Regional transit considers chopping GO fare integration

DURHAM -- Axing Durham Region Transit's One-Fare-Anywhere deal with GO Transit will be one of the options on the table as DRT struggles to hammer out a 2009 budget.

As it stands, residents pay the DRT fare, adult $2.85, to travel anywhere in Durham on GO buses. GO calculates the average cost per ride, currently $3.57, and charges the difference per rider to DRT. It cost the Region $2.8 million in 2008 and served approximately 790,000 riders.

But in January, DRT proposed eliminating the program because it's having trouble making its budget guideline. DRT General Manager Ted Galinis said he's about $800,000 short. Another option may be cutting weekend service.

"It doesn't matter if it's One Fare Anywhere or slashing services, we're in dire straits based on our funding."

Mr. Galinis said DRT can make the guideline without chopping if he plans for $1.08 per litre of diesel fuel. But the finance department asked all Region departments to budget $1.20.

Durham's finance commissioner, Jim Clapp, said he's spoken to other nearby municipalities to see what they're budgeting. His figure is in line with theirs. Diesel is generally 10 cents more expensive per litre than regular gasoline.

"The last two or three years what's been the problem with transit in terms of deficits? It's been fuel," said Mr. Clapp. "Let's get it under control."

The finance department did not accept DRT's proposal to cut the fare-integration service and suggested delaying the approval of the DRT budget to March so a business case for the program could be prepared. Instead, the finance committee chose to proceed with budget talks at the transit executive committee meeting on Feb. 4, which will be a joint meeting with finance. Neither committee has considered the 2009 budget in its entirety yet.

Mr. Clapp said DRT is already getting a 12-per-cent increase in its budget, the highest of any department.

But Mr. Galinis said if he's forced to cut service because of fuel budgeting, he loses riders. If it turns out he has a surplus in the middle of the year, he can't simply spend it.

"I can't put service back; I've lost the people."

He also pointed out DRT has gained 1.6 million riders per year since it was created in 2006.

Generally, the finance committee did not seem supportive of axing the GO agreement.

"We don't have capacity to handle all of those folks," said finance committee chairwoman and Scugog Mayor Marilyn Pearce.