Waterloo Region leaders question federal budget funding for transit

Some of Waterloo Region's leaders are weighing in on a public transit infrastructure fund offered in this week's federal budget, which pledges $750 million nationally over two years starting in 2017-2018, followed by $1 billion a year afterwards.

Regional councillor Tom Galloway says the funding will only pay for the interest on what municipalities would have to borrow from the federal government to fund their projects. He adds he's not sure if Waterloo Region would qualify since it does not have a population size like larger cities such as Toronto or Vancouver.

Galloway adds the federal funding pales in comparison to a $1.6 billion pledge from the Ontario government to build an LRT line between Brampton and Mississauga without help from Ottawa.  

"Now that the new standards seems to have been set in Mississauga and Brampton at 100 per cent funding, we have every right to ask, 'Does that have anything to do with our current project?'" said Galloway. "But more likely, is that what we can expect when we do phase 2 of our LRT project into Cambridge?"

Kitchener Mayor Berry Vrbanovic says he is also not clear who exactly will be able to use the infrastructure fund.

"One of the things that isn't clear is what their definition of what a large city is," said Vrbanovic. "But I'm quite confident that we'll be able to clarify with the government that Waterloo Region is part of that priority."

The Conservatives say municipalities will have access to the first round of funding, about $250 million, in 2017. However, Waterloo city councillor Jeff Henry says cities were hoping to access that capital sooner.

"I'd have appreciated a more balanced fiscal plan, rather than one that is so back-end loaded," said Henry. "There's a lot to look ahead to and not so much starting today."