Talks continue on transit funding for OC Transpo, Premier Ford says

Ont. Premier Doug Ford delivers remarks in Brockville, Ont. on Friday, Oct. 11, 2024.

Premier Doug Ford says talks continue between the Ontario government and the city of Ottawa on new funding to help keep OC Transpo rolling, but he is calling on the federal government to do more to support public transit in the capital.

Meantime, Ottawa’s only federal cabinet minister says operational costs for public transit are Ontario’s responsibility, adding “the feds have never been responsible for operational costs, nor we ever will be.”

Mayor Mark Sutcliffe launched a "campaign for fairness" in the summer, calling on the federal and provincial governments to provide $140 million a year over three years to address a "structural deficit" in the transit service's budget.

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Speaking with reporters in Brockville, Ont. Ford said, "bureaucrats have been going back and worth" on possible funding for OC Transpo.

"When it comes to transit, we need support from the federal government – they're the biggest employer there," Ford said Friday morning.

"They have to get people back to work or why have transit. They're the number one employer. That helps the local businesses, it helps build transit but they need to step up. We've put in a few billion dollars there, but we need the federal government, since they're the largest employer in the region, to put some money towards that. We're really pushing the feds to help out."

As of Sept. 9, federal public servants are required to be back in the office a minimum of three days a week. OC Transpo reported O-Train ridership was up 11 per cent in September, while ridership was on buses was up 4 per cent.

A spokesperson for Kanata-Carleton MP and Minister of Families, Children and Social Development Jenna Sudds says the minister continues to “actively engage” with Sutcliffe to address his funding concerns for OC Transpo.

“To be clear though, the feds have never been responsible for operational costs, nor we ever will be. Operational costs are Ontario’s responsibility, so the Mayor needs to work with the province to find fiscally responsible solutions,” Geneviève Lemaire, press secretary to Sudds, said in a statement to CTV News Ottawa.

Sudds’ office points to a recent report by Ontario’s Financial Accountability Office that shows the Toronto economic region receives more subsidies per resident for transit compared to Ottawa.

“We welcome Premier Ford’s openness to doing his part. We look forward to seeing him bring more funding across the finish line for the people of Ottawa. After all, as a parent, Ford should know you can’t pick favourites,” Lemaire said. "Ottawa deserves his attention and his help, just as much as Toronto and any other city in this province."

The Financial Accountability Office shows Ottawa received $31.91 per resident in provincial funding in 2024-25, while Toronto receives 196.49 per resident – and the gap will increase to $175.90 for the Toronto area in 2028-29, while Ottawa will receive $31.60.

Prime Minister Justin Trudeau said in August the federal government was prepared to work with the city of Ottawa to support transit.

Sutcliffe is warning without funding to offset a projected $120 million deficit in 2025, OC Transpo may have to increase fares between 2.5 per cent and 75 per cent, increase the transit levy up to 37 per cent, or cut service to balance the budget.

City staff will table the draft 2025 budget in November.

Ford noted the Ontario government has provided support for Ottawa, including beginning to upload Highway 174 back to the province, building a new interchange on Highway 416 in Barrhaven and providing new funding for a police hub in the ByWard Market.

The new Ottawa-Ontario deal announced in April included $48 million to "address community and public safety" in Ottawa, $20 million to fuel economic recovery and $120 million for shelters and homeless supports. Over the next 10 years, Ottawa will receive $181 million for "various transportation priorities," including the new interchange on Hwy. 416 at Barnsdale Road.

Ford also praised the new Ottawa Office the Ontario government opened earlier this year.

"There's just so much work going through that office," Ford said. "They are as busy as anything there. Working with federal counterparts, making sure that we work with the mayor."

"They're going to be working with the mayor to make sure we land this deal."

Ford said the Ottawa Office is a "landing spot" for his cabinet ministers to set up meetings with federal ministers while in the capital.