Preliminary cost of Fort McMurray fire estimated at $615 million - Action News
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Edmonton

Preliminary cost of Fort McMurray fire estimated at $615 million

The initial cost for the province to fight last month's massive fire in Fort McMurray was $615 million, Alberta Municipal Affairs Minister Danielle Larivee revealed for the first time on Friday.

Newly announced $300M from Ottawa will help cover costs of initial response

The Fort McMurray neighbourhood of Abasand is seen on Wednesday, June 8. (Trevor Wilson/CBC)

The initial cost for the province to fight last month's massive fire inFort McMurray was $615 million, Alberta Municipal Affairs Minister Danielle Lariveerevealed for the first time on Friday.

It wasthe first time the province has attached any specific amount to firefighting and evacuation costs.

The figuredoes not include the loss of revenue from the break inoil sands production,loss of royalty revenueand the cost of the cleanup. It alsodoesn't include the cost of property loss, which is expected to be in the billions.

"That's an estimate," Larivee said about the $615 million figure. "There will likely be some unexpected expenses that come up along the way."

The province may seek additional federalhelp for long-term recovery, she added.

Federal Public Safety Minister Ralph Goodale,Veterans Affairs Minister Kent Hehrand federal Infrastructure Minister Amarjeet Sohijoined Lariveeat an Edmonton news conference to announce Ottawa will be providing an advance payment of $300 million to Alberta in early July.

The funding will be coming through the Disaster Financial Assistance Arrangements program.

Although the funding is only half the initial costs incurred by the province, Larivee said the quick turnaround is much appreciated.

"Getting this money, this quickly, and an advance on this is actually exceptional," she said.

Ottawa will match the more than $90 million donated to the Canadian Red Cross to help fire victims. The government of Alberta is matching the more than $30 millionindonations made within the province.

The federal governmentis moving quickly to make federal funds available for Alberta to alleviate the financial burden of recovery from the northern wildfires,saidGoodale.

Municipal affairs minister Danielle Larivee says that the provincial and federal government will continue to work together to help Fort McMurray. (CBC)

In early May, a wildfire dubbed "the beast" tore through Fort McMurray,forcing the evacuation of90,000 people. About2,400 structureswere destroyed. Thousands more were damaged.

Since early June, some residents have been returning to their homes. But the entry date for those who lived in the hardest hit areas is up in the air.

"Alberta appreciates the support of our federal government and all Canadians as we continue to deal with a difficult situation," said Larivee.

The provincial and federal governmentswill be working together to implement aCanadian Wildfire Strategy and to strengthen fire-prevention programs.