There are strong hints from HSR staff that a bus fare hike is under consideration after a two-year freeze. Required changes to DARTS and higher fuel prices mean transit forms a large part of the public works budget deficit that is facing councillors as they pursue their goal of no tax increases.
A special council meeting dedicated to the transit budget is scheduled for February 25, but so far there is no formal staff recommendation to raise bus fares. The agenda for the special meeting isn’t due for release until February 21 – the same day that citizens get their only opportunity to makes presentations to council on all aspects of the 2013 budget.
However, an overview of the transit budget was provided to councillors on January 30 and that included several slides on the city’s bus fares and how they compare to other Ontario municipalities. And the HSR spokesperson emphasized the lack of a fare hike “magnified” the transit budget woes and that “savings” could be achieved if one were implemented.
“In anticipation of the question, we show what fare increases, what the potential for a 5 cent increase or a 10 cent increase would be, should council direct us to come forward with a fare increase report,” explained transit support services manager Nancy Purser. “A five cent increase would be about a $700,000 saving to the levy and a ten cent would be about $1.3 million saving.”
The transit department is seeking an extra $5.4 million in 2013 – an increase of 11.4 percent. Nearly half the rise ($2.5 million) is to meet provincial requirements for equal treatment of disabled and other users – changes that were legislated in the 2005 Accessibility for Ontarians with Disabilities Act. Hamilton’s proposed changes approved by council in October were put on hold after a public outcry over cancellation of free rides for visually impaired passengers.
This is the second year of a phase-in that staff estimate will add $5.7 million to the transit budget and which was approved in principle last March and added $850,000 to the 2012 budget. However Purser indicated that registrations for the service are proceeding more slowly than expected and that it is likely less money will be needed in 2013 than currently called for in the public works budget.
The transit-related increase also includes $1.5 million more for diesel fuel, primarily as a result of the retirement of 37 old natural gas buses and their replacement with diesels, and $1.6 million in “employee related costs”. To avoid even bigger budget pressure, new bus purchases are being cancelled for this year, and topping up reserve funds has been reduced.
There were no questions or comments from councillors in response to the fare hike information, but there was pressure for more spending to improve HSR service to the Walmart-centred big box complex on Centennial Parkway, as well as for route 44 along Rymal Road.
Terry Whitehead asked what the bus hours are on Rymal. He said he has been receiving complaints from seniors about Sunday service and pointed to “exponential growth” along the corridor.
“We have two industrial parks that need to be serviced from Ancaster straight out Rymal to the new one up on Nebo,” he declared. “We’ve got a huge growth along the corridor. We’re getting complaints about inadequate service on weekends. A lot of these businesses still operate on the weekend; they still have to get to work.”
Chad Collins focused on the bus route established last year for the new Walmart on Centennial at the QEW. He pointed to a recent “development application for the same site for a six-storey 200-room hotel” and said “six or seven restaurants are going in this year, along with “a massive Toys R Us” store.
“So we have demand currently and we’re going to have increased demand now with probably almost a dozen new stores over the next year.”
Transit staff said the possibilities and costs of increased HSR service will be presented in a “major transportation overview” on February 25.