1. Outline:

At the present time, there is a ferry service from Campobello Island, N.B. to Lubec, Maine which is subsidized by the Federal Government under the Canadian Maritime Commission and the province of New Brunswick. The subsidy is equally shared by the two Governments.

There have been many representations from the residents of Campobello Island to have a bridge constructed at this location, and because of its international nature, the province of New Brunswick have requested the Federal Government to share with them in the cost of such a structure.

In February, 1957, as a result of local representations and discussions between the province of New Brunswick and the Federal Government, the Minister of Public Works concurred in the province of New Brunswick entering into discussions with the State of Maine for this project and he indicated that the Federal Government was prepared to participate with the province in the Canadian share of the project on an equal basis. The province of New Brunswick made further representations for revisions in Federal participation; however, no formal agreement was entered into.

Since that date, there have been further local representations and the provincial government has continued to press for the project. Negotiations for a basis of participation have been carried on between the Department of Public Works and the Province of New Brunswick.

Concurrent with this, and as Cabinet has been advised, the United States Government is proceeding with the reactivation of their Bill to authorize the State of Maine to construct their half of the toll-free structure. A submission has been made for a Canadian Act to permit construction of the project.

2. Considerations:

The proposed structure would be a toll-free highway bridge for two-lane traffic, approximately 844 long. A tentative design has been prepared by the State of Maine and their proposal has been checked in relation to the possibilities of the Passamaquody Development.²⁹³ This latter Development would not affect either the location or the necessity for the structure.

The total estimated cost of the project is $1,050,000 with the Canadian share being $580,000, which would include the bridge, approaches and the construction of a connecting road from the existing New Brunswick highway system.

In the negotiations with the province of New Brunswick, it was felt that the province should assume 100% responsibility for the provision of the connecting road from the bridge approach to the existing New Brunswick highway system. In lieu of this, it was proposed that the Federal Government would assume 2/3 of the cost of the Canadian half of the bridge and New Brunswick approach. The province of New Brunswick would assume the other 1/3, plus 100% of the cost of their connecting road. On this basis of participation, the Federal share of the project is estimated at $354,000.

3. Recommendations:

1. In view of the international character of the proposed project and the present Federal participation in providing ferry service, it is recommended that the Federal Government enter into an agreement with the Province of New Brunswick to proceed with the above structure;
2. The Federal Government would assume responsibility for 2/3 of the cost of the Canadian half of the structure and New Brunswick approach;
3. The Province of New Brunswick would assume 1/3 of the cost of the structure and approach and would assume responsibility for providing the highway connection;
4. It is recommended that Federal funds be provided for the above project.²⁹⁴

Respectfully submitted,
H.C. Green

²⁹³Voir le volume 23, les documents 261 et 262./See Volume 23, Documents 261-262.

²⁹⁴Approuvé par le Cabinet le 26 juillet 1958. Le 28 juillet 1958, le président Eisenhower a signé un projet de loi autorisant la Maine State Highway Commission à construire et à exploiter la partie américaine du pont. Le 6 septembre 1958, la loi a reçu la sanction royale qui autorisait la construction de la partie canadienne du pont.
Approved by Cabinet on July 26, 1958. On July 28, 1958, President Eisenhower signed a bill authorizing the Maine State Highway Commission to construct and operate the American portion of the bridge. On September 6, 1958, Royal Assent was given to the act authorizing the construction of the Canadian portion of the bridge.