Residual ridership shortfalls mean feds should renew emergency public transit support

Throughout the pandemic, the federal government and the provinces proved to be staunch allies of Canadian public transit systems and the communities they serve. Over the past two and a half years, they kept public transit running during one of the sector's biggest shocks. The pandemic dramatically reduced ridership and farebox revenue. Federal and provincial investments prevented service cuts and led to sustained ridership recovery, which was at roughly 73 per cent of pre-pandemic levels as of September 2022. While Canadian public transit riders should applaud the federal government for helping systems weather the storm, we still have work to do. Marco D’Angelo is the president and CEO of the Canadian Urban Transit Association. Photograph courtesy of CUTA We cannot move forward until we are able to get back to where we were before. The federal government has shown a sincere desire to invest in new public transit initiatives, but now is the time to work with the transit systems and municipalities to keep existing public transit services running. Canada’s transit agencies call on the federal government to renew the 2022 transit-housing funding arrangement, with support from the provinces, to help transit systems maintain service levels and prepare for an increase in population. Timing is important. Many transit systems need to know if they can count on government support for transit operations in February to ensure the risk of service cuts is minimized. As we approach the anniversary of the $750-million transit-housing funding arrangement announced in February 2022, transit systems across Canada are expecting significant budgetary shortfalls in 2023. This is due to residual pandemic induced ridership losses and significant inflationary pressures. Without emergency operating funding support, public transit systems will have to cut services which will have a significant negative impact on Canada’s economy. The Association du transport urbain du Québec warned that without renewed government support, the deficit for the province's public transit industry will be approximately $560-million. A January 2023 internal survey by the Ontario Public Transit Association estimated an operational deficit of at least $510-million for Ontario's public transit sector. This federal government recognizes public transit's key role in Canada's post-pandemic recovery as a driver of economic growth, environmental sustainability, and community resilience. Unfortunately, without a signal from Ottawa about renewed emergency funding in 2023, some transit agencies have already begun cutting service levels to avoid deficits. All levels of government must continue to act decisively to avoid a downward spiral of declining service levels that would further diminish ridership, revenue, affordability, emissions reduction potential, and social inclusion. Service cuts reverberate for years. When revenue shortfalls led to significant service reductions in Toronto during the 1990s, it took 18 years for ridership to recover. Allowing a downward spiral across the country must be avoided. Our cities will become more congested. Climate goals will become harder to reach. Canada’s commuters must be able to count on their lifeline to employment, education, recreation, and critical services. With the government’s ambitious immigration targets, by the mid-2040s, Canada will have a population of 45 million to 50 million people with transit systems built for 25 million people. Transit networks must be prepared to support the country’s anticipated population growth. Transit networks link our sprawling urban areas and will support the anticipated rapid increase in housing supply. With plans to build 1.4 million new homes and welcome skilled new Canadians and young families to live in them, the federal government must also ensure that new Canadians have reliable and affordable public transit service. The government’s pandemic-related emergency investments in transit are akin to a relay race, preventing service cuts each year of the recovery. It would be a shame to drop the baton this close to the finish line. Prime Minister Justin Trudeau, Finance Minister Chrystia Freeland and Infrastructure Minister Dominic LeBlanc have shown their commitment to investing in public transit and recognize the benefits transit brings to Canadian communities. Decisive action is needed now. Together, we can keep transit running. Marco D’Angelo is the president and CEO of the Canadian Urban Transit Association. The Hill Times

Residual ridership shortfalls mean feds should renew emergency public transit support

Canada’s transit agencies call on the federal government to renew the 2022 transit-housing funding deal to help transit systems maintain service levels and prepare for a population increase.

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Residual ridership shortfalls mean feds should renew emergency public transit support

Canada’s transit agencies call on the federal government to renew the 2022 transit-housing funding deal to help transit systems maintain service levels and prepare for a population increase.

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