| 144807 | LETTER | N | N | MAIN | ACTION | POSTPONE | N | — | Toronto Transit Commission Recommended 2026 TTC Conventional and Wheel-Trans Operating Budgets | 2026.BU11.1h | — | Y | Y | Y | Y | <p>At its meeting on Wednesday, January 7, 2026, the TTC Board considered the attached report entitled “Recommended 2026 TTC Conventional and Wheel-Trans Operating Budgets”.</p>
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<p>The Board adopted the following:</p>
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<p>It is recommended that the TTC Board:</p>
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<p>1. Approve the recommended 2026 Operating Budget totalling $3.028 billion in gross expenditures, $1.547 billion in revenues and a net funding requirement of $1.481 billion for the TTC comprising the following services, as summarized in Appendix A of this report:</p>
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<p style="padding-left: 30px;">a. 2026 TTC Conventional Operating Service Budget of $2.826 billion in gross expenditures, $1.537 billion in revenues and a net funding requirement of $1.289 billion; and,</p>
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<p style="padding-left: 30px;">b. 2026 Wheel-Trans Operating Budget of $201.6 million in gross expenditures, $10.3 million in revenues and a net funding requirement of $191.4 million.</p>
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<p>2. Approve a 2026 year-end Operating workforce complement of 15,299 positions.</p>
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<p>3. Approve the implementation of monthly fare capping through PRESTO, effective September 1, 2026, whereby customers who pay per trip will not be charged for additional trips after completing 47 paid rides within a calendar month, consistent with the equivalent value of a Monthly Pass.</p>
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<p>4. Approve the related fare policy and product changes outlined in Appendix E of this report that are required to support monthly fare capping, including:</p>
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<p style="padding-left: 30px;">a. Aligning pass products with the new capped structure; and</p>
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<p style="padding-left: 30px;">b. Phasing out or restructuring any products that duplicate benefits of the cap.</p>
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<p>5. Direct the Chief Executive Officer to undertake all activities necessary to implement monthly fare capping in collaboration with Metrolinx, including system configuration, customer-facing materials, operational readiness, and communications.</p>
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<p>6. Direct staff to report back to the TTC Board following the first year of monthly fare capping with an assessment of impacts on ridership, revenue, equity outcomes, customer experience, and any recommended fare policy adjustments.</p>
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<p>7. Reaffirm requests to the Federal and Provincial Governments for a tri-partite development of a sustainable, long-term funding model for public transit capital and operation's needs.</p>
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<p>8. Delegate authority to the Chief Executive Officer to execute any transfer payment and / or contribution agreements required with the Province of Ontario and / or the Government of Canada to receive intergovernmental funding for priority projects and programs, subject to terms and conditions satisfactory to the TTC’s General Counsel.</p>
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<p>9. Forward this report to the City Budget Committee and the City Manager as the official 2026 Operating Budget submission for the Toronto Transit Commission.</p>
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<p>10. Given that:</p>
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<p style="padding-left: 30px;">- The TTC budget is under immense and growing pressure,</p>
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<p style="padding-left: 30px;">- It costs the TTC about $20 million per year to accept cash fares ($10 million in operating costs and $10 million in lost revenue from fare cheating (partial payment)),</p>
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<p style="padding-left: 30px;">- Many transit systems in Ontario and around the world no longer accept cash fares, and</p>
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<p style="padding-left: 30px;">- Since 2023, Open Payment has meant that multiple payment alternatives are available to ensure equity and accessibility for TTC customers who don’t have easy access to a PRESTO outlet, including prepaid credit cards that are widely available without credit checks or bank accounts,</p>
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<p>The TTC should consult the public on their preferred option for spending this $20 million per year, including options such as:</p>
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<p style="padding-left: 30px;">- continuing to accept cash fares,</p>
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<p style="padding-left: 30px;">- expanding Fair Pass, or</p>
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<p style="padding-left: 30px;">- improving wayfinding,</p>
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<p>and report back to the TTC Board as part of the first quarter of 2027 Fare Modernization Update with recommendations on whether, when and how to fairly phase out cash fares.</p>
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<p>11. The TTC Board directs that the Chief Executive Officer work with the City Manager to explore and report back to the Strategic Planning Committee as part of the 2027 budget process and in advance of the 2027 budget with opportunities to strengthen the accountable and transparent relationship between the TTC and the City of Toronto, including consideration of mechanisms to formalize agreements between both entities on key performance indicators, verification/auditing, service levels, safety and customer experience.</p> | 11 | 1 | CMMTTEE | BU | All | N | Letter | ACTION | Deferred | Main | — | — | Committee | … | … | … | … | … | … | … | … | … | … | … | — | — | … | … | … | … | Decision information not found | false | Deferred | h | … |