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Federal government delaying Spadina subway extension?



Today’s Globe and Mail contains an article wondering why the federal government seems to be delaying the project to extend the 1 Yonge — University — Spadina subway.

The article speculates on reasons why the government has not signed its agreement to contribute to the costs of stretching the line northwestward beyond Downsview Station to the Vaughan Corporate Centre near Highway 7 and Jane Street.

The Globe’s Karen Howlett and Jeff Gray explain that Ontario premier Dalton McGuinty told reporters that he thought that the federal government would hold a news conference this week to announce that it was completing the agreement, but that has been delayed “because something has gummed up the works.”

Prime Minister Stephen Harper announced $1.5 billion in funding for Toronto-area transportation projects in March, 2007 including the project to extend the subway. The federal government would contribute $697 million to the total project cost of $2 billion.

The TTC has started some preliminary work on the extension, but can’t proceed with the project until the federal, provincial and municipal governments have signed contribution agreements and the TTC has secured all funding.