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June 1998 Newsletter

False Media Release Disgraces Region

The following is a slightly adapted version of a press release from Friends of Red Hill Valley issued on June 11.

On June 10 a "Media Release" titled "Support grows for Red Hill Creek Expressway" was sent out from the office of the Regional Chairman. The general thrust of the "Release" and many of its statements were clearly dishonest.

The release stated that it is based on "preliminary results" and noted that the full results will not be provided to council until later in June. This in itself is a very curious step. The normal practice is that information is provided to councillors first. However in this instance, the Chairman's office apparently decided that would not suit its purposes. In fact, no actual results were provided in the release, only interpretations of these "results". Both the timing of this release and the thoroughly dishonest spin it places on the "results" show that it is intended to sway council decisions on the Regional budget. In the first sentence, the release claimed that "support for the Lincoln Alexander Expressway has increased since a similar survey in 1995". It went on to say that "81.3% of residents responded favourably to completing the existing or an accelerated Lincoln Alexander Parkway project".

These are categorical statements, but the survey did not ask these questions. The survey did not ask whether respondents supported or did not support the Lincoln Alexander Expressway. It also did not ask if they were in favour of completing the existing or an accelerated Lincoln Alexander Parkway, nor did it provide any choices which might reasonably be interpreted in this way.

The survey is the "Program and Service Assessment" questionnaire sent out in April to 1000 businesses and 4000 residents asking for opinions on 35 programs and services delivered by the Regional government. The media release does not reveal how many surveys were returned and the "results" it provides refer only to item #35 on that list. The "results" provided appear to refer to answers to the "Restructuring Municipal Services" section of the questionnaire. For each of the 35 programs and services, respondents were asked: "if choices have to be made, what one option would you prefer for each of the 35 services described?". Nine choices were offered. They were (1) user fees (2) contract-out (3) privatization (4) strategic alliance (5) reduction (6) eliminate (7) leave 'as is' (8) increase property taxes (9) increase service. The 35 items included "Water", "Sanitary Sewers", "Wentworth Libraries", "Police Services", "Public Transit", "Tourism Development", etc. They also included ONE special capital expansion project -- #35: "Lincoln M. Alexander Parkway (Red Hill Creek Expressway)".

This item is clearly a stone among the marbles. Unlike all the rest, it is not an on-going service. It is the only new capital project in the listing. It is also a capital project that has been completed. It was opened last fall, long before the survey was sent out. As a result, many of the nine "choices" make no sense. For example, how would a respondent interpret the "reduction" choice? Does this mean we should close down a couple of lanes of the Linc? Or how could the choice "elimination" be applied? Anyone who took that choice would seem to want the Parkway entirely torn up. The choices "Strategic Alliance" and "Contract-Out" make even less sense for a completed capital project. Whatever ultimate choices were made by the respondents, their answers cannot reasonably be interpreted as telling us anything at all about their opinions of another capital project, the proposed construction of the north-south expressway through the Red Hill Valley.

But this is exactly the interpretation the Chairman's office chose to make. This flies in the face of logic and common sense. Persons who struggled to answer #35 would most likely think they were supposed to be giving their opinions on the Lincoln Alexander Parkway, not the north-south Red Hill Valley expressway. If any significant number of the respondents believed the question was about the Lincoln Alexander Parkway, then obviously no conclusions can be drawn about the north-south expressway from the survey. Given the wording of the questionnaire, it appears this confusion was intentional. The relative popularity of the Linc is being used to suggest that the north-south expressway has wide support. If the survey designers wanted to know people's actual opinions on the valley expressway proposals, they would have asked a specific question on that. Instead the term used was "Lincoln Alexander M. Parkway" followed by a bracketed "Red Hill Creek Expressway". Since the Linc was called the Red Hill Creek Expressway before it was christened the Lincoln Alexander M. Parkway, respondents would assume the question was about the east-west cross-mountain expressway.

To illustrate the absurdity of the spin offered by the Chairman's office, consider how the selection of the "Leave 'as is'" choice should be understood. If the respondants thought they were being asked about the Lincoln Alexander Parkway, then chosing "Leave 'as is'" would simply mean don't tear it up, don't close it down, don't change the speed limits, etc. If, on the other hand, the respondents thought they were really being asked their opinion on "completing the existing or an accelerated Lincoln Alexander Parkway project" and they interpreted this to mean building of the north-south Red Hill Creek expressway, then selecting the "Leave 'as is'" option should mean that the respondent is opposed to any expansion of the Lincoln Alexander Parkway. Curiously, the Chairman's office doesn't tell us the percentage of respondents who selected this option. Given the twisted way the Chairman's office is interpreting the "results", disclosure of the actual numbers selecting each choice would be revealing. The Chairman's office did, however, tell us what percentage of respondents selected two other options. The release states: "Of the over 80% of residents favouring the Expressway's completion, 17% indicated that the project should be expanded or that they would be willing to pay higher taxes for the project". This small percentage of respondents apparently chose either the "Increase service" or "Increase property taxes" choice. This suggests that the other 83% don't want to see the Lincoln Alexander Parkway expanded and don't want to pay additional property taxes for this purpose. Under this interpretation, which is at least as reasonable as the one offered by the Chairman's office, support for the north-south expressway is quite small.

Further confusion was created in the survey by the inclusion of "total cost" and "net cost" figures. Total cost is defined as "The total cost of providing each service before deducting any external revenues (subsidies, grants, and user fees)." Net cost is defined as "Total cost minus external revenues and financing plans for that service". This distinction makes some sense for ongoing services which are cost-shared with the provincial government. It might also make some sense to apply this distinction to the costs of constructing a new capital project. However, the survey designers did not do this. Instead they created a mish-mash of confusion.

The one-page description of item #35 (which does not mention the north-south expressway), provides a "total cost" of the project of $40,302,500 and a "net cost" of $1,859,000. The actual total cost of emplacement of the Lincoln Alexander Parkway is more than $160 million. The net cost is approximately 50% of this figure (since the provincial government provided about half the construction costs). The cost of the combined east-west and north-south projects is $527 million when interest charges are included. The provincial contribution is $186 million, or about one third.

The $40 million figure only refers to spending during 1997. The $1.859 million figure apparently refers to the impact on the operating budget in 1997, an impact scheduled to rise steadily over the next five years. Since survey respondents are apparently expected to compare the costs of the 35 services, these figures are grossly misleading. For example, how does one compare the $1,859,000 "net cost" of the Linc to the $11,399,430 for garbage disposal, or the $2,075,920 given as the net costs of Wentworth Libraries? The use of the terms total cost and net cost for a capital project is obviously misleading and inappropriate. We are talking about apples and oranges. The tiny "net cost" listed for the expressway reflects the fact that the monies are borrowed and spread out over decades. This financing option is not even available for services provided through the operating budget. Providing annual cost figures makes sense for the 34 on-going services listed in the questionnaire. It obviously just creates confusion to apply it to item #35 which is a capital project.

It is obvious that the Media Release of the Chairman's office was neither fair nor accurate. Unfortunately, its release damages the reputation of the regional government as a whole. It should be speedily withdrawn.


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