Location: National

Issue/Source: VIA Rail is accessing funding through Supplementary Estimates B to support High Frequency Rail and undertake critical maintenance work both inside and outside the Windsor – Quebec City Corridor.

Date: November 30, 2022

Suggested Responses

  • The funds will help support VIA Rail in maintaining a safe, efficient, and reliable passenger rail service for travelers across Canada.
  • Advancing the High Frequency Rail project will transform passenger rail service by introducing a new intercity passenger rail network connecting Toronto, Peterborough, Ottawa, Montréal, Trois-Rivières and Quebec City.
  • Continued investments in existing rail tracks will help improve passengers’ experience and support the continued safety of VIA’s customers and employees.

If pressed:

  • The Government of Canada is committed to modernizing intercity passenger rail services in a way that will best meet the transportation needs of travellers, while also creating jobs and economic growth.
  • This funding is consistent with VIA’s responsibilities to continue to operate Canada’s national passenger rail system in a safe, efficient, and reliable manner while the significant transformation of its business is underway with the advancement of the High Frequency Rail project.

Background Information

Operational Funding

High Frequency Rail Support ($14.4M-transfer from TC)

Budget 2022 provided Transport Canada with $389.2M to further advance the HFR project through the procurement phase. This funding will support the launch of the procurement process to select a private developer partner and help build a robust project governance and delivery structure, including the creation and operationalization of a VIA subsidiary.

Through this Supplementary Estimates B process, $14.4M is requested to be transferred from Transport Canada to VIA for the Crown corporation to undertake essential support to enable the initial set up of the new subsidiary and to procure and manage certain technical studies during the Procurement Phase of the HFR project, in collaboration with the HFR Government Office.

Capital Funding

Critical Maintenance Work in the Windsor-Quebec City Corridor (Corridor) ($58.7M)

Budget 2022 provided $212.2M in capital funding to the Crown corporation over three years for critical maintenance work on stations and maintenance centres throughout the Corridor. Funding was also received for the procurement of new buildings to accommodate the introduction of the new Corridor fleet, which will enter service at the end of 2022. A portion of the overall funding for 2022-23 is being sought through this estimates process.

Critical Maintenance Work outside the Windsor-Quebec City Corridor (Non- Corridor) ($37.5M)

A 2022 off-cycle decision provided $163.1M in capital funding to the Crown corporation over three years for critical maintenance work on Non-Corridor stations, maintenance centres, and aged rolling stock. A portion of the overall funding for 2022-23 is being sought through this estimates process.