Has anyone polled the residents about that choice? I would be surprised if you did and got a majority favouring rail over road expansion. More people use roads than rails so I would imagine that they would vote for more roads.
That does not mean I agree that more roads is better than more rails....just surprised if there is a majority in KW region that would favour rail expansion over road expansion.
The latest figure that I saw for the cost of Highway 7 from Kitchener-Guelph is <$400M. If anyone is able to find a more-recent number from an official source, it would be greatly appreciated. There is staggeringly little information about this project considering that construction is anticipated to start in 2 years.
While there is a general consensus that something needs to be done to improve safety on the Kitchener-Guelph stretch, I think that people would be alright if the project is scaled back from a full freeway for the entire length. There's a lot of pork that can be trimmed from this project and put towards improving rail infrastructure in the parallel corridor.
For example, the section of the planned extension from Breslau to Guelph needs to be a simple expansion of the existing 2-lane highway to 4 (potentially with a median and high-speed roundabouts) instead of building a parallel freeway in a 100m wide Right of Way (to believe it or not accommodate for future expansion past the 30 year horizon).
The 4-level stack interchange (which is expected to cost 1/4 of the total) can also be scaled back. It would be possible to remove one of the flyover ramps while maintaining free-flow of traffic (albeit at a reduced speed) without precluding future construction of the ramp.
What information I can find about the project is contained in a Value-Engineering study given to the Region of Waterloo Planning and Works comittee back in 2011:
http://www.regionofwaterloo.ca/en/regionalGovernment/resources/PM2011-0412.pdf
As far as the 401 expansion goes, I can attest that the bottleneck between Sportsworld and Hespeler road needs to be looked at, if only for the reason of installing bus bypass shoulders to reduce delays exiting the region. The Highway 401 Hespeler-Halton project contains two options: an 8-lane option and a 10-lane option with HOV lanes, both of which require a widening of the ROW and bridge replacements. It also includes the reconfiguration of the Highway 6 interchange which I'd also consider to be needed to route traffic away from Morriston. It would be great if an 8-lane option with HOV were to be considered, but I don't hold out that it ever will be. In the end, the HOV lanes would definitely be an asset to buses on this route although variably-priced tolling of the corridor would be my preferred option.