Ottawa sinks Iqaluit pool funding application

This computer generated graphic shows the type of new swimming pool that the City of Iqaluit’s recreation department would like to build. (FILE IMAGE)

PPP Canada, the federal agency set up to fund public-private building partnerships, won’t be giving Iqaluit its share of the $40 million that the city wants to spend on an aquatic centre.

That’s because PPP Canada recently decided municipal recreation projects are no no longer eligible for funding under the program.

PPP Canada funding would have covered 25 per cent of the proposed new building’s costs, Amy Elgersma, the City of Iqaluit’s director of recreation, said Nov. 30. “We had been in contact and met with them on a number of occasions, so it was quite a surprise to hear from them that recreation projects were no longer eligible.”

Preparation of the city’s P3 application cost the city about $50,000, including staff time, Elgersma said.

“It is considerable for the City of Iqaluit to put that much time and energy into something that suddenly changes part way through,” she said.

Greg Melchin, the chair of the board that oversees PPP Canada Inc., said Nov. 28 that Tory Finance Minister Jim Flaherty cut recreation centres from the eligibility list last week.

It’s the prerogative of the federal government to change policy and criteria if it wishes, Melchin said.

PPP Canada noted recently it had received applications seeking roughly $24 billion in funding, far beyond the $1.2 billion the agency had set aside.

Due to the volume of requests, PPP Canada warned tough decisions would have to be made and certain projects wouldn’t get money.

Despite the setback, Elgersma remains confident that the federal government will announce a new funding program for recreation infrastructure programs in the near future.

The city has been leasing the pool at the Astro Hill Complex since the early 1970’s, but its lease is set to expire in March 2013.

“We recognize that a pool is really important to the community, and we are trying to extend the lease so that the city won’t be left without one,” said Elgersma.

PPP, or “P3” projects are pieces of public infrastructure built jointly by governments and private companies.

PPP Canada is a Crown agency set up to provide the federal government’s share of such arrangements.