Four-year budget plan to increase transportation costs by 11%

Article content

Calgary Transit passengers expect fares to rise 11% over the next four years, while the city also promises service upgrades as part of its long-term budget strategy.

Article content

According to the city’s interim four-year service plan and budget, regular tickets to ride the CTrain or Calgary Transit Bus are set to increase by 10 cents annually for the next four years. will increase from $3.60 to $4.

Article content

Youth tickets go up by 5 cents each year and could go up 8% by 2026.

The Calgary City Council will deliberate the budget for all items in the proposed service plan the week of November 21st.

Calgary CFO Carla Male said service charges, including transportation costs, are not being used to cover property taxes.

Article content

“There is a user fee policy,” she explained following the budget submission to Congress. part, so we maintain that policy on how they are calculated.”

Transit fares have risen 11% in four years, but Doug Morgan, City of Calgary’s general manager of operational services, said fares rose less than 3% a year, well below inflation.

The transit agency’s net operating budget is expected to increase nearly 8% from $265.6 million to $286.5 million over the next four years.

With this increase in funding, the city hopes to invest in a major transit network, Morgan said, and will include $26 million in funding to “maintain and improve services.”

Article content

On the capital side, the city hopes to spend $137 million to replace the remaining 25 “U2” LRT vehicles. Also, he plans to spend $225 million on road buses of various sizes, including 300 40-foot buses and 182 community shuttles.

“And as we purchase these new vehicles, we will work with partners at other levels of government to fund the electrification of Calgary Transit vehicles,” Morgan said.

The city had previously announced plans to borrow money from the Infrastructure Bank of Canada at below-market interest rates to purchase up to 259 electric buses. The savings realized by phasing out diesel buses are expected to cover the cost of financing.

Earl. Courtney Walcott asked about fare increases after the introduction of the budget.

Article content

“The City of Calgary is trying to encourage ridership growth, and we expect an increase of just over 10%,” said Walcott. “Do those two match where we want to go?”

He pointed out that while some residential parking permits in the city only cost $15 a year, some transit users end up paying $12 more each month for a bus pass.

“I think these are conversations where we have to have a serious discussion about how we tie the service we provide to value. I know.”

brthomas@postmedia.com
twitter: @brodie_thomas