The Senate Appropriations Transportation Subcommittee convened Wednesday to hear testimony from Lt. Governor Brian Calley regarding the Administration’s intention to utilize $50 million in Canadian money for the Fiscal Year (FY) 2012 transportation budget.
The Lt. Governor told the panel that the nearly $1 billion expected to be spent by a public-private partnership in constructing the New International Trade Crossing from Detroit to Windsor could be used to qualify for federal highway matching funds for the state. The Administration is still working out the details on the needed legislation to enable the partnership and ensure the matching funds; however, the bill could be introduced as early as this month.
The Canadian government has offered a total of $550 million for the project; however, at least one Senator is still not sold. Senator John Pappageorge (R-Troy) indicated that, if required to make the choice today, he is more inclined to include the $50 million conditionally offered by the Ambassador Bridge in toll credits to apply to Michigan ’s federal match requirement. $200 million in federal transportation dollars would be lost in 2012 if the Canadian money is not utilized, according to Mr. Calley.
Also at issue is the requirement for Michigan to meet the minimum maintenance standards to use toll credits to qualify for matching funds – standards the state failed to meet from 2003 to 2007 and again in 2009.