, 2003 by Transport Canada and the Ontario Ministry of Transportation. An allocation formula has been developed to distribute the $485 million available to the provinces and territories under SHIP. The formula consists of a minimum of $4 million per jurisdiction plus a share based on population and a 50-50 cost-sharing ratio. Under this formula, the total federal allocation for the Province of Ontario is $168 million. Under previous joint highway funding agreements since 1993, Transport Canada contributed $106 million to Ontario. The Government of Canada contribution of $5.6 million for the Sault Ste. Marie truck route brings the total funding from Transport Canada to $280 million since 1993. As noted, SHIP will also provide $100 million nationally to fund initiatives which better integrate the transportation system. These include the deployment of Intelligent Transportation Systems across Canada, improvements to border crossings and better transportation planning. Intelligent Transportation Systems include applications such as advanced systems for traveller information, traffic management, public transport, commercial vehicle operations, emergency response management and vehicle safety. May 2004
