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Thursday, 10/25/2012 2:14:06 PM

Thursday, October 25, 2012 2:14:06 PM

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A potential game-changer was brought to the table from North Bay City Hall on Friday for the impending divestment of the Ontario Northland Transportation Commission.

Together on Oct. 19, the ONTC union leadership, Ontario’s far north First Nations, a former ONTC director and Nipissing Timiskaming MP Jay Aspin unveiled a plan to transform the Commission from a provincial Crown corporation into a modern federal one.

“In my view it is time to have a plan for Northern Ontario to retain its wealth for all of Northern Ontarians. For too long Northern Ontarians have been hewers of wood and drawers of water. This has to end,” said Aspin.

The new plan would transform the ONTC from a provincial corporation under direct ministerial control to an independent federal corporation called a “port’s authority” under the Canada Marine Act passed in 1998.

The Act has designated 17 port’s authorities across the country, including Vancouver, Toronto, Halifax, Thunder Bay and this year, Oshawa.

As the newest proposed port authority, the partners on Oct. 19, dubbed it the James Bay Lowlands Port Authority to service not just the existing ONTC lines, but also invest heavily to be the main source of transportation to the Ring of Fire now in development in the remote hinterland west of James Bay.

“We think it will work smoothly. All of the chiefs believe it is the right way to go, said Deputy-Grand-Chief Leo Friday of the Mushkegowuk Council, who traveled to take part in the announcement from Moose Factory on James Bay.

He cited the support of the First Nations people of the region being based on rail being the most environmentally sound method of moving large amounts of ore out of the development.

“Anything on rail is way better than anything on rubber,” said Roy Hains, former ONTC board director and now CEO of the newly created James Bay and Lowlands Ports Trustee Corporation.

Hains was a negotiator during the ONTC divestment attempt in 2003, and says he has been working on a solution for the current process since it was announced.

This time around he has been building a coalition to support the new ownership model, bringing First Nations communities, unions, pensioners and Aspin together for the new vision.

“It goes from the provincial government not wanting it to being an independent driver for economic growth,” said Hains.

The first step identified is not getting full federal government support, but convincing the provincial government to put the brakes on the divestment process, specifically halting the sale of Ontera.

“The first thing we’re going to tell Minister (Rick) Bartollucci is not to sell Ontera. We don’t want you to break up the assets,” said Hains.

Keeping Ontera is a key component to financing the expansion of the rail line from Hearst to Nakina on old rail bed and then building new line north to the chromite deposits in the Ring of Fire. A comprehensive sustainability plan by the mine developers in 2010 identified the route as being viable, but with a cost of $1.2 billion, including the construction of 98 new bridges to complete the journey.

That cost was not fazing the partners at the announcement on Friday.

“Ports authorities can raise capital. A port authority is to stakeholders what a company is to shareholders,” said Aspin.

“This chromite is just the first step. It has nickel, silver, gold… It is a bastion of wealth,” said Aspin.

The unions’ joint board, the General Chairperson Association, has enthusiastically supported the deal, saying if it can move forward they will put their money where their jobs are.

“The employees have significant investments in pensions, benefits and their various collective agreements,” said Brian Stevens, GCA spokesperson. “We will leverage those investments with the provincial government… We intend to meet again with Ministers Chiarelli and Bartolucci and staff from Infrastructure Ontario… and look forward to their help in accomplishing our plan while reminding them of their obligations and policy commitments.”

Leading up to the Friday announcement, all parties admitted to being tight-lipped about their proposal, with union leadership holding back from telling their membership until just hours before the official press conference took place.

Stevens said they didn’t want to make the announcement until all of the pieces were in place, but that the fast-tracked sale of Ontera was forcing them to show their hand early to prevent the ONTC’s breakup.

Asked if it was too late to change the government’s course, Stevens was upbeat.

“I’ve been involved with labour negotiations all of my adult life. I’m always optimistic that there is always opportunity,” said Stevens.

According to the federal government’s website, port authorities, “operate at arm’s length from the federal government and are directed by an independent board of directors. This model makes Canada’s major ports commercially efficient, allowing them to remain competitive in the global economy.”

It also states, “To qualify for (port authority) status a port must be: vital to domestic and international trade; financially self-sufficient; serve large and diversified markets; and have links with major rail lines or highways.”

If the feds are going to make a port authority that would include the rail corridor what carrots would the feds offer kwg to put thier rail line inside the port authority. This will make the transportation proplem solved. The ring companies would have thier access problem in and out of the ring solved. All the ring company shares would then pop...