Territory awarded $175-million share of federal largesse

More than $175 million in federal cash is up for grabs in the Yukon as Ottawa looks to fast-track infrastructure investment nationwide.

More than $175 million in federal cash is up for grabs in the Yukon as Ottawa looks to fast-track infrastructure investment nationwide.

Federal Transport Minister John Baird announced Tuesday the government’s $33-billion Building Canada fund would be available to provinces and territories as quickly as regions can take advantage.

“In these uncertain times, infrastructure spending can be an important shot in the arm ... to get shovels in the ground and get jobs created,” Baird told the media during a brief teleconference from Ottawa.

The announcement offered a glimpse into the Conservative government’s upcoming Jan. 27 budget, expected to contain heavy spending initiatives to invigorate the nation’s economy as it heads into recession.

In the past, Prime Minister Stephen Harper has resisted deficit spending.

However, rolling out the multibillion-dollar Building Canada program on demand, instead of over seven years as originally planned, would likely put the federal government into the red for 2009.

Baird called meetings with territorial leaders “incredibly constructive”.

He described discussions with Yukon Highways and Public Works Minister Archie Lang as, “detailed ...with respect to specific projects,” but declined to elaborate.

“I’m not going to make an announcement for the minister; Minister Lang did ask, as Premier Fentie has ... (about) expanding current hydro-generating facility which we’re taking back to our colleagues,” said Baird, impressed with the pair’s tenacity.

“Premier Fentie and Minister Lang are very aggressive. You don’t call them; they call you to lobby for stuff; they have a good relationship with the PM.”

Both Fentie and Lang were unavailable for comment as of press time today, leaving the media to speculate on how the $175 million-plus windfall will be used.

With a plan on the shelves to connect the Mayo-Dawson City hydro grid with the Whitehorse-Ashihik-Faro grid, Tuesday’s announcement could bode well for that project’s fruition.

Or, Baird could have been referring to expanding generation capacity at the Mayo hydro facility.

While Fentie and Lang may be good at communicating with Ottawa, there appears to be room for improvement on the home front.

The Star’s request for comment from the cabinet on these recent developments failed to garner a response from either minister.

Contained within the Building Canada fund are both rural and municipal infrastructure components, so the usual rounds of consultation among the Yukon government, first nations and municipal authorities will likely take place.

However, Baird hopes regions will move on this spending sooner rather than later.

“We’re talking about weeks, not months and years,” he said.

Eligible projects for funding include highways, drinking water, waste water, public transit and green energy.