Barrie, the owner of Bear Mountain Resort, was questioned recently about diverting up to $25.8 million from the resort to the Tampa Bay Lightning hockey team and to his own companies. Barrie denies the allegations but may face an investigation.

The original terms of the Langford Interchange loan called for Barrie's company to hand over the $4.79 million repayment on March 2, 2009, "or such other date as may be mutually agreed to by LGB9 and the City."1  No new repayment date has been set, according to city engineer John Manson, who spoke to Zoe Blunt of the Vancouver Island Community Forest Action Network on Friday.

Coincidentally, March 2 is the day that Rob Buchan suddenly left his long-time position as Langford's clerk-administrator, for reasons that are still unclear.

Ten days later, on March 12, Langford called a special meeting of council and voted unanimously to apply for Building Canada infrastructure funds for the interchange. The mayor and council gave no explanation for the application and no public participation was allowed. The applications may include up to $32 million in federal grants2 to complete what Langford calls "phase two" of the Spencer Interchange and the road connecting the highway to Bear Mountain Resort.

At the end of June, work ceased at the interchange site, which remains half-finished and empty. Manson said the city has spent over $14 million on the project in total, with funds coming from development cost charges and other sources, including the city's line of credit with TD Bank.

Several rather unconvincing explanations for the stoppage have been offered by staff, but so far, no one has mentioned Len Barrie's missed payment. Langford's mayor, Stew Young, and its councillors have been conspicuously silent on the interchange issue.

Conflict over the interchange funding dates back to December 2007, when Langford Council voted at a special meeting to authorize up to $25 million in loans that developers, including Barrie, agreed to pay back. 3

Local residents immediately mounted a counter-petition to bring the issue to a referendum. 4 Even though they gathered more than 2200 signatures, the referendum was rejected on the basis that the project would be "100% funded by developers," according to Stew Young. 5

Shortly after, the Municipal Finance Authority declined to provide favourable terms for the loan, citing its "non-traditional" nature. 6 The city then pursued funding from TD Bank.

Now, concerned residents are looking for ways to compel full disclosure from Langford on the financing of the interchange. Questions about the city's 2009 budget are causing unease as well. Included is $50 million – over 60% of the total budget – in grants that may not be awarded. 7