July 20, 2007
TTC Cuts, We Bleed
Photo of a locked-out Keele Station during last year's strike by David Topping.
Yesterday's announcement of budget cuts to the TTC garnered a visceral reaction from just about everyone (and not just angry Globe & Mail readers): a normally cool-headed Adam Giambrone proclaimed that "this is a horrible day...This is going to have a dramatic effect on Torontonians, not just TTC riders." Transit advocate Steve Munro weighed in, too, in a piece detailing what the TTC's next steps ought to be, nearly matching Giambrone's rhetoric in saying that "this is a black day for the TTC," but adding that "if the City is going to walk away from supporting the TTC, then the real alternative is higher fares, not service cuts. Better we have a transit system that people want to use than one that comes a distant fifth in preference after driving, walking, cycling or cabs." Oh, and, of course, a Facebook group called "Save The TTC" popped up.
The budget cuts—needed to fill in the holes that an impending deficit of $130 million over two years will create—were all but forced on the TTC as a result of Toronto council's vote on Monday to delay a land transfer tax and a vehicle ownership tax until October, taxes that were supposed to give the city an extra $356 million each year. So the big question mark looming over our city's head now is what changes they TTC will have to implement. Everything from completely shutting down the underused and underloved Sheppard Subway to halting all future development to lay-offs to fare hikes seems all but likely.
A few minutes from now, at 1:00 in City Hall's Committee Room 1, the TTC will hold an emergency meeting, and we'll all find out what the future of public transit in our city is.The question is not, it seems, if the news will be good or bad, but just how bad it will be. Torontoist is there and will provide you with updates, in this article, as we get them. Stay tuned...
After just under four hours, the TTC's "emergency meeting" is over. Our coverage, which continued throughout the afternoon and into the evening, can be found after the fold. In brief: the TTC is awaiting consultation on canceling any and all service improvements, increasing fares, eliminating twenty-one bus routes, and shutting down the Sheppard subway line. The consultations are all slated to be finished by mid-September. In the end, there is very little conclusive news coming out from the meeting beyond this: there will be no employee pay cuts, there will be no improved service this year to deal with overcrowding, and the Mt. Dennis bus garage won't open until 2008.
Photo by neuroticjose from the Torontoist Flickr Pool.
2:25 p.m.—As we wait for word on the outcome of the meeting, the CBC is reporting that Greg Sorbara, the Ontario finance minister, announced today that the province will send experts—not money—to help Toronto. Remember Bob and Bob from Office Space? It's kind of like that, except less helpful.
3:25 p.m.—Still waiting. In the meantime, an anonymous commenter just reprinted a letter apparently sent out by City Manager Shirley Hoy today to "the heads of all Agencies, Boards and Commissions." Hoy advises that all the organizations freeze hiring, reduce service, eliminate "discretionary spending," and cancel all advertising and marketing.
4:18 p.m.—The meeting is still underway, but we're getting word from the scene now thanks to Jonathan Goldsbie and Stacey Kityana. Instead of reaching any firm decisions today, the TTC has delayed much of the larger plans until they can, uh, consult.
Among the changes to be consulted on:
- Canceling service improvements. There is no word on how far this will spread, so it could mean any or all of the following: no improved service on any routes to keep up with demand, no Station Modernization Project, no new Light Rapid Transit vehicles or routes, no extended subway route up to York University, certainly no fixed-up St. Clair elevators, and, potentially, and particularly frustrating to us, no new TTC website. Gary Webster, the TTC's General Manager, explained that the cuts will mean a "180-degree shift" for the transit system, from building to cutting.
- Fare increases. Anywhere from 10 cents or up, depending on need. All they'd need to do is sell one $130 million fare, and they'd be set, so they should just do that.
- Bus routes. The TTC has a policy in place that prevents them from canceling any bus routes without public consultation (and public consultation and Giambrone, if Lansdowne is any indication, has not gone well for the TTC Chair). Nonetheless, at least 21 bus routes are probably going to get shut down.
- The Sheppard subway. The line may very well be shut down, as expected.
Steve Munro also apparently gave an excellent deputation, for the most part re-stating what he wrote on his blog yesterday: he said that the TTC should raise fares rather that cut service, called the TTC's decisions in the past few days "irresponsible" (stopping short of calling it fear-mongering) and told the councilors and TTC directors, half-seriously, that he wished them "a plague on all your houses." And Glenn De Baeremaeker asked to be exempt from the plague because he voted in favour of the land transfer tax. No, really.
5:03 p.m.—The meeting's done. We'll have additional notes up soon; suffice to say, though, that the previously-mentioned matters going to consultation are the big news items of the day. Strangely, though, we've heard no mention of lay-offs...
9:42 p.m.—The day is done, finally, and as the last news trickles in, there's little more to report beyond the bits and pieces we've needed to fill in the blanks.
Aside from the slew of changes that need to be consulted on, a few things were definitively agreed on: all service additions planned for this year to reduce overcrowding will be deferred indefinitely (Joe Mihevic said that, as a result, he will commit to wearing cologne and deodorant whenever he rides the TTC, something he should probably be doing anyway), and the opening of the Mt. Dennis bus garage will be postponed until at least January of next year.
Frustration and flabbergastronomy seemed to be the order of the day, with several councilors objecting to the meeting being called so soon. Michael Thompson said that he was "flabbergasted and frustrated" that the media was the first to inform him of the chaos and subsequent emergency meeting, but Giambrone defended its quick scheduling, saying that if the organization needed to defer improvements, it had to do so now. The problem, Giambrone said, wasn't created overnight—they all knew in May that the TTC would need the money from the land transfer and vehicle ownership taxes. In the end, then, Giambrone said that he wasn't surprised by the city's decision so much as he was by its "magnitude."
Not surprisingly, the motion to consider a TTC worker pay cut was extremely unpopular at the meeting, and was not passed. Mihevc said that he simply does not want to add labour conflicts to the organization's growing pile of problems.
For now, at least, we'll call it a night. You can always join next weekend's makeshift protest, though we recommend holding off until the TTC actually reaches a decision in September to begin rioting.
Many thanks to Torontoist contributors Jonathan Goldsbie and Stacey Kityana for reporting from the scene throughout the day, and Mathew Katz for additional research.
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The stupidity of this whole affair is boundless - a $10bn investment (the Sheppard line) may be closed for a $10m gain? How can a decision to postpone a vote create such results? Well, it seems only in a city where money is spent before it is earned and cash flow is so tight that the slightest problem derails (pardon the pun) major inititatives. I am a curious person and would really like to understand what made up the significant growth in Toronto's operating budget under Mayor Miller. It seems that the city has been on a spending binge but the revenues haven't kept up. maybe it's time to slow down? Find efficiencies? And yes, look at freeing up money here and there but did anyone notice that jobs are NEVER mentioned? By some press accounts (I apologize for the ehar say) the city staff numbers increased substantially - maybe it's time to take a cue from the public sector and trim the fat? There's always dead wood to be found and since salaries/benefits usually make up a vast majority of a bidget (96% for the police, for example), that's the most obvious and the most unpopular place to go first. Of course, neither Miller nor Giambrone will even entertian that thought.
maybe the TTC should consider placing a cap on salaries before they threaten wholesale chopping of services. I recall seeing in the last list of public employees salaries there were TTC ticket operators and clerks who were pulling in over $100K/year! Not to mention city employed plumbers and electricians making over $125K. Where's the fiscal responsibility in this city???
Earned? Interesting choice of words. How does a city "earn" money?
The TTC and other Toronto services have been audited multiple times by various third-parties and found to be among the most efficient in the world. The Jane Pitfield (and now John Tory) argument that there are magical money pits to be found is largely fantasy.
Check out this article and this article in today's Globe and Mail. Interesting to note that of the city's $7.8 billion operating budget, they're only in direct control of $1.4 billion when it comes to cost-cutting.
Sheppard subway is a joke - they cancelled the Eglinton line in mid construction and funded this thing? It is so quite in the evening that it's almost erie.
The only reason that thing got built was Mel Lastman pressed so hard for it. I can't see a scenario where that thing will ever sustain itself.
Mothball that turkey.
The people of Toronto send billions of dollars more in taxes every year to the government in Ottawa than we get back in spending. The latest budget crisis in Toronto is a symptom of this fiscal imbalance. Furthermore, large numbers of people in the rest of the country despise us. Simple question - what is the point of remaining in a country that bleeds us dry and hates us? If separation is an option for Quebec, why not for us as well? After all, being a city-state seems to work just fine for Singapore.
Wow. That first guest post is full of FAIL. I feel dumber for having read it.
>>The stupidity of this whole affair is boundless - a $10bn investment (the Sheppard line) may be closed for a $10m gain?
1. Please look up "sunk cost fallacy".
2. The Sheppard subway cost less than $1 billion, not $10 billion.
>>How can a decision to postpone a vote create such results?
Ummm... because the city is going to be $570 million short next year, maybe?
>>Well, it seems only in a city where money is spent before it is earned and cash flow is so tight that the slightest problem derails (pardon the pun) major inititatives.
Yes, cash flow is tight. Thanks, Mike Harris!
>>I am a curious person and would really like to understand what made up the significant growth in Toronto's operating budget under Mayor Miller.
Provincially mandated costs. You'd know that if you'd been paying attention. The City has control over around 50% of its budget, and the rest is stuff like TTC, Fire, Paramedics, and Police.
I'm a really curious person and would love to know how you don't know this.
>> It seems that the city has been on a spending binge but the revenues haven't kept up. maybe it's time to slow down?
So in other words, you want spending cuts. Great! That's what's being talked about.
>>Find efficiencies?
Yawn.
>>And yes, look at freeing up money here and there but did anyone notice that jobs are NEVER mentioned?
Which is why there's now a hiring freeze in place.
>>By some press accounts (I apologize for the ehar say) the city staff numbers increased substantially - maybe it's time to take a cue from the public sector and trim the fat?
Yes, it's hearsay. Wrong hearsay. The only growth in staff numbers have been for provincially mandated programs.
>>There's always dead wood to be found and since salaries/benefits usually make up a vast majority of a bidget (96% for the police, for example), that's the most obvious and the most unpopular place to go first.
Really, so you want to cut police officers? That's a great idea. Let's lay off half the firemen too.
>> Of course, neither Miller nor Giambrone will even entertian that thought.
*eyeroll*
Predictably, Torontoist is spitting out an ideologically-inclined story and is not doing its diligence. Torontoist, like Miller and co, are putting the interest of sheltered unions ahead of the traveling public they claim to defend.
We know that outsourcing bus routes in London resulted in a 40% per-mile operating cost during the 1980s. Why doesn't Giambrone look to more efficient methods of service delivery? Why doesn't he tell his union friends that the city can't afford to give above-inflation (3%) wage increases every year? That the city simply can't afford to pay subway operators $80,000 per year?
We know that in order to sign up for a Metropass, a TTC employee (making >$25/hr) writes down your personal information on no less than 4 different sheets of paper and passes on those sheets to another TTC employee (making >$25/hr) when then types each individual page into a computer. Simple efficiency would cut at least 1 employee from this department. We also know that the TTC doesn't outsource its payroll department - something the vast majority of large organizations have done.
What this comes down to is lazy reporting by Torontoist. Instead of asking the real, hard questions about the TTC's unsustainable cost structure and grossly inefficient management processes, they're joining with Miller and Giambrone in viewing the TTC as an employment agency, and the employers to be bilked, the people of Toronto.
Here is the message sent to the heads of all Agencies, Boards and Commissions earlier today by City Manager Shirley Hoy. It should give you a taste of what's going to hit Toronto.
***
The Mayor has asked that all Divisions and ABC's immediately implement cost containment measures with the goal of reducing operating and capital costs for the remainder of 2007. The purpose of the measures is to use the savings achieved toward reducing the 2008 operating budget
shortfall.
These cost containment measures are necessary because the City:
1. does not have the diverse sources of revenue required to fund city services
2. continues to be forced to divert the money needed for municipal services to pay the cost of provincially mandated programs
3. has depleted reserve funds and exhausted all other one-time revenue sources to pay for the ongoing operating costs of delivering core municipal services.
The target for savings from cost containment measures between now and the end of 2007 has been set at $100 million.
To achieve the savings target, I am requesting all Divisions and ABC's to take the following actions, effectively immediately:
1. A hiring freeze within all areas of the corporation. The only exceptions to the hiring freeze will be for positions where there are:
a. legislated requirements for staffing ratios
b. health and safety requirements; or,
c. 100% funding for the position from other orders of government or external agencies
2. Service level adjustments that save operating budget dollars by reducing service levels (hours of service, etc); but not the elimination of entire services.
3. Elimination of discretionary spending; including, but not limited to, all business travel, conferences, consulting contracts,
purchases of equipment, furniture, supplies, etc.
4. Cancellation of all advertising and production of print materials with significant circulation unless such materials are critically required for the delivery of services. Consultation with the
Director of Strategic Communications should take place prior to the placement of any advertising or production of materials during this period.
Deferral of any 2007 new or enhanced services and any capital projects where contracts have not yet been awarded related to service improvement
and growth capital projects that will have future operating budget impacts.
Please note that any exemptions to the above must be approved by the appropriate Deputy City Manager or me as the case may be.
The cost containment measures outlined may continue into 2008. Division Heads and ABC's will be advised if any changes to the containment measures will take place. To ensure consistency in our approach to managing containment measures, wherever possible, Division Heads and ABC's are requested to defer any reports that contain
financial implications.
Finally, given the need to address what could be a significant budget shortfall in 2008, I am asking Division Heads and ABC's to develop a
list of potential service cuts for 2008 including continuation of 2007 savings initiatives) which will be reviewed through the service planning
and core service review process.
While the cost-containment measures outlined will be difficult for residents and will require significant communication to ensure changes
to the availability of services are well understood, the actions are necessary to mitigate against what could be much more severe service
reductions in the future.
I fully recognize that these necessary actions have significant service impacts. But the financial circumstances of the City are severe, and therefore your support and cooperation is very much appreciated.
As far was employee wages go, Guest #7, you ought to read this post on Steve Munro's blog.
Seeing as how no official announcements have been made yet -- and that employee layoffs are one of the possibilities, which I think might be a necessary evil -- and I have scarcely begun to express my opinions on this whole mess, how about you reserve your judgment on how "ideologically-inclined" my article is until, at the very least, the announcement is made.
Due to the large "guest" influx (which'll surely continue throughout the evening), I suggest that you nice visitors take the time to register a profile to comment. It'll take a few seconds and will make any back-and-forth a lot easier to follow for everyone.
Thanks very much for that letter, Guest #8. That's incredible...
people who try to convince themselves that Miller and the city are doing a great job in this city are doing themselves a great disservice. as much as I appreciate the need for social services et al, it is a good practice to keep budgets tight and not spend money one does not have. Miller and company get a failing grade on that no matter what. if you don't have the money to spend, don't spend 1.2 mil on a freakin' theatre
To the guy/gal who "yawned" at the proposed efficiencies - grat job, why don't we now encourage wasteful spending and bloated payrols, genius?
There are a total of 134 TTC employees who make over 100K annually based on provincial data which requires that the salaries of all municipal employees above 100K be made public.
TTC employees who make over 100K per annum sorted by position:
MACDONALD ALASTAIR Assistant Mgr., Purchasing & Sales $102,823.84
VISCONTI ROSARIO Assistant Superintendent, Operations $108,622.94
MCGUIRE KAREN Associate General Counsel $131,426.82
BUTTIGIEG PAUL Chief Accountant, Financial Services $111,710.72
MAHARAJ JAGGERNAUTH Chief Accountant, Payrolls & Costs $120,285.67
BEECROFT RICHARD Chief Auditor, Internal Audit $131,426.82
MIDDLEBROOK THOMAS Chief Engineer $153,940.25
ROCHE MICHAEL Chief Financial Officer $153,940.25
DUCHARME RICHARD Chief General Manager $260,480.24
CANNON JOHN Chief Information Officer $144,734.38
SMITH ALICE Chief Marketing Officer $108,505.41
HUGHES ROBERT Chief Project Manager $131,426.82
BERTOLO ANDY Chief Project Manager, Construction $153,940.30
ANDREWS TERRY Chief Special Constable $120,230.53
REED TANAKA SUSAN Construction Manager $133,091.74
VINCE RICHARD Deputy Chief Engineer, Controls $111,643.46
HEINZ CHRIS Deputy Chief Information Officer $105,564.17
O'NEILL BRIAN Deputy Chief, Engineering Design $102,232.70
HILBORN LYNN Deputy General Manager, Corporate $174,378.82
CORNACCHIA RICK Deputy General Manager, Subway $174,378.82
BOUTILIER ROBERT Deputy General Manager, Surface $174,378.82
CHENG DORA Director, Application Services $111,643.51
CLARKE TERESA Director, Compensation & Benefits $110,542.27
WALSH LISA Director, Employee Relations $118,125.07
IANNUCCI ANTHONY Director, Technical Services $111,643.47
BLAKEY SCOTT Executive Director, Human Resources $162,862.15
DUMITRIU PETRUT Foreperson Structure Rehabilitation $105,976.61
DALESSANDRO MICHAEL Foreperson, Communications $101,057.80
LOUIS EDWIN Foreperson, Signals $101,277.51
MCTAGUE JAMES Foreperson, Signals $102,960.83
TURNER PETER Foreperson, Signals $102,314.40
ANCONA FRANK Foreperson, Structure Rehabilitation $118,995.90
MCFARLANE KENNETH Foreperson, Structure Rehabilitation $103,539.44
CASUSCELLI GIUSEPPE Foreperson, Subway & SRT Track $103,809.13
SINGH JASVINDER Foreperson, Subway & SRT Track $116,114.62
PIRES AUSTIN Foreperson, Subway Carhouse $101,215.35
BINETTI VITO Foreperson, Surface Track $107,233.88
FLYNN GERARD Foreperson, Surface Track $102,600.94
ROBERTSON DONALD Foreperson, Surface Track $110,522.15
CANNITO JOHN Foreperson, Wiring & Service Subway $107,014.54
BOZINOVSKI JAMES Foreperson, Wiring & Service Surface $105,706.17
GARDNER STEPHEN Foreperson, Wiring & Service Surface $104,372.40
GREELEY RICHARD Foreperson, Wiring & Service Surface $102,649.19
PIRMOHAMED ZAHIR Garage Foreperson $100,101.80
FINN DERICK Gen. Super., Signals, Elect'l, Comm. $153,940.23
THACKER ROBERT Gen. Superintendent, Wheel-Trans Ops. $153,940.25
LECK BRIAN General Counsel $153,940.33
WEBSTER GARY General Manager, Operations $197,656.67
DIXON DAVID General Superintendent, Bus Maintenance $158,103.75
LEGER DONALD General Superintendent, Plant Mtce. $153,940.22
KOBYLANSKY OREST General Superintendent, Streetcars $136,338.16
MARINOFF GEOFFREY General Supt., Rail Cars & Shops $151,975.90
MILLETT PAUL General Supt., Subway Transportation $153,940.27
SMITH HOWARD General Supt., Surface Transportation $147,472.08
BARTRAM WARREN General Supt., Track & Structure $153,940.27
SEPULIS JOHN GM, Engineering & Construction $196,844.03
RODO VINCENT GM, Executive/General Secretary $197,656.64
LAUTSCH EDWARD Head Special Projects $109,175.52
PUPAVAC SNEZANA Head, Communications Engineering $111,643.42
JEFTIC MLADEN Head, Electrical Engineering $111,643.56
WATLING KEITH Head, Signals Engineering $111,647.06
COVENY GERALD Head, Standards $101,788.16
CLIMENHAGA JAY Head, Structural Design $103,365.11
CHOCORLAN ALLEN Manager, Materials & Procurement $153,940.23
CANNELL JOHN Manager, Pension Fund Society $131,426.82
WHEELER CHARLES Manager, Property Development $131,426.82
HUGHES DAVID Manager, Revenue Operations $111,320.79
O'GRADY JOHN Manager, Safety $131,426.82
STAMBLER IRA Manager, Service Planning $131,553.87
FROST WILLIAM Manager, Support Services $117,483.38
DEAN KATHRYN Manager, Training $131,426.82
BROWN WILLIAM Manager, Vehicle Engineering $135,775.50
ABDULBAKI YOUNANE Operator $107,353.54
MCKENZIE RAYMOND Operator $101,671.48
PORTER GERALD Operator $103,408.73
FLORINDI SILVANO Project Manager $112,733.35
THOMPSON RICHARD Project Manager $111,643.52
YOANNIS AKRAM Project Manager $100,648.42
ROSATI ROBERTO Project Supervisor, Tunnel Liners $114,605.64
SEGGIE GORDON Roadmaster, Subway & SRT Track $118,985.06
YING TERENCE Senior Database Analyst $100,611.01
MCKAY STUART Senior Design Engineer, Signals $112,277.23
CLARKSON DENNIS Senior Designer, Communications $109,990.68
EWING JOHN Senior Designer, Signals $125,171.74
WOOD MICHAEL Senior Designer, Track $101,864.07
WATSON KIRSTEN Senior Director, Human Resources $136,508.82
MENON MURALI Senior Engineer, Electrical $108,856.15
MACKINNON DANIEL Senior Engineer, Mechanical $107,151.40
DELUCA ANTHONY Senior Foreperson $108,661.85
GHALY SAMEH Senior Project Manager $109,016.34
ESSON GEORGE Senior Roadmaster $119,222.55
WILGUS LEONARD Senior Solicitor $111,643.50
MORRIS RALPH Senior Superintendent, Greenwood Shop $100,098.88
ELBERT LES Senior Systems Analyst $101,327.47
FU HERRICK Senior Systems Analyst $101,608.78
HANSON ALAN Sergeant Patrol Division $105,532.67
SCHMIDT MICHAEL Sergeant Patrol Division $102,872.53
CURRIE FRANK Service Support $100,473.13
MCBEAN HORACE Shift Foreperson, Wheel-Trans $101,054.21
BROOKS FRANK Slip Clerk $106,197.73
TANGNEY SEAN Slip Clerk $106,217.76
ATLAS MICHAEL Solicitor $101,812.48
PRIDAY NORMA Solicitor $105,921.17
BAYLEY KENT Sr. Design Engineering, Communications $107,657.01
PARTINGTON DAVID Sr. Super., Heavy Mtce. Duncan Shop $111,698.39
LOW GRAHAM Sr. Super., Heavy Mtce. Harvey Shop $111,670.64
CHAMBERLAIN JOHN Sr. Supt., Surface Transportation $107,116.48
DAMJI NAIFEER Station Collector $115,387.80
GALEA TED Super, Transportation Queensway Division $104,386.97
DOUGHERTY ROBERT Super., Rail Cars & Shops Mtce. Eng'g. $111,643.45
PRISTUPA MILAN Super., Signals, Elect'l, Comm., Eng. $120,016.90
LAM STEPHEN Superintendent Vehicle Engineering $111,643.43
BRUNACCIONI JOSEPH Superintendent, Electrical $103,487.60
MCCREATH IAN Superintendent, Graphic Communications $102,085.62
FRASER JAMES Superintendent, Greenwood Carhouse $110,017.23
DOROSCH ROBERT Superintendent, Schedules $119,721.46
REIDAK MARK Superintendent, Signals $104,076.39
HILL MURRAY Superintendent, Special Events $105,235.56
TEEPLE JAMES Superintendent, Streetcar Way $103,487.58
LONGSON BRIAN Superintendent, Subway & SRT Track $111,643.51
KOPER STANLEY Superintendent, Wilson Carhouse $111,643.42
PILIECI JOHN Supervisor, Communications $106,043.05
SMITH BRUCE Supervisor, Communications $105,139.29
NARDUZZO LUIGI Supervisor, Leak Remediation $111,571.67
BRUNT DAVID Supervisor, Signals $100,886.66
HUNT ROGER Supervisor, Signals $106,212.46
DISTEFANO ADELIO Supervisor, Structure Maintenance $112,867.30
MONACO FORTUNATO Supervisor, Substations & Power Control $102,273.13
JANES BRUCE Supervisor, Subway & SRT Track $117,197.47
FERGUSON JOHN Supervisor, Wiring & Service Subway $106,571.72
PEREIRA TONY Supt., Communications Bus & Rail $103,980.61
BREWER MICHELE Supt., Payroll & Benefit Accounting $105,809.04
WONG KEE Supt., Plant Maintenance Engineering $111,643.42
BECKINGHAM RICHARD Survey Party Chief $106,672.97
Source: http://www.fin.gov.on.ca/english/publications/salarydisclosure/2006/munic06.html
Where and when exactly was the TTC ranked the one of the most efficient systems in the world? It's often talked about, but the only semi-detailed reference I've been able to find pertained to the high percentage of funding that was provided by riders, as opposed to government.
While that speaks volumes about the failure of government to properly support public transit, it has nothing at all to do with efficiency. Efficiency would be more accurately measured by the number of passenger/kilometres per dollar spent or some similar metric.
Does anyone know how we rate using this measure?
Patrick, I'm having the same problem finding the reference. I'm guessing this document (cited on Transit Toronto, too) is the same one that you've seen -- and it's from way back in 2002. It's possible that the rider vs. subsidy cost is all they're basing it on.
No-one, I think, can legitimately put forward the argument that the TTC has the most efficient transit system in North America unless we're defining "efficient" in some very specific terms that aren't what the general public would understand as "efficiency."
The efficiency numbers are talking about operating cost efficiency, which is pretty easy to figure out: revenue/expenses.
Problem #1 - Provincial and Federal Governments
The city of Toronto is the economic lifeblood of Ontario. It used to be the lifeblood of Canada. This city is crucial to Canada's booming economy. Currently the city has enough issues to face regarding roads, lack of transit infrastructure, and poor planning that are already putting a strain on the budget (amoung other things too).
Currently what is happening right now is Federal and Provincial governments do not want to revert the changes brought upon by the Rae/Harris days because it left their books balanced. They are flirting with surpluses at every corner. The Federal government loves to send out cheques to different causes and countries, yet fail to even realize they are squandering away our much needed money.
Toronto keeps about 6% of the property taxes it collects. The rest are coughed up to "equalization" payments.
Problem #2 - Mayor Miller
Another unfortunate situation is Mayor Miller. I wouldn't have voted for him if there was another decent candidate in the last election. I cannot believe that Miller would resort to such pathetic childish politics as he is now. Instead of properly trying to address the situation, he decides to strip the city of its essential services to gain attention in the media. All to generate a stir on the Provincial and Federal governments. Miller, this is not the way to get their attention. The higher levels of government are not going to immediately write you a cheque if you jump up and down and start screaming.
Essentially, Miller is strangeling the city of Toronto's economy to get what he wants, and by doing so, is going to send our good city into a downward spiral which will affect the economy of the ENTIRE country.
Solution - Taxes
I hate to say this, but the solution for Toronto needs to be taxes. These are taxes on things such as alcohol, cigarettes, (marijuana jk), congestion (entering downtown), public pools, etc. Then, once the higher levels of governments take notice of how Toronto is being economically restricted through high taxes, hopefully we can see some of our cash return to us
David - I hadn't seem that, just a reference to it, so thanks. However that table gives enough info to calculate how much it costs each system to move a passenger(although not how far, unfortunately).
If accurate, then at least back in 2000 when the data was compiled, the TTC was vastly more efficient than all the other cities except Montreal. In many cases, they spent less than half the $ per passenger of similarly sized cities.
I can't really insert the table here, but you can do the math yourself.
Do you have a source for that "efficiency" thing, #16?
To the guy/gal who "yawned" at the proposed efficiencies - grat job, why don't we now encourage wasteful spending and bloated payrols, genius?
I was yawning at the sheer stupidity of someone suggesting that a $570 million budget shortfall can be closed simply by finding "efficiencies."
That's beyond stupid.
A friend of mine is a union rep in the TTC. There is plenty of waste going on. They could cut plenty of staff and still deliver all the same services.
TTC is only a good transit system when you hicks compare it to your bus systems in suburbia. Anyone who has been to London, New York or even Montreal would laugh at your claims.
As for the Sheppard line - even the TTC did not want it. It was all politics at council that gave us this useless line through one of the most affluent parts of the city. What the city really needed was an Eglignton line and and extension to the airport. Both would have paid ofr themslves and achieved greening goals and reduiced traffic congestion.
What we really need is a way to fire politicians when they start acting like Miller.
Guest #17,
You're spot-on except for your problem #2. It's actually council that's the problem, not the mayor.
Maybe you've been out of the country for the past few weeks, but your solution is exactly what Mr. Miller has been trying to do.
It was in all the papers... lots of complaints from the CTF, real estate agents and deluded wingnuts. New taxes!? Travesty! That would destroy Toronto.
The penny-wise, pound-foolish right-wingers on council shot the idea of new taxes down. Said we should find efficiencies instead. Well, this is what 1/3rd of a billion dollars worth of "efficiencies" looks like.
They said we should lobby the higher levels of government for more of our money back. These same councillors seemed to have a problem with the concept when the mayor started the one-cent now campaign, or relied on the province to pick up some of the shortfall at budget time.
Sure, Miller should have done a much better job of explaining exactly what was at stake, but really, isn't it council's job to have a basic understanding of the City's financial situation?
~John
Poster #17 - I agree that Toronto has been hit hard by downloading. I also agree that Miller's current strategy of trying to create a panic in the city is an ineffective one. But I disagree with your "solution."
I don't think that we need to send Toronto into a larger economic tailspin than it's already in to "get our cash returned to us." My view on what's going on with the provincial and federal governments is twofold:
- They are happy to keep the money so they can keep their surpluses
- What happens with Toronto begging the province is the same thing that's going on with the provinces begging the feds. The payer knows that no matter how much cash he dumps on the payee, it will never be enough.
This is especially true in a city that is run by an NDP mayor and a transit system chaired by the former president of the federal NDP.
We need to get away from the attitude in this city that seems to so permeate the media and popular commentary that all cutbacks are bad. I can't help but remember when, a few months, Moscoe was talking about potentially introducing driverless trains to the subway. Instead of harnessing the savings that would be found be laying off all of these now excess subway drivers, Moscoe reassured the unions by saying that the excess staff would not be laid off, rather, would become "community liaisons." Their job would be to "represent a station by meeting with community groups, etc, to talk about their views on the local station." Let's call this idea what is - a make work project for what is ultimately excess, very expensive labour. Driverless trains were not feasible, but it shows the type of attitude that permeates throughout the TTC and Toronto government.
It's this kind of behaviour - a situation where savings can be found but are clearly ignored - that makes senior government reticent of contributing to Toronto.
Giambrone's plan to kill low-ridership bus routes is either:
- a political sham, which makes him extraordinarily cynical, or
- an example of gross mismanagement, which makes him extraordinarily stupid.
Facing a similar situation in the early 2000s, Vancouver started replacing large buses with outsourced minibuses on several low-use routes, with per-mile cost savings of about 60%. Those routes operate more successfully today than ever before.
Situation:
Not unlike Toronto, in the early 2000s, TransLink, Vancouver's TTC-equivalent, was facing a budget crunch. In order to make end's meet, it needed to do something with the low-ridership routes, which were killing the budget.
Key Challenges:
They needed to maintain ridership and respond in a rider-friendly way. They also faced a union hostile to outsourcing.
Response:
Instead of shutting down service, they innovated and found efficiencies. They launched the "Community Shuttle Program." Replacing the full-sized buses were minibuses, not unlike airport hotel buses. These buses had more than enough capacity to serve the routes and cost $43 per hour vs $99 per hour to operate. This represented a massive savings of 57% on a per-mile basis. They put 15% of minibus services out to tender (mostly ended up being served by local taxi operators), which resulted in an additional 15% cost savings
Result:
The system has been an extraordinary success and the system continues to save cost by replacing large, expensive, union-operated buses with smaller minibuses - which are also, by the way, more environmentally sound.
Roll your eyes all you want, those are real savings, and real numbers.
Backup:
Surrey Leader
Translink website
Why is there so much name calling in this forum again? Someone suggests something or expresses hir or her opinion and gets called names? How does that further any meaningful discourse? Granted, some posts are more educated than others but the differences of opinion should not relegate us to calling thoughts or ideas "stupid", methinks. Name calling has always been the weapon of the weak and inarticulate.
Instead of cutting service, the TTC should start cutting salaries and implement a bonus based on profitability. At least this would motivate employees to be more efficient and increase efficiency. Also, the salary levels of some positions should be reduced or laid off. Seriously, how can they justify paying some of their drivers over $100,000 per year?!?!
ABDULBAKI YOUNANE Operator $107,353.54
MCKENZIE RAYMOND Operator $101,671.48
PORTER GERALD Operator $103,408.73
Or even better yet, a station collector at $115,387.80?!?!?!
DAMJI NAIFEER Station Collector $115,387.80
And they have the nerve to complain that they have no money and need to cut service?!?!?!
Ridiculous!
26: The salaries of those three operators on the Sunshine List aren't at all representative of TTC base salaries. Operator base wages amount to around $55 000/year, and ticket collectors likely make less; breaking the $100K mark requires overtime galore. Say what you will, but paying TTC employees overtime wages is probably a far less expensive way of dealing with their understaffing than hiring, training and providing pension/benefit packages to a slew of new employees.
Only 134 people in a 12,000-person organization make over $100,000 per year? And that includes senior management, engineers, lawyers, accountants, etc.
Holy crap, that's amazing! I cannot imagine for one second that any provincial or private sector body could claim anything nearly that frugal.
A quick glance reveals roughly six people (maybe 25 or so if you count "forepersons") in the whole 12,000-person organization who aren't management and/or a professional in the category above who made over $100,000. Chances are it's because they've been there forever and worked crazy overtime.
So let's count "forepersons" and say it's 25, assuming that it's reasonable that senior managers and professionals will make at least $100,000 per year. Say we cut their salaries by $50,000 each.
There's $1.25 million dollars per year. The shortfall next year is $100 million, so the savings don't make a dent.
Next.
Get real There are tons of people in equal roles in private sector federal railway jobs making at least as much.
There will be no worker pay cuts; the motion to make such a change was roundly rejected today.
Dear David Miller,
I hope this pre-election brinkmanship gamble works and your cousins upstairs at Queen's Park and Parliament Hill finally notice our plight and consider helping fix they mess they created.
TTC rider (unless I get a bike -- I'm not paying $3 each way, sorry)
Thanks guest #28. If you talk to people who work in government who have worked in the private sector in their field, the most common comment you will get is that the pay difference is vast. It's a problem governments and their ABC's struggle to deal with - how do we keep the best and brightest when they get offered so much more to do the same job in the private sector, and with much greater opportunities for promotion, recognition, and even lateral movement? When the private sector consults the government on this issue, they emphasize that in order to modernize and be as flexible and respond to challenges and change as the public demands, government must make sure that it's public servants are paid well and are happy in their jobs. You get the government you pay for.
I pray for the day they automate the fare system and outsource operations. There's your efficiencies right there.
David Topping - even if they held them to CPI it would be a big saving, but ole Bob Kinnear won't give an inch.
Chris Dart - automating the fare system would deal with the guys lounging at open gates at Queen and Bay stations, but fully automatic would mean having inspectors on trains validating student/pensioner passes etc. Savings on front line staff aren't as big as you think - much of the TTC salary base is logistical - mechanics, subway track repairers etc.
it's not going to get shut down. it would cost more to maintain the infrastructure. COME ON!