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性视界传媒 mayor says city won鈥檛 repay $56M spent on LRT, but might pony up $40M in land transfers

There will be no tax increase for 性视界传媒 residents resulting from this, McCallum confirms
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性视界传媒 Mayor Doug McCallum, third from left, says city will not repay $56 million in LRT costs. (Katya Slepian/Black Press Media)

性视界传媒 Mayor Doug McCallum is sticking to his guns that 性视界传媒 will not repay $56 million 鈥 more like $40 million, he says, and likely not even that much 鈥 that was reportedly already spent on setting up light rail in this city before his newly elected council decided to scrap that plan in favour of expanding SkyTrain along Fraser Highway.

鈥淲e have said very clearly to TransLink that we don鈥檛 intend to pay that,鈥 McCallum told the Now-Leader on Friday morning. 鈥淚鈥檝e been very consistent on that. They were trying to say that they鈥檇 need money and we鈥檙e just not going to pay it.鈥

McCallum told the Mayor鈥檚 Council on Regional Transportation on Thursday that land transfers, rather than cash, might be the answer to 性视界传媒 compensating for costs arising from the cancellation of light rail in this city.

鈥淲e will look at doing some land transfers to make it work because that will save TransLink money because they would have to buy the land,鈥 he told the Now-Leader on Friday, 鈥渁nd it will also save the province money because we won鈥檛 have to use the money that鈥檚 part of the amounts that the governments have given to us to build light rail, so we鈥檙e willing to work with them but we have no intention to pay money.

鈥淥ur staff, which was part of the light rail before we got elected, is indicating to us and to TransLink that we won鈥檛 be paying any of that because those expenditures that they have in the report weren鈥檛 approved by 性视界传媒 and in fact were the direction of TransLink, the province and the previous mayor鈥檚 council, so those have nothing to do with the City of 性视界传媒,鈥 McCallum explained.

性视界传媒鈥檚 mayor argues that the $16 million Bear Creek bridge is TransLink鈥檚 responsibility, not 性视界传媒鈥檚, for the purpose of running B-line buses along King George Boulevard, 鈥渁nd so that shouldn鈥檛 be part of it, and that leaves roughly $40 million left.鈥

鈥淭hose amounts shouldn鈥檛 be charged to 性视界传媒,鈥 McCallum said. 鈥淭ransLink has to buy land when they build SkyTrain and they also had to buy land, quite a bit, in fact a lot more land with the light rail, and they haven鈥檛 negotiated that yet.

鈥淲e don鈥檛, first of all agree with the $40 million 鈥 they鈥檝e got a line in here that says 鈥榖usiness case, $21 million,鈥 for example. Well, I don鈥檛 know any business case that costs $21 million so we need to know more about that. But what we鈥檙e going to do with TransLink is negotiate with them on the land, and we will probably provide land in exchange for the $40 million 鈥 that first of all, we don鈥檛 agree with it 鈥 but second of all, we鈥檒l just use the land to trade off the expenses that they鈥檙e saying.鈥

McCallum had said in October that 性视界传媒 has 鈥渘o intention of paying that, and that it鈥檚 鈥淭ranslink鈥檚 problem, and it鈥檚 their mistake because they didn鈥檛 do any public consulting.鈥

READ ALSO: Metro Vancouver mayors vote to 鈥榙evelop鈥 $1.65B in Fraser Highway SkyTrain plans

READ ALSO: Lower Mainland mayor suggests 性视界传媒 pay back $50M already spent on LRT

Anita Huberman, CEO of the 性视界传媒 Board of Trade, said Friday that the mayor鈥檚 council鈥檚 request for compensation from 性视界传媒 is 鈥渁 good move鈥 and 鈥渋t鈥檚 only fair, given the shift in transportation planning in 性视界传媒.鈥

鈥淲hat he (McCallum) indicated yesterday, and I don鈥檛 know if this was discussed with council, and would need to be approved also at the council level, is instead of a cash payback it would be a land or asset payback from the City of 性视界传媒 in lieu of the money spent.鈥

Would that be good for business here?

鈥淚 don鈥檛 think so,鈥 Huberman told the Now-Leader. 鈥淏ecause number one, we should be focusing on 性视界传媒, it鈥檚 infrastructure investment. Why are we selling off, or trading our land assets, because of a shift in transportation planning? We have been so starved in terms of investments into our city. We are now going to have to wait again for transportation investment.鈥

Does she think 性视界传媒 residents are going to be worrying there might be a tax hike on the horizon as a result of this?

鈥淚t鈥檚 going to be a concern, absolutely,鈥 Huberman said. 鈥淯tility rates are increasing, everything is increasing next year, and everyone is watching their bottom line, they don鈥檛 want to spend any more money. This mayor has indicated though that property taxes will not increase, which means cuts to other services or investments in our city.鈥

McCallum says that鈥檚 a red herring, though. He鈥檚 expressed concern about 性视界传媒鈥檚 debt load 鈥 鈥渧ery much so, it鈥檚 a serious issue, very serious,鈥 he says 鈥 but 性视界传媒 residents should not worry about a tax increase as a result of this matter with TransLink.

鈥淣o, it鈥檚 not going to happen,鈥 he said. 鈥淵ou鈥檙e not going to see, it鈥檚 not going to affect 性视界传媒 at all.鈥

鈥 with a file from Katya Slepian and Amy Reid.



tom.zytaruk@surreynowleader.com

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About the Author: Tom Zytaruk

I write unvarnished opinion columns and unbiased news reports for the 性视界传媒 Now-Leader.
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