Transit commission approves OC Transpo fare hike in May
Posted Mar 31, 2022 12:24:00 AM.
The free ride may be over for local transit users in the next couple of months as Ottawa’s transit commission approved a 2.5 per cent hike in OC Transpo fares.
The fare increase will come on May 1, the commission heard on Wednesday, March 30, adding that the markup was originally planned for January 1.
However, council voted to delay it until the LRT system could fully operate with its entire fleet of 15 trains for a month.
The increase would mean an adult monthly bus pass would cost $125.50 — that’s an increase of $3.
Single-trip fares will now cost $3.70.
In 2021, staff reported that annual ridership was 32 per cent of 2019 levels on conventional buses and trains, and 42 per cent of 2019 levels on Para Transpo.
“Month-by-month ridership levels in 2021 varied based on the vaccine rollout, changes in public health restrictions, reduction in bus service to match ridership and the unplanned closures of O-Train Line 1 in the fall,” the comission said in its announcement following its Wednesday meeting.
When the City granted unlimited, no-charge transit service in December, ridership was about 3.8 million customer-trips — that’s about the same ridership as in November 2021, and 45 per cent of 2019 ridership.
That same month, Para Transpo was at 63 per cent of 2019 levels.
“Ridership levels in December 2021 were influenced by public health restrictions and seasonal ridership changes,” the commission further explained. “The cost of the no-charge service in December 2021 was approximately $9 million.”
The commission also added that the data presented confirmed reliability “remains high” since Line 1 resumed service in November.
Para-Transpo, too, continues to meet all customer trips, according to the commission, with an on-time performance of 98.5 per cent.
The commission also carried a motion that Mayor Jim Watson write the federal Minister of Finance Chrystia Freeland, the President of the Treasury Board Mona Fortier and the Minister of the Environment and Climate Change Steven Guilbeault, as well as Members of Parliament from the National Capital Region, requesting that the federal government provide funding to offset the operating deficit of OC Transpo — a deficit which, the City says, came as a result of the government to maintain the work-from-home model past 2022.
The motion will be considered at city council on April 13.
Federal response
On February 17, the federal government announced that it intends to introduce legislation to invest up to $750 million to support municipalities facing transit operation shortfalls.
This funding is in addition to the federal public transit funding and previous 2020 Safe Restart Agreement (SRA) funding.
Minister Freeland, however, noted that the funding would be conditional on matching provincial funding for transit shortfalls and provincial collaboration on improving housing supply.
Municipalities are expected to receive the funding flow through the province and will be allocated based on the current used ridership and population-based formula.
This week, the provincial government confirmed over $10.8 million in supplementary SRA funding for eligible expenses incurred between January 1 and January 31, 2022.
These funds cover the COVID-19 related impacts for the month.
Further information about how the funds will be allocated will be available when legislation is introduced.
In a memo to council members issued on Wednesday, Wendy Stephenson, the chief financial officer of the City’s Finance Service Department, said individual municipal allocations are not yet known.
As more information becomes available, it will be shared with the Mayor and council.
Provincial response
On Wednesday, the province introduced legislation to streamline the approval process in a bid to boost Ontario’s housing supply.
The legislation contains measures to speed up the green lighting of subdivisions, site plans and modular multi-unit residential buildings.
However, the legislation does not address many of the 55 recommendations issued last month by a housing affordability task force.
Municipal Affairs and Housing Minister Steve Clark said that’s because municipalities have said they are not ready to implement the report’s “ambitious” policies right away.
“All you have to do is look at a council agenda and see resolutions from local councils against the task force report,” Clark said. “I couldn't bust forward with … all the recommendations when municipalities are so adamantly opposed. I have to get them onside.”
To do so, the government is launching another round of 10 new consultations and is establishing a housing supply working group with municipal and federal governments, as well as other stakeholders.
The consultations will touch on increasing “missing middle” housing including supports for multigenerational housing, access to financing for not-for-profit developers and the housing needs of rural and northern communities.
– With files from The Canadian Press
