Goodheart,

It sounds like a pretty reasonable approach:

- Fed: RR

- Prov: Road, if they want to (have some money for the road but not for the RR), noting that CLF proposal may change overnight if the RR is going to be built by the proposed port authority, since any mining company would go for rail shipment of their ores rather than using monster trucks that would chew up the roads. Road maintenance would be horrendous, but the RR would be a cash cow.

I would bet that the Fed will jump in with both feet for the port authority proposal since, as you indicated, financing can be done by long-term bonds. The Fed may even pour in some money to support this transportation corridor (including the road for small trucks and passenger vehicles, and other infrastructures along that corridor).

Election is coming for Ontario and the parties are preparing platforms for the election campaign. If Hudak announces in his support for the RR (and the road) with the PM standing next to him, what would be the reaction from McGuinty's camp, no support for the development of the North and job creation?

One more thing, the Fed election is just about 3 years away. Hence it does not hurt to demonstrate grand vision as a nation builder and long-range planning to create wealth for Canadians.

goldhunter