BC Rail Corp to Move Under Wing of Ministry of Transportation

Wednesday, February 10, 2010 01:56 PM

Prince George B.C.- Less than 24 hours after announcing in the Throne Speech that Crown Corporations, like BC Rail, would come under review, the Minister of Transportation and Infrastructure, Shirley Bond, has announced B.C.Rail Corporation will come under her Ministry's jurisdiction by the first of April.

The Province says the move will reduce administrative costs. "Over the past eight years, BCRC has generated close to $1.5 billion for British Columbia and the company has remained debt-free," said Bond. "After an extensive review, our government and the board of directors agree that BCRC's scope of work has evolved to a point where it could be most efficiently managed within the Ministry of Transportation and Infrastructure."

Legislation to facilitate the transition will be presented to the legislature in the current sitting of the House.

"By integrating BCRC's day-to-day operations into the ministry, there will be ongoing savings and benefits from a reduction in operating costs," said Bond. "By having greater flexibility around the use of the assets of BC Rail, the Province will be better able to strategically
manage those assets as part of the Pacific Gateway Strategy, including port operations and strategic land acquisitions."

The BCRC board of directors have resigned effective March 31, 2010. The president and CEO and executive vice-president of real estate will stay on until that time to facilitate the transition of BCRC to the ministry.

Beginning April 1, 2010, the Ministry of Transportation and Infrastructure will assume responsibility for the company's operations, including:

* Supporting and facilitating the BC Ports Strategy and Pacific Gateway Strategy, which includes the railway corridor, strategic port lands and related infrastructure investments.
* Overseeing the 2004 Revitalization Agreement with CN Rail.
* Overseeing the lease agreement with Kinder Morgan Canada Terminals for operating the Vancouver Wharves' marine terminal facilities.
* Retaining ownership of all former BC Rail railway lands and track infrastructure.
* Retaining the ownership and operation of the BCRC Port Subdivision, a 38-kilometre line for the port terminals at Roberts Bank.
* Disposing of remaining residual land assets, except those related to rail or Pacific Gateway operations.

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Posted on Wednesday, February 10, 2010 01:56 PM in News by 250 News

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Comments

Posted by: Municca on February 10 2010 2:18 PM

Did we not sell this railroad?

Posted by: BC Mary on February 10 2010 2:48 PM

There's plenty of BC Rail left, Municca, that we could take some care of it.

There's Roberts Bank. Remember that Gordo's Gang had to stop trying to sell Roberts Bank when news leaked out that the BCR deal was tainted?

There's the 30 km. of BC Rail track linking to Roberts Bank. We still own that.

B.C. still owns the rails and railbed even if we somehow misland the BCRail freight operations itself.

Most of all, there are over 2,500 pieces of prime real estate owned by BC Rail, and worth a fortune.

What I'd like to ask Gordo is why he couldn't simply reduce the salaries of those overpaid BC Rail "managers". Why does he want to disappear so many valuable public assets?

It's another question as to whether or not we actually received the $1Billion supposedly paid for it by CN. It's a sum which is laughable, really, when it's compared to marijuana sales bringing in $6 or $7Billion a year.

As Laila Yuile once said in her column, Gordon Campbell is all about real estate.

Never mind: the BC Rail trial is set for May 3, 2010 in Vancouver Supreme Court. Jury selection Feb. 21. Then, the still semi-secret BCR-CN deal may be revealed.

More at my place:

http://bctrialofbasi-virk.blogspot.com/

Posted by: Municca on February 10 2010 3:02 PM

Thank you Mary for the information. :}

Posted by: Born in BC on February 10 2010 3:30 PM

"What I'd like to ask Gordo is why he couldn't simply reduce the salaries of those overpaid BC Rail "managers". Why does he want to disappear so many valuable public assets?"

Worker bees think the managers are overpaid and managers think the worker bees are overpaid. Nothing ever changes.

Posted by: woodchipper on February 10 2010 4:02 PM

"Over the past eight years, BCRC has generated close to $1.5 billion for British Columbia and the company has remained debt-free," said Bond. "

That is admirable that its "debt free".

Assuming that 1 billion was the proceeds from the CN sale and the other .5 billion is the net after expenses in divesting real estate, what were the operating costs over and above this amount?

There seems to be some emphasis on the efficency we are going to gain, so that would mean that an inefficency was ocurring doesn't it?

What was the operating cost over the last 8 yrs that were so over and above what should have occurred?

Posted by: taxinapothole on February 10 2010 4:08 PM

I say Public Hanging for Gordo, much like Saddham Hussien! This crook has sold our province, without our permission! Who the hell does he think he is.

Gordon Campbell, you are a disgrace to society. Can't wait until you are back in the "general population"! Ever win a fist fight in the school yard Gordo! I am thinking you were a taddle tail.

Woosy goro

Posted by: acrider54 on February 10 2010 4:11 PM

Excuse me? Of course! We still pay the CEO of BC Rail hundreds of thousands per year to look after a whole 30km of line and some scrap metal.

Thansk Gordo for all your help and insight.

Posted by: Palopu on February 10 2010 4:55 PM

All this could have been done 7/8 years ago. These people were left in place because of Politics, and for no other reason.

The CEO etc were getting paid something like $500,000.00 per year. If the Province wasnt going so far into debt, Im sure that they would have left everything the same.

It doesnt matter whether it is BC Hydro, BC Transit, BC Ferries, BCLC, BC Rail, BC Liquor Corp,, ICBC, or whatever. These Government entities are all dumping grounds for Political supporters etc;

These running dogs, live high off the hog at the expense of the average Joe, and then they tell you that the HST is good for you.

Anyone who continues to support these hacks in the next election should be ashamed of themselves.

We need a third party to run and get some seats so that the Liberals do not have control in the next election. Failing that we need to vote for independent candidates.

If all else fails then we have to hold our noses and vote NDP, because if we dont then we are basically sending a message to the Liberals to carry on screwing us to death.

Posted by: interceptor on February 10 2010 6:27 PM

Yes, hold your nose and vote NDP - then we can REALLY see what a recession is in the North... Does everyone forget how many businesses left BC last time? Even BC born and bred Finning Tractor embarrisingly pulled up stakes and moved head office to Edmonton.
PS- BC Mary can you please post your facts that pot sales bring 7 Billion into BC's economy.
Thanks

Posted by: jonnypg on February 10 2010 7:08 PM

Give me a break interceptor, Just announced on the radio that about 2200 families have left this region!Dont go blaming past governments,

Posted by: BC Mary on February 10 2010 7:34 PM

If you sell the farm for $1.5 billion, it's not exactly Operating Income for running the farm.

But I suspect that the $1.5 Billion mentioned by Shirley Bond is money derived from the sale of BCR lands. I'd like to know the strategy involved there.

My heart sinks, though, when I hear partisan politics brought in as The Answer. As long as citizens are left squabbling over "Me good, You bad" the province will sink farther. We're all in this mess together and the way I see it, we'll never get back on level ground unless we work together.

Interceptor: BC marijuana sales are often referred to as $6Billion, sometimes $7Billion. But I don't know how an accurate source could be found for something that's sold illegally, beyond accountability. I've used the figure given by RCMP Staff Sergeant John Ward at his Dec. 29, 2003 press conference when he was explaining the raids on the BC Legislature; that's when he said that Organized Crime had entered all levels of society with a huge industry valued at $6Billion CASH per year for marijuana alone. And I'm not sure pot sales bring that money INTO BC's economy.

Posted by: Andyfreeze on February 10 2010 8:19 PM

When the B.C. Rail trial starts in May,I think everyone will walk in short order.
That's what long delays have a tendancy to do.
Case dismissed.
Some how I doubt the truth will ever really be known and the speculation will go on for years.
And besides,if someone goes down, they may just start singing and take someone with them.
Can't have that happen so the best way to prevent that...everyone walks.
There is a stink to this case unlike anything we have seen in many years.
The delays,missing emails,and the fight to keep everything under wraps by the Premiers office leaves us with a big question.
Why?
If there was no guilt, what's the big deal?

Posted by: Palopu on February 10 2010 9:13 PM

Inteceptor. Your response is exactly what I am talking about.

If you refuse to change how you vote because of your dislike for the NDP, then you are basically giving the Liberals Carte Blanc to do whatever the hell they want. Which is exactly what they are doing now.

Dont for a minute think that they are not counting on people like you to continue to support them. They are counting on fear of the NDP to get them re-elected.

As much as I would not like to see the NDP in power, the alternative of putting Campbell and his cronies back in for another 4 years is just to bloody scary.

So your between a rock and a hard place. Four years of the NDP wont kill us. Four more years of the Liberals probably will.

Posted by: Andyfreeze on February 10 2010 9:28 PM

I don't think Gordo will stick around to get his arrogant ego kicked down the road in the next provincial election.
He will take his money and run, leaving his minions to try and clean up the mess and take the flak.
Considering that Campbell will be the biggest reason they bite the dust,you have to wonder why they would keep him around?
Surely there must be one pair of family jewels in the Liberal party?
I guess not.
It isn't what happens in 3 1/2 years that bothers me anyway...it is what happens between now and then that scares the hell out of me!
The tough part is that if the media would only do their job and tell it like it is,this would be over in a hurry.
Whatever happened to good solid investigative reporting?
There are more skeletons rattling around in the B.C.Liberal closet (and Campbell himself)than at anytime in recent memory,but for some reason nobody will touch them.
Why is it hands off Gordo?
Who is really pulling the puppet strings?

Posted by: woodchipper on February 11 2010 1:16 AM

To add to what BC Mary brought up about the motivations behind selling BC rail properties; is that the simple answer is to pour money into the provincial coffers.

The more complicated explanation involves how they maximised this cash grab.

What a scam to push up prices and decieve tenants of what they faced and when and for how much these lots would actually be priced at. These tenants paid nearly double what they should have, all because of the bs of delaying the sale and pushing prices up. You wouldn't have expected such from a crown corp as seeing it cause the destruction of numerous businesses and fully exploit its landlord powers.

A really honourable achievement in generating .5 billion while putting its tenants into debt about .5 billion as well.

They sold the farm by the sale of the BCR equipment in what looks like a very fishy deal and then they screw their tenants.

Posted by: Loki on February 11 2010 8:19 AM

non-Partisan Party!

Posted by: Municca on February 11 2010 8:43 AM

Why people are so frigging stuck on there are only the Lieberals and the NDP to vote for?????? There are other parties for God sakes. Yes go ahead and put your X on these two parties who have proven time and time and decades and decades again that they suck! This is the stupidest thing I have ever seen! It is voters like you who are ruining this province. The next time you vote, if you vote, MOVE YOUR PENCIL DOWN TO THE NEXT BOX ON THE LIST. SIMPLE!! Who cares that they have not been in before? EVER HEARD OF CHANGE?? OMG, we are in trouble if this continues to be the MENTALity!

Posted by: Retired on February 11 2010 9:52 AM

It would be a trgic mistake to elect the NDP in the next election. Unless your looking for a �fall guy�. This would be a good idea for all those peaed off liberals that Gordo is now shafting. It will be a disaster for whoever gets elected because of the huge debt that Gordo has accumulated during his rein. It will be a great day to watch Gordo face the music.
Cheers

Posted by: acopolympics on February 11 2010 10:08 AM

And what music would that be? A $100,000 lifetime pension? Any politician who is found quilty of mis dealings should automatically loose thier pensions. If you were caught embezzling from a company you worked for, do you think you would be let go and given a pension for life?

Posted by: BC Mary on February 11 2010 4:51 PM

After 6 years of tracking what Gordo's Gang has done to British Columbia -- and BC Rail in particular -- I must admit I was stunned by Gordo's latest tricks.

So "BC Rail is finally kaput ..." writes Michael Smyth in his column today. Like as if BC Rail is some worthless scrap of old garbage which we really, really need to throw away. Lies, lies.

BC Rail still has those 2,509 properties, the rails and railbed, the 40 km. with trains serving Roberts Bank, Roberts Bank itself ... and there's a repossession possibility with that tainted deal Gordo's gang made with CN ... BC Rail even today is worth safeguarding.

But then Gordo tries to stuff what's left of BCRail into Shirley Bond's possession like a folded $5 goes into a belly-dancer's garter-belt.

Shocked, angry me.

But I wish you could see the comment left by Paul Nettleton today on The Legislature Raids, at:

http://bctrialofbasi-virk.blogspot.com/

And just think: Gordo's dirty scheme was hidden in that one little sentence in the Feb. 10 Speech from the Throne.