Moved by Councillor Chisholm Seconded by Councillor Robertson
WHEREAS in 2015, Ontario’s government announced it would partner with the federal government to help to build new road-under-rail grade separations in Halton Region. Ontario’s Regional Express Rail initiative would provide faster, more frequent GO rail service, with electrification on core segments rail network;
WHEREAS two Oakville grade separation projects at Burloak Drive (in partnership with the City of Burlington) and Kerr Street were included;
WHEREAS Environmental Assessments were undertaken in 1994 for the Burloak project and 2009 for the Kerr project;
WHEREAS in December 2017, Ontario’s government announced Infrastructure Ontario (IO) and Metrolinx had issued a Request for Qualifications (RFQ) to build and finance the Lakeshore West Corridor Infrastructure Improvements project which included both the Burloak and Kerr St. grade separation projects;
WHEREAS in April 2018, Oakville Council voted to give the town CAO and solicitor authority to execute agreements with public transit authority Metrolinx on the fundamentals of the underpasses;
WHEREAS at that time it was acknowledged the Kerr St. project would be a more complex project requiring significant impacts on surrounding properties resulting in the need to acquire or partially acquire said properties;
WHEREAS in October 2018, all parties of the Burloak Separation agreed on a capped cost share for a total project cost of $60 million (Oakville’s share at $15 million) and a total project cost for the Oakville share of the Kerr St. separation of $65 million;
WHEREAS on February 18, 2022 Metrolinx staff met with the Mayors of Oakville and Burlington to advise them that each municipality would now be required to provide an additional $29.25 million on top of the agreed capped cost share, for a total share of approximately $45 million each for the Burloak project;
WHEREAS at the same time Metrolinx advised Oakville costs the Kerr St. project had now ballooned to $233 million, an increase that approximately doubled the original cost of the project. As a result, Metrolinx would defer the Kerr St. grade separation for an undefined length of time; and Burloak would now take 5 years to complete as opposed to the two-year time frame;
Whereas, the Mayors of Oakville and Burlington on February 25, 2022 requested Metrolinx to immediately engage to address the cost increase, expressing significant disappointment in the process, the multiple delays and late request for additional funding;
Whereas on March 3, 2022 Metrolinx responded in writing, indicating that the request for an additional $29.5 million was lowered to $19 million;
Whereas, in discussions with the CAO’s from Oakville and Burlington, Metrolinx were in agreement to work together to examine all means to reduce the cost of Burloak as the project continued to be underway and that Oakville and Metrolinx work together to reduce the Kerr project costs and to continue to move forward with Kerr, albeit following the Burloak project; and
Whereas, the Oakville Councillors of Ward 1 and 2 issued a news release calling on the Province to ensure that the previous commitments to the construction of both grade separations move forward immediately and at the costs agreed to in 2018;
THEREFORE, BE IT RESOLVED THAT:
- Council supports the above noted correspondence;
- Requests be made to the President and CEO of Metrolinx, the Premier of Ontario, the Minister of Transportation and the MPPs representing Oakville and Burlington for their intervention and involvement to resolve this matter as per the agreements set out in 2018;
- Mayor Burton and CAO Clohecy convey deep concerns to Metrolinx over Oakville’s exclusion regarding ongoing capital cost escalations, the lack of transparency during the procurement process and the unrealistic, fiscally irresponsible expectations it has made in asking municipalities to cover the substantial cost escalations. That the Mayor and CAO convey Council’s concerns over the substantial delays in construction and the safety concern those delays raise;
- Oakville calls on the Government of Ontario to provide additional capital funding required, to ensure that Metrolinx comply with the previously agreed upon construction schedules and capped costing arrangements for both Oakville grade separation projects.