Ford government increases support for transit across the province

The Ontario government is providing $150 million in additional funding to help municipal transit systems address the financial impacts of the COVID-19 pandemic, according to a press release issued on Monday.

This funding is in addition to the $2 billion committed by the Ontario and Canadian governments through the Safe Restart Program to help municipalities deliver critical transit services. Minister of Transportation Caroline Mulroney said in the press release that the start of the COVID-19 pandemic saw ridership drop to 90 percent of normal levels for some of Ontario’s transit systems, which resulted in major financial impacts for municipalities.

"We heard from municipalities and we are responding to their need for more support as COVID-19 continues to result in lost revenue and additional costs for transit systems," said Mulroney. "Transit operators have done an incredible job keeping transit operating during this challenging time, and this support will help ensure there is reliable transportation for people to get to work or pick up essential items."

The additional $150 million in provincial funding means there is a total of $650 million available to municipalities until Dec. 31. Extensions until December 2022 can be granted on a case-by-case basis.

Ontario is calling on the Canadian government to match this additional funding to ensure municipal financial needs continue to be met.

Funding from the Safe Restart Agreement requires municipalities to work with the province to explore options to ensure public transit is safe, sustainable, affordable, and integrated during and after the pandemic.

Ontario is allowing municipalities to use funding from the Safe Restart Agreement to pay for new initiatives to make it easier and more affordable to travel between different transit systems. These initiatives include adding capacity for on-demand microtransit and increasing fare and service integration across a region.

Kelly Paleczny, the chair of the Ontario Public Transit Association, said access to transit for frontline workers is essential to help them go where they need to.

“We thank the province for its continued support as transit systems face challenges due to COVID-19 over the past year and into 2021," said Paleczny. "This ongoing funding from the province will help keep transit a reliable option now and in the future."

The Safe Restart Agreement is providing up to $4 billion in emergency funding to help Ontario’s municipalities deliver critical services.

The first phase of the funding for transit in Ontario directed $700 million to municipalities in 2020. There has been $1.5 billion in funding allocated to date.