Most Nova Scotia claims for pothole compensation hit a dead end, data reveals

The vast majority of people seeking compensation from the Nova Scotia government for pothole damage on provincially-owned roads are still being denied, according to data from a freedom of information request with Service Nova Scotia.

In 2022, there were 935 pothole claims made with the department and only 105 of them were paid; in 2023, there were 374 claims and 64 paid (some data from 2023 could still be under investigation, the department noted).

Jade Bouthat's claim was recently denied by the province. Her vehicle was damaged by a pothole in early March of this year. That came with a $653.05 repair bill and a destroyed tire.

Bouthat had been driving along Highway 101 near Windsor, N.S., when it happened.

"The road is completely torn up in this area. There's actually pylons all along the sides of the road," Bouthat told CBC News.

"So I did my best as I was driving to swerve trying to avoid the potholes, but I was unable to swerve and avoid them as they're on both sides of the road."

As she drove over a pothole, Bouthat said she got an immediate dashboard alert indicating her tire was quickly losing air.

"I pulled over to the side of the road and got out of the car and there's a complete strip down my tire," Bouthat said, adding that it looked like it was slashed

She waited about two hours for a tow truck to show up.

Bouthat said she submitted an application for pothole damage compensation from the province right away, but was denied because the window of time the province gives itself to fix potholes once they're aware of them hadn't yet passed.

In a letter response to Bouthat, the province said the Department of Public Works (DPW) received a call about the pothole on Feb. 27, which activated the "standard of 14 days to repair this Level 1A road."

"Unfortunately, the service standard of attending to this issue at the above noted location had not yet elapsed as your date of the incident," the letter stated. 

"As such, there is no indication of any negligence on the part of DPW. While the Crown sympathizes with this personal expense and inconvenience you have suffered, on behalf of the Crown I must advise that we cannot accept your claim for compensation."

Bouthat is planning to appeal the decision.

"I would like to see these claims go through. I mean whether there's a 14-day time limit or not, we pay taxes for our roads to be in safe, driveable condition. We should be able to drive on these roads without damaging our vehicles," she said.

"The potholes are unbelievable this year. I know it happens every year, but I'm just seeing more and more posts online of people having these claims not go through and it's tiring with our taxes are going up. This is our tax dollars. They should be approved."

In March 2020, then-premier Stephen McNeil said having a third-party pothole adjudicator "merits consideration."

McNeil's comment was made after the NDP caucus filed a freedom of information request that also showed low compensation numbers from the province for pothole damage at the time. Then-NDP leader Gary Burrill said he would have liked to see the government make public posts about potholes and hazards on provincial roads and estimated fix times.

But the discussion ended up dying a little more than two weeks later when the province's focus shifted to the COVID-19 pandemic.

When asked about the idea of a pothole adjudicator last Thursday, Premier Tim Houston said he's aware there's a process for people to apply for compensation.

"It's not something that has been on my radar at the moment," Houston said.

Liberal Leader Zach Churchill said he supports the idea of a pothole adjudicator and that the province should pursue it.

"People are being squeezed right now financially, working class people are being squeezed and there's a pile of potholes in Nova Scotia that does a lot of damage to people's cars," Churchill told reporters on Thursday.

"And that process right now is geared toward saying no to people and not giving them money,"

NDP Leader Claudia Chender said the government almost never compensates people for pothole damage on provincial roads.

Chender said the premier "who talks incessantly about how people need to drive" should be looking at the pothole issue more seriously.

"Right now all those people who need to drive who can't afford most things, probably including the cost of gas to put in their car, are then being doubly penalized by this government when their car is in some way destroyed by a pothole," Chender said.

What happens if a claim is denied now?

If someone files a claim for pothole damage with the province and is denied, there is an appeal process where a manager reviews the file and makes a separate determination.

If the manager denies the claim, the province said there are two more options:

• Selecting an independent insurance adjusting firm to conduct a review from a list the province provides. The province submits the claim file for review. The cost of the review is covered by the province. The decision made by the independent adjustor is binding and no further appeal is allowed.
• An action can be filed with Nova Scotia Supreme Court to seek a legal remedy. The province noted that cases against the Crown cannot be heard in small claims court.