Feds delay Ottawa's light rail money

The federal government is delaying its $200-million contribution to Ottawa's light rail project while it reviewschanges madeto theplan last week.

TheCity of Ottawa received a letter from Transport Canada Tuesday,justfour days before aDec. 15 deadline for getting the project underway.

The letter noted that the new, shortened rail line approved by city council last week is not the one previously approved by the Treasury Board and said thefederal government must review the new version of the project before it can hand over the money.

The letter contradicts a statement from Treasury Board president John Baird last week, which confirmed that the federal funding remained committed to the project.

An official with the Ontario government said the province must also review the new version of the project before it can confirm its own $200-million contribution.

The original project approved by the federal and provincial governments was to run from Barrhaven Centre north to LeBreton Flats, then travel east through downtown to the University of Ottawa. A contract with Siemens-PCL/Dufferin to build thatline was approved by the previous city council in July.

In October,Baird announced the federal government was withholding its contribution until after the Nov. 13 municipal election so the new council could vote on the plan again.

Last week, the new council approved a shortened version of the plan that cuts out the downtown portion of the rail line,makingBayview station at LeBreton Flats the north terminus of the line.