Province commits $2.1 million for region

When AbitibiBowater pulled out of Grand Falls-Windsor, so did the money that Exploits communities used to get as grants in lieu of taxes.

But the province has stepped in to fill the void, with a total of $2.1 million to go to budgets of communities who secured grants in lieu of taxes from AbitibiBowater.

The money is going to Grand Falls-Windsor, Bishop's Falls, Botwood, Buchans, and Terra Nova.

Since the mill closed, government has invested more than $100 million in the central region. These investments have ranged from $35 million in financial benefits to displaced workers to $35 million on infrastructure projects and initiatives targeting long-term economic development.

The Department of Municipal Affairs will also work with communities to help develop a long-term sustainable approach to managing their budgets to offset the loss of grants in lieu of taxes that were previously paid by AbitibiBowater, stated Trade, Innovation and Rural Development Minister Shawn Skinner, who is also chair of the Ministerial Task Force set up after AbitibiBowater closed.

"I believe you will continue to be a significant player in the province," he said in relation to the communities in question.

Grants in lieu of taxes initially paid by AbitibiBowater were negotiated arrangements between each community and the company. The special assistance grants provide each community with three years of transitional funding at the level of 100 per cent of AbitibiBowater's 2006 grants paid in lieu of taxes in 2009, with additional provisions for 66 per cent in 2010, and 33 per cent in 2011.

The special assistance includes $1.6 million for Grand Falls-Windsor; $218,900 for Bishop's Falls; $218,900 for Botwood; $27,050 for Buchans; and $1,600 for Terra Nova.

The Department of Municipal Affairs will issue and administer the special assistance payments.

Minister Skinner also alluded to the severance cheques going out to laid-off Abitibi workers. He acknowledged that he received messages from people who said they knew of those who started receiving cheques and wondered why they haven't gotten theirs yet.

"I want to assure them that no one is being left out, no one is being forgotten about," he said. "Some cases are more complicated than others, but there is a process that we need to (complete). There's about 100 to 120 people that we've identified. But we're going to help you. We just have to work through it."