MTax

TTC is spending money it doesn’t have

Illustrations by Keith Mclean

Is the TTC’s budget crisis a matter of poor decision making?

Munirul-Haq  Raza
Contributor

Illustrations by Keith Mclean

The TTC is facing one of its worst economic times today due to the city’s current budget crisis and the several cuts that have been proposed by the Ford administration. All services across the board except police are expected to shave 10 per cent of their budget, and this includes the TTC.

To save the TTC from cuts, many are proposing toll fees, or spending the $300-million surplus, and others even want the province to step back in and subsidize the TTC like it did before.

The service is facing tough times right now, but handing the TTC more money is not the solution.

There is very little, if any, accountability on where the money is spent when it comes to the transit service. A lot of money has been spent on new buses and street cars ($1.2 billion), surveillance ($20 million), new trains ($700 million), as well as new routes in the last decade, but the service is still terrible on many routes like the 36.

In 2006, the company made one of its most hasty decisions with a subway car purchase from Bombardier, where the TTC used sole-source bidding, which ended up costing $700 million. However what most people don’t know is another company was willing to provide new trains for over $100 million less than Bombardier. It amazes me that the TTC could just sign such a contract without even considering other competitors.

So what does the TTC need? A serious reassessment is needed. The TTC always seems to be squandering money at every step, and in return we get lousier service while the number of TTC employees making six figures rises.

TTC is supposed to be an essential service for Torontonians who are trying to save money or the environment. The public sector in general is intended to provide services that the marketplace cannot deliver. But for now, the public is beginning to wonder whether TTC will be able to get their act together and provide a service to be proud of.

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