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Will Ford’s subway kill Sheppard LRT?

A proposal for a Scarborough subway is up in the air Tuesday night, with some councillors warning that going ahead with the project could put the Sheppard light rail line in jeopardy.

Council spent most of its meeting Tuesday debating a plan to replace the aging Scarborough RT with an extension of the Bloor-Danforth subway. The plan is a change from one previously approved by council, which would have seen a light rail line replace the decaying RT.

With Mayor Rob Ford teaming up with his rival TTC chair Karen Stintz to back the subway, there appeared to be broad council support for the underground rail line.

Although neither the province nor federal government have given firm financial commitments, both levels of government have signaled they would provide some funding to help get the project built.

But during the meeting, it became apparent that any federal money for the subway could come out of funds previously earmarked for the Sheppard LRT line. Council approved that $1-billion project as part of the Transit City light rail revival last March, with a $333-million commitment from Ottawa. Without that federal money, the Sheppard project might have to be scuttled.

In a speech to council, Mayor Ford surprised some in the chamber by saying that the federal money wasn’t tied to Sheppard, and suggesting it could be used for the subway extension instead.

“It is for a Toronto transit project. They don’t tell us what project to spend the money on,” said Ford, who met with federal Finance Minister Jim Flaherty over the weekend to discuss transit plans.

Then in a statement e-mailed to the Toronto Star, a spokesperson for Flaherty confirmed that as far as the government is concerned, the $333 million isn’t bound to the Sheppard LRT.

“It is not allocated to any specific project, at this time. This funding is available but we are currently waiting for proposals,” the spokesperson told the Star.

A spokesperson for the minister could not be reached by phone Tuesday evening.

As word of the e-mailed statement spread through the council chamber, councillors began to express concern that approving the subway could have dangerous consequences for the Sheppard line, which would also service the underserved Scarborough region.

“I want to know if the federal government is in on Sheppard,” said Councillor Ron Moeser, who represents Scarborough East.

Going into damage control, the mayor’s office released a hastily prepared statement declaring the subway extension “will be contingent on securing new Federal funding.”

“I am not looking to reallocate funding from Sheppard to this project, we need new money,” the mayor’s statement said. “The $333 million is set aside for Sheppard, that is where this money should stay.”

Karen Stintz was equally adamant that there was no risk of Sheppard being defunded.

“If this project is to proceed it has to proceed with new federal money,” she said. “I think there was just some confusion in the minister’s office.”

The TTC chair said that the master agreement between the city, Metrolinx, and TTC stipulates that the federal money go to Sheppard, and that she considered this written assurance that it would not be reallocated.

In an e-mail to NOW, Metrolinx confirmed that the provincial transit agency has dedicated Ottawa’s contribution to Sheppard.

“The Master Agreement states that the federal funding is assigned to the Sheppard LRT project. We don’t support redirection of the funds,” the spokesperson wrote.

The federal government is not a signatory to the master agreement however, so it is unclear if the document binds Ottawa to contributing to the light rail project.

Stintz’s satements were of little comfort to Councillor Janet Davis, who wants council to reaffirm its support for the Scarborough LRT instead of the subway.

“There are so many unanswered questions right now, I think to approve this recommendation from the mayor is completely irresponsible,” Davis said.

Council adjourned at 8 p.m. without a decision on the subway being made. It will reconvene Wednesday at 9:30 am.

A report released by the city manager last week found that extending the Bloor-Danforth subway line could cost up to $1.6 billion more than the $1.8-billion LRT. The province has agreed to chip in at least $1.48 billion, but Ford is asking for $1.8 billion.

The city is also seeking at least $418 million from Ottawa, depending on how much the province gives. In a remarkable about-face, the rigidly conservative mayor is backing a plan to raise the city’s portion by hiking property taxes by at least 1 per cent, instituting new development charges, and taking on debt over a 30-year term.

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