Moncton's $107M downtown centre project misses deadlines

There's growing anxiety over the future of Moncton's $107-million downtown centre as several key deadlines continue to be missed.

Construction was supposed to start this spring or summer but everything has been put on hold since December.

Anne Poirier Basque, the executive director of Downtown Moncton Inc., says she's frustrated by all the delays.

She said she had hoped to hear some news about the project in last week's provincial budget.

She said she is still hoping the money will come through because her members have already started putting $250,000 a year for 10 years into a trust fund to help pay for the centre.  

I think it's been on life support for a couple of years.- Coun. Brian Hicks

Poirier Basque said she expects any announcement will be delayed as the provincial government deals with the negative publicity surrounding its tough budget for 2015.

"I would have liked an announcement even next week sometime I think that would be very timely but I don't know, the government has to deal with all the criticism that they're getting right now from the budget so I don't know how this is going to all work out," she said.

Poirier Basque said she's still optimistic about the downtown centre's future.

She said the latest deadline she's been given by the city is near the end of this month.

"So, for now, they're telling us near the end of April so we're still hopeful," she said.

"We're hoping that by the end of April there's going to be an announcement on this project."

Councillor is less optimistic about project

Coun. Brian Hicks said he is not as confident the project is still alive.  

"I think it's been on life support for a couple of years," he said.

Hicks said the promised federal money is unlikely since it would break the prime minister's statement in 2011 that no federal money would go toward sports arenas

Moncton-Riverview-Dieppe Conservative MP Robert Goguen has said the federal government is prepared to find money from the Atlantic Canada Opportunities Agency. 

It is also willing to give money to Moncton to pay for infrastructure, such as roads or water and sewer lines. The city would then use the savings to put its own money into the downtown arena.

Hicks said if the federal government makes an exception for Moncton, it will suddenly find itself with all sorts of demands from other cities in Canada for similar help.

"That would have to be used in Quebec City. probably 14 or 15 other major cities in Canada that would like to have funding for arenas," he said.

"You just can't play that shell game in Moncton, it would have to be a federal program and I really can't believe the federal government is going to buy into that."

As for provincial money, Hicks said he wonders how Premier Brian Gallant could give money to Moncton for a downtown centre after making deep cuts and tax hikes

"To me that would take him completely off message of, 'We are in difficult financial times here,' that $24 million would pay for 90 nursing homes beds in Moncton, it would pay for a lot of things," he said.

Economic development proponent still bullish

Jim Lockyer, the chair of the board of 3+, a group that lobbies for economic development in greater Moncton, said he is more optimistic about the project.

He said just because there was nothing in the budget, doesn't mean the project is dead.

Lockyer said the money for the downtown centre could be included in a department's budget and that would come out at a later time.

He said the case has been made to the provincial government that the future of Moncton rests on this project.

"It's an investment of $100 million into the downtown area … [there are] buildings closing downtown so there's a need there secondly, there's a ton of other projects waiting to go ahead if this one goes." he said.

Lockyer said there is a potential for significant private investments in Moncton, up to $70 million worth of construction in the downtown, if the federal and provincial governments agree to commit money to the project.

He said he thinks it could foster growth in the region for the next 40 years.

However, Hicks said he heard the same siren calls 14 years ago when the city decided to buy the Beaver Lumber lands downtown in order to promote development. 

He said so far that's only led to the Roger's call centre being built.

Lockyer said his only concern is that time is of the essence and that this project cannot continue to be put on hold.

"These projects are so big and involve so many players, financial institutions, prices, construction prices, estimates so on and so forth that once you put a package together and agreed, it is tough to hold it together and time becomes important." he said.

As for the city, it sent a delegation to meet with government officials in January to make the economic case for the downtown.  It's not commenting on the latest delays or lack of news.

The two developers, Bird Construction and Ellis Don say they can't comment because part of the Request for Proposals stipulates that they are not to discuss their bids with the media.