TTC Chair Jamal Myers says the transit service needs to work on attracting more riders to bolster its finances in a year where it is asking the city for nearly $1.5 billion funding boost.
“Right now the budget is based on a modest growth increase. That’s not something that I think the board is really happy with, or wants to see,” Myers told reporters ahead of the TTC’s budget meeting Wednesday.
At that meeting, the TTC board approved its 2026 operating and capital budgets, weighing in at around $3 billion – a 6.8 per cent increase over last year. That includes an ask from the city for $1.481 billion in funding this year.
The budget also implements a fare freeze for the third year in a row, as well as a new fare cap to replace monthly transit passes in September.
The fare cap, which will make rides free for customers after they take tap their Presto or Debit card 47 times in a month, is being paid for with a one-time withdrawal of $35 million from reserve funds, as well as through millions of dollars in efficiencies within the existing operating budget.
“These Board-approved budgets support meaningful investments in our operations and capital projects upon which we can build the incremental improvements that our customers will benefit from,” TTC CEO Mandeep Lali said in a statement. “It also means we will be able to deliver world-class service during the World Cup, which will bring hundreds of thousands of visitors to our city.”
But those movies come at a time when ridership remains sluggish.
The budget approved by the board says TTC ridership in fact declined this past fall, despite more stringent in-office policies by many workplaces.
Customer satisfaction with the TTC is also down from last year, to around 66 per cent overall.
“I think what we’re seeing is that there’s been a fundamental shift in ridership,” Myers said, adding it is not unique to Toronto.
“We can’t just sort of run the service on the expectation that everyone’s in the office, because now people are working from home, and that’s not going to change, despite how many mandates are implemented telling workers to go back,” Myers said. “I think this is a new normal, and I think we should meet that challenge head on.”
He said the board wants to see “a real, aggressive plan to expand ridership” this year.
He said a revised ridership growth strategy will be presented to the TTC’s the Strategic Planning Committee later this year.
“We also want a better understanding of how we can attract even more customers and actually understand why customers are not choosing the TTC,” Myers said.
With files from Natalie Johnson
