2003, to withdraw its support of the bridge project and federal Transport Minister David Collenette announced that the federal government accepted the council's position on the bridge and withdrew its support. In January 2004, the federal government put approval of the project on hold, preventing its construction. Immediately, regional airline proponent Robert Deluce filed a $505 million lawsuit against the City of Toronto, claiming that Miller "abused his powers", by threatening councillors, had Toronto Fire Services and Toronto Hydro "interfere with the construction of a fixed link" and lobbying the federal government to "withhold certain permits." The federal government later transferred $35 million to the TPA in May 2005 to settle claims arising from the cancellation from Deluce, Aecon Construction and Stolport Corp. Compensation terms were not disclosed. Lisa Raitt, Port Authority CEO was quoted as saying "You will never hear about the bridge again." and "We have been working very hard since December of 2003 to deal with the request of the City of Toronto not to build a bridge, and we are very happy that the matter has been dealt with." New federal regulations were introduced to ban any future plans to build a fixed link to the airport. 2003–06: Ferry to Rochester As the bridge dispute was ending, the TPA was embarking on a plan to bring a fast ferry service between Toronto and Rochester. By December 2003, the ferry terminal was already built in Rochester. The TPA agreed to use $8 million in funds from the City of Toronto lands dispute settlement to build a terminal near Cherry Beach on TPA land. Using a temporary terminal, the ferry, named the Spirit of Ontario I, started the service in June 2004, operated by Canadian American Transportation Systems (CATS) while the permanent terminal was being constructed. Although popular with Rochester visitors to Toronto, carrying 130,000 passengers, CATS failed after only a few months in September 2004, $2.1 million in debt. The failure was attributed to unexpected costs of Canada Customs fees, US border security not allowing transport trucks onto the ferry and CATS' under-capitalization. The TPA stopped construction of the terminal, which had increased in price to $10.5 million, but restarted construction after the City of Rochester made plans to purchase the ferry and restart the service. The new passenger terminal building opened in June 2005. It included a Canada Customs station. It was the first new border