Saint John council will look at a proposal to implement permits for transport trucks to offset costs for the wear and tear they cause on municipal roads.
The proposed cost is listed as a heavy vehicle permit on the city’s recently released sustainability plan.
The Canadian Manufacturers & Exporters (CME) group opposes the permit, which it says is a double-dip on the industry, as trucks are already subject to licensing fees and fuel taxes to help maintain the roads.
“It will drive money, consumers, and the population out of Saint John,” said Ron Marcolin.
Marcolin is the division vice-president for the CME in Saint John. He says the city has a lot to lose by implementing the permit.
“It can only hurt our reputation because clearly there are other opportunities for manufacturers to build their products in other locations,” said Marcolin.
According to Marcolin, Saint John would be the only city in North America to impose a tax on transport trucks.
“It is not going to hold up well in the parts of North America that can say ‘let’s go to lower-cost jurisdictions,'” he said.
Marcolin also believes the timing on the heavy vehicle permit announcement, amid the COVID-19 pandemic, is less than ideal.
“Ironically, it’s also happening at a time when trucks are the life-blood of our supply chain,” he said. “There’s a long list of supplies trucking is integral for bringing into and out of Saint John.”
Council will debate the recommendations outlined by the sustainability plan, including the tax on transport trucks, at its May 4 meeting.