[LabComm] $39 Million spent to break BC Rail promise

[BC NDP NEWSWIRE]

-- Taxpayers on the hook for the cost of the secret deal – James --

Victoria– The BC Liberal government has spent $39 million in taxpayers' dollars on the deal to sell BC Rail, a deal Gordon Campbell promised would not happen, Carole James, Leader of the BC New Democrats said today.

The NDP Opposition Caucus revealed today that taxpayers are paying $15 million to ink the deal that will sell BC Rail to CN, including $1 million devoted to government spin and communications.  The NDP also questioned whether taxpayers paid out $24 million in land transfer taxes as part of the CN takeover. The Minister of Transportation has refused to answer whether CN would be reimbursing the province for the expense.

“This is just another example of Premier Campbell wasting taxpayers' money,” said James. “We have seen $900,000 spent on the cancelled Robert’s Bank line due to government leaks of confidential information, over $6 million spent on the botched attempt to privatize the Coquihalla, and close to $19 million spent by the Premier on partisan health care advertising.

“How can the Premier justify his mismanagement of millions of dollars while surgery waitlists grow, hospitals are closing, and long-term care beds are being reduced?” asked James. “This is a question of priorities. Clearly the Premier puts signing deals for his friends ahead of health care for British Columbians.”

>From the start the deal to sell BC rail to CN has been mired in scandal, controversy and secrecy.

A recently leaked document confirmed that the BC Rail deal is a 990-year lease, with the potential transfer of public lands to CN for one dollar. The deal has also been in the spotlight as the reason that leading to the raids on the Legislature last December.

“It is absurd that British Columbians are on the hook for a potential $39 million dollars for a deal the Premier promised would not happen.” James said. “The BC Liberal government made a promise to the people of this province, and now he is spending a fortune to break yet another New Era commitment.”

The NDP has called for the full, uncensored agreement between the government and CN to be released for public review. The government has yet to release the contract.

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Media contact: Scott Perchall 604-862-7747

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