|
|||||
| Return to 2006 News Releases | |||||
|
|
News
Release |
||||
|
Joyce calls on federal and provincial governments to share any cost overruns on water treatment plant July 6, 2007 Eddie Joyce, Opposition Transportation and Works Critic and MHA for the District of Bay of Islands, says the full cost of any overruns on the construction of the new water treatment plant for Corner Brook should not be the full responsibility of city residents, and as partners in this project the federal and provincial governments should share any potential cost overruns. On Wednesday, the federal and provincial governments, along with the City of Corner Brook, announced a cost-shared $36 million water treatment plant. While the projected up front costs are being split three ways, Mayor Pender confirmed in media interviews that the City of Corner Brook would be responsible for any cost overruns that might be incurred. "I was very pleased to see that all three levels of government finally announced a new water treatment plant for the residents of Corner Brook," said Mr. Joyce. "I have always agreed with the construction of this facility since it was first presented by MP Gerry Byrne, and I have written several letters of support over the past few years asking that this project move forward. "While I am pleased the residents of Corner Brook are getting this facility, I have to question why the city has to pick up the entire cost of any overruns on the project. Wednesday’s announcement outlined the construction of this facility as a joint project of all three governments. Why aren’t the federal and provincial governments willing to share the burden should this project go over budget? "Several other projects in Corner Brook have recently gone over budget and it concerns me that city residents could be left on the hook. The courthouse exceeded its projected budget by $2 million and the construction of Herdman Collegiate is over budget by $3 or $4 million. Recent projects have consistently been over budget by 10 to 20 per cent which could mean the people of Corner Brook have the potential to shoulder an additional cost between $4 and $8 million. Why wouldn’t these costs be split three ways between all levels of government? "Mayor Pender has already confirmed that taxes will increase in Corner Brook to pay for this facility. If there are cost overruns, these increases will certainly be more significant. The people of Corner Brook deserve this new facility, and they should not be fully responsible for any additional costs that may be incurred. I am calling on city council to immediately contact the provincial and federal governments in an effort to ensure that any cost overruns for this facility are shared by all levels of government. If this is truly a partnership, the costs should be split three ways."
|
|||||
|
Media Contact: |
|||||
