GO Transit: Construction Projects (Metrolinx, various)

[nfitz]

My deepest conspiracy theory is that money is actually tight, and work may be quietly getting slowed or deferred in the interest of cash flow. It's one thing to promise the network, but QP is running close enough to a balanced budget that it would be politically tempting to choke off spending until the eventual election. Let the coffers flow as planned, and that very important bragging point would be forfeited. Ford has done enough dumb things (like spend money on beer in corner stores) that may have taken a bite out of available cash. Just me being gloomy, but not necessarily illogical.

I doubt very much the PPP-like contract would be impacted much by government cash flows. Not without severe and expensive penalties.

Perhaps the sole advantage of a PPP, given that they all seem to run to the courts to make up for their underbidding.

 

[PShells]

The tree growing on the unused second track at Agincourt station has been cut down.

I've seen A&B Rail workers near West Highland Creek for weeks now but there’s no noticeable work being done.

New track continues to be laid at East Harbour. I’m looking forward to what this section of LSE corridor will look like following the Nov 9-10 weekend closure for a track shift.

 

[rbt]

My deepest conspiracy theory is that money is actually tight, and work may be quietly getting slowed or deferred in the interest of cash flow. It's one thing to promise the network, but QP is running close enough to a balanced budget that it would be politically tempting to choke off spending until the eventual election. Let the coffers flow as planned, and that very important bragging point would be forfeited. Ford has done enough dumb things (like spend money on beer in corner stores) that may have taken a bite out of available cash. Just me being gloomy, but not necessarily illogical.

Balancing the budget is independent of capital spend. Interest on the debt shows up in future years, but not the capital spend; selling capital items (like highways or the hydro system) doesn't work as a tool to balance the budget for a single year anymore either.

If Metrolinx has cash-flow issues for capital projects then it's because Ontario is holding back on issuing debt; with rapidly falling interest rates that's not a terrible idea for a year.

EDIT: Worth mentioning, if Ontario's credit rating is considered borderline then that would be a reason the province might hold back on issuing debt for capital projects. Doesn't show as a deficit in the budget but a credit rating drop would hit the news cycle hard.