The Government of Canada has announced a P3 Canada Fund investment towards the Capital Integration public-private partnership (P3) project in Winnipeg.

Through the P3 Canada Fund, the federal government will contribute up to CAD$137.3 million to the Southwest Transitway (Stage 2) component of the project, while the Province of Manitoba and the City of Winnipeg will each contribute CAD$225 million.

Shelly Glover, Minister of Canadian Heritage and Official Languages, stated:

"The Winnipeg Capital Integration Project is an excellent example of an innovative approach to the delivery of public infrastructure. We know that P3s can provide on-time and on-budget delivery of public assets, and bring savings to taxpayers over the long run. Our Government is proud to support the City of Winnipeg by contributing up to $137.3 million through the P3 Canada Fund for this very important project."

Brian Bowman, Mayor of Winnipeg, added:

"I'm pleased that, with the support of City Council, PPP Canada and the provincial government, Stage 2 of the Southwest corridor and the expansion of the Jubilee Underpass are important infrastructure projects that will serve Winnipeggers for years to come."

The Capital Integration Project is comprised of significant infrastructure components in the southwest quadrant of the city including the completion of Stage 2 of the Southwest Transitway, the addition of active transportation infrastructure, and the renewal and expansion of the Pembina Underpass. Drainage works associated with the project will also be coordinated with the Cockburn-Calrossie combined sewer relief project that is currently underway.

The project will be developed on a design, build, finance, operate, maintain (DBFOM) basis. The contract period will be 30 years, from 2019 until 2049. The operations/maintenance component will not include the operation or maintenance of Winnipeg Transit buses which will remain the responsibility of Winnipeg Transit.

Integration of these infrastructure improvements will help accommodate anticipated population growth in southwest Winnipeg that is expected to lead to an estimated 50 per cent traffic increase on Pembina Highway by 2031. Once completed, the Capital Integration Project improvements, which are consistent with the Council-approved Transportation Master Plan (2011), will allow for transportation options (buses, active transportation, cars, and trucks) to operate in a more sustainable and integrated manner.

Kevin Chief, Minister of Jobs and the Economy for the Government of Manitoba, commented:

"Our growing city needs a modern, efficient public transit system to make it easier to get to work, school or the worldclass shopping and entertainment options across Winnipeg. That's why we are investing in Phase 2 of Rapid Transit, and that's why we have the most generous transit funding agreement in Canada protected by legislation."