Winnipeg, MB - To move forward with the new Southwest Transitway Stage 2, and the Pembina Highway Underpass, the 2015 Preliminary Budget provides a sustainable, multi-year funding plan for the next phases of construction.
A new Payment Reserve will be established to accept funds from a combination of sources.
Specific proposals in this balanced approach include:
- A 0.33 per cent property tax increase beginning in 2016 in each of 10 years;
- A one-time, five-cent transit fare increase in 2016, over and above regular transit fare increases.
“When combined, these measures will ensure the City has the required funding available when rapid transit is completed,” said Mayor Brian Bowman. “This will also allow us to construct a modern public transit network that will drive our economy and serve our growing, thriving city.”
With a Provincial funding commitment of $225 million and a federal commitment of $137.3 million from PPP Canada, the City's expected cost for the integrated project is $225 million. These amounts, plus annual maintenance, will be paid annually to the P3 Proponent at approximately $22.05 million, beginning in 2020, which is included in the capital forecast.
Specifics of the Payment Reserve include a 2/3 vote of City Council in order for funds to be used other than stipulated.
“We must continue investing in improved public transportation options utilizing partnerships to fund these city-wide improvements.” said Mayor Bowman, “We thank our Provincial and Federal partners for supporting this priority project for Winnipeg.”
The 2015 Budget builds on the City's long-term plan to grow a modern, thriving city with quality of life improvements for all Winnipeggers that include renewal of our infrastructure, and a focus on creating a safe and vibrant community we are all proud to call home.
For more information on the 2015 Budget, please visit Winnipeg.ca/2015Budget