The Department of Municipal Affairs and the Town of Labrador City will work together to support a cost-shared initiative to expand the water and sewer capabilities to the future sites of the new health centre and college campus in that town.

The Honourable Jack Byrne, Minister of Municipal Affairs, today committed to strengthen and develop much needed infrastructure in Labrador by approving this project at a cost of $1.4 million. The water and sewer expansion will provide services to the new Labrador West Health Centre and the neighboring College of the North Atlantic campus. In Budget 2007, $4.5 million was announced to begin design and site work on a new $59 million, 28-bed health centre in Labrador West, and $2 million was allocated to begin planning of a new facility, with a projected value of $18 million, for College of the North Atlantic.

"Our government recognizes the significant contribution made by this area of our province, and we remain committed to strategic funding for the required infrastructure development and upgrades that will ensure regular service delivery," said Minister Byrne. "Extending the capability of water and sewer systems in the province that directly affect Newfoundlanders and Labradorians is of extreme importance to this government."

"I commend the Department of Municipal Affairs in its approval of this important project to benefit our community of Labrador City," said Jim Baker, MHA for Labrador West. "The water and sewer expansion will have a direct positive effect on the Labrador West Health Centre and College of the North Atlantic campus, and will provide for future expansion of the town while promoting economic growth within the region."

This project will be funded through the 2007-08 Municipal Capital Works Program by a cost-sharing agreement with the municipality. Municipal Capital Works projects support community development and give essential means for service delivery, at the same time providing job creation within regions. Through Budget 2007, the province will contribute $22.2 million, with 93 per cent of the infrastructure investments from the program supporting rural areas.

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Media contact:
Heather MacLean
Director of Communications
Department of Municipal Affairs
709-729-1983, 690-2498
heathermaclean@gov.nl.ca

2007 06 15                                                   9:40 a.m.