Section of the Trans-Canada Highway east of Revelstoke to be widened starting this year at a cost of more than $85 million for two kilometres of four-laning and an expanded truck stopping area. (B.C. transportation ministry)

Cost jumps 35% for Trans-Canada Highway widening in B.C.

Revelstoke-area stretch first awarded under new union deal

The price tag for the latest four-laning project on the Trans-Canada Highway jumped by more than $22 million as the first contract was awarded on the NDP government’s new union public construction mandate.

The B.C. transportation ministry has awarded the two-km stretch east of Revelstoke to Kelowna-based Emil Anderson Construction, with a budget increased from $62.9 million to $85.2 million. The increase is “due to escalating costs of materials, labour and the complexity of work required,” the ministry said in a statement.

The Illecillewaet project, 42 km east of Revelstoke, includes acceleration and deceleration lanes and an expanded brake-check area for trucks. Construction is expected to begin in June, with completion by spring of 2022, with $15.5 million provided by the federal government and B.C. funding the rest.

“In the case of this project in my riding, the federal funding share is not going to change, so B.C. taxpayers are on the hook for these increased costs,” said Doug Clovechok, B.C. Liberal MLA for Columbia River-Revelstoke.

Premier John Horgan’s government has directed that all large public construction be done under a “community benefits agreement” that requires employees to join international unions affiliated with the B.C. and Yukon Building Trades Council. Transportation Minister Claire Trevena estimated that the agreements would increase labour costs by up to seven per cent, partly due to expanded opportunities for apprentices.

The ministry issued a statement to Black Press Tuesday, saying the steep increase is partly due to a “hot construction market” for materials and labour, including a 30 per cent steel premium and 20 per cent on asphalt for paving.

The Independent Contractors and Business Association, a mostly non-union group of companies that has joined a court action against the NDP policy, says the cost increase is a direct result of the union restrictions.

READ MORE: B.C.’s union rules could create construction ‘battle zone’

READ MORE: Construction companies challenge ‘illegal’ B.C. union deal

“The NDP’s sweetheart deal with their building trade union allies has driven the cost of this project up by a third, and they’re not even in the ground yet,” ICBA president Chris Gardner said. “It’s no surprise. There were far fewer bidders than expected as many roadbuilding companies are avoiding the NDP’s forced labour model.”

Gardner predicted that the Pattullo bridge replacement, the Broadway subway in Vancouver and other sections of the Trans-Canada four-laning from Kamloops to the Alberta border will also cost more.

The 300-page B.C. deal creates a new Crown corporation, B.C. Infrastructure Benefits, to control payroll, union dues and benefits for public construction. It will divert 25 cents per hour for each employee to a new union council called the Allied Infrastructure and Related Construction Council of B.C., and another seven cents per hour to building trades union funds for health and safety, rehabilitation and skills training.

Non-union or independent union-affiliated companies can bid on taxpayer-funded projects, but their employees are required to join one of the designated international trade unions within 30 days of starting the job.

The B.C. Construction Association also objects to the new deal, calling the name “community benefit agreement” a way to “disguise a union labour agreement.” The deal requires wage increases of two per cent per year until 2024 with no strikes allowed.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Ladysmith Chamber president speaks up for local business at meeting with provincial ministers

Tammy Leslie, Ladysmith Chamber president presented three policy proposals to the government

Play revolves around teenagers in thought-provoking dialect

Chemainus Theatre’s I & You focuses on the development of an unlikely friendship

Stouffer in a class of her own without Proteau in the field

Fairwinds golfer captures Mount Brenton ladies’ golf tournament by 15 strokes

Tour de Rock cyclists gear up on training ride

Stops in Ladysmith and Chemainus part of the fanfare and preparations

Sculpture relocation plan works perfectly in Chemainus

Heavy lifting required to place Cline’s work into Heritage Square

Bodies of two missing Surrey men found near Ashcroft: RCMP

Ryan Provencher and Richard Scurr have been missing since July 17

Hearings begin as Vancouver Island mom fights for allegedly abducted daughter

Tasha Brown now in Jersey in the British Isles, fundraiser being held in Nanaimo

B.C. manhunt suspects left cellphone video before they died: family

Family member says Kam McLeod, Bryer Schmegelsky recorded final wishes

VIDEO: RCMP unveil new, state-of-the-art forensics lab in Surrey

The laboratory is expected to handle thousands of forensic services from across Canada annually

Scheer promises EI tax credit for new parents if Conservatives form government

The government currently taxes employment insurance benefits for new parents

B.C. seizes 1.5M grams contraband tobacco, down from 5.75M grams the year prior

The 2019-2020 seizures were a sharp drop compared to the 2018-2019 year,

B.C. Speaker tight-lipped about aide’s legislature security tour

B.C. Liberals question Alan Mullen’s drive across Canada, U.S.

B.C. sets rules for ride hailing, same minimum fee as taxis

Larger operating areas seen as threat by cab companies

Most Read