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Billions needed to upgrade provincial transportation

Tolls likely as part of plan to pay for improvements, minister says B.C. needs to spend $10 billion on its transportation system over the next 10 years if it wants to stay competitive.

Tolls likely as part of plan to pay for improvements, minister says

B.C. needs to spend $10 billion on its transportation system over the next 10 years if it wants to stay competitive.

But government coffers are empty said Transportation Minister Judith Reid.

That means the government will have to put tolls on roads, form partnerships with private companies, use royalties from industries and even consider raising the gas tax if the money is to be found.

"We have huge needs and the province doesn’t have any money," Reid told members of the Whistler Chamber of Commerce this week.

"We take transportation for granted. But when you look at economic opportunities you realize you can’t get them without investment in transportation.

"Everything relates to the movement of goods, services and people."

Even BC Rail may be heading for the chopping block. The government has already announced that the passenger services of BC Rail will end Oct 31.

Now, said Reid, selling off the freight service is being considered.

"It is a suggestion that has come out of communities," she said.

"We’ve made the commitment to keep BC Rail but there are consequences to that. One of the consequences to that is we don’t have money to invest. "We made the commitment because we wanted to support the people who use BC Rail but the people who use BC Rail are saying while you made this commitment it’s not supporting us anymore so we want you to re-examine your commitment.

"There are limited choices. We can run BC rail with a reduced service… if that is not acceptable then we can have a different choice there."

As for the transportation needs of the province, all options for raising money are being considered, as no one option will raise enough money alone.

Raising the gas tax one cent would only raise $6 million.

And tolls must be reasonable if they are to be accepted by the public.

The money needs to be spent in five main areas according to Reid: northern and rural road restoration, the Sea to Sky highway, the Trans Canada highway, Highway 97 (the Okanagan) and rapid transit in the Lower Mainland.

"The Okanagan Lake Bridge needs to be replaced," said Reid.

"The thing is wearing out. It has to be replaced and that’s a billion-dollar project.

Congestion crossing the Fraser River must also be addressed she said.

Studies have shown that traffic in the Lower Mainland has increased 14 per cent in the last five years. In the Okanagan it has increased 7 per cent in the same time frame, but no money has been spent on the transportation infrastructure.

The government is also under the gun to produce an upgrade plan for the Sea to Sky highway to meet the October deadline for the 2010 Olympic Bid Corporation Bid Book.

To date four options have been floated ranging from safety upgrades and widening to a full four-lane highway from Vancouver to Whistler.

Many are concerned about the construction of a new highway as it would likely mean closures of four hours each day, eight hours each night for three seasons a year for four years.

"Does the province understand these highway closures may have a negative impact on the community?" asked Reid. "Yes, we do. But we need to work toward a solution that produces all the goods we need in the long term."

As part of that process the government is reconsidering using Indian Arm as an alternate route. Previously government studies had ruled out the option as being too expensive and fraught with construction, maintenance and environmental problems.

Whatever option is chosen, said Reid, it must fit in with the overall transportation plan and not just be a solution for the Olympics.

"We are not planning the future road system based on the Olympics," she said.

"But there is a deadline we do have. The plan has to be part of the long term vision."

No matter what option is chosen it must be paid for, which took the discussion back to tolls.

Chamber member Alix Nicoll asked: "Is there another road which has tolls but no other alternate route in?"

Reid described B.C.’s pattern of towns with only one access route in and out as "the nature of B.C."

What is important about tolls said Reid is to ensure they are reasonable enough that they do not impede the flow of traffic and that they take residents into account.

Whistler Mayor Hugh O’Reilly supports tolls but only if they are part of an overall transportation strategy for the whole province and are fair and reasonable.

"If it is in the context of a provincial transportation plan and applied with a systems approach equitably and fairly then it is no different than if they raised my fuel tax or take it straight out of my pocket as B.C. tax," he said.

"It is another tool and I have some discretion on my utilization of my car."

Transportation gets 4 per cent of the total government spending, making it the second lowest funded government operation. In the 1960s 20 per cent of the budget went to transportation.

The 2002-03 budget is $1.1 billion. Of that $650 million goes toward interest and amortization payments.

Transportation is not where the people want their money spent, said Reid.

"(The budget) reflects what people have been telling the government," she said.

"Don’t cut education and we haven’t, and put even more into health care, and we have.

"The pressure to spend the dollars on health care is so strong and it will continue to increase."

The federal government continues to only contribute matched dollars to transportation. But if the province has no money to spend then it can’t match federal funds and loses out on programs.

The federal government collects $750 million in gas taxes from British Columbia each year. B.C. got approximately $20 million of that back last year.

Reid has been asked to draw up a provincial transportation strategy.

A meeting bringing together the premier, local governments and stakeholders will be held next month in Vancouver to work on some of the issues,