Canadian government extends CN funding another year for Algoma Central passenger service

Canadian Transport Minister Lisa Raitt yesterday announced the government of Canada will extend its $2.2 million federal subsidy to CN for the operation of the Algoma Central Railway (ACR) passenger-rail service between Sault Ste. Marie and Hearst, Ontario, until March 31, 2015.

The one-year extension of federal support will provide affected stakeholders and local municipal leaders more time to develop a sustainable long-term funding solution for the ACR service, Raitt said in a press release.

Since 1977, the Canadian government has provided funds to CN to ensure the continued operation of the ACR passenger-rail service. In 2013, the program was renewed as the Remote Passenger Rail Program, with a focus on remote rail services that provide an alternative to established, year-round communities with few or no other transportation options, said Raitt.