New report pegs Thunder Bay's infrastructure deficit at $32M - Action News
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Thunder Bay

New report pegs Thunder Bay's infrastructure deficit at $32M

The City of Thunder Bay is not spending enough to maintain its assets and infrastructure, a new report shows.

Facilities, transportation among most under-funded assets

A man works on a construction site.
A new report states the City of Thunder Bay currently has a $32 million infrastructure deficit. (Marc Doucette/CBC)

The City of Thunder Bay is not spending enough to maintain its assets and infrastructure, a new report shows.

The new asset management report, scheduled to be presented to city council on Monday, shows the city's current annualinfrastructure deficit is nearly $32 million. The infrastructure deficit is, essentially, the cost to maintain infrastructure when compared to available resources.

The report breaks down the $32-million infrastructure gap further, to individual infrastructure and asset classes, as well:

"It is incredibly simplistic to point to just one thing," Current River Coun. Andrew Foulds said about the infrastructure deficit. "I believe that it is a number of things, including things like provincial downloading."

He said Thunder Bay's infrastructure deficit is made worse by the city's geographic footprint, which is the same size as bigger cities, but with significantly lower population.

A man wearing a grey suit jacket and blue and yellow shirt and tie speaks into a microphone.
Current River Coun. Andrew Foulds says the information in the report will help the city when it goes to other levels of government for asks for infrastructure. (Sarah Law/CBC)

The climate in northwestern Ontario plays a role, too, Foulds said.

"It is tough on our infrastructure," he said. "That kind of maintenance, repair and replace cycle is different than it is in other places."

"So I don't think there's one thing you can point to. It's sort of an accumulation of a number of different challenges."

In any case, Foulds said the new report will help council make more-informed decisions about infrastructure and asset maintenance.

"Now that we've done this body of work, now that we've got the data,we can make the argument to the public about the investment, but we could also make the argument to other orders of government because they will see that we've done our homework and our needs," Foulds said.

"The other way to reduce the infrastructure gap is to in fact build better," he said."If we can continue to intensify and build on in existing infrastructure, we will of course increase our tax revenue, not build any more infrastructure, and be able torevenue to invest in the existing infrastructure."

Thunder Bay Mayor Ken Boshcoffsaid the city needs to take a systematic approach to the deficit, and make it easier for development to take place.

"It is basically a circular, self-fulfilling economic program," he said. "If you invest then people will come, they will pay their taxes and support the debenture over a period of time, and we will be healthy, strong and prosperous."

Boshcoff said the infrastructure deficit was one of the reasons he ran for mayor in the last election.

A man wearing a suit stands in front of a blue wall that says
Ken Boshcoff, mayor of Thunder Bay, Ont., speaks about the Housing Accelerator Fund at a recent media conference. He says investment will spur development in a positive economic cycle. (Sarah Law/CBC)

"Many of the people were, believe it or not, wondering why this had not been a priority," he said. "It is now. I believe that we will begin to tackle it systematically."

Foulds said making sure whatever the city builds is resilient will also help with the infrastructure gap.

"I think that that's a really important piece to this infrastructure conversation is making sure that when we make these big dollar type of investments, it can deal with the inevitable more frequent serious climate events," he said. "Every dollar that we invest in building resilience will actually save us somewhere between $3and $5 in repairs after a severe weather event."

"I think that that was a real interesting and good piece of information, not just for members of council, but I think broadly speaking this was very good information for the public."

The full report is available on the city's website.

The report will be presented to council on Monday. A third asset management report is due by July 1, 2025, and will establish proposed levels of service for all assets.

"I'm hopeful that even this phase two information will help form some of the administration's recommendations going forward," Foulds said. "I don't think you have to waita year."

"I think this is a document that administration should be using now and informing some of their recommendations coming forward."