Fort Providence (May 26/06) - Premier Joe Handley is optimistic the federal government will help pay for the Deh Cho Bridge across the Mackenzie River.

Handley met with Lawrence Cannon, the Minister of Transport, Infrastructure and Communities, on May 18.

"It was a very positive meeting," Handley said.

Last Tuesday, Handley said the bridge could not be financed with a six-dollar toll and the project would only work if the federal government contributed money. He planned to ask for $50 million.

No firm commitments for funding came out of the meeting, Handley said.

Most of the discussion focused on how funding could be made available. The new government still has a lot of planning to do, Handley said, so they are looking at ways to speed up the project as a special case.

"I left there fairly optimistic that he's going to do everything within his authority to make it happen," Handley said about Cannon.

Handley said he got the impression that as the minister, Cannon was supportive of the project. Now it's a matter of how to move it through the federal system, he said.

According to Handley, Cannon made a commitment to reply within the month on how and when the funding would flow. Until then, there is little that can be done, he said.

Handley plans to meet with the Deh Cho Bridge Corporation to talk about possible scenarios, such as what would happen if the money didn't arrive until later in the building season or how to handle the possibility of bidders dropping out.

Andrew Gamble, manager for the Deh Cho Bridge Corporation, said unless the federal government kicks in some capital for the deal, the idea of a bridge across the Mackenzie River could remain just that.

"If this thing doesn't work at a certain toll rate, then there needs to be some capital infusion in order to make it viable," Gamble said, referring to the $6 per tonne charge for all commercial freight going over a completed bridge.

He added that with no plans to increase the toll, current traffic volumes would make it impossible to recoup the investment.

"Can the premier get the feds to contribute?," Gamble asked. "We need that answered before we make a final decision."

In 1975, a Public Works Canada concept for a bridge came with a $25 million to $30 million price tag.

It then increased to $60 million 30 years later and most recently Premier Joe Handley, speaking at an Edmonton Meet the North conference, pegged the final cost at $140 million. He called the bridge a top priority for the North.

The price tag for the bridge rose dramatically after tenders from potential builders came in last March - all well above the $60 million figure the government and Deh Cho Bridge Corporation had hoped for.

"Whatever the final cost is, including construction, financing and insurance, the equity is $5 million and the rest need to be borrowed," Gamble said.

"At current interest rates and projected revenues, the question is, can the debt be serviced? It's doubtful right now."