B.C. money for rail line?

by Wayne Moore CASTANET - Mar 10, 2015 / 9:00 pm
It has long been believed the provincial government will become a financial partner in the proposal to purchase the defunct CN Rail line between Kelowna and Coldstream. An agreement was reached in December in which Kelowna, Lake Country and the Regional District of North Okanagan agreed to pay $22 million in monetary considerations and land donation, to which the City of Kelowna would issue a charitable donation receipt. That will cover the difference between the agreed upon price and the original asking price of $50 million. The City of Kelowna has agreed to pay $7.6 million, and will fund half of Lake Country's $5.1 million portion while the RDNO will be on the hook for about $1.9 million. The partners are actively pursuing additional funding options for the remaining funds (approximately $7.3 million) of the agreement purchase amount through alternate sources of funding, including grants and partnerships. The province is believed to be one of those sources. Premier Christy Clark – in the region for another announcement – remains noncommittal as to when the province will be ready to make an announcement. "Not yet. Not today. Next time you see me, perhaps," said Clark when asked if the province was close to an announcement. Kelowna's chief negotiator Doug Gilchrist said Tuesday he was unable to give any specific information concerning other funding streams. He would only say that government partners are working at getting additional sources of funding and he is hopeful those will come together by the close of sale in June. Lake Country is in the midst of preparing for a referendum, asking its residents for permission to borrow up to half ($2.6 million) its share of the 47.5-kilometre line.