Carney says he 'should have been clearer' about new Gordie Howe bridge agreement

Carney says he 'should have been clearer' about new Gordie Howe bridge agreement

Prime Minister's Office confirms new deal would cost Canada up to $320M

Prime Minister Mark Carney says he "imperfectly" described the new deal to open the Gordie Howe International Bridge after the text of the agreement appeared to contradict his original explanation.

While attending the Calgary Stampede shortly after the deal was struck — but before the text was made public — Carney told CTV that bridge toll revenue would only be split with the U.S. after accounting for operating costs, including repaying the debt.

But that suggestion seemed to contradict the text of the agreement, which was only made public late Tuesday and made no reference to Canada's debt.

When pressed about the contradiction during a news conference on Thursday, the prime minister said he "should have been clearer" in his original comments and that the new revenue-splitting deal with the U.S. doesn't account for debt repayment.

"Could I have explained it better on a Sunday morning at Stampede, with a cowboy hat on? Yes, I could have explained it better," he said.

The deal — described as a "proposed agreement in principle" — says that for the first 15 years, Canada will split half of the bridge's net revenue with an economic development fund "established and solely controlled" by the U.S. government.

Carney says he could have explained new Gordie Howe bridge deal better

That new deal between Ottawa and Washington was reached even though Canada and Michigan struck an initial deal to build the bridge in 2012.

Under that original agreement, Canada fronted the money for the construction of the bridge — which came in at $6.4 billion — and Canada was set to collect the tolls until the cost was repaid, after which the revenues would be split with Michigan.

Carney said that his initial comments about debt repayment being included in the deal were meant to be a reference to the original agreement with Michigan — even though he referenced the 15-year timeline of the U.S. deal and the repayment of the debt under the Michigan agreement is estimated to take 50 years.

"There is no splitting of tolls under that [Michigan] agreement which I was referring to, perhaps imperfectly," the prime minister said.

Carney added that the cost of the new deal is "less than five per cent in present value of the overall cost of developing the bridge."

With a $6.4-billion price tag, that means the cost would be a maximum of $320 million over 15 years, or about $21 million per year, the Prime Minister's Office confirmed to CBC News.

Gordie Howe bridge agreement released: Here’s what to know

Carney's original description raised questions from the Opposition Conservatives who called for the deal to be released publicly.

Conservative MP Kelly McCauley, chair of the government operations committee, said in a social media post on Thursday that he's convening a meeting next week to launch an "urgent investigation into the details of the Gordie Howe bridge deal and the misinformation provided to Canadians about it."

Speaking to reporters shortly after Carney's news conference, Conservative House leader Andrew Scheer said the prime minister should be "embarrassed" by the deal with the U.S.

"He tried to hide this from Canadians. This is just another example of how Mark Carney is just delivering illusions for Canadians, no real results," Scheer said.

U.S. President Donald Trump erupted on social media in February, posting a series of falsehoods about the bridge and saying he wouldn't allow it to open "until the United States is fully compensated for everything we have given them."

The bridge's June opening was abruptly delayed until Ottawa and Washington reached the new agreement. Trump called it "a much better deal."

Text of new Gordie Howe bridge deal seems to contradict Carney

Canada's PM Carney says Gordie Howe bridge tolls won't be split with Michigan until $6.4B of debt is repaid

Gordie Howe bridge opening deal: What we know and don't know

Scheer called it a "major concession" and said the Liberals need to explain what Canada got out of the agreement.

But Ontario Premier Doug Ford said the deal was "critical" to open the bridge and ensure trade flows across the border.

Gordie Howe bridge 'a very bad deal' for Canada: Conservative critic

"The prime minister did an excellent job getting this deal done, getting $300 billion of goods across the border," Ford said at the news conference with Carney.

"It's critical for all manufacturers that this bridge gets opened. He did an incredible job and I thank you for that."

Under the 15-year agreement, the U.S. portion of the revenues will go toward an economic fund, which Carney said is meant to be used to drive traffic toward the bridge.

The bridge is set to open on Monday.

Darren Major is a senior writer for CBC's parliamentary bureau in Ottawa. He previously worked as a digital reporter for CBC Ottawa and a producer for CBC's Power & Politics. He holds a master's degree in journalism and a bachelor's degree in public affairs and policy management, both from Carleton University. He also holds a master's degree in arts from Queen's University. He can be reached at darren.major@cbc.ca.