NLIS 5
March 30, 2006
(Executive Council)
The Right Choices: Growing
the Economy; Investing in Infrastructure
$2 Billion Planned for Infrastructure over Six Years
The Williams government will modernize
the province�s infrastructure and continue to grow the economy through
an unprecedented investment in excess of $2 billion on infrastructure
over the next six years, Premier Danny Williams announced today. More
than $300 million is planned this year, marking the first instalment of
the planned six-year expenditure.
As noted in government�s Blueprint,
ongoing infrastructure improvements stimulate job creation in the
short-term and make the economy more competitive in the long-term. A
focused and planned six-year approach to infrastructure will foster
economic growth, generating more than 4,500 full-time equivalent jobs
over the next six years and putting an additional $200 million in the
pockets of hard-working Newfoundlanders and Labradorians.
"Our government has made the right
choices during challenging times and now it is paying dividends. We are
finally reaping the benefits of our resource revenues and this has given
us the flexibility to increase our investment in targeted areas where it
is needed," said Premier Williams. "We know that in order to stay
competitive in a global economy we must provide the necessary
infrastructure to support the on-going growth in the province. Our
multi-year financial investments will ensure proper and strategic
maintenance and growth of key infrastructure."
The capital investments outlined in
Budget 2006 will help roads get much-needed improvements; modernize
health facilities and seniors� housing; build new schools and preserve
existing buildings; as well as upgrade our municipal infrastructure
including water, sewage, local roads and recreation facilities.
Better Roads Lead to Greater Economic
Opportunity
An efficient transportation system is the base for economic development
and building vibrant regions across the province. A total of
approximately $171 million will be spent this year on the construction
and rehabilitation of provincial roads, highways and marine services to
improve safety and increase efficiency.
"For years the necessary funding to
properly maintain and preserve our road infrastructure was deferred,
creating an infrastructure deficit in the province," said Trevor Taylor,
Minister of Transportation and Works. "With this investment our
government will alleviate some of the demands for new and replacement
infrastructure and support capital projects in the areas of the greatest
need."
Transportation investment highlights
include:
$60 million in the Provincial Roads
Program to improve road infrastructure � doubling the program�s
investment since 2004;
$70.2 million to upgrade the
Trans-Canada Highway; continue construction of the Trans-Labrador
Highway Phase III - including 50 kilometres near Happy Valley-Goose
Bay and Cartwright and subject to 50-50 federal-provincial
cost-sharing, start application of a sealed surface on Phase I of
the Trans-Labrador Highway between Happy Valley-Goose Bay and Wabush;
$12.4 million towards summer and
winter road maintenance, including funding to replace heavy
equipment, such as snow plows, and to implement a salt management
plan;
$10 million towards the development
of the Torbay Bypass Road, along with the Team Gushue Highway, which
once complete will connect the Outer Ring Road to Pitts Memorial
Drive. The total estimated cost of the projects is $50 million, to
be cost-shared with the federal and municipal governments;
$2.2 million to complete the Chateau
Pond depot on the Trans-Labrador Highway and renovate the highway
depot in Lumsden and a garage in Eastport; and,
$16.6 million, representing an
approximate 68 per cent increase over last year, will be spent to
update the province�s ferry fleet. The funding will be used to
re-fit vessels, improve ferry terminals and wharves, as well as
design two new vessels.
Leading-Edge Health Facilities
Constructing leading-edge health facilities stimulates social and
economic benefits across the province. Modern health centres improve
access to services and assist with the recruitment and retention of
health professionals. Budget 2006 includes $51.9 million for new health
care infrastructure, renovations and repairs to existing health care
facilities.
"Across our province, we are faced with
increased demands for health care infrastructure and repairs to existing
facilities," said Health and Community Services Minister Tom Osborne.
"Budget 2006 reflects a significant investment in infrastructure that
will help to address immediate health care needs and respond to future
demands."
Health investment highlights include:
$1.1 million to construct a new
15-bed residential provincial treatment centre in Corner Brook for
persons recovering from addictions. This will enable the treatment
centre to provide enhanced treatment program for persons with
addictions, including non-medical detox services. The overall
project is $3 million;
$2.9 million to proceed with
renovations to the old wing of the James Paton Memorial Hospital in
Gander. Renovations will include upgrades to patient rooms and
washrooms, as well as improvements to the mechanical, electrical and
ventilation systems;
$900,000 to complete construction of
a new cancer clinic in Grand Falls-Windsor. Construction is
proceeding on schedule with expected occupancy in September 2006;
$1.5 million to initiate the
planning for a new health centre in Labrador West. This follows the
recent recommendations of an assessment completed for the
Labrador-Grenfell Regional Integrated Health Authority of health
care needs in the region. Design work will be completed this year,
with construction to take place in the following three years;
$25.2 million to proceed with
long-term care facilities in Clarenville, Corner Brook and Happy
Valley-Goose Bay. This includes $8 million to proceed with a new
44-bed long-term-care facility in Clarenville and $16 million to
proceed with a new 188-bed long-term care home in Corner Brook. A
further $1.2 million will be invested this year for detailed design
work on a new 50-bed long term care facility in Happy Valley-Goose
Bay. The new facility is expected to be completed in 2009-10;
This year $5.5 million is allocated
to proceed with a new primary health clinic and renovate the Blue
Crest Nursing Home in Grand Bank. The new primary health clinic will
provide clinic and office space for up to five physicians, basic
outpatient clinics, basic lab and x-ray services, and holding beds
for short stays;
$1.7 million is allocated for three
new renal dialysis units in Burin, Happy Valley-Goose Bay and St.
Anthony. The units are expected to be operational within 18-24
months;
$600,000 is earmarked to begin
planning for a new 64-bed facility in Lewisporte. Upon completion of
a health care needs assessment, it was recommended that a new
community health centre be constructed to replace the existing
nursing home and primary health clinics in the area;
$500,000 is provided to assess
long-term care priorities in St. John�s; and,
$12 million for repairs to hospitals
and nursing homes to address fire and life safety, occupational
health and safety and building integrity issues.
Enhancing Education Institutions
To ensure students have access to high quality learning opportunities in
safe and secure environments, Budget 2006 allocates a total of $66
million to modernize the province�s educational facilities.
"We are making significant investments in
infrastructure in both our K-12 and post-secondary systems this year
which is in keeping with government�s recognition of education as a
means for the growth and prosperity of our province," said Joan Burke,
Minister of Education. "Our learning environments are a cornerstone of
the education system that must be considered as we determine how best to
serve our students and I look forward to announcing specific
infrastructure projects in the weeks ahead."
Education investment highlights include:
$13.4 million this year to continue
re-development projects at the K-12 level including $5 million for
Mobile, $7 million towards Herdman in Corner Brook and $1.4 million
to Leary�s Brook in St. John�s;
$17.1 million is committed for
maintenance of the province�s schools and $6.5 million will support
the school boards� long-term facilities plans initiated last year;
At the post-secondary level, $20.4
million will be provided to Memorial University to address its
infrastructure and maintenance requirements with the specific
projects to be determined in consultation with government; and,
$8.6 million is allocated for
College of the North Atlantic. This includes investments of $4.5
million for Prince Philip Drive Campus in St. John�s, $1 million to
begin an extension to the Happy Valley-Goose Bay campus and $1
million to commence the development of a new site in Labrador West.
Modernizing Municipal Infrastructure,
Strengthening Communities
Municipalities provide the foundation for vibrant regional economies. To
further regional sustainability and support the revitalization of rural
economies, Budget 2006 includes new commitments of $33.2 million, to
avail of four separate cost-shared funding programs to make improvements
in municipal infrastructure in the province.
Municipal investment highlights include:
$22.5 million under the Municipal
Capital Works Program to cost-share with municipalities the
development of priority infrastructure. A further $9 million will be
spent under the Municipal Rural Infrastructure Fund, with a focus on
"green" projects that improve the quality of the environment and
contribute to cleaner air, soil and water; and,
$1 million this year under the
Canada Strategic Infrastructure Fund II. This is the first
instalment in a multi-year arrangement that will address large-scale
infrastructure projects valued at over $10 million each. A further
$700,000 will be invested under the Canada- Newfoundland and
Labrador Infrastructure Program.
This also marks the second year of the
Multi-Year Capital Works Program announced in 2005, in which the
provincial government committed $85 million in funding over three years.
$14.2 million is allocated this year for the development of major
infrastructure projects � cost-shared on a 50/50 basis with
municipalities � in 14 of the province's larger municipalities.
"Municipal infrastructure continues to
play an essential role in sustaining our communities and regions," said
Municipal Affairs Minister Jack Byrne. "This level of funding and
cooperation is critical as we continue to work together to renew and
expand our infrastructure in areas such as water and sewer, roads,
recreation facilities and waste management. When combined with
federal-municipal contributions and the annualized multi-year capital
works funding, this will result in a total investment of more than $100
million in municipal infrastructure in 06-07."
Budget 2006 also invests $2.15 million to
begin construction of a new court facility in Corner Brook which will
greatly enhance the ability of both the Supreme and Provincial courts to
better serve the public and ensure the security of all individuals who
attend court and work in the system.
Preserving our Infrastructure Investments
On-going investments are required to maintain and preserve existing
infrastructure. Government is committed to protecting our highway
infrastructure and improving highway safety through enhanced enforcement
of the law to ensure commercial trucks meet National Safety Code
standards. To that end, Budget 2006 provides $283,500 to re-instate the
commercial weigh scales in Port aux Basques and Foxtrap.
The Port aux Basques service will be co-ordinated
with the ferry schedule to capture commercial traffic coming from and
going to Nova Scotia. The weigh scales at Foxtrap will open on a
part-time, random basis in conjunction with the region's portable scales
unit in order to improve enforcement. Both initiatives will help
government protect its investments in roads and enhance highway safety
through improved monitoring of commercial carriers and collection of
data on convictions.
Along with investments to maintain public
buildings, Budget 2006 commits an additional $9.5 million to address the
appropriate use of public space and vacant buildings. This is consistent
with recommendations made by the Auditor General in his recent report.
Media contact:
David Salter, Transportation and Works,
(709) 729-3015, 691-3577
Tansy Mundon, Health and Community Services, (709) 729-1377, 685-1741
Jacquelyn Howard, Education, (709) 729-0048, 689-2624
John Tompkins, Municipal Affairs, (709) 729-1983, 699-2498
2006 03 30
2:20 p.m. |